Handbags are more than just accessories for Meher — they are companions that accompany her through the day, each telling a unique story. Indian handbag startups are reshaping the market with their distinct designs, sustainable materials, and an understanding of modern Indian consumers.
Leading home-grown brands like Zouk, Miraggio, and DailyObjects have quickly gained a significant market share with their innovative approaches. In the last five years, the sector has received around $37.2 million in funding, with a peak of $20 million in 2024.
The Indian handbag market has primarily been dominated by international brands or local mass-market products, notes Mohit Jain, founder of Miraggio. With changing consumer preferences post-Covid, there is now a demand for aesthetic looks, functionality, and affordability.
These startups are setting themselves apart from established players through their design, pricing, and product functionality. Rising disposable incomes and aspirational shopping habits are fueling the demand for mid-premium handbags.
Zouk takes pride in its India-centric design language, drawing inspiration from various cities, monuments, and cultural elements. Miraggio positions itself in the premium segment, launching new collections every month to encourage repeat purchases. DailyObjects, on the other hand, focuses on a contemporary, minimalistic appeal.
While expanding into offline retail, D2C handbag brands have primarily grown through e-commerce channels. Zouk has even listed its products on quick commerce platforms to reach a wider audience. Miraggio aims to shift its revenue balance in favor of direct sales, while DailyObjects sees strong demand from Tier 1 and Tier 2 cities.
These brands are also focusing on manufacturing capabilities, with Zouk and DailyObjects producing their handbags in India. Miraggio manufactures its products in China but is exploring expansion into Myanmar and Vietnam.
Challenges facing these startups include inventory management, competition from international players, and design piracy. However, by creating differentiation and staying ahead of trends, these brands are carving a niche for themselves in the competitive handbag market.
In conclusion, the future looks bright for Indian handbag startups, with plans for international expansion, increased focus on direct sales, and a commitment to Indian craftsmanship and manufacturing capabilities.