Luxury Goods in Germany

Luxury Goods in Germany

EXECUTIVE SUMMARY

COVID-19 impact on luxury goods

COVID-19 country impact

Company response

Retailing shift

What next for luxury goods?

MARKET INDICATORS

Table 1 Number of High Net Worth Individuals (HNWI): 2015-2020

MARKET DATA

Table 2 Sales of Luxury Goods by Category: Value 2015-2020
Table 3 Sales of Luxury Goods by Category: % Value Growth 2015-2020
Table 4 Inbound Receipts for Luxury Goods by Country of Origin: Value 2015-2020
Table 5 NBO Company Shares of Luxury Goods: % Value 2015-2019
Table 6 LBN Brand Shares of Luxury Goods: % Value 2016-2019
Table 7 Distribution of Luxury Goods by Format and Category: % Value 2020
Table 8 Forecast Sales of Luxury Goods by Category: Value 2020-2025
Table 9 Forecast Sales of Luxury Goods by Category: % Value Growth 2020-2025

DISCLAIMER

GLOBAL MACROECONOMIC ENVIRONMENT

GLOBAL INDUSTRY ENVIRONMENT

SOURCES

Summary 1 Research Sources

Experiential Luxury in Germany

KEY DATA FINDINGS

2020 IMPACT

A lack of international travellers leads to a severe decline in growth for 2020

Lack of business conferences and events stifles growth for luxury hotels

Opportunities for niche businesses grow as consumers visit domestic locations

RECOVERY AND OPPORTUNITIES

Increased demand across the early forecast period boosts growth for experiential luxury

Operators will focus on health and safety to entice consumers back for visits

Strong finances put players in a solid position to recover over the forecast period

CATEGORY DATA

Table 10 Sales of Experiential Luxury by Category: Value 2015-2020
Table 11 Sales of Experiential Luxury by Category: % Value Growth 2015-2020
Table 12 NBO Company Shares of Experiential Luxury: % Value 2015-2019
Table 13 LBN Brand Shares of Experiential Luxury: % Value 2016-2019
Table 14 Forecast Sales of Experiential Luxury by Category: Value 2020-2025
Table 15 Forecast Sales of Experiential Luxury by Category: % Value Growth 2020-2025

Luxury Foodservice in Germany

KEY DATA FINDINGS

2020 IMPACT

Lockdown and store closures lead to a decline in sales for 2020

A lack of international travellers impacts sales of luxury foodservice

Giorgio Armani dominates luxury foodservice

RECOVERY AND OPPORTUNITIES

Luxury consumers and international travellers drive growth over the forecast period

An increased focus on experiences drives growth for the coming years

German luxury foodservice is small, set to remain the case over the early forecast period

CATEGORY DATA

Table 16 Sales in Luxury Foodservice: Value 2015-2020
Table 17 Sales in Luxury Foodservice: % Value Growth 2015-2020
Table 18 NBO Company Shares in Luxury Foodservice: % Value 2015-2019
Table 19 LBN Brand Shares in Luxury Foodservice: % Value 2016-2019
Table 20 Forecast Sales in Luxury Foodservice: Value 2020-2025
Table 21 Forecast Sales in Luxury Foodservice: % Value Growth 2020-2025

Luxury Hotels in Germany

KEY DATA FINDINGS

2020 IMPACT

Hotels are unable to run full operations, with buffets and spa services cancelled

Cancelled events leads to a decline in bookings for luxury hotels

Domestic tourism focuses on luxury hotels in remote areas

RECOVERY AND OPPORTUNITIES

International travellers and strict safety protocols boost the recovery

Wellness retreats drive growth, as mental wellness becomes a growing trend

The strong finances and reputations of many luxury hotels will benefit recovery

CATEGORY DATA

Table 22 Sales in Luxury Hotels: Value 2015-2020
Table 23 Sales in Luxury Hotels: % Value Growth 2015-2020
Table 24 Sales in Luxury Hotels by Country of Origin: % Value 2015-2020
Table 25 NBO Company Shares in Luxury Hotels: % Value 2015-2019
Table 26 LBN Brand Shares in Luxury Hotels: % Value 2016-2019
Table 27 Forecast Sales in Luxury Hotels: Value 2020-2025
Table 28 Forecast Sales in Luxury Hotels: % Value Growth 2020-2025

