Luxury For Less
Devika Singh September 2, 2017
Lawyer-turned-actor Satyadeep Misra, who started his film career with No One Killed Jessica, was bitten by the motorcycle bug soon after he learnt to ride one for playing the role of Chimman Chopra in Bombay Velvet. The movie bombed, but Misra found a new passion. Two years later, he wanted to bike across Himachal Pradesh, but lugging his two-wheeler all the way up from Mumbai was cumbersome. That was when his schoolmate Siddhartha Lal, Chief Executive of Royal Enfield parent Eicher Motors, suggested he should get in touch with EagleRider, a high-end bike rental company.
The road trip was excellent, and Misra went back to the company when he planned a second trip. "We rode for 11 days in Himachal. You end up paying more, but it is stress-free," he says. Renting a motorcycle from EagleRider in India costs `1,950-2,200 a day, depending on the kind of bike one rides.
EagleRider, a US-based luxury motorcycle rental and tour company, was set up in 1992 by Jeffrey Brown, Chris McIntyre and Peter Wurmer. The company, which operates in 100-plus locations globally, finally forayed into India last year with Big Motorcycle Company as its franchise.
"It took us nearly a year of convincing to get the franchise business," says Samar Sodhi, founder of Big Motorcycle, which rents out Harley-Davidsons, Triumphs and Royal Enfields, and organises tours for those who want to go on long rides.
Luxury rental boom
After cars and bikes, designer apparel and accessories is the most-sought-after category. Inspired by the success of US-based Rent the Runway, quite a few start-ups, including Flyrobe, Wrapd, Swishlist, The Clothing Rental, LibeRent and Rent a Closet among others, are offering similar services. Akshay Taneja, Founder of Rent a Closet, says there is a vacuum in the market as most women covet designer wear but cannot afford them. A mid-segment buyer may not shell out `80,000 to buy a designer lehenga, but she will be willing to spend `5,000 to wear a Varun Bahl or Ritu Kumar creation, he adds.
Again, one can book a luxury home through Airbnb, but there are start-ups like The Weekend Plan offering a unique expereince when they rent out luxury villas. Its most popular property SkyHigh, located in Goa, costs Rs 90,000 for three nights.
According to start-up analytics firm Tracxn, the segment is growing. As many as 250 online rental companies have come up over the past few years and raised $126 million in funding. Not all of them are pure-play luxury rentals, but many deal in higher-end brands, especially in auto and apparel segments. A total of 29 luxury rental start-ups raised $2.9 million.
Hurdles Behind the Lure
There are other concerns. Most of these companies have the products insured and take hefty security deposits, fearing damage. EagleRider's Sodhi is wary of renting out to people from small towns, especially those in Uttar Pradesh. "People there rent itfrom us, and by the time you realise [something is wrong], the bike is dismantled and sold off," he says.
Sreedhar Prasad, Partner at management consulting KPMG India, says people take care of clothes, but accessories are risky as companies cannot afford wear and tear. Most experts also feel that the market is yet to mature and it will take these companies another five years or so to find a firm footing.