Mainland China is on track to become the largest luxury market in the world by 2025 after it sustained its double-digit growth in 2021.
Its share of luxury market rose to 21 per cent in 2021, up from 20 per cent in 2020. Bain & Company forecasted this growth to continue, keeping it at pace to dominate the luxury goods market, regardless of uncertainties over travel patterns.
Despite this, the consulting firm noted that the incline was not steady as most categories registered between 40-100 per cent year-on-year increases in the first half of 2021 against 0-25 per cent YoY growth in the second half. This was due to several factors, such as the sporadic outbreaks of Covid-19 infections and the more conservative consumer sentiments, amongst others.Bottom of Form
In a report, Bain & Company the recorded another year of double-digit growth with some brands seeing an increase of more than 70 per cent. In 2021, the domestic sale of personal luxury goods in China climbed 36 per cent in 2021. Chinese consumers shopped largely in the mainland as border restrictions persisted in light of the pandemic.
