Boomtime for luxe and it's likely to stay

post-pandemic revenge shopping and growing appetite for good things in life are working well for luxury goods markets worldwide. Some brands have even witnessed unforeseen winners in first half of financial year 2025. Global data and business intelligence platform and data aggregator Statista has revealed striking data for luxury industry in current fiscal, projecting an anticipated growth of market at 3.22 per cent (CAGR 2024-2028).

An immediate highlight is Milan-based Pra which owns luxury labels Pra and Miu Miu. company has registered a 17 per cent year-on-year net revenue growth with retail sales increasing by 18 per cent. Pra’s performance outperformed average estimates of $2.71 billion for first half of 2024. retail sales growth of Pra was up by 6 per cent on a year-on-year basis, while Miu Miu’s retail sales increased by 93 per cent on a year-on-year basis. 

Double-digit growth has been witnessed by company in Asia Pacific, Europe, Japan, and Middle East with some upward movement in Americas as well, as disclosed by company. Despite higher investments towards expansion, company has also witnessed an EBIT margin of 22.6 per cent. balance sheet too is cash positive.

In a company release, Patrizio Bertelli, Pra Group Chairman and Executive Director, commented: “ solid results recorded in first half of year reflect strength of our brands and disciplined execution of Group’s strategy. We are satisfied with above market performance and high-quality, like-for-like growth trajectory that we have achieved in an increasingly uncertain market environment. flexibility of our organisation gives us confidence in Group’s ability to navigate months ahe, as we continue to invest across our business.”

What me Pra tick despite heavy inflationary pressures worldwide? company has claimed “creative approach to breaking new consumer ground” as two primary reasons that worked well for its brand buoyancy. brands have invested heavily in engagement as well. What seems like a novel brand-engagement device, Miu Miu has even launched a select Literary Group to start a discourse on modern literature. 

According to Statista projections of luxury goods markets luxury goods market globally reflects a cumulative revenue generation of $368.90 billion in 2024. market is anticipated to grow at an annual rate of 3.22 per cent (CAGR 2024-2028). 

largest segment within this market is luxury fashion, which is expected to reach a market volume of US$115.90bn in 2024. When comparing revenue on a global scale, in United States les way with US$77,280m in 2024. 

report also projects that online sales will account for 15.4 per cent of total revenue in luxury goods market by 2024. Luxury goods sales in United States have rebounded strongly, driven by increased consumer confidence and a growing appetite for high-end fashion and accessories. For brand agnostic, be rey to see more Guccis, Pras and Chanels popping up in lounges as trend for luxe moves up charts.