A new study from Bain & Co. concludes that, while luxury spending‘s growth is expected to slow in 2023 following two gangbuster recovery years, the sector has become “more resilient to recession.”
Among the reasons, the share of top customers has been expanding, accounting for 40 percent of market value in 2022 versus 35 percent in 2021. The report states, “These consumers are hungry for unique products and experiences, putting brands’ VIC (very important client) strategies into overdrive.”
Luxury already tends to outperform other retail channels during downturns because of its base of high-income consumers.
