The global luxury market grew by nearly one-third to 288 billion euros (US$198 billion) last year, rebounding from its worst recorded dip due to pandemic lockdowns. The study was commissioned by Italy's Altagamma association of high-end producers. While much of the world is fretting over higher fuel and energy prices, the luxury market remains set for growth.
Sales of personal luxury goods including apparel, accessories and footwear posted high double-digit growth in the first quarter of this year. In its most pessimistic outlook, assuming global inflationary pressure, Bain forecasts sales of high-end personal goods this year to grow by 5% to 305 billion euros. But the consultancy also sees a case for up to 15% growth if the current trends continue, pushing the market to 330 billion euros next year.
Luxuries still hold a high place in society. It's still very prevalent today, whether it's luxury real estate, luxury fashion, or luxury estates. Luxuries don't seem to be going anywhere, and inflation seems to be increasing demand, which forces more supply to be delivered.
Everything happens for a reason, and as someone who has watched the market change constantly, and because of the impact of inflation, I have no doubt every other part of our daily lives will change too - and maybe even for the better (although not many would believe it).
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