Emerging markets will quadruple their share of luxury apparel spending in the next two decades, according to a new McKinsey & Co.’s report, “The Glittering Power of Cities for Luxury Growth.”
McKinsey’s research revealed that the share of spending on luxury women’s ready-to-wear apparel in developing markets, eight percent in 2004, rose to 17 percent in 2011 and could grow to 32 percent by 2025.
The report states, however, that even as emerging markets grow rapidly, the more mature markets of Paris, Tokyo, Milan, London and New York “will remain the most important locales for luxury apparel spending in 2025,” according to Women’s Wear Daily. Top emerging markets for luxury goods will include Moscow, Seoul, Singapore, Mexico City, and Saint Petersburg, Russia.