Altagamma Consumer & Retail Insight
True-Luxury consumer sentiment is positive with the Arab Emirates and Saudi Arabia moving towards a doubling in size for the sector, while in terms of distribution, a physical and digital fusion is in the pipeline. Overall, retail outlets are fewer and mainly concentrated in 25 major cities around the world.
High-end consumers (around 20 million out of a total of 370 million) continue to demonstrate a considerable propensity for spending on luxury goods with 40% of True-Luxury consumers expecting to spend more on luxury goods next year. With a difference, however, between extremely good forecasts for China (+50% compared to the average True-Luxury buying propensity), the US (+40% compared to the average True-Luxury buying propensity) and the rather more lukewarm predictions for Europe (-40% compared to the average True-Luxury buying propensity).
Now that personal luxury goods have returned to pre-pandemic levels, experiential luxury (expected to account for 57% of the total market value in 2023) is also picking up with a higher growth rate than the former.
After the introductory speech by Altagamma President Matteo Lunelli, the evidence emerging from True-Luxury Global Consumer Insight, (Guia Ricci and Filippo Bianchi, Boston Consulting Group) and from Luxury Retail Evolution (Luca Solca, Bernstein) was discussed together with the Director General of Altagamma, Stefania Lazzaroni, Maria Pina Carai, Director, Head of Client Management Global Merchant Services Italy for American Express, Fabrizio Cardinali, CEO of Etro, Alain Prost, President and CEO of Ginori 1735 and Isabella Traglio, Executive Board Member, Head of Design and Research & Development at Vhernier.
At the opening of the conference, Matteo Lunelli, President of Altagamma, underlined how «the high-end consumer has a spending propensity that is growing by double figures. The number of retail outlets is stable, although sizes are increasing significantly along with the creation of more and more personalized and exclusive experiences.
Consumer's habits, values and omnichannel distribution methods are changing, while new collaborative strategies and consolidation, both downstream and upstream of the supply chain, are emerging.
In this context, Fondazione Altagamma reconfirms its strategic priorities: manufacturing protection, internationalization through dimensional growth, digital and sustainable transformation and, lastly, international promotion of Italian excellence.»
Federica Frosini, Editor in Chief VO+
