The future looks bright for businesses in the luxury goods market.
According to a new report, the number of luxury goods buyers worldwide hit 330 million in 2013, and is expected to grow by an average of 10 million people per year. The report--released Tuesday by Boston-based Bain & Co. in collaboration with British financial services firm Redburn Partners and global market-research company Millward Brown--predicted that the number of luxury goods buyers will total 400 million by 2020 and 500 million by 2030, Reuters reported.
The report calculated the number of customers in the market based on personal wealth, urbanization, discretionary spending attitudes, and demography statistics, and found that growing numbers of wealthy people in Asia, Latin America and Eastern Europe are fueling the market demand.
Bain estimated that shoppers over the age of 49 account for more than 50 percent of luxury goods buyers, while consumers ages 13 to 33 make up a mere 13 percent of the market.
Reuters reports that until recently luxury brands had been offering lower-priced goods in order to expand their market base, but they now seem to be reversing that trend in response to demand.