As it does every year, IFOP produces the “Luxury Trend Report”, the data from which are unveiled at the Grand Prix Stratégies du Luxe (organized by the eponymous media company). The report, whose results are based on market figures and the opinions of professionals, highlights an industry that is in a state of disrepair.
This survey was conducted among 210 luxury industry players. Interviews were conducted between November 15 and 26, 2024.
“For the luxury goods industry, the results for 2024 show a definite level of concern compared to previous years,” explains IFOP in its preamble. And the inflationary context has something to do with it. 59% of respondents feel pessimistic about the global economic situation, 10% more than last year.
Thus, respondents are also anxious (45%) about the performance of luxury goods in the year ahead.
However, 39% believe that perfumes and cosmetics are among the most dynamic segments in the industry.
Respondents cited slowing growth in China (62%), the international economic situation (55%) and the weakening purchasing power of the middle class (48%) as reasons for the decline in prestige.
Respondents also cited geopolitical conflicts (25%) and difficulties in the North American market.
New expectations
New household habits also help to explain the mixed performance of luxury goods.
According to the panellists, rising prices (32%), the growth of second-hand (27%) and the development of “dupes” (20%) are contributing to the general public’s avoidance of luxury goods.
Consumers now try to buy luxury goods second-hand (80%) or at reduced prices (61%). They will …