Fine Wines/Champagne and Spirits in Germany

KEY DATA FINDINGS

2020 IMPACT

Cancelled occasions and events lead to a decline in sales for 2020

Limited nightlife leads to increased consumption within the household

Specialist retailers close, as hypermarkets run promotions and offers to boost sales

RECOVERY AND OPPORTUNITIES

Recovery aligns to consumers feeling confident to visit off-trade establishments

Following a spike in growth during 2020, e-commerce is set to continue its rise

Luxury cognac and brandy record the weakest performance across the forecast period

CATEGORY DATA

Table 29 Sales of Fine Wines/Champagne and Spirits by Category: Value 2015-2020
Table 30 Sales of Fine Wines/Champagne and Spirits by Category: % Value Growth 2015-2020
Table 31 NBO Company Shares of Fine Wines/Champagne and Spirits: % Value 2015-2019
Table 32 LBN Brand Shares of Fine Wines/Champagne and Spirits: % Value 2016-2019
Table 33 Distribution of Fine Wines/Champagne and Spirits by Format: % Value 2015-2020
Table 34 Forecast Sales of Fine Wines/Champagne and Spirits by Category: Value 2020-2025
Table 35 Forecast Sales of Fine Wines/Champagne and Spirits by Category: % Value Growth 2020-2025

Premium and Luxury Cars in Germany

KEY DATA FINDINGS

2020 IMPACT

Financial insecurities lead to a decline in sales, as consumers postpone purchases

The popularity of e-cars drives sales in the luxury landscape

German players lead the landscape; however, changes are made due to COVID-19

RECOVERY AND OPPORTUNITIES

Recovery is expected from 2021, driven by a shift towards high-value cars

Recovery is aided by the government's financial support of e-mobility

A focus on premium brands and the promotion of e-cars drives sales

CATEGORY DATA

Table 36 Sales of Premium and Luxury Cars: Value 2015-2020
Table 37 Sales of Premium and Luxury Cars: % Value Growth 2015-2020
Table 38 NBO Company Shares of Premium and Luxury Cars: % Value 2015-2019
Table 39 LBN Brand Shares of Premium and Luxury Cars: % Value 2016-2019
Table 40 Forecast Sales of Premium and Luxury Cars: Value 2020-2025
Table 41 Forecast Sales of Premium and Luxury Cars: % Value Growth 2020-2025

Personal Luxury in Germany

KEY DATA FINDINGS

2020 IMPACT

Financial insecurity and the rise of unemployment leads to a decline in growth

Trading down leads to declining sales for luxury brands

Luxury travel is hit the worst, as super premium skincare is more resilient

RECOVERY AND OPPORTUNITIES

Recovery aligns to consumers feeling confident to shop in public once more

E-commerce records heightened growth, having been boosted by the outbreak of COVID-19

International players increase their focus on online platforms above physical retailers

CATEGORY DATA

Table 42 Sales of Personal Luxury by Category: Value 2015-2020
Table 43 Sales of Personal Luxury by Category: % Value Growth 2015-2020
Table 44 NBO Company Shares of Personal Luxury: % Value 2015-2019
Table 45 LBN Brand Shares of Personal Luxury: % Value 2016-2019
Table 46 Distribution of Personal Luxury by Format: % Value 2015-2020
Table 47 Forecast Sales of Personal Luxury by Category: Value 2020-2025
Table 48 Forecast Sales of Personal Luxury by Category: % Value Growth 2020-2025

Designer Apparel and Footwear (Ready-To-Wear) in Germany

KEY DATA FINDINGS

2020 IMPACT

The lack of international tourists leads to declining sales in 2020

Store closures and consumers ongoing cautious behaviour in public, results in declining foot traffic

E-commerce grows as consumers feel comfortable buying apparel and footwear online

RECOVERY AND OPPORTUNITIES

Recovery aligns to domestic consumers confidence to return to physical stores

Mergers and acquisitions are expected, as smaller players struggle to recover

Both retailers and brands focus on improving their e-commerce offerings

CATEGORY DATA

Table 49 Sales of Designer Apparel and Footwear (Ready-to-Wear) by Category: Value 2015-2020
Table 50 Sales of Designer Apparel and Footwear (Ready-to-Wear) by Category: % Value Growth 2015-2020
Table 51 NBO Company Shares of Designer Apparel and Footwear (Ready-to-Wear): % Value 2015-2019
Table 52 LBN Brand Shares of Designer Apparel and Footwear (Ready-to-Wear): % Value 2016-2019
Table 53 Distribution of Designer Apparel and Footwear (Ready-to-Wear) by Format: % Value 2015-2020
Table 54 Forecast Sales of Designer Apparel and Footwear (Ready-to-Wear) by Category: Value 2020-2025
Table 55 Forecast Sales of Designer Apparel and Footwear (Ready-to-Wear) by Category: % Value Growth 2020-2025

