Summary
The global luxury fashion market, valued at $117 billion in 2022, is projected to grow to $132 billion by 2025, with a CAGR of 4.26% from 2015 to 2025. Major players, like LVMH and Kering, dominate, and the market sees a trend towards acquisitions and partnerships. Despite COVID-19's impact causing a significant decline in luxury sales, there is a recovery trend, particularly in China and the US, with China's luxury sales soaring by 95%. Italy remains a vital player, home to iconic brands such as Prada, Moncler, and Armani, contributing significantly to the global sector with Italian luxury brands reporting €141 billion in revenue in 2021. The industry is also shifting towards sustainable practices, with customers increasingly demanding ethical production, and the emergence of a second-hand luxury market. Counterfeiting remains a concern, particularly impacting revenue and jobs in Italy. Overall, the industry is rebounding with new consumer behaviors and a focus on digital and sustainability trends.
Evolving Patterns of Luxury Fashion Consumption in Italy
In recent years, the Italian market for luxury fashion has been marked by growth and transformation, shaped by a combination of increased disposable income and a surge in consumer demand for luxury items that confer social status. As the market for luxury fashion continues to expand, it is predominantly driven by the manufacturing excellence and the esteemed 'Made in Italy' label, which have always propelled the Italian luxury clothing market, particularly for women's apparel. In the global context, the luxury market had experienced a Compound Annual Growth Rate of about 3.5%, signaling sturdy and continued interest in luxury goods. The landscape of luxury fashion consumption is witnessing shifts in several dimensions. A large majority of Italian taxpayers—with incomes averaging between €30,000 and €45,000—are inclined to invest in luxury fashion. This inclination is notably seen in the wealthiest municipalities. Moreover, new generational cohorts, specifically Millennials and Generation Z, are projected to constitute over 40% of the luxury market by 2025, fundamentally altering buyer demographics. Luxury consumer behavior in Italy is heavily influenced by ethical and sustainable production practices. A staggering 92% of Italians report that their purchasing decisions in the fashion realm are affected by the ethical standing of the brand.
The demand for sustainable materials and the avoidance of harmful chemicals and animal exploitation are paramount among these considerations, with nearly half of the Italian Millennials prioritizing ethically produced clothing over trendier, unethical alternatives. Tourism, particularly high-end tourism, has traditionally been a significant driver of luxury clothing sales in Italy, contributing billions of euros annually. However, the Covid-19 pandemic has put a damper on these numbers, with tourism experiencing a dramatic decrease. Despite this setback, the industry is slowly recovering, and tourists—especially from luxury destinations—continue to play a role in luxury apparel consumption. On the production side, Italy's textile-clothing sector remains robust with around 45,000 companies and 400,000 individuals employed. The central part of the country, particularly Tuscany, stands out as a hotbed for fashion employment. The industry is also adapting to the global movement towards sustainability, digitization, and new consumption practices, which are poised to transform the sector considerably. Despite the positive trends, challenges persist in the form of counterfeiting, which heavily impacts revenue and employment within the luxury fashion sector. The global market for counterfeit luxury items represents approximately 3.3% of trade, with apparel being a major target. In response to consumer.
Prominent Icons of Italian Luxury Fashion
The domain of luxury fashion is a vivid tapestry woven with creativity, craftsmanship, and unparalleled quality. Italy stands illustriously as a beacon of style, where several iconic fashion houses have not just shaped the contours of high fashion but maintained a steadfast presence in the global luxury market. This chapter delves into the fabric of these principal players, each a narrative of heritage and modernity, commanding the runway with their unique flair.
- Fendi - The Artisanal Legacy of Leather & Fur Established as a mere workshop in 1918, Fendi burgeoned into a symbol of exquisite Italian craftsmanship. Originally specializing in fur and leather goods, it eventually expanded its sartorial prowess with a clothing line introduced in 1977. Globally celebrated, particularly for its bags, Fendi is an excellent exemplification of what it means to blend traditional artisanship with contemporary finesse.
- Prada - The Epitome of Luxury Precision Once a humble store in Milan's Galleria Vittorio Emanuele II, opened in 1913 by the Prada brothers, it has grown into a monumental name in fashion synonymous with luxury. Often associated with its high-end handbags, shoes, and accessories, Prada's venture into the world of clothing has been just as compelling, reinforcing its stature as a fashion powerhouse.
