InfoAnda - Luxury market slowly emerges from global recession

Pakistanis angry over detentions in Times Sq. case
Monday, May 24, 2010
ISLAMABAD – Relatives of three men detained by Pakistan for alleged links to the suspect in the attempted Times Square bombing say the men are innocent.
They

Taiwan denies boycotting Australian film festival
Thursday, August 6, 2009

AFP - Thursday, August 6TAIPEI (AFP) - - Taiwan's Beijing-friendly government on Wednesday denied boycotting an Australian film festival amid a row over the e

Merkel's support dips, regional ally resigns International
Thursday, September 3, 2009

By Sarah Marsh and Noah Barkin

BERLIN (Reuters) - Chancellor Angela Merkel suffered a double blow on Thursday as a senior party ally in east German

Minister seeks closure of anti-Berlusconi websites
Wednesday, December 16, 2009
ROME (AFP) - – The Italian government moved Tuesday to close down Internet sites encouraging further violence against Prime Minister Silvio Berlusconi, who

Asian markets mixed after Wall Street rally
Wednesday, March 18, 2009

By ELAINE KURTENBACH,AP Business Writer AP - Wednesday, March 18SHANGHAI - Asia's stock market rally seemed to be running out of steam Wednesday, despite an

Battles in Tunis as new government takes shape | 17 January 2011
German chipmaker Qimonda files for insolvency | 24 January 2009
Pirates Party's rapid rise upsets German landscape | | 30 April 2012

Chinese hackers target oil companies: McAfee | 11 February 2011

Forum Views () Forum Replies ()

Read more with google mobile : Luxury market slowly emerges from global recession

Yahoo! My Yahoo! Mail More Yahoo! Services Account Options New User? Sign Up Sign In Help Yahoo! Search web search Home Singapore Asia Pacific World Business Entertainment Sports Technology Singapore Asia Pacific World Luxury market slowly emerges from global recession AFP - 2 hours 59 minutes ago Send IM Story Print Luxury market slowly emerges from global recession Slideshow: Full Photo Coverage: Business & Economy WASHINGTON (AFP) - – The luxury goods market is rebounding from the slump caused by the global recession, but analysts say upscale sellers will be facing a hard slog due to changing demographics and lingering consumer caution. Global luxury goods industry sales are expected to grow four percent in 2010 to 158 billion euros (195 billion dollars) after a painful 8.0 percent decline in 2009, according to the consulting firm Bain & Company. Much of that growth is expected in the first half of the year, with more sluggish trends returning in the second half, according to Bain's Luxury Goods Worldwide Market Study. In the United States, retail sales in the luxury segment in April jumped 15.5 percent year-over-year in April after a 22.7 percent surge in March, helped by comparison with weak sales a year earlier, according to MasterCard SpendingPulse. Upscale retailer Saks swung to a record profit in the past quarter after a loss a year earlier, with sales up 6.1 percent. At rival Tiffany, it was a similar story with global sales up 17 percent in the most recent quarter and profit up nearly fourfold. French luxury giants Hermes and LVMH also reported strong growth in sales in the first quarter boosted largely by rise in Asia excluding Japan as buyers snap up watches, jewelry and other upscale goods after months of economic gloom. But it may be too early to break out the champagne for the luxury sector, analysts warn. In the US market, consulting firm Unity Marketing reports that much of the growth is coming from super-rich households with incomes of 250,000 dollars a year -- the top two percent of Americans. This group hiked spending by 22.6 percent in the past quarter. The so-called "aspirational affluents" with incomes between 100,000 and 249,999 dollars increased their spending by only 1.9 percent from fourth quarter of 2009 to first quarter of 2010, the survey found. "The ultra-affluents are returning to spending at pre-recession levels, while the aspirational consumers are holding back," says Unity president Pam Danziger. "But even with their exuberant amounts of spending, the ultra-affluents can't sustain recovery in the luxury market." Danziger said the market for luxury cars, jewelry and other goods is now relying on a smaller slice of the ultra-rich population. Prior to the recession that began in 2007, this market had been boosted by the so-called wealth effect with rising home prices and stock prices fueling spending by the "Henrys" (high earners, not yet rich). This is a large group of nearly 23 million Americans with incomes between 100,000 and 250,000 dollars a year. These households "were feeling they had resources back in 2006 and 2007 -- their stock market portfolios were stable, their home values were going up," said Danziger. "There was a wealth effect. Now all that wealth is gone." But Danziger says that even if the stock market rebounds and the economy steadies, the luxury market will be hurt by the aging of the US population: he baby-boom generation that fueled the big surge in spending is entering retirement and "Generation X" is not a big enough group to pick up the slack. "The prime period for luxury goods is people who are 35 to 55 years old," she noted. "As people get older, their priorities change." This suggests the luxury market is unlikely to regain its luster until around 2018 to 2020, when the Millennials born after 1997 start their spending sprees. "So this means we have almost a decade that will be a luxury drought," she said. All this means a narrower market for luxury and some brands and stores expanding downmarket. Some luxury retailers are expanding their outlet stores to be more accessible to upper middle-class shoppers. Some of these store "are demanding that these (luxury) brands come in with more reasonable price points," said Danziger. Neiman Marcus, the upmarket department store, is testing a retail concept for shoppers who fled its stores during the recession. "The aspirational customer really got hit hard, and we felt that they kind of vacated our stores last year," said Neiman Marcus chief executive Burt Tansky in a March earnings conference call. "We're making every effort to bring them back." Recommend Send IM Story Print Related Articles Mining firms face super tax dilemma: analysts AFP - 1 hour 3 minutes ago Japan corporate investment to bounce back: survey AFP - 1 hour 34 minutes ago India's auto-rickshaws in advertising role AFP - 1 hour 42 minutes ago Luxury market slowly emerges from global recession AFP - 2 hours 59 minutes ago S.Korea, China, Japan move towards free trade bloc AFP - Sunday, May 30 News Search Top Stories Aid ships set out to bust Gaza blockade Thousands protest Portuguese austerity plan Unrest throws doubt on Jamaica turnaround Debt-hit Greece threatened with health supply freeze France, UK mark 70th anniversary of Dunkirk evacuation More Top Stories » Related Full Coverage China Economychina economy All Full Coverage » ADVERTISEMENT Most Popular Most Viewed Most Recommended Lindsay Lohan wants a Chanel alcohol tag After May madness, Wall Street faces loaded week Fergie to appear on Oprah show after scandal Debt-hit Greece threatened with health supply freeze Markets rattled as Fitch cuts Spain's debt rating More Most Viewed » Scientists stunned as grey whale sighted off Israel Hubble catches planet being devoured by its star UN fears 'irreversible' damage to natural environment Earth may be too hot for humans by 2300: study Ocean fish could disappear in 40 years: UN More Most Recommended » Elsewhere on Yahoo! Financial news on Yahoo! Finance Stars and latest movies Best travel destinations More on Yahoo! News Home Singapore Asia Pacific World Business Entertainment Sports Technology Subscribe to our news feeds Top StoriesMy Yahoo!RSS » More news feeds | What are news feeds? Also on Yahoo Answers Groups Mail Messenger Mobile Travel Finance Movies Sports Games » All Yahoo! Services Site Highlights Singapore Full Coverage Most Popular Asia Entertainment Photos World Cup 2010 Copyright © 2010 Yahoo! Southeast Asia Pte. Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Terms of Service | Privacy Policy | Community | Intellectual Property Rights Policy | Help

Other News on Sunday, 30 May 2010
Rafsanjani boosts pressure on Iran regime before anniversary
France, UK mark 70th anniversary of Dunkirk evacuation
Taliban capture Afghan district on Pakistan border
Human error blamed for civilian Afghan deaths
US drone crew blamed for Afghan civilian deaths
Unrest throws doubt on Jamaica turnaround
Japan PM says to stay in post, but poll outlook grim |
Debt-hit Greece threatened with health supply freeze
Europe forgets debt woes with song contest
Apple's iPad goes global |
US actor Dennis Hopper dead at 74: reports
Hollywood hellraiser Dennis Hopper dead at 74 |
Europe forgets debt worries with kitsch song contest
US actor Dennis Hopper dead at 74
Runners compete in world's highest marathon
Workers trained in settlements build new Palestinian suburb
US champagne sales start to sparkle again
Aid ships set out to bust Gaza blockade
Sarkozy faces sceptics over Africa summit
Suspected drug gangs dismember Mexico prison warden |
USS Eisenhower, 'critical' in anti-Taliban fight
New British government rocked by expenses scandal
Chinese man executed for school stabbing: report |
Canadian commander in Afghanistan dismissed
Thousands protest Portuguese austerity plan
Canada's Afghan commander removed, misconduct alleged |
China coal mine blast kills 17 near Chenzhou: report |
China urges region to step back from Korea clash |
Colombian vote pits Uribe ally against ex-mayor |
Pacific storm Agatha slams into Guatemala, 13 dead |
Tiny Japan party seen likely to bolt PM's coalition |
Georgia leader seen passing first post-war vote test |
Thousands march to protest Ariz. immigration law
Minimum and maximum global temperatures in Celsius
1,000th GI killed in Afghan war was on 2nd tour
Police free forced labourers at China brick kiln
Man executed for China kindergarten stabbing spree
Malaysia offers its first 'baby hatch'
30 burnt alive in India bus accident
Thailand appears back to 'normal': PM
Pressure on China to censure N.Korea fails
Bangladesh blocks Facebook over Mohammed cartoons
Smoking toddler shows Indonesia's tobacco problem
'Soldier of Fortune' in N. Korea World Cup Squad
China's Wen urges Koreas to avoid clashes
Japan corporate investment to bounce back: survey
An unconventional easy ride ends for Dennis Hopper
India's auto-rickshaws in advertising role
Luxury market slowly emerges from global recession
US actor Dennis Hopper dead at 74
Indian entrepreneurs chase the 'pink rupee'
Haitian women get beauty makovers in tent cities
Violence-torn Jamaica longs for new Marley
UN urges anti-gay law reform in Africa
German teenager wins Eurovision contest |
Germany wins 2010 Eurovision Song Contest
An unconventional easy ride ends for Dennis Hopper
Isabelle Huppert 'would love' to play in Romanian film
Tintin comic auction fetches million euros
Historic camera snaps record price at auction
Aid flotilla sets sail for Gaza
British Airways cabin crew launch new strike
Canada's top commander in Afghanistan sacked
Aid ships set out to defy Gaza blockade
Spain Socialists face deep crisis as support dives |
NATO general in Afghanistan: Victory will be slow
German coalition partners turn rivals in key state |
General McChrystal says Afghan insurgents trained in Iran |
Czech centre-right parties start coalition talks |
NATO, police separate violent protesters in Kosovo |
No technical fault in Libya jet crash: investigators |
Ex-Bahrain banker files U.N. complaint over travel ban |
China coal mine explosion kills 17 workers
Bangladesh blocks Facebook over caricatures |
Socialists quit Japan coalition over US base row
Nepal's leaders meet to work out new government
Man arrested for exploitation of N.Korean refugees
S.Korea, Japan and China to speed up trade accord
China offers billion-euro loan for Iran projects
Bangladesh blocks Facebook over prophet drawings
Germany finally feels loved with Eurovision win |
Greece at new risk of being pushed off euro
Bodies of missing Tenn. mom, Jo Ann Bain, and daughter found
Female Breasts Are Bigger Than Ever
AMD Trinity Accelerated Processing Units Now in Volume Production
The Avengers (2012 film), made the second biggest opening- and single-day gross of all-time
AMD to Start Production of piledriver
Ivy Bridge Quad-Core, Four-Thread Desktop CPUs
Islamists Protest Lady Gaga's Concert in Indonesia
Japan Successfully Broadcasts an 8K Signal Over the Air
ECB boosts loans to 1 trillion Euro to stop credit crunch
Egypt : Mohammed Morsi won with 52 percent
What do you call 100,000 Frenchmen with their hands up
AMD Launches AMD Embedded R-Series APU Platform
Fed Should not Ignore Emerging Market Crisis
Fed casts shadow over India, emerging markets
Why are Chinese tourists so rude? A few insights

USD EUR - 1 year graph	VPN on MacOSX	BlogMeter 1.01