Global Luxury Sector Expected To Grow 10 Percent: Report

MILAN -- The global luxury market has continued its surge as experts project 10 percent growth in 2013.

Bain & Company says in a report commissioned by Italian luxury producers that a resurgence of growth in the U.S. and European markets coupled with strong performance in China and Latin America are driving growth in the sector. Japan also returned to growth.

Bain also revised its 2010 figures to euro173 billion, or a 13 percent growth from a year earlier, compared with earlier figures of euro172 billion.

Bain forecasts growth in 2011 is being driven by jewelry and watches, up 18 percent, accessories, up 13 percent, and apparel up 8 percent.

The report was released Monday by the Fondazione Altagamma association of Italian luxury producers.

Comments

[rheaseo25]

10:52 PM on 10/27/2011

It doesn't suprise me that the sales figures for luxury watches have gone up in 2011 as it is noticeable that the leading watch brands like Tag Heuer, Breitling and Tissot have really produced some fantastic looking timepieces this year. You just have to look at websites like Time2 to see just how striking the luxury watches on the market are today. Personally, I can't wait to see what 2012 has got in store for designer watches. See my reviews here! http://www.swiss-watches-guide.com/

[mfitz11]

12:27 PM on 10/18/2011

Of course they can expect growth, this is America, where the rich get richer and the poor get poorer, and the top 1% controls 24% of the nations wealth.
What a great country this has turned into, huh?

[FunGuy13]

08:52 AM on 10/18/2011

It's obvious, the top 1% have no clue as to how the little people live their daily lives...

http://www.dailymail.co.uk/tvshowbiz/article-2050177/Tamara-Ecclestone-rolls-naked-bed-1-million.html

[SouthJewishWman]

05:44 PM on 10/17/2011

There was earlier article about how marketers no longer create ads for the middle class and are just focusing on the 1% who have disposable income. Eventually you would think math would catch up to everyone. If 99% are struggling to pay bills, feed families, or buy gas to go to low paying jobs, how long before it affects the 1%? The job creators need to start creating jobs is all I'm saying.

[realorpretend]

03:20 PM on 10/17/2011

Think of one shirt procured for a target and then purchased. How many jobs has that single shirt made - what were the working conditions of that one shirt?

Now think of a purple label Ralph Lauren shirt procured and purchased.

In comparing these two shirts which undoubtedly created more jobs and as well injected more useable capital back into the system.

Luxury sector growth is great because the ladies at the Tiffany jewelry counter are no doubt providing a much better living for themselves than those at the small glass beaded uptown boutique.

I fail to understand why many people don't grasp this very basic truth.

[blndgenie]

04:02 PM on 10/17/2011

because wealth envy exists in a world devoid of factual reality. Its much easier to just hate the rich than examine the actual effects of their spending.

[TUNCH]

08:54 PM on 10/17/2011

It's not about hating the rich...it's about hating the system that allows them to get rich at the expense of others.

[TUNCH]

08:50 PM on 10/17/2011

Just because one shirt costs 19.99 and the other costs 149.99 doesn't mean the more expensive shirt adds more value to the economy. They're both made overseas in countries like Vietnam, Taiwan, China, Mongolia, Mexico, etc... The difference is the amount of profit made off each shirt.

Ralph Lauren isn't putting that extra profit back into the American economy...he taking it home. His compensation was almost $70 million last year.

[realorpretend]

10:22 PM on 10/17/2011

And his designers, their samplers, the fabric sourced, the greater attention to how the fabric is created - farmers compensation, it isn't just extra profit sucked into a bank account.

[CSNC]

02:50 PM on 10/17/2011

"Luxury Sector Expected To Enjoy Strong Growth For Years" and
"World's Biggest Lighting Maker Plans Big Job Cuts"

Two headlines under "Business"

I am sure now you see the problem and have no more questions... right?

H

[rolor]

09:15 PM on 10/17/2011

Nah... compartmentalization is a special talent of the reality challenged.

[CSNC]

09:20 PM on 10/17/2011

rolor,

Good quote... From whom you plagiarized that?

