The luxury goods sector has suffered in the past couple of years from fewer tourists coming to Europe after a wave of militant attacks there, less business in Hong Kong and slowing demand in China.
Singapore has been one of the most open and competitive markets in the world. The economy of Singapore is broadly characterized as the mixed economy.
Even though Singapore firmly promotes its free market policies and practices, the government intervention in the management of macro-economic issues and major resources of production including land, labor and capital is apparent to a certain extent.
Despite the deficiency of natural resources, the country has been able to empower its economy largely on account of its strategic location, at the center of Southeast Asia. This has significantly resulted in its progress as a prominent center of trade, services, communications and tourism.
The luxury goods market in Singapore has displayed a strong growth trajectory over the past few years. Luxury goods have become an integral part of the lifestyles in Singapore as compared to countries such as India, China, Taiwan and others where the purchases of luxury goods are mostly driven by the idea of a public display of wealth and affluence.
Although, the economy of Singapore has been significantly impacted by impact of euro crises, the domestic luxury goods market has however showcased a remarkable resilience with regard to these pressures. Singapore luxury goods market has registered a significant growth in revenues, reporting a healthy CAGR of Singapore luxury goods market covers various types of product categories including designer apparel, premium footwear, luxury watches, high end cosmetics and fragrances and others.
Designer apparels have been the highest contributing category in the market, forming around Premium cosmetics and fragrances stood as the second highest category in terms of revenue contribution.
Designer jewelry has emerged as one of the fastest growing segments in the market for luxury goods in the country, whose revenues have doubled over the span of to Some of the important factors which have fueled growth in the luxury goods market of Singapore include increasing levels of gross domestic production, inclining income levels, growing population of upper middle class people, high urbanization, growing proportion of affluent class in the overall population, shifting social attitudes towards the display of wealth and others.
Moreover, apart from the aforementioned attributes, the advantage of being an international free port is another major factor which has encouraged the sales of luxury products in the country over the years.
This has resulted in a comparatively higher spending by tourists in Singapore relative to its neighbors. Owing to these factors, many premium international brands are looking forward to expand their investments and presence in Singapore. Since the country is developed, financially stable and fully urbanized as compared to other Asian economies, the market for luxury goods in Singapore has already been developed to a greater extent.
Therefore, growth rates of the luxury goods market in Singapore have been relatively lower as compared to the neighboring Asian countries such as India, China, Thailand and others. Singapore luxury goods market is a highly organized market with products majorly being imported from Europe and the US.
Moreover, as these goods are majorly imported from outside nations, the issues faced by the companies on account of global economic disturbances are inevitable.
The report provides detailed overview on the luxury goods market in Singapore and helps the readers to identify the ongoing trends in the industry and anticipated growth in future depending upon changing industry dynamics in coming years.
The report will help industry consultants, luxury goods manufacturers, suppliers and other stakeholders align their market centric strategies according to ongoing and expected trends in the future.These are the top-line findings from Bain & Company, the world’s leading advisor to the global luxury goods industry, in the “Bain Luxury Study Spring Update” released today in Milan in collaboration with Fondazione Altagamma, the Italian luxury goods manufacturers’ industry foundation.
Despite the weakening retail market, international luxury companies continue to increase their presence in Singapore with new store openings.
In , watch retailer Cortina Watch opened one of the largest Rolex boutiques at Marina Square. Growth in the luxury goods industry will continue, unlike in several other industries.” Eugene Ho, Deloitte Southeast Asia’s consumer and industrial products industry leader, added: “With continued good economic growth, the Southeast Asian region is attempting to gain ground on the retail and luxury goods industries.
Luxury products for kids market is associated with higher margin as compared to adult’s luxury products segment.
It has been found that baby’sluxury product accounted for more than % market share of luxury market in LUXURY JEWELLERY GLOBAL OVERVIEW OF INDUSTRY AND CONSUMER TRENDS INTERNATIONAL JEWELLERY LONDON SEPTEMBER Where is the luxury goods market heading?
THE STATE OF THE LUXURY MARKET Global Financial Crisis Singapore Poland South Korea Australia Thailand % Growth 99 92 66 61 56 47 47 39 Singapore luxury goods market covers various types of product categories including designer apparel, premium footwear, luxury watches, high end cosmetics and fragrances and others.
Designer apparels have been the highest contributing category in the market, forming around % of the market .