Top Luxury Brands

Global research agency Millward Brown just published a list of the top ten luxury brands.  Number one is Louis Vuitton, with a reported brand value of $25.9 billion, followed by Hermes, Rolex, Chanel and Gucci. Five of the top ten saw a decline in brand value, while number 2, Hermes showed an increase in brand value by 61%. The activity and performance of luxury brands can be an indicator of HNWIs and how they are spending.

The list of top luxury brands and brand values are

Millward Brown reports on luxury brands

Luxury brands expanded their presence with new stores, e-commerce and extensive advertising.

Having endured several years of economic difficulty, North Americans and Europeans who could afford luxury indulged. More people of average means engaged with luxury brands, purchasing an affordable item, if possible. And luxury brands continued to enjoy healthy sales in China and other fast growing markets with expanding middle classes.

Increased urbanization also contributed to the demand for luxury. And in both developed and developing markets, luxury increasingly was less about bling and more about appreciating craftsmanship and sharing the pleasure. Consumers focused less on collecting luxury labels and more on creating a unique personal look that often mixed luxury brands with more affordable options.

International travel increased the appetite for luxury in fast growing markets and drove category sales. The impact was large enough to earn the label TLC, Traveling Luxury Consumer. Travelers purchase about half of all the luxury goods sold in Europe, according to Goldman Sachs, with Chinese travelers accounting for about 18 percent of European luxury sales.

Although luxury goods predominately remained the domain of European and North American brands, several luxury brands originated in Brazil and Russian luxury brands started to appear. Even in China, where the upwardly mobile display luxury to denote status, consumers demonstrated a high level of brand knowledge and appreciation for craftsmanship.

Meanwhile, luxury brands continued to struggle to reach the right balance between protecting the exclusivity that to an extent defines luxury, and making the brand experience accessible to a wider audience.

Source: Millward Brown