Global market review of luxury apparel - forecasts to 2014

The luxury apparel segment has grown globally at a pace of almost 15% a year since 2003, far outstripping the growth rate of more mainstream apparel sectors. This apparent contradiction of basic macroeconomics is due to changes in human behaviour, as well as a convergence of trends and tastes of many disparate cultures. As a result, the luxury apparel sector has adapted to this and proactively sets the trends for the rest of the industry.

There are many aspects to this dynamic market, such as the strong polarisations of new buyers in certain product types. Because of this, the report analyses several subdivisions of the market such as footwear and apparel; apparel is further subdivided into clothes, outerwear, formalwear, jeanswear, lingerie, and other types as needed to give the best possible view of the market's historical and extrapolated trends.

This third edition report provides a comprehensive analysis of the luxury apparel sector, including the latest, strengths and challenges of the market, a review of the major players and the global market landscape, and market values 2003-2014 by sector for the key regions.

Chapter coverage:

Executive summary

We provide an overview of the sector, including market definitions, the current state of the market, trends and new markets to watch and what this means for the future.

Chapter one - Main players

We have identified the major global luxury apparel players, based on parameters such as total yearly revenue, brand recognition, and number of global employees. Key company information and data is provided for Bulgari, Burberry, Calvin Klein, Chanel, Christian Dior Couture, Coach, Compagnie Financiere Richemont. Escada, Giorgio Armani, Gucci, Polo Ralph Lauren, Tiffany & Co and Versace.

Chapter two - The overall strength of the luxury apparel market

Luxury apparel, following the trend in globalised tastes, transcends national and cultural boundaries as well as social class. These products are true universal icons, with the largest players such as Versace or Gucci instantly identifiable - and coveted - by actual or aspiring jetsetters from Abu Dhabi to Zurich. This chapter looks at how the sector has evolved and the recipe for success.

Chapter three - Company case studies

In order to highlight the growth of the luxury market online and pinpoint successful strategies in the market segment, this chapter offers two in depth case studies that exemplify the journey that a luxury apparel brand takes from inception to global pre-eminence - LVMH Moët Hennessy Louis Vuitton SA and Polo Ralph Lauren. We also list the top 10 luxury brands by brand equity (US$bn).

Chapter four - How retail fits with brand strategies

Higher operational costs and overheads, such as shipping charges, as well as greater competition, are representing a real challenge for luxury apparel 'brick and mortar' retailers. This chapter looks at the challenges and issues faced by retailers in this sector, how the current state of the economy has affected the market and strategies for the push into online retail.

Chapter five - Challenges of selling luxury apparel

Luxury brands, in particular luxury apparel, encounter unique difficulties when selling. These are attributed to the medium used to attract potential customers, the current socio-economic climate, celebrity competition, and illegal activities, all of which are discussed in this chapter.

Chapter six - Market landscape

Globally, the luxury apparel market, which in this report's market data and analysis consists of men's, women's and children's accessories, clothing, jewellery, watches and leather goods, has been one of significant growth, and this trend is expected to continue well into the future. This chapter looks at luxury apparel market values by sector for the United States, European Union, and the emerging BRIC countries.

Chapter 7 - Conclusion

The report deconstructs this very dynamic industry by means of industry data and profiles of the apparel and footwear industry, as well as deconstructions of the marketing strategies of the five design houses, historical trends and extrapolations on the future of the market. This chapter concludes the reports findings.