26 January 2022
Travel restrictions imposed by covid-19 have led to a big increase in Chinese consumers’ domestic purchase of luxury goods, reports Leatherbiz.
According to a new report by specialist consultancy firm Bain & Co, domestic sales of personal luxury goods increased by 48% in China in 2020 and by a further 36% in 2021.
Bain puts China’s total domestic spend on luxury goods for 2021 at almost $75 billion and says this represents “a near doubling in just two years”. It said leathergoods was the fastest growing category last year, with a growth rate of about 60%.
The new report, A Year of Contrasts for China’s Growing Personal Luxury Market, says China had a 20% share of the global luxury market in 2020, rising to 21% in 2021. “We anticipate this growth to continue, putting the country on track to become the world’s largest luxury goods market by 2025, regardless of future international travel patterns,” Bain said.