Among the trends: more local consumption, digital pre-eminence, generational change of consumers, growth of the Chinese market.
“2021 will be the beginning of the recovery, although the gradual return to pre-crisis levels is expected from 2022,” said Matteo Lunelli, President of Altagamma. “The Altagamma Consensus estimates a double-digit growth in all sectors of 14% on average for 2021, with the consolidation of digital retail (+ 22%) and the Chinese market (+ 18%), the true champion emerging from the crisis. The responsiveness of businesses to the major changes taking place will be crucial.
This requires greater investments and a context that encourages them with public investments in research, training, digitalization, green transition. The top of the range can be the engine of our recovery if placed at the center of development strategies and recognized as a distinctive element of Italian Soft Power or the identity core of our image in the world “.
For 2021, according to estimates by Altagamma Bain Worldwide Market Monitor 2020 and Altagamma Consensus 2021, personal luxury is expected to recover by about 14% on average. Jewelry and watches (+ 12%) are most affected by the lack of travel retail as well as the difficulty in recreating – online – those in-store experiences that the product often needs. Improved performances for jewels with highly appealing brands and a strong presence in Asia.
Claudia D’Arpizio, Senior Partner of Bain & Company, author of the study together with Federica Levato, Partner of Bain & Company commented on the data as follows: “Although the sector has suffered from the lack of intercontinental travel and continuous lockdowns, we believe it has the resilience needed to overcome the crisis and emerge more determined and dynamic than ever. In the next decade this sector will change radically. We will no longer talk about the luxury industry, but about the market of cultural and creative excellence. In this new context, the winning brands will be those that start from their own excellence, while reinventing the future thanks to a rebellious mentality “.