Global luxury goods market to grow 4%
At a recent conference in Italy, Bain & Company predicted global revenues for the luxury goods sector will rise 4% this year compared with last year’s figures.
The company believes revenues will reach EUR158 million in 2010 compared with EUR153 million in 2009. The results were taken from its ‘Luxury Goods Worldwide Market Study’ and were presented at a conference hosted by Italian luxury goods association Fondazione Altagamma.
The positive outlook for 2010 is a sharp reversal from the 8% decline in revenues in 2009. Bain estimates that the full-year increase will result from a particularly strong growth spurt of 5-10% in the first half of the year, followed by a second half increase of between zero and five percent.
According to the report, just 2% of the 220 brands studied saw growth of more than 5% in 2009. Half of the brands included posted declines of more than 15%.
Growth for accessories, shoes and leather is expected to be 5% this year, while apparel, watches and jewellery are forecast to grow 4% and perfume and cosmetics are likely to grow at 2%.
