Global News Insight

Luxury Goods Sales to Decline US$1 Trillion in 2020

LONDON, UK – Global market research company Euromonitor International predicts the luxury goods industry will be hit the hardest in 2020, across all FMCG markets, due to coronavirus (COVID-19).

According to the webinar ‘Luxury and COVID-19: Effects on the Industry’ the global luxury goods market was set to grow by 3% in 2020 to reach over US$1 trillion. However, due to the global disruption caused by COVID-19, the industry is set to decline by 18% in Q2 2020.

Fflur Roberts, head of luxury goods research at Euromonitor International comments, “Luxury shopping behaviour, channel dynamics and travel plans are seeing inevitable shifts as a result of lockdowns. With the pandemic having a huge economic and psychological impact, consumers’ sentiment will be severely dampened and premium-priced items likely to be affected.”

The market most impacted is Asia Pacific, with sales in China set to decline by 22% in 2020, amounting to a US$68 billion loss. Followed by the US, with a US$52 billion loss in sales in 2020; whilst Italy, France and the UK remain bleak, as they play an integral role, as both key producers and luxury-buying hotspots for wealthy global tourists.

Roberts concludes, “The luxury goods market will most likely bounce back relatively quickly in the medium term, with the surge in e-commerce shopping and the convenience of online shopping converting prior skeptics.”

To access Euromonitor International’s free webinar visit:  https://bit.ly/2WmezCr

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For further information, please contact:

Victoria Dele

Senior Communications Executive – Euromonitor International

Tel: +44 (0)20 8175 7843

Victoria.dele@euromonitor.com

About Euromonitor International

Euromonitor International is the world’s leading provider for global business intelligence, market analysis and consumer insights. From local to global and tactical to strategic, our research solutions support decisions on how, where and when to grow your business. Find the right report, database or custom solution to validate priorities, redirect assumptions and uncover new opportunities. With offices around the world, analysts in over 100 countries, the latest data science techniques and market research on every key trend and driver, we help you make sense of global markets.

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