Millennials, Gen Z to Account for 45% of Luxury Market
- Millennials and Gen Z will account for 45% of the global personal luxury goods market by 2025, according to a study by PMX Agency that was emailed to Retail Dive. Gen X is currently the largest consumer of luxury goods with 12.8% of women buying these products and 9.9% of Gen X men.
- Ralph Lauren topped all other luxury brands in terms of online market share with 19.5%, followed by Michael Kors at 17.2%. The top eight luxury brands, according to the study, account for 78% of all online luxury traffic.
- The study also found that luxury site visitors come mainly from search traffic, which drives just over half (50.2%) of referred traffic, followed by shopping sites (22.4%), social media (7.4%) and email (2.9%). Within the search traffic segment, 95% of customers come from Google.
In terms of web traffic, the most popular luxury brands have stayed roughly the same as last year — a trend that is also found in the product keywords that drive visits. Handbags and shoes are still the most popular keywords driving consumers to luxury brand websites, followed by accessories and apparel.
While Gen X currently tops the list of luxury consumers, millennials are close behind. The report found that 13.7% of women and 8.7% of men in that group buy luxury goods, just barely below the numbers for Gen X — and in fact more millennial women buy luxury goods than Gen X women.
See the original article here in Retail Dive