Worth an estimated $20 billion, Japan’s luxury market is the second largest in the world but now it appears that it’s luxury consumers are being affected by the global economic crisis just like everyone else.
Forbes.com explains ” Yet Japan is different: The current crisis has not only reduced the discretionary spending of consumers but also accelerated fundamental shifts in their attitudes and behavior. These changes are not temporary, and luxury players must adjust their strategies to succeed in a market that, despite the current slowdown, will remