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20 Predictions for the Luxury Goods Industry in 2014
Opinion | 17 Jan 2014
                                                
2014 will be another pivotal and potentially defining year for the luxury goods industry.The brand battlegrounds have never looked more competitive, yet there is opportunityaplenty. Resurgent luxury goods demand in the US, big M&A deals in jewellery and heftynew investment in super-premium beauty care – these are some of our predictions forthe year ahead.
                                                
The predictions

1. The largest growth market in absolute terms will be the US.
Fuelled by the fastest economic growth in two years, resurgent middle-class confidenceand a booming internet channel, we predict spending on luxury goods to increase byaround US$5 billion.
                                                
2. The fastest growth market (in percentage terms and based on markets with anannual retail value of more than US$1 billion) will be India.
Driven by a new, cash-flushed generation of fashion-conscious men in first-tier cities, wepredict spending to increase by more than 20% at fixed US dollar values.