When will luxury’s perfect storm pass?

LUXURY is out of fashion.

The sector is facing a perfect storm. Chinese spending, the industry’s growth engine for so long, has stalled.

There are question marks over whether US shoppers, who held much promise after President Donald Trump’s election in November, will pick up the bling baton. And over-aggressive pricing has shut out many younger customers who gorged on Gucci handbags and Rolex watches during the pandemic. It will take time for this indigestion to work its way out of the system.