Luxury goods are selling as well as they were before Corona. According to a study, the global market will grow to 283 billion euros this year. That would be one percent more than the pre-crisis value of 2019, as the management consultancy Bain announced yesterday. Compared to the year 2020, which was marked by the pandemic, there is even a growth of 29 percent.
Bain has recorded personal luxury goods, including high quality clothing, shoes, leather goods, perfume and jewelry. “The luxury goods industry is currently experiencing a real renaissance,” said Marie-Therese Marek von Bain. However, the public perception of the top brands is currently changing significantly.
Up until now, the main focus was on status, logos and exclusivity, but now manufacturers of luxury goods should increasingly focus on sustainability, diversity and social responsibility. Behind this were the demands of the younger customers. The decisive driver of the recovery is China, where the market volume has doubled compared to 2019 to 60 billion euros.
The largest market, the USA, also showed significant growth to 89 billion euros, as did the Middle East. In Europe, Japan and the rest of Asia, however, the recovery is still lagging behind.
In addition, the industry is constantly shifting towards online trading. After a growth of 50 percent last year, the experts are assuming a further 29 percent plus for 2021. Then online sales would be 62 billion euros.
The good economic activity in the industry is currently primarily related to personal luxury goods in the narrower sense. The extended luxury sector, which includes expensive cars, yachts and private planes as well as high-class travel or meals in gourmet restaurants, is likely to be around ten percent below the pre-crisis level in 2021, according to the Bain study .
Source: Nachrichten
