{"id":131025,"date":"2022-05-11T15:19:22","date_gmt":"2022-05-11T13:19:22","guid":{"rendered":"https:\/\/www.beautywords.fr\/blog\/luxury-leather-goods-abroad-its-in-the-bag-with-a-great-translation\/"},"modified":"2022-05-11T15:19:25","modified_gmt":"2022-05-11T13:19:25","slug":"luxury-leather-goods-abroad-its-in-the-bag-with-a-great-translation","status":"publish","type":"post","link":"https:\/\/www.beautywords.fr\/en\/blog\/luxury-leather-goods-abroad-its-in-the-bag-with-a-great-translation\/","title":{"rendered":"Luxury leather goods abroad: it\u2019s in the bag with a great translation!"},"content":{"rendered":"

Business as usual: the French luxury industry is flourishing both at home and abroad. And of all luxury goods, leather is one of the sectors that have been showing a lot of promise recently. However, even in this propitious context for global business development, the industry does have some new challenges to take on. Read on to find out more about both the problems and their solutions!<\/strong><\/p>\n

French leather goods enjoying success worldwide<\/h2>\n

In the past years, the luxury market has continued to chalk up great sales. Statistics compiled for the 20th luxury goods worldwide market study all point to this. Published by consulting firm Bain & Company, in partnership with Altagamma (an Italian umbrella foundation for high-end professionals), the report is conclusive. In 2019, the industry of personal luxury goods enjoyed 4% growth (at constant exchange rates) i.e. \u20ac281 billion. A fine performance!<\/p>\n

Against this encouraging backdrop, the luxury leather goods industry is firmly positioned as one of the pillars underpinning growth, enjoying a rate of 7% (at constant exchange rates) for the sale of leather accessories on the global market. And France can hold its head up high among its various European competitors!<\/p>\n

French leather goods come out on top<\/h3>\n

Indeed, luxury leather goods made in France are enjoying buoyant sales in exports. In its memo on the economy for the first half of 2019, the French Leather Council<\/a> reported an increase of 16% in exports of French leather goods articles, i.e. a market worth \u20ac4 billion. France now ranks third worldwide for exports of leather goods articles and is the leader in Europe in this industry.<\/p>\n

Did you know? The French Leather Council confirmed that the French footwear industry also climbed in 2019 with a 12% increase in exports, equivalent to \u20ac19 billion, which is great news for the entire industry!<\/p>\n

Catering to high foreign demand for luxury handbags and totes, French luxury designers have also been creating jobs nationwide and opening more new production sites in the past few years.<\/p>\n

In 2018, Herm\u00e8s International reported investments worth \u20ac420 million over five years in French production: the group opened six fine leather workshops and created 1,650 positions for artisans. In 2019, Louis Vuitton inaugurated a new workshop for leather goods in Maine-et-Loire (in the north-west of France) and a third production site in nearby Vend\u00e9e, creating a total of 500 jobs. Business is looking brisk!<\/p>\n

An industry buoyed by major French luxury brands<\/h3>\n

In the global footwear and luxury leather goods industries, some big names have built the reputation of the leather industry. Names like Church and other luxury brands such as Giuseppe Zanotti, Hogan, Paul Smith, Pierre Hardy, Premiata, Salvatore Ferragamo, Santoni, Chiara Ferragni, Stuart Weitzman, Chanel and Gucci need no introduction.<\/p>\n

Among these prestigious brands, several French entities boast great appeal abroad given their exceptional savoir-faire. Louis Vuitton is THE reference in terms of export success. Christian Dior is also very well positioned on the international scene, with its famous Lady Dior bag for example. Yet other French brands have carved out a reputation for themselves in the field, such as Chlo\u00e9 and Pierre Hardy in Paris. Excellence \u00e0 la fran\u00e7aise is a given: it is highly sought-after by those who buy luxury goods, whatever their nationality!<\/p>\n

To find out more about the reasons for the success of French brands abroad, read the rest of the article here!<\/a><\/p>\n

New clients, new challenges in the luxury leather goods industry<\/h2>\n

So French luxury leather goods are enjoying brisk business internationally. This doesn\u2019t necessarily mean it\u2019s in the bag for industry players!<\/p>\n

Indeed, as with other professionals in French luxury goods, they have to rise to many new challenges, for consumer profiles are changing, as are their consumer habits!<\/p>\n

Luxury leather goods: younger targets<\/h3>\n

While the USA is among the top three main clients for French leather goods, demand is strongest in Asia, with an increase in sales in Hong Kong (14%) and Singapore (13%) in particular. These potential Asian clients have the means to indulge their whims: whatever the price tag for luxury bags, they are willing to pay. But only on condition that brands meet their ever-fluctuating expectations!<\/p>\n

Millennials, aka Generation Y, are now starting to embrace the luxury market. Born between 1980 and 2000, these regular buyers of luxury goods alone accounted for 35% of the market in 2019 according to the Bain & Company annual survey (cited above), which figure is slated to rise to 45% by 2025. They are demanding, and increasingly attuned to the luxury brands\u2019 marketing pitch and societal commitments.<\/p>\n

Changes in consumer behaviour<\/h2>\n

This younger bracket of consumers, soon to include the next generation (Z), are ushering in considerable changes in consumer behaviour.<\/p>\n

These new clients for luxury leather goods are hyper-connected digital natives, who are perfectly comfortable shopping online, buying their favourite products in a couple of clicks. They keep abreast of campaigns run by their favourite brands on social media. So the entire communication and sales strategy needs to be adapted to them!<\/p>\n

To draw in this new foreign clientele, who are younger, more volatile and more demanding, luxury leather goods brands have to:<\/p>\n