Luxury goods in 2024: 2% decline and loss of 50 million customers

Needless to say, the forecasts of the Altagamma Consensus, presented by Stefana Lazzaroni, Managing Director of Altagamma, and produced with the support of the Altagamma-Bain Worldwide Luxury Market Monitor, prepared by Claudia D'Arpizio and Federica Levato, Senior Partner at Bain & Company, were eagerly awaited. What is striking is the confirmation of normalisation after the post-Covid euphoria and last year's records, with a global market expected to reach €1,478 billion in 2024, down 2% from €1,508 billion in 2023. While the figures are down slightly, there are plenty of positive signs, such as experiential luxury and well-being, up by 5%. It is, therefore, necessary to rethink some of the pillars that characterise the sector.

Before analysing each aspect in detail, Matteo Lunelli, Chairman of Altagamma, highlights the aspects that have led to this trend reversal: “In 2024, the global high-end market will record a significant decline of around 2% in all categories for the first time in 15 years, reaching €1,478 billion. The uncertainties of the international economic and geopolitical scenario have had a significant impact on our industry and the supply chains that work closely with our brands. In part, this is a process of normalisation after the strong post-Covid rebound of recent years. We expect a moderate recovery in 2025, driven by experiences (hotels and gastronomy), the strongest markets such as Europe and America, and the best-performing jewellery and cosmetics categories. 2025 will therefore be a year of transition, during which we will reactivate our fundamentals, focus our priorities and not waste energy. We will certainly need to work as a network, both at Italian and European level, to strengthen and promote the critical success factors of our industry: the know-how of our supply chains, creativity and technological innovation, respect for sustainability objectives and the ability to engage in genuine dialogue with consumers in all geographical areas.”