Luxury retailers set to face six per cent sales drop worldwide
SALES of luxury items are set to fall by six per cent across the globe, according to an exclusive report by Verdict Research.
Global luxury expenditure is expected to fall to €211bn (£180bn) in 2009. In particular Japan is expected to suffer a 14.6 per cent drop and the US a 12.1 per cent drop.
Currency exchange pressures have weighed on the luxury sector. But Verdict says the exodus to the Middle East, Russia and emerging Asia has come to an end, meaning the focus is back on traditional core markets.
Verdict warned price cuts “would damage the very essence…of any business aimed at the luxury end.”