|
|
Global Luxury Market Crosses Trillion-Dollar Milestone in 2015: Bain
Nov 2, 2015 11:28 AM
By Rapaport News
|
|
|
RAPAPORT... The worldwide luxury markets, as
tracked by Bain & Company, collectively surpassed the $1 trillion in
sales milestone in 2015, the global management
consultancy firm said.
Personal luxury goods, including jewelry, climbed to above $275.6 billion (EUR 250
billion) to $1.1 trillion. That represents a 5 percent year-on-year growth, with calculations based on
constant exchange rates, Bain said in its "Luxury
Goods Worldwide Market Monitor" released October 29.
The personal luxury goods market in which accessories
account for almost a third recorded a 13 percent jump at constant exchange
rates, or 1 to 2 percent in real terms.
Three
segments - high-end
cars, luxury hospitality and fine arts - out of ten were
the main drivers of headline growth as they account for about 80 percent of the
market. Global currency fluctuations and
continued
international tourism by “borderless” consumers propped the increase in personal goods. Global jetsetters flocked to Europe and Japan to capitalize on a weaker euro
and yen.
The U.S. market, while still the largest for luxury products at $87.1 billion (EUR 79
billion), was not robust in constant exchange-rate terms as a strong dollar deterred
many global tourists, Bain said. While local consumption grew, it was barely
sufficient to offset the lost revenue from tourism. That said the New York City
luxury market remains larger than that of Japan in terms of value.
Asia saw
a poor year at constant exchange rates because of a slower mainland China and sharp
drop in sales in Hong Kong and Macau, Bain said. Chinese consumers do, however,
make up the largest national slice of the luxury pie, at 31 percent of global
purchases, followed by Americans on 24 percent
and Europeans pegged at 18 percent.
"For
years, we have known that they [Chinese consumers] spend far more
abroad than in Mainland China, but what's changing is that they're spending
little money in historically popular destinations such as Hong Kong and Macau,"
Federica Levato, a Milan-based principal at Bain and co-author of the study,
said in the report. They “are instead gravitating to new locales such as
Europe, South Korea or Japan to benefit from currency fluctuations that drive
favorable price gaps," Levato said.
The
14th edition of Bain’s luxury market report was released in Milan in
collaboration with Fondazione Altagamma, the industry foundation for Italian
luxury goods manufacturers.
|
|
|
|
|
|
|
|
|
|
Tags:
americas, China, luxury, personal goods, Rapaport News, retail, US
|
|
|
|
|
|
|
|
|
|
|