Global – The sector is re-envisaging and redefining what luxury will mean.
Millennials and their predilection for technology – determining how they purchase, communicate and discover new trends – will transform the parameters of luxury in the early 21st century. Taking cues, brands are tying traditional ideas of heritage and artisanship to disruptive new technologies, product offers, services and experiences.
In this time of change, mature markets such as Japan and the US will pioneer new methods and aesthetics, providing a catalyst for global growth. North America is ‘probably the safest growth driver we can imagine’, says Michele Norsa, CEO of Salvatore Ferragamo.
Online and omni-channel retail will re-energise luxury sales. Online was the fastest-growing luxury sales channel in 2014, up by 28% on the previous year, and is expected to drive 40% of global luxury sales by 2020, according to Bain & Co and Exane BNP Paribas.
The Big Picture: To learn more about the luxury sector in 2015 and beyond, read our Global Luxury Market Part 1.