Headlines

Luxury Retail Seen Remaining Resilient

Trio of factors underlie sector’s ongoing strength, report finds.

Published

12 months ago

October 25, 2023

INSTORE Staff

PHOTOGRAPHY: ValuaVitaly/iStock.com

A new report outlines three reasons luxury retailers should be able to maintain their momentum despite today’s highly uncertain economic climate.

“The luxury sector faced major shifts over recent years from rapid inflation to slowing economic growth, continued COVID lockdowns in China, and the outbreak of war in Ukraine in 2022,” notes the report, which was prepared by consulting firm Bain & Co. and Edited, an AI-driven merchandising experience platform. “Despite these headwinds, sales have never been stronger in the luxury market.”

Here’s why, according to the report:

Overall price distribution in the luxury market has expanded due to assortments tilting toward more luxury items since pre-pandemic times.
Brands have reduced visible discounts by 5 percent, on average, across both men’s and women’s ready-to-wear and accessory lineups.
Luxury brand leaders’ assortments were able to intercept fast-growing categories since the pandemic, compared to normal brands.

Click here for more from the study, titled “Three Reasons Luxury Should Remain Resilient.”

INSTORE Staff

Since launching in 2002, INSTORE has won 89 international journalism awards for its publication and website. Contact INSTORE's editors at editor@instoremag.com.

click to Comment(Comment)

Up Next

Kohl’s Holiday Look Heralds Its Turnaround Plan

Don't Miss

Supply Chain Challenges Still Loom Large

You Wouldn’t Cut Your Own Hair. Why Run Your Own Retirement Sale?

After being in business for over a quarter of a century, Wayne Reid, owner of Wayne Jewelers in Wayne, Pennsylvania, decided it was time for a little “me time.” He says, “I’ve reached a point in my life where it’s time to slow down, enjoy a lot of things outside of the jewelry industry. It just seemed to be the right time.” He chose Wilkerson to handle his retirement sale because of their reputation and results. With financial goals exceeded, Reid says he made the right choice selecting Wilkerson to handle the sale. “They made every effort to push our jewelry to the forefront of the showcases,” he says, lauding Wilkerson for their finesse and expertise. Would he recommend them to other jewelers who want to make room for new merchandise, expand their business or like him, decide to call it a day? Absolutely he says, equating trying to do this kind of sale with cutting your own hair. “The results are going to happen but not as well as if you have a professional like Wilkerson do the job for you.”