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By
Les echos
Published
Mar 17, 2009
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A bleak outlook for luxury goods in 2009

By
Les echos
Published
Mar 17, 2009


Les Echos March 17
Nicolas Boulanger, department manager for Eurostaf, believes that the devolpment of the luxury market in 2009 must be at a constant level between zero and 5%, a decrease of 8 points compared to 2003 – an historically tough year for the sector.
This decline occurred after an organic increase of 10% per year between 2004 and 2007, while in 2008 the increase is estimated to be between 3% and 5%.

“The increased demand for luxury items in emerging economies will not compensate for the decline in Western markets,” a specialist asserted. “As much as anyone the tourism industry has been affected by the economic crisis; shoppers are now passing by shopping opportunities in ‘duty-free’”.

This turbulence has forced large brand-names to reposition themselves with up-market offers, designed to target a more a fortunate clientele deemed “more stable”. This is an opportunity for French sub-contractors, according to Nicolas Boulanger, to pick up more work.

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