Luxury Goods Market Faces First Decline Since 2008
The personal luxury goods market is expected to shrink for the first time since the 2008 financial crisis, with a projected 2% contraction in 2024, according to Bain & Company. This downturn is attributed to global economic uncertainty, inflation, and a significant slowdown in China, a key market for luxury brands. While luxury spending overall is forecast to remain flat, segments like luxury cars and travel are seeing growth. Brands are urged to adapt to changing consumer preferences, particularly among Gen-Z, to regain market share.