High End Luxury Stays Afloat In Tough Times
Bain defines two other tiers of he luxury market with 'a' words-- aspirational, which includes brands like Gucci and Louis Vuitton which attract upper middle class consumers and accessible which includes brands like Coach and Ralph Lauren which have a lower price point and appeal to a broader range of people. These two segments have had explosive growth in the past couple years and are already suffering in the economic downturn. But the high-end of luxury remains strong because people still want good things, they are just buying less of them. They are increasingly choosy about getting the best, preferring bespoke pieces and commissions to branded luxury goods. These findings seem to echo the words of Cartier CEO Bernard Fornas who told Reuters at the SIHH watchfair last week that " the real, true luxury is back."