Definitions, war and inequality in the luxury goods market – Jochi sales decreased by 24 %

Luxury goods sales that eroded to 364 billion euros ($ 419 billion) in 2024 expected Slip by 2 % to 5 % this yearThe study said, noting the threats of American definitions and geopolitical tensions that lead to an economic slowdown.

“However, to be positive in a difficult moment-with a slowdown of three wars, economy slows, inequality at all-it is not a market for collapse. It does not collapse,” it does not collapse. ”

In addition to the external opposite winds, luxury brands removed consumers with The continuous creativity crisis And the increase in sharp prices, Payne said. Buyers have also been suspended by recent investigations in Italy, which revealed that the conditions of SweatShop in the sub -contractors make luxury handbags.

The study showed that sales slide sharply in the power markets in the United States and China. In the United States, the fluctuation of the market due to the definitions caused consumer confidence. China recorded six quarters of shrinkage to consumer confidence.

The Middle East, Latin America and Southeast Asia are registered. The study showed that Europe is mostly flat.

This has created a sharp difference between brands that continue to have strong creative growth and profits, such as the Prada Group, which recorded a 13 % jump in the first quarter to 1.34 billion euros, and trademarks like Gucci, as revenues decreased by 24 % to 1.6 billion euros in the same period.

Gucci owner dry Last week, the Italian CEO Luca de Meo hired former CEO of RenaultTo install a transformation. The decision comes as three of its brands are launched – Gucci, Balenciaga and Bottega Veneta – two new creators.

KERING stock increased by 12 % on the appointment news. D’Apizio confirmed his busy record, where French car maker Renault returned to profitability and previous roles as a marketing manager in Volkswagen And Fiat.

She said: “All of these factors are well echoed in a market like luxury when you are at a stage where growth is still the name of the game, but you also need to make the company more intelligent in terms of costs and transport some brands.”

Trademarks also make changes to reduce the effect of potential US tariffs. These charging include directly from production sites, not warehouses, and reduce stocks in stores.

“With aesthetic changes in full swing,” the filling of channels is meaningless. ”

However, many of the opposite winds that store the sector are outside the control of companies.

“Many of these (negative) aspects will not change soon. What can change is more clarity in the definitions, but I do not think we will stop wars or political instability within a few months, adding that the consumer’s luxury confidence is closely related to the directions of the stock market from geography.

The head of the Italian Luxury brand Association, Tajamia Matthew Longlli Hat, stressed that the sector recorded the total growth of 28 % from 2019-2024, “we have placed much higher than prenatal levels.”

Although luxurious spending is sensitive to global turmoil, it is historically accelerated in the apostasy, and it is exposed by new markets and pent -up demand.

The financial crisis 2008-2009 fell luxury clothing, handbags and shoes from 161 billion euros to 147 billion euros over two years. The market recovered more than the losses in 2010 as it recovered by 14 %, with an acceleration in the Chinese market. Likewise, it decreased 21 % after sales during the epidemic, as the pent -up spending worked on sales supported by new records.