One of the never ending quests of human beings includes ‘indulgence in luxury’. ‘Luxury’ is among those words whose meaning varies from individual to individual. In economic terms, luxury goods are the ones for which the law of demand is reverse i.e. the demand for such products increases with price. This effect is also known as ‘Veblen effect’ or paradox. Luxury is usually stratified in three layers viz. Accessible, Aspirational and Absolute. Also, a few other factors which determine the degree of luxury are price, uniqueness, availability, promotion, brand among others. Moreover, the luxury industry usually talks of products like perfumes and cosmetics; hard luxury; cognac; handbags and cases; furniture; vehicles etc. These products are sold through wholesale, retail or online channel. The 2012 edition of the luxury goods market report covers the market size at the global level along with the coverage of some major regional markets like the Americas, Europe, China, and Japan. In addition the reports also provides sizing of various categories like watches, cognac, and jewelry. Furthermore, the market dynamics includes key trends and developments (evolution of luxury goods market, industry integration, varying gender choices, and structural difference), growth drivers (rising population of HNIs, correlation with global economic growth, increasing internet penetration, sales across emerging markets) and challenges which include rising tariffs on imports of luxury goods and counterfeiting risk.

1. View Report Details
Global Luxury Goods Market
-------------------------------------------
2012

2. View Report Details
Executive Summary
One of the never ending quests of human beings includes „indulgence in luxury‟. Luxury is among the few words whose meaning
vary from individual to individual. In economic terms, luxury goods are the ones for which the law of demand is reverse i.e. the
demand for such products increases with price. This effect is also known as „Veblen effect‟ or paradox.
Luxury is usually stratified in three layers viz. Accessible, Aspirational and Absolute. A few other factors which determine the
degree of luxury are price, uniqueness, availability, promotion, and brand among others. Moreover, the luxury industry usually
covers products like perfumes and cosmetics; hard luxury; cognac; handbags and cases; furniture; vehicles, etc. These products
are sold through wholesale, retail or online channel.
The 2012 edition of the luxury goods market report covers the market size at the global level along with the coverage of some
major regional markets like the Americas, Europe, China, and Japan. In addition, the reports also provides sizing of various
categories like watches, cognac, and jewelry.
Furthermore, the market dynamics include key trends and developments (evolution of luxury goods market, industry integration,
varying gender choices, and structural difference), growth drivers (rising population of HNIs, correlation with global economic
growth, increasing internet penetration, sales across emerging markets) and challenges which include rising tariffs on imports of
luxury goods and counterfeiting risk.
By combining SPSS Inc.‟s data integration and analysis capabilities with our relevant findings, we have predicted the future growth
of the industry. We employed various significant variables affecting this industry and created regression models with SPSS Base
to determine the future direction of the industry. Before deploying the regression model, the relationship between several
independent or predictor variables and the dependent variable was analyzed using standard SPSS output, including charts, tables
and tests.

3. Luxury goods are defined as goods/products/services for which the demand increases at a rapid pace as
compared to the increase in income, i.e. in opposition to necessity goods
Global Personal Luxury Goods Market Size (2000-2011)
As of 2011, the global market for personal luxury goods was
worth US$..... billion or EUR…..billion, registering an increase of
approximately …..% as compared to the recorded value of
US$.…billion in 2010. The CAGR recorded over the cited period
of 11 years was ….%.
Billion
In geographic terms, Europe was the leading contributor to the
global revenues, with …..% share, followed by Americas with
…..% and Asia Pacific with roughly …..% share of the global
personal luxury goods market in 2011.
Taking into account the luxury goods sales by category, apparel
and accessories claimed the highest share of ….% each of the
2005
2000
2001
2002
2003
2004
2006
2007
2008
2009
2010
2011
global luxury goods sales, followed by hard luxury; and perfumes
and cosmetics with ….% and ….%, respectively during 2011.
USD EUR
Global Luxury Goods Market Share by Category (2011)
Global Luxury Goods Market Share by Geography (2011)
Apparel Accessories
Perfume and Cosmetics Hard Luxury
Art de la table Others
Europe Americas Asia Pacific Japan RoW

