Where Consumers Shop for Personal Accessories

Delivery

This report comes in PPT.

Key findings

Uncertainty continues, further testing the industry’s resilience

A highly inflationary environment, coupled with continuing COVID-19-related restrictions in China and the impact of the war in Ukraine in Europe, caused growth to decelerate in 2022, with only a moderate 1% increase in constant value terms. Global sales recovered in 2023, however, with growth of 4%. This growth was, however, mainly driven by above-inflation price increases, with inflationary effects continuing to be felt around the globe.

Retail offline has recovered some of the share lost during the pandemic

In 2023, retail offline accounted for over 80% of value sales of global personal accessories, led by specialists and department stores. With consumers now able to visit physical stores, following the relaxation of pandemic-related restrictions, demand for an enriched and distinctive shopping experience is clear. This has resulted in divergent performances across channels, distinguishing those capable of meeting this demand from those falling short.

E-commerce growth decelerates, but its share remains higher than pre-pandemic

E-commerce saw strong growth in the first year of the pandemic, but its growth has decelerated since. Nevertheless, the channel was the biggest winner over 2018-2023, with its share rising by seven percentage points to reach almost a fifth of global sales in 2023. Traditional and connected watches witnessed the biggest gain in share for e-commerce, while jewellery and writing instruments recorded more modest growth.

Retail shifts expected to continue over the forecast, as brands redefine their omnichannel strategies

In recent years, brands have invested heavily in reaching consumers wherever they prefer to buy their personal accessories, driven by the imperative of embracing omnichannel strategies. Looking ahead, retail shifts will continue, albeit in distinct ways. Beyond providing consistent and seamless experiences across offline and e-commerce platforms, brands now face the challenge of reimagining the role of physical stores in a digital world.