Luxury Eyewear in Germany

FINDINGS

2020 IMPACT

Consumers halt purchases or trade down due to the outbreak of COVID-19

Luxottica Germany records a decline in share due to the COVID-19 pandemic

A strong social media and e-commerce presence aids Gucci during the pandemic

RECOVERY AND OPPORTUNITIES

Negative value growth for 2021, as mid-level consumers remain wary of big-ticket purchases

Players focus on volume sales during times of economic uncertainty

The growing trend of mindful luxury impacts the landscape over the coming years

CATEGORY DATA

Table 56 Sales of Luxury Eyewear by Category: Value 2015-2020
Table 57 Sales of Luxury Eyewear by Category: % Value Growth 2015-2020
Table 58 NBO Company Shares of Luxury Eyewear: % Value 2015-2019
Table 59 LBN Brand Shares of Luxury Eyewear: % Value 2016-2019
Table 60 Distribution of Luxury Eyewear by Format: % Value 2015-2020
Table 61 Forecast Sales of Luxury Eyewear by Category: Value 2020-2025
Table 62 Forecast Sales of Luxury Eyewear by Category: % Value Growth 2020-2025

Luxury Jewellery in Germany

KEY DATA FINDINGS

2020 IMPACT

A lack of social events partners with store closures, resulting in declining sales for 2020

Luxury fine jewellery benefits from an older, wealthier consumer base

Major players focus on e-commerce as instore sales decline

RECOVERY AND OPPORTUNITIES

Demand increases as social occasions and events take place once more

Smaller players leave the landscape, while top international brands have stronger recoveries

E-commerce is set to rise, as players focus on generating online sales

CATEGORY DATA

Table 63 Sales of Luxury Jewellery by Category: Value 2015-2020
Table 64 Sales of Luxury Jewellery by Category: % Value Growth 2015-2020
Table 65 NBO Company Shares of Luxury Jewellery: % Value 2015-2019
Table 66 LBN Brand Shares of Luxury Jewellery: % Value 2016-2019
Table 67 Distribution of Luxury Jewellery by Format: % Value 2015-2020
Table 68 Forecast Sales of Luxury Jewellery by Category: Value 2020-2025
Table 69 Forecast Sales of Luxury Jewellery by Category: % Value Growth 2020-2025

Luxury Leather Goods in Germany

KEY DATA FINDINGS

2020 IMPACT

Increasing price-sensitivity and a lack of social events leads to a decline in growth

Store closures and consumers cautious behaviour in public leads to an increase in sales for e-commerce

Luxury travel goods record the steepest decline as business and leisure trips are cancelled

RECOVERY AND OPPORTUNITIES

Recovery will start from 2021, with sales matching pre-COVID-19 levels from 2023

The return of travel boosts growth across the forecast period

E-commerce has strong potential for growth across the forecast period

CATEGORY DATA

Table 70 Sales of Luxury Leather Goods: Value 2015-2020
Table 71 Sales of Luxury Leather Goods: % Value Growth 2015-2020
Table 72 NBO Company Shares of Luxury Leather Goods: % Value 2015-2019
Table 73 LBN Brand Shares of Luxury Leather Goods: % Value 2016-2019
Table 74 Distribution of Luxury Leather Goods by Format: % Value 2015-2020
Table 75 Forecast Sales of Luxury Leather Goods: Value 2020-2025
Table 76 Forecast Sales of Luxury Leather Goods: % Value Growth 2020-2025

Luxury Portable Consumer Electronics in Germany

KEY DATA FINDINGS

2020 IMPACT

Luxury portable consumer electronics decline as consumers focus on essential items

Tag Heuer launches new products, despite the outbreak of COVID-19

The landscape struggles against competition from non-luxury counterparts

RECOVERY AND OPPORTUNITIES

Luxury wearables recover, as luxury mobile phones record an ongoing decline

E-commerce continues to grow, as consumers appreciate the ease of the channel

Luxury mobile phones will continue to lose value share in Germany, recording a decline across the forecast period

