While the sales of most luxury brands declined in the second quarter of 2023 saw many luxury brands, Hermes, however, was an exception that saw its sales record a 21 percent jump during the same According to “The Wall Street Journal” brands such as Gucci and Balenciaga, saw North American sales plummet a whopping 23 percent.
In 2022, Americans contributed to 33 percent of global luxury sales, up from 22 percent in 2019, according to Bain & Company data. The U.S. luxury market in particular almost doubled in three years, adding up to $128 billion in 2022.
Now, the consumers may not have as many dollars in the bank, or they may be holding out due to the vicissitudes of the economy. Brands have been experiencing lessening demand for entry-level luxury products such as sneakers.
Four in 10 of the world’s millionaires live in the United States, according to Credit Suisse data. Many of those ultra-rich are still buying luxury goods: Hermès, for example, saw sales in the Americas rise 21 percent in the second quarter of the year. And Brunello Cucinelli is also growing in the U.S.
Shoppers across the wealth spectrum according to credit-card spending data continue to spend about one-tenth more on luxury goods than they did in 2019. This indicates that the US luxury market is not on a free fall but some brands have experienced a rocky start to the year.
Sales of some big luxury brands declines in Q2 of 2023 in the US