- Bottega Veneta - Mastery of Leather Sophistication A luxury name celebrated for its leather goods, Bottega Veneta resonates with discretion and enduring quality. This Italian house, with a deep connection to traditional craftsmanship, has become a standard-bearer for luxurious subtlety in the world of fashion.
- Valentino - A Couturier's Dream Founded by the talented Valentino Garavani in 1960, Valentino stands as a fort of haute couture ingenuity. With a product range that elegantly leaps from carefully crafted haute couture garments to a sophisticated array of leather accessories, Valentino is where opulence meets glamor.
- Gucci - The Quintessential Mark of Italian Luxury From the streets of Florence in 1921 to the global stage, Gucci has been an emblematic force in fashion. Underneath the shimmering surface of its extensive line of products, from ready-to-wear to fragrances, lies a century-old story of passion, luxury, and Italian excellence.
to understand this market
Detailed content
Inforamtion
- Number of pages : 30 pages
- Format : Digital and PDF versions
- Last update : 13/07/2023
Summary and extracts
1 Market Overview
1.1 Definition and presentation
The term luxury dazzle refers to those garments that are more elegant, refined and well-groomed than those defined as casual, which are used in everyday life. Usually luxury clothing is used for going to the office and for special occasions such as dinners, concerts or ceremonies. Other ways to define luxury clothing are "elegant casual" or "country club". This category includes all items of clothing: coats, jackets, shirts, pants, shoes, belts and handbags. This study will cover women's luxury clothing, excluding accessories.
Regarding the global luxury market, this had reached $67.85 billion in 2018, and it is estimated that between the year 2015 and 2025 the market will grow with a CAGR of 3.5 %. This growth is mainly dictated by the fact that luxury goods increasingly contribute to greater social acceptance and also by the increase in consumers' disposable income.
In Italy, the luxury clothing market, especially women's clothing, has always been characterized by strong growth mainly due to the manufacturing and craftsmanship skills of Italian companies and thanks to the Made in Italy concept. In 2019, Italian companies on the Top 100 list, a list that includes the largest companies in terms of revenue in the industry, made 12.4 % of total global revenue.
The trend in the market is to focus on acquisitions both to grow but more importantly to differentiate the offerings and increasingly enter new market segments. For several years now, a widely used practice within the industry has been to create partnerships between luxury companies so that they can offer their customers something that is always new and original.
There are numerous companies operating in this market such as Gucci, considered the Italian fashion house by excellence, Prada, Armani, Versace, Ferragamo, etc.
List of charts
- World market value of luxury fashion
- Turnover of major luxury companies
- Comparison of sales in luxury apparel between 2019 and 2022 by market
- Percentage of Italian luxury fashion companies VS percentage of revenue
- Percentage of companies by sector
All our studies are available online in PDF format
Take a look at an example of our research on another market!
Latest news
Companies quoted in this study
This study contains a complete overview of the companies in the market, with the latest figures and news for each company. :
Choosing this study means :
Access to more than 35 hours of work
Our studies are the result of over 35 hours of research and analysis. Using our studies allows you to devote more time and added value to your projects.
Benefit from 6 years' experience and over 1,500 industry reports already produced
Our expertise enables us to produce comprehensive studies in all sectors, including niche and emerging markets.
Our know-how and methodology enable us to produce reports that offer unique value for money.
Access to several thousand articles and paid-for data
Businesscoot has access to all the paid economic press as well as exclusive databases to carry out its market research (over 30,000 articles and private sources).
To enhance our research, our analysts also use web indicators (semrush, trends, etc.) to identify market trends and company strategies. (Consult our paying sources)
Guaranteed support after your purchase
A team dedicated to after-sales service, to guarantee you a high level of satisfaction. +44 238 097 0676
A digital format designed for our users
Not only do you have access to a PDF, but also to a digital version designed for our customers. This version gives you access to sources, data in Excel format and graphics. The content of the study can therefore be easily retrieved and adapted for your specific needs.
Our offers :
the luxury women's clothing market | Italy
- What are the figures on the size and growth of the market?
- What is driving the growth of the market and its evolution?
- What is the positioning of companies in the value chain?
- Data from several dozen databases
5 reports pack (-15%) IT Italy
- 5 reports at €75.6 excluding VAT per study to choose from our Italian catalogue for 12 months
- Save 15% on additional studies purchased
- Choose to be refunded any unused credit at the end of the 12-month period (duration of the pack)
See the terms and conditions of the pack and the refund of unused credit.