The Bain Luxury Goods Worldwide Market Study for Spring 2018 shows growth in the luxury commerce and international travel markets, predicted to be worth as much as $459 billion (€390 billion) globally by 2025, will largely depend on the Chinese consumer and the millennial generation.
The report states that luxury is not seen as being a logo or a status symbol, but about consumer engagement with brands, who now need to instil a long-living consistent brand story.
Luxury spending this year is predicted to rise 6-8%, with China’s increase even higher at 22%. Japan is also expected to increase luxury spend by 6-8%, but is focused more on experiences than goods.
Another report from Global Blue and Roland Berger, Millennials: The Generation Reshaping Travel and Shopping Habits, shows that millennials are having an impact on global destinations, especially boosting a revival in city trips. They are also very sensitive to security threats, seeing 29% of millennial business travellers cancelling a trip over security, compared with 12% of baby boomers, and travel companies are responding with apps and alert technology.