H

[Glad2BFree]

01:19 PM on 10/17/2011

More accurate headline:

"Hyper-Rich Affording More Diamond-encrusted Yachts While Lower-class Poverty Grows"

[joyf1]

03:00 PM on 10/17/2011

It's growing because the Middle has now joined Poverty.

[blndgenie]

04:03 PM on 10/17/2011

Congrats on discovering the Progressive Trickle-Up Poverty Plan!

[leorangerie]

12:46 PM on 10/17/2011

Here comes the new luxury tax. Along with Occupy Excess.

[blndgenie]

04:04 PM on 10/17/2011

Ah yes, it worked out SO WELL in the early 80's! (destroyed a lot of middle-class jobs in its wake before repeal, but hey, it FELT GOOD!)

[leorangerie]

04:42 PM on 10/17/2011

agreed

[LifeWitness]

12:44 PM on 10/17/2011

The pawns of the oligarchs (Beck and friends) will fight to the death to protect these massively rich.
I'm going into the ox-cart business.

[becky bradshaw]

12:15 PM on 10/17/2011

Bain and Company is where Mitt Romney made his fortune acquiring medium sized American companies, shutting down the American operation, and outsourcing the jobs to Asia.

The luxury sector has thrived since the Bush Tax cut. The number of mega-yachts doubled in the last 12 years.

Reference:
1. Romney: http://www.bloomberg.com/news/2011-07-20/romney-as-job-creator-clashes-with-bain-record-of-job-cuts.html
2. Yachts: http://www.msnbc.msn.com/id/13345720/ns/business-cnbc_tv/t/worlds-fleet-private-mega-yachts-growing/

[mamala4]

01:44 PM on 10/17/2011

Becky, thank you for these links...Romney should just come out and say that the only people he cares about is the top 1%...he is unprincipled, probably more so than any other republican candidate out there....f and f.

[blndgenie]

04:09 PM on 10/17/2011

as opposed to O 's good buddy I- me lt, king of out sour cing jobs, and ch a ir of the
J*O*b s Pa_n el.

[blndgenie]

04:10 PM on 10/17/2011

G E sitting on the second largest pile of off shore cash on the planet and paying zero
taxes, that's swell, right?

[lambdin1]

11:52 AM on 10/17/2011

The luxury people will have a long time getting my dime. I need to pay for heat this winter! Maybe there should be a Occupy Rodeo! At least you could really rub elbows with the 1% !!! Maybe they will drop a buck or two on the ground?

[OldTulsan]

11:46 AM on 10/17/2011

http://www.box.net/shared/9if6v2hr9h
Leaked Citibank Memo The Plutonomy Symposium Rising Tides Lifting Yachts.pdf - Box

[baxtron]

10:53 AM on 10/17/2011

capitalism is working. for some people.

[nothingchanges]

10:50 AM on 10/17/2011

When government policy is "let them eat cake"

Bakeries thrive?

[realorpretend]

03:22 PM on 10/17/2011

More debt is being taken out to provide more money in food stamps than ever before in this nation's history.

More people are eating for "free" than in any country in the world - do people just forget that?

[blndgenie]

04:27 PM on 10/17/2011

exploded by pelosi/reid/obama by 25%! 48.5 MILLION of them! congrats, progs!

[Rippeer]

09:40 AM on 10/17/2011

Really? That video supports this article? The luxury real estate market is in the tank, not exactly the case study I would have chosen to support the articles claims.

[olitenup]

10:22 AM on 10/17/2011

The personal aircraft market remains in the tank as well.

[free speech isnt free]

12:45 PM on 10/17/2011

But repossessions are up:

More vehicle owners are falling behind as the economy slows. Many slip when they lack the money to repair cars that they're still making payments on.


http://articles.moneycentral.msn.com/SavingandDebt/SaveonaCar/TheRepoManIsGettingBusy.aspx

Surge in home repossessions if interest rates rise, warns top bank chiefLenders must have 'tough love' approach to people who default on their mortgage


Read more: http://www.dailymail.co.uk/news/article-2008930/Surge-home-repossessions-rates-rise-warns-bank-chief.html#ixzz1b3dh8ZRY

Repossessions to rise in 2011, lenders forecast http://www.bbc.co.uk/news/business-11992804