From Fortune:



The article is about how luxury goods, which saw a boom during the pandemic as affluent consumers indulged in high-end items, are now facing a potential slowdown. Factors contributing to this slowdown include economic uncertainty in places such as China, which has impacted sales of major luxury brands like LVMH, Kering, and Burberry. While some niche segments like luxury cruises continue to thrive, the overall luxury market is facing challenges. A shift in consumer spending towards luxury experiences, such as travel and hospitality, is expected to continue into the next year. Despite these challenges, the luxury market remains strong and resilient, with continued growth of the upper middle class globally serving as a tailwind for luxury companies. Overall, 2024 is expected to be a challenging year, but the luxury industry is more resilient compared to other consumer sectors.



Original: LVMH and Gucci-owner Kering felt the pinch in 2023—but new type of luxury is gaining a share of consumers’ wallets