UK luxury sector could double in size to £12.2 billion by 2017
The recently released 2013 UK Luxury Benchmark Report by Ledbury Research and Walpole, reveals that the UK luxury goods market stood at £6.6 billion by the end of 2012, however, respondents indicate that the market has the potential to double in size to £12.2 billion by 2017, despite growing global uncertainty. Tourism remains a key factor in the success of the UK luxury market, with 90% of brands surveyed sold to travelers in 2012 – mostly Americans.
Some of the key findings of the new report indicate that: London is not the only luxury hub in the UK, 81% of British luxury brands have a presence outside the capital; half of all luxury consumers in the UK are male, and they do return to their favorite brands.
Most British luxury brands are focusing their expansion abroad, on China in the short run, and on Brazil and India in the longer run. Despite the low impact of social media on sales, digital marketing and e-commerce remain top priorities for British luxury companies.
The study was conducted with 78 senior professionals, 45% of whom are in C-suite roles across the luxury industry. They represent companies with a range of sectors and sales (26% have revenues over £100m). Interviews with senior Luxury Executives were also carried out for further qualitative insight.