德勤-2019全球奢侈品力量报告（英文）-2019.4-46页_5mb

Summary of Global Powers of Luxury Goods 2019

Core Content

The Global Powers of Luxury Goods 2019 report provides an overview of the world's top 100 luxury goods companies based on their consolidated sales for FY2017 (financial years ending by 30 June 2018). It highlights key trends in the luxury market, including the rise of new consumer segments, the increasing importance of sustainability, and the role of digital transformation in marketing and customer engagement. The report also discusses the global economic outlook and how it affects the luxury industry.

Main Highlights

• Aggregate Sales: The top 100 luxury goods companies generated US$247 billion in sales in FY2017, a 10.8% increase compared to the previous year.
• Company Size: The average size of a Top 100 company was US$2.47 billion, with a minimum revenue threshold of US$218 million to qualify.
• Growth Trends: 76% of the Top 100 companies reported growth in luxury sales, with nearly half achieving double-digit year-on-year growth.
• Economic Concentration: The Top 100 accounted for 48.2% of the global luxury market, indicating a high concentration of market share.
• Composite Net Profit Margin: The average net profit margin was 9.8%.
• Return on Assets: The average return on assets was 7.6%.
• Compound Annual Growth Rate (2015–2017): The luxury market grew at 5.3% annually.

Key Consumer Trends

• HENRYs (High-Earners-Not-Rich-Yet): A new consumer class with significant discretionary income and a strong preference for digital shopping. These consumers are expected to become major players in the luxury market in the future.
• Millennial and Gen Z Preferences: These generations are more environmentally and socially conscious, and luxury brands are adapting by promoting sustainability, ethical practices, and transparency.
• Digital Engagement: Brands are increasingly using social media to connect with younger consumers, offering personalized experiences and leveraging influencers to drive brand awareness.

Sustainability in the Luxury Industry

• Changing Consumer Expectations: Sustainability is becoming a critical factor for younger consumers. Brands are expected to demonstrate ethical and environmental responsibility.
• Examples of Sustainability Efforts:
  • Burberry ended the practice of destroying unsold luxury products and started recycling and donating them.
  • Kering increased the use of renewable materials and established the Kering Foundation to promote social and environmental causes.
  • Prada was a pioneer in sustainability initiatives and has supported various environmental and ethical guidelines.
  • Rolex introduced the Roxel Award for Enterprise to promote socially conscious innovation.
  • Tiffany adopted responsible sourcing practices for diamonds and metals, and launched a foundation for reef conservation and mining awareness.

Social Media as a Marketing Tool

• Influencer Partnerships: Luxury brands are collaborating with influencers and bloggers to reach younger demographics. Examples include Mr. Bags in China and Chiara Ferragni in fashion.
• Digital Campaigns: Brands like Chanel and Louis Vuitton are using social media for targeted marketing, behind-the-scenes content, and customer engagement.
• Personalization Strategies: Companies are using AI and data analytics to offer personalized shopping experiences. Examples include:
  • Louis Vuitton launched a chatbot on Facebook and a personalization program called "Now Yours."
  • Gucci introduced a "Do It Yourself" service for personalizing products.
  • Kering created a data science team to improve customer insights and deliver personalized services.
  • Estée Lauder is implementing a new POS system to provide a unified view of customer data across 24 EMEA countries.

Omni-Personal Luxury

• Shift from Omni-Channel to Omni-Personal: Brands are moving from a focus on multi-channel availability to a more personalized approach that meets individual customer needs.
• Data-Driven Personalization: Brands use customer data for segmentation, behavior analysis, and predictive modeling to enhance the customer experience.
• Privacy Concerns: With the implementation of laws like the EU's GDPR and the California Consumer Privacy Act, brands must balance personalization with privacy protection. This includes training staff on data laws and appointing Data Protection Officers.

Global Economic Outlook

• Market Challenges: Despite a slowdown in major economies like China, the Eurozone, and the US, the luxury market remains positive.
• Protectionist Policies: The US has implemented trade tariffs on steel, aluminum, and Chinese imports, which may impact global supply chains and consumer spending.
• Digital Revolution: E-commerce and omnichannel strategies are reshaping the luxury market. Brands are adapting to offer seamless online and in-store experiences.
• Growing Middle Class: By 2020, over 50% of consumers are expected to be part of the global middle class, which will drive further growth in the luxury market.

Conclusion

The report underscores the evolving nature of the luxury market, driven by new consumer segments, a heightened focus on sustainability, and the strategic use of digital tools. Luxury brands must adapt to these changes to remain relevant and competitive in a rapidly transforming global landscape.