Stat: Luxury feels the impact of coronavirus

According to luxury organisation Altagamma, Boston Consulting Group and investment firm Bernstein, luxury brands are set to lose up to £8.3bn ($10.7bn, €10bn) in profits in 2020 owing to the impact of the coronavirus. The research even suggests that luxury brands have little chance of returning to normal trading conditions before the beginning of 2021.

In a series of infographics shared by Altagamma, luxury brands are forecasting a fall in sales of between £25bn ($32bn, €30bn) and £33bn ($43bn, €40bn), bringing the value of the personal luxury market in 2020 to between £256.5bn ($332bn, €309bn) and £264.7bn ($342.5bn, €319bn) – its lowest since 2015. Having hit companies from Burberry to LVMH and Capri Holdings, the epidemic has confirmed just how heavily the luxury sector relies on Chinese consumers, as well as international travel.

For other factors contributing to the luxury sector’s state of flux, explore our State of Luxury series where we uncover the changing behaviour of affluent consumers in global markets, from the US and France to Poland and South Korea.