US – New data suggests that young women prefer being hands-free when they are out and about, a generational shift threatening to cause a slowdown in the handbag market.
Consumer behaviour analytics company Circana has explored the strengths and pain points of the market in new research, which uncovered growing generational differences. Among younger consumers, sales of bags have dropped by 2% in the past year, compared with a 7% rise among older shoppers in the same period. Data suggests that not only do American 18–34-year-old women purchase fewer bags, six in 10 do not carry handbags outside of school or work.
What can the sector learn from this? Despite a cooldown, certain styles are on the rise within this group – think totes (+11%), belt bags (+56%) and lifestyle backpacks (+7%). Earlier this year, a belt bag from Japanese high street brand Uniqlo even made its way to the Lyst Index, a ranking usually dominated by high fashion luxury products. The it-bag is certainly not dead, but manufacturers need to future-proof their strategies and make space for the very functional and fashionable styles that appeal most to Generation Z.
Strategic opportunity
Targeting Gen Z doesn’t have to entail neglecting your main consumer base. Audit your consumers’ tastes, preferences and lifestyle to develop lines with cross-generational appeal