4. The three major modes of distributing the luxury goods include; retail channels, wholesale channels and
online
America’s Luxury Goods Market Revenues (2010-2011) American region witnessed an impressive growth of approximately
…..% reaching US$.... billion or EUR….billion on the back of firm sell-
out trend in the luxury department stores present across the US.
For 2011, Europe recorded US$.... billion or EUR….billion worth of
luxury sales, registering a growth of approximately …..% over the
previous year.
Billion
In economic terms, the performance of Chinese luxury goods market
is relatively stronger than the rest of the world, which led to an
expansion of international luxury brands in its 2, 3 and even 4 tier
cities. The luxury sales in mainland for the year 2011 including the
sales of top three categories viz. watches; perfume, cosmetics and
personal care; and leather goods was worth US$….. billion or
EUR…. billion. The CAGR registered over a period spanning 5 years
2010 2011
from 2007 to 2011 was …..%.
USD EUR
Mainland China’s Luxury Goods Market Size (2006-2011)
Europe’s Luxury Goods Market Revenues (2010-2011)
)
Billion
Billion
2006 2007 2008 2009 2010 2011
2010 2011 USD EUR
USD EUR

5. Characterized by stifling competition, companies operating in luxury goods industry are thriving on their
benchmark style, quality, expertise and customer service
Swiss Watch Export Revenues (2000-2011) Global Cognac Shipment by Volume (2005-2012)
2012
2011
Billion
2010
2009
2008
2007
2006
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2005
CHF USD 9 Liter Cases (In Million)
Swiss watch export revenues were worth US$....billion in 2011, recording a
Global Jewelry Market Size (2005-2013E)
significant increase of …..% from US$..... billion in 2010.
Total shipments of cognac for the year ending July 2012 stood at
………million nine-liter cases.
As of 2011, the global shipment volume of champagne stood at …… million
bottles, an increase of approximately ……% over 2010 volume worth
Billion
…..million bottle
The global jewelry market is expected to reach US$.... billion by the end of
2013.
Companies like Richemont, LVMH, PPR Group, Chanel, Rolex, Hermes,
and Swatch are the major competitors to the luxury goods market.
The worldwide luxury goods market was valued at US$......billion in 2011,
2010
2005
2006
2007
2008
2009
2011
2012E
2013E
and is likely to grow to US$.....billion by 2015 with a CAGR of …..%
Market Size Growth Rate
Note: Market attractiveness is inverse of penetration. Low penetration means high attractiveness and vice-versa

6. Table of Contents List of Charts & Tables
List of Charts
1. Luxury Goods: An Overview
-Characteristics of Luxury Products
Characteristics of Luxury Products
-Types of Luxury Segment
Routes of Luxury Goods Distribution
-Industry Classification
Global Personal Luxury Goods Market Size (2000-2011)
-Distribution Channels
Global Luxury Goods Market Share by Geography (2011)
Global Luxury Goods Market Share by Category (2011)
2. Luxury Goods Market
America‟s Luxury Goods Market Revenues (2010-2011)
Europe‟s Luxury Goods Market Revenues (2010-2011)
2.1 Global Luxury Goods Market
Mainland China‟s Luxury Goods Market Size (2006-2011)
-Market Value
China‟s Luxury Living Index (June 2007-June 2011)
-Geographic Breakdown
Transaction Value of Online Luxury Shopping in China (2010-2012E)
-Product Segments
Retail Sales of Jewelry, Watches, Clocks in Hong Kong (2001-2011)
Where Japanese Consumers Bought Luxury Goods (2010-2011)
2.1.1 Luxury Goods Market - Online Segment
Swiss Watch Export Revenues (2000-2011)
Composition of Swiss Watches - Units and Revenues by Material (2011)
2.2 Luxury Goods Market by Region
Revenues of Major Swiss Watch Exporting Countries (2011)
Major Swiss Watch Importing Countries (2011)
2.2.1 The Americas
Global Cognac Shipment by Volume (2005-2012)
-Overview
Growth in High-end Cognac Shipment by Quality Type (2012 over 2011)
-Market Value
Global Champagne Shipments by Volume (2001-2011)
Global Jewelry Market Size (2005-2013E)
2.2.2 Europe
Gold Demand in Jewelry Sector Vs Total Gold Demand by Quantity (Q1‟10-
-Overview
Q1‟12)
-Market Value
Gold Demand in Jewelry Sector Vs Total Gold Demand by Value (Q1‟10-
Q1‟12)
2.2.3 China
The US Jewelry Market Size (2005-2013E)
-Overview
Luxury Pyramid and Positioning Features
-Market Value
Global Luxury Deal Size Split by Volume (2011)
-Online Market
Luxury M&A Sectors by Volume (2011)
-Hong Kong Market
Growth of HNIs‟ Wealth and Population (2005-2011)
Global Wealth Distribution (2011)
2.2.4 Japan
Distribution of HNIs Wealth and Population (2011)
-Market Overview
Luxury Sales Growth (%)* Vs. Global GDP Growth (%)* (2005-2011)
2.3 Luxury Goods Market by Segment
2.3.1 Watches
-Swiss Watch Export Revenues
-Major Exporting Countries
-Major Importing Countries

7. 2.3.2 Wines, Spirits and Cognac
List of Charts
- Cognac Shipments by Volume
- Champagne Shipments by Volume
Global GDP (2001-2011)
World GDP per Capita (2005-2011)
2.3.3 Jewelry
Global Internet Users in 2011 and Internet Users Growth Rate from 2000 to
-Market Value
2011
-Gold Demand
Global Internet Penetration Rate by Region (2011)
-US Market
Y-o-Y % Growth of E-Commerce vs. the US Retail Sales (Feb.‟07-Feb.‟12)
LVMH‟s Revenue Share by Business Segments (2011)
3. Market Dynamics
LVMH‟s Revenues and Net Profit (2008-2011)
Hermes‟ Revenue Share by Segment (2011)
3.1 Key Trends and Development
Hermes International Revenues and Net Income (2008-2011)
RICHEMONT‟s Revenue Share Breakdown by Business Segments (FY12)
3.1.1 Evolution of Luxury Goods Market
RICHEMONT Revenues (FY07-FY11)
3.1.2 Luxury Goods Industry Integration
PPR‟s Revenue Share by Business Segments (2011)
3.1.3 Varying Gender Choices
Global Luxury Goods Market Forecast (2011-2015E)
3.1.4 Evolving Structural Difference
List of Tables
3.2 Growth Drivers
Difference between Regular and Luxury Goods
3.2.1 Rising Population of HNIs (2011)
Types of Luxury Segment
3.2.2 Global Economic Growth and Luxury Goods Sales
Luxury Goods Sales Growth by Nationality (2008-2011)
3.2.3 Increasing Internet Penetration
Number of Luxury Brand Store by Location in China (2011)
3.2.4 Robust Luxury Goods Sales across Emerging Markets
Worldwide Luxury Market Evolution by Segment (1985-2011)
3.2.5 International Tourism Industry
Financial Comparison of Leading Luxury Goods Companies (2011)
Leading Luxury Brands by Rank (2011)
3.3 Challenges
Top Brands in the Luxury Brand Status Index 2011
PPR‟s Revenues and Net Income (2010-2011)
3.3.1 Hefty Taxes on Importing Luxury Goods
Dependent & Independent Variables (2007– 2011)
3.3.2 Risk of Forgery
Correlation Matrix
Model Summary – Coefficient of Determination
4. Luxury Goods - Competitive Landscape
Regression Coefficients Output
-Competitive Overview
-Financial Comparison
5. Company Profiles
5.1 LVMH Moet Hennessy Louis Vuitton
5.1.1 Business Overview
5.1.2 Financial Overview

8. 5.1.3 Business Strategies
-Growth through Collaborations & Acquisitions
- Strengthened Customer Services
5.2 Hermes International SCA
5.2.1 Business Overview
5.2.2 Financial Overview
5.2.3 Business Strategies
- Product Portfolio Diversification
-Growth through Innovation
5.3 RICHEMONT
5.3.1 Business Overview
5.3.2 Financial Overview
5.3.3 Business Strategies
-Limited Edition Product Range
-Sovereign Maisons
5.4 PPR Group
5.4.1 Business Overview
5.4.2 Financial Overview
5.4.3 Business Strategies
-Focus on Organic Growth
-Value Creation through Operational Expertise
6. Market Outlook
6.1 Market Forecast
6.2 Forecast Methodology
6.2.1 Dependent and Independent Variables
6.2.2 Correlation Analysis
6.2.3 Regression Analysis

9. Contact Us:
View Report Details
These are abridged and sanitized sample pages from the comprehensive report on the “Global Luxury Goods Market”. To know
more about this report or for any customized research requirement, please contact the following:
Koncept Analytics
CS-36, Second Floor, Ansal Plaza
Vaishali, Ghaziabad,
U.P. – 201010
Vikas Gupta T. +91-120-4130959
BD Manager C: +91-9811715635
vikas@konceptanalytics.com
www.konceptanalytics.com