Related News
Chinese middle classes to prop up luxury goods market
By Emily Ford |
18:22 UTC+8 May 8, 2012
|
Online Edition
Online Edition
MILLIONS of consumers entering the middle classes in China will help to hold the pace of growth in global luxury goods at 10 percent annually for the next four years despite a slowing economy, a well-regarded industry report said today.
After an "incredible" 2011 during which the global luxury goods market grew 14 percent, the boom in emerging markets is expected to take the market to a value of 261 billion euros (US$339.9 billion) by 2014, CLSA said in Dipped in Gold, its annual report on the industry.
Jewelry companies enjoyed the strongest sales growth last year, with Hong Kong's Chow Tai Fook seeing a 79 percent rise in sales between April and September, compared with the previous year, driven by consumers on Chinese mainland, the report found.
Despite recent signs of a slowdown in luxury goods companies' first quarter results, the global market will expand by 10 percent this year to 216 billion euros, CLSA found. Across China, demand will rise 24 percent this year, a slowdown from 39 percent last year.
The power of the middle classes in emerging markets means that by 2020 these countries are expected to account for 73 percent of all luxury goods purchases, CLSA said. By 2015 the BRIC nations - Brazil, Russia, India and China - will be home to 1 billion middle class consumers, an increase of 378 million people in five years.
"We can see that luxury-goods market growth has become more correlated to emerging-market growth," author Aaron Fischer wrote in the report. "Consumers in these countries today account for around half of global luxury-goods sales."
More than half of emerging market consumers make purchases overseas, the report said.
China's middle class will account for 45 percent of its population by 2015, up from 27 percent in 2010.
After an "incredible" 2011 during which the global luxury goods market grew 14 percent, the boom in emerging markets is expected to take the market to a value of 261 billion euros (US$339.9 billion) by 2014, CLSA said in Dipped in Gold, its annual report on the industry.
Jewelry companies enjoyed the strongest sales growth last year, with Hong Kong's Chow Tai Fook seeing a 79 percent rise in sales between April and September, compared with the previous year, driven by consumers on Chinese mainland, the report found.
Despite recent signs of a slowdown in luxury goods companies' first quarter results, the global market will expand by 10 percent this year to 216 billion euros, CLSA found. Across China, demand will rise 24 percent this year, a slowdown from 39 percent last year.
The power of the middle classes in emerging markets means that by 2020 these countries are expected to account for 73 percent of all luxury goods purchases, CLSA said. By 2015 the BRIC nations - Brazil, Russia, India and China - will be home to 1 billion middle class consumers, an increase of 378 million people in five years.
"We can see that luxury-goods market growth has become more correlated to emerging-market growth," author Aaron Fischer wrote in the report. "Consumers in these countries today account for around half of global luxury-goods sales."
More than half of emerging market consumers make purchases overseas, the report said.
China's middle class will account for 45 percent of its population by 2015, up from 27 percent in 2010.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
