Retailing for as little as $10, India’s beloved Kolhapuri sandals are a staple in wardrobes across the sub-continent. So when luxury brand Prada SpA debuted a new type of footwear at Milan Fashion Week that bore a stark resemblance to them, it didn’t take long for the fury to build online.

The saga underscores how much power the South Asian giant’s digital tribe holds, where online outrage regularly influences public debate — especially when citizens perceive their heritage is under attack. International firms eyeing one of the world’s fastest-growing markets should weigh the risks of these cultural missteps. 

The Italian fashion house’s troubles began when it introduced its menswear collection in June. The sandals, described as “leather footwear,” displayed an open-toe braided pattern that was strikingly similar to Kolhapuri sandals made in the Indian states of Maharashtra and Karnataka. (Your columnist has several pairs of Kolhapuris in her wardrobe.) 

Historically, the sandals were produced for specific communities. For farmers who worked in the fields, they were robust and able to withstand wear-and-tear; for the courtier class and nobles they were more delicate and ostentatious. In 2019, the footwear was awarded the Geographical Indication status, viewed as a mark of authenticity. (Other Indian items to have received this tag include Darjeeling tea and Alphonso mangoes.)

But Prada didn’t credit India for the designs, prompting a brutal social media backlash. The nationalistic sentiment whipped up by this controversy boosted sales of the traditional sandals. The country’s online community is renowned for its digital ferocity — it accused the brand of cultural appropriation, and the furor forced the fashion house into damage control mode. It issued a statement saying it recognized the sandals were inspired by traditional Indian footwear. The luxury brand’s experience is a reminder that in India, foreign firms have to be aware of how reputational risk could affect future revenue.

Internet penetration is rising, with 55% of the population connected. Social media is growing fast, too: It’s estimated the world’s most populous nation is home to 462 million social media users. 

India is a rising global power, one international brands are keen to break into. But local and foreign firms face various challenges: Bureaucracy, shoddy infrastructure and unique consumer behaviors that include a fierce defense of India’s rich heritage. All of these factors require a tailored approach. 

Success in the market lies in the ability to balance local authenticity and global appeal — and the willingness to “learn to love and speak to India,” as Francois Grouiller, chief executive officer of the luxury consultancy IndLux recently noted. 

Foreign brands can’t afford to ignore India’s luxury market, which reached $7.74 billion in 2023, and is projected to approach $12 billion by 2028, a recent Kearney report notes. Other estimates predict the sector could more than triple by 2030, growing to upward of $85 billion. The number of ultra-high-net-worth individuals — people with a net worth of at least $30 million — is expected to grow by 50% by 2028. 

These forecasts come with the obvious caveats — most notably, there is still a huge wealth gap in the country. While the 100 million wealthiest people are splurging, 400 million of their middle-class counterparts have cut back. Global economic conditions are becoming less supportive, as US President Donald Trump’s sweeping tariffs fuel trade tensions and put pressure on future growth. 

Still, viewing consumers as a long-term opportunity rather than just a short-term play would help these firms thrive. Even more important is understanding that India is home to a diverse market with distinct needs. Some brands have grasped this already — high-end jeweler Bulgari SpA offers a pricey Mangalsutra necklace inspired by a chain traditionally worn by married women — tapping into the desire for luxury with home-grown sensibilities. 

The Italian brand is not the first — and neither will it be the last — to fall foul of cultural norms. Earlier this year, Gucci made the mistake of calling Bollywood star Alia Bhatt’s custom-made sari-lehenga (a fusion of the traditional sari with a long skirt) a gown. Another online frenzy was set off in May, when a viral social media trend was criticized for calling the dupatta — a traditional South Asian shawl — a Scandinavian scarf.

Prada doesn’t own any retail stores in India, depending instead on the super-rich diaspora and wealthy Indians who travel overseas. But the firm — which has seen its shares lose about 30% since February as investors took fright at its purchase of Versace — isn’t taking any chances. In a conciliatory move, it’s now working with traditional artisans to understand the history behind the famed Kolhapuris. 

The luxury fashion house has learned the hard way that cultural fluency is no longer a “nice to have”— it’s central to business survival.