The global luxury market has stalled – driven by the super-rich, aspirational buyers have held back

Aspirational buyers slowed the market

During the pandemic, the luxury market contracted by around 20%, then rebounded with annual growth of 10%, and is up 39% compared to 2013. Last year’s slowdown was mainly due to a drop in spending by so-called aspirational buyers – those who spend less than €2,000 per year on luxury goods – as well as a slowdown in Chinese consumption due to unfavorable economic conditions.

This customer segment spent €623 billion in 2024, a slight decrease compared to 2023. Their share of the total customer base has been steadily declining since 2013, falling from 74% to 61%. More than one-third (35%) reduced or completely stopped their luxury spending, directing their money instead to investments, savings, health preservation, or second-hand goods. One in two cited financial vulnerability.

High-end consumers gaining strength

The strongest growth was seen among brands targeting the very top of the market – customers who spend at least €50,000 a year on luxury. This top 0.6% accounted for 23% of the luxury industry’s turnover in 2024, with €236 billion in spending, 10% more than a year earlier and 168% higher than in 2013.

Annual spending by ultra-high-net-worth individuals – including cars, healthcare, and wellness services – can reach or exceed €500,000. Nearly half live in North America, followed by Europe, but the segment is expanding rapidly in China, India, and Southeast Asia. Their wealth is growing at 8% annually, and their numbers are rising by 9% a y