Among the key findings of the Rerouting the Future report, Bain & Company also found that the market benefited from a strong holiday shopping season, with a 7% increase over the same period in 2019 (pre-pandemic).
Additionally, China continued to see double-digit growth last year and Western markets experienced sustained local demand with the U.S. seeing strong momentum even after federal stimulus cheques ended.
Looking forward, Bain & Company estimates that market growth for this sector could reach €360-380 billion by 2025.
“In the last few months, luxury brands have been forced to reroute their futures” said Federica Levato, a Bain & Company partner and co-author of the report.
“Winners will rapidly embrace the changes, ensuring they fully understand the implications of new geopolitical dynamics and cultural trends for all of their stakeholders: consumers, investors, employees and society at large.
“Those that come out ahead will take advantage of the opportunities presented by the virtual world, the sustainability transformation and preferences of younger generations.”