UK: luxury market to grow 57% by 2015
The continued success of brands such as Burberry and Jimmy Choo will help the UK luxury sector to grow by 57% to £9.4 billion by 2015, according to research from luxury trade body Walpole.
The UK Luxury Benchmark Survey, published in collaboration with research firm Ledbury Research, found that 91% of the luxury brands surveyed were confident of sales growth over 2011. The market is due to grow by 10% this year, according to the research.
Tourism remains the key driver of that growth, with just over £1 in every four spent on UK luxury brands coming from visitors to the UK, particularly from America and China.
Meanwhile, overseas spend remains crucial to future growth of the UK luxury market. China is now a key focus for expansion with 41% of those brands surveyed already operating in the country and a further 34% planning to do so at some point this year.
James Lawson, director at Ledbury Research said: “The confidence in the UK luxury industry is different from that seen at the peaks of 2007, which was associated with a more conspicuous consumption. Today’s luxury consumers are different; demand is more considered and refined and the leading British brands are well positioned to engage with this audience”
The UK Luxury Benchmark Survey looks at the performance and expectations of the industry as well as the issues facing luxury brands over the coming year. More than 80 senior luxury executives were surveyed.