CATEGORY DATA

Table 77 Sales of Luxury Portable Consumer Electronics by Category: Value 2015-2020
Table 78 Sales of Luxury Portable Consumer Electronics by Category: % Value Growth 2015-2020
Table 79 NBO Company Shares of Luxury Portable Consumer Electronics: % Value 2015-2019
Table 80 LBN Brand Shares of Luxury Portable Consumer Electronics: % Value 2016-2019
Table 81 Distribution of Luxury Portable Consumer Electronics by Format: % Value 2015-2020
Table 82 Forecast Sales of Luxury Portable Consumer Electronics by Category: Value 2020-2025
Table 83 Forecast Sales of Luxury Portable Consumer Electronics by Category: % Value Growth 2020-2025

Luxury Timepieces in Germany

KEY DATA FINDINGS

2020 IMPACT

A lack of international travellers and social events impacts sales

Players face disruptions to supply chains due to the outbreak of COVID-19

Campaigns and promotional activities were cancelled throughout 2020

RECOVERY AND OPPORTUNITIES

The return of international travellers drives sales, as consumers grow confident, returning to stores

E-commerce share grows for luxury timepieces, as growth seen in 2020 continues across the forecast period

Cartier and Patex Philippe focus on improving their online presence

CATEGORY DATA

Table 84 Sales of Luxury Timepieces by Category: Value 2015-2020
Table 85 Sales of Luxury Timepieces by Category: % Value Growth 2015-2020
Table 86 NBO Company Shares of Luxury Timepieces: % Value 2015-2019
Table 87 LBN Brand Shares of Luxury Timepieces: % Value 2016-2019
Table 88 Distribution of Luxury Timepieces by Format: % Value 2015-2020
Table 89 Forecast Sales of Luxury Timepieces by Category: Value 2020-2025
Table 90 Forecast Sales of Luxury Timepieces by Category: % Value Growth 2020-2025

Luxury Writing Instruments and Stationery in Germany

KEY DATA FINDINGS

2020 IMPACT

Store closures and economic uncertainty leads to declining growth for luxury writing instruments and stationery

Montblanc store closures impact sales, however, consumers migrate to e-commerce for gift-giving occasions

The lack of international travellers has less impact on the performance of luxury writing instruments and stationary

RECOVERY AND OPPORTUNITIES

The strong tradition of purchasing luxury writing instruments will aid the recovery of the landscape

E-commerce has the opportunity to drive growth, increasing its presence from 2020

Advancements in technology drive growth for luxury stationery over the forecast period

CATEGORY DATA

Table 91 Sales of Luxury Writing Instruments and Stationery: Value 2015-2020
Table 92 Sales of Luxury Writing Instruments and Stationery: % Value Growth 2015-2020
Table 93 NBO Company Shares of Luxury Writing Instruments and Stationery: % Value 2015-2019
Table 94 LBN Brand Shares of Luxury Writing Instruments and Stationery: % Value 2016-2019
Table 95 Distribution of Luxury Writing Instruments and Stationery by Format: % Value 2015-2020
Table 96 Forecast Sales of Luxury Writing Instruments and Stationery: Value 2020-2025
Table 97 Forecast Sales of Luxury Writing Instruments and Stationery: % Value Growth 2020-2025

Super Premium Beauty and Personal Care in Germany

KEY DATA FINDINGS

2020 IMPACT

Super premium fragrances and colour cosmetics suffer as consumers spend more time indoors

Super premium skin care records small losses despite the COVID-19 outbreak

E-commerce records extraordinary growth in super premium beauty and personal care

RECOVERY AND OPPORTUNITIES

Healthy, natural super premium products support the recovery of the landscape across the forecast period

Polarisation will help revive the landscape across the coming years

Personalisation and aligning to consumer demands drives sales

CATEGORY DATA

Table 98 Sales of Super Premium Beauty and Personal Care by Category: Value 2015-2020
Table 99 Sales of Super Premium Beauty and Personal Care by Category: % Value Growth 2015-2020
Table 100 NBO Company Shares of Super Premium Beauty and Personal Care: % Value 2015-2019
Table 101 LBN Brand Shares of Super Premium Beauty and Personal Care: % Value 2016-2019
Table 102 Distribution of Super Premium Beauty and Personal Care by Format: % Value 2015-2020
Table 103 Forecast Sales of Super Premium Beauty and Personal Care by Category: Value 2020-2025
Table 104 Forecast Sales of Super Premium Beauty and Personal Care by Category: % Value Growth 2020-2025

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