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The luxury market is evolving and expectations of luxury consumers are changing fast. 2018 growth will rocket sky high as affluence and connectivity change every aspect of what we knew LUXURY WAS. “With the increasing number of digital developments and comprehensive changes in the way consumers browse, shop and pay, it is going to be essential for luxury brands even more than ever to adapt in order to meet buyers’ expectation. It is also crucial that nothing is lost in the quality of the online luxury shopping experience,” says Mariett Ramm.


Internationalisation. Despite fluctuating H economies over the coming year, U.S., Japan, South Korea, France and the UK will be expected to be the biggest growth markets for the luxury sector. China will continue to experience a slow-down, and luxury brands, as they begin to establish direct connections with customers in China, are taking control over a market that was once dominated by a surging counterfeit and grey market. its heart, luxury has ALWAYS been about STATUS.


The focus of status shift is more about being ethical, creative, connected, tasteful, eco creating new opportunities for luxury brands to deliver on new aspects of luxury landscape. Considering economic and political circumstances, individualised and complex strategy on a long-term basis will support those who want to stay ahead of the curve.

According to Luxury Daily, Genting’s Dream Cruises is building a luxury travel retail concept aboard its new World Dream ship that focuses on experience and entertainment. The cruise line’s latest ship features luxury shopping, including the first Tiffany & Co. store on the water in Asia and Dior’s first watches and jewellery boutique at sea worldwide. For World Dream, Tiffany & Co. has also created an exclusive high tea set. The jeweller’s first tea experience at sea includes a menu of British fare and Tiffany-branded treats.


Appealing to Self-Actualised Millennials


Morality, creativity, spontaneity, problem solving, lack of prejudice and acceptance of facts formulate the top of the hierarchy of self-actualisation. This complex fulfilment is perceived as the pinnacle of human experience. There is one demographic which embraced and reflects this authenticity more than others. This is the Millennial Generation.  

Without a doubt, this demographic has been focused on, studied, and measured more than any other.  Millennials, aged between 25-34 years with an average household income of between £100k and £250k, form over 25% of the global population and workforce. An average millennial spends approximately 20 hours on his smartphone per week. On average, 30% of Millennials makes at least one online purchase per week, and over 80% of them use YouTube.  



Ms Nathalie Remy, partner of McKinsey & Company stated while speaking at The New York Times’ International Luxury Conference on the 14th November, that the millennial market is worth $17 trillion in private wealth, a figure that will multiply by 1.4 by 2020. Also, millennials have massive spending power, with the global value coming in at $2.45 trillion, which will triple by 2025.

Millennials usually subscribe firmly to the ‘work hard play hard’ ethos and as such they place extensive value on experiences and lifestyle enhancing products. Millennials are also mobile, social and want to stay connected. They expect brands to deliver consistently high-quality experience on any device, from browsing right through to checkout with lots of visual and emotional engagement.


Whilst Millennials spend somewhat less on luxury products than the super-affluent demographic, this market is around seven times larger making it considerably more valuable. Currently, millennials are responsible for 20 percent of the luxury goods market.

By 2025, millennial consumers spend will triple and the demographic will control 40 percent of the luxury goods market. Their hunger for innovative products, services and experiences combined with supercharged self-actualization leads to true luxury indulgence needs.

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