THE GLS GROUP

Gems & Jewellery E-commerce

Opportunity Assessment (Select Slides)

November, 2014

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GLS

Group

Executive Summary: Gems & Jewellery Market In India

Size of the Gems & Jewellery market is ~INR 3540B (2013); market has grown at ~27% CAGR in

(2008-2013), faster than overall GDP

27%

Indian Gems & Jewellery Market*, 2005-2013E

15% 16% 16%

16%

~85%

* - Market size does not include the export market

Note: All years are financial years

Source: FICCI – AT Kearney Report: All That Glitters Is Gold; World Gold Council (WGC); Oxford Economics; GLS Research & Analysis

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GLS

Group

Executive Summary: Gems & Jewellery Market In India

Gold jewellery is the most preferred in India with ~60% share of the overall market; combined

share of gold jewellery & coins has remained constant over the last 7 years (~85%)

Source: FICCI – AT Kearney Report: All That Glitters Is Gold; World Gold Council (WGC); GLS Research & Analysis

Indian Gems & Jewellery Market By Jewellery (Content) Type, 2005-2013E

~85%

% Share Total share of Gold

(Jewellery and Bars

& Coins) has

remained stable ~85-

90% historically

Total share of Gold

(Jewellery and Bars

& Coins) has

remained stable ~85-

90% historically

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GLS

Group

Indian Gems & Jewellery Market, 2008-2018F

Executive Summary: Gems & Jewellery Market In India

Market is expected to continue growing at historic rate (~15% CAGR) in 2013-18 and will be ~INR

7050B by 2018

% Share

Source: FICCI – AT Kearney Report: All That Glitters Is Gold; GLS Research & Analysis

Methodology

• Overall Jewellery (gold, diamond,

silver & others) & gold coin & bar

demand is highly correlated with

GDP/capita.

•Gems & Jewellery market size

has been forecasted based on the

forecasted trend of GDP/Capita

•Relative share of sub-segments

(gold jewellery, diamond jewellery

etc.) has been assumed to be

constant (at 2013 level)

H F

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GLS

Group

Executive Summary: Scope of E-Retail in Gems & Jewellery Market

Online jewellery retail has ~2% share (~INR 2B) of the overall e-tail market and ~0.05% share of

the overall jewellery market

Indian Jewellery E-Tail Market,

2014E

Note: Jewellery refers to fine jewellery only

Note: Overall jewellery market size for 2014E is estimated from the market forecast from 2013-19

Source: Business-Standard; FICCI – AT Kearney Report: All That Glitters Is Gold; GLS Research & Analysis

Indian Overall Jewellery Market,

2014E

Share of Online

Jewellery

Market in US is

~7% (2014)

There are 2 major scale competitors in the jewellery market.

Share of online sales in the jewellery market is low (~140x) as compared to mature markets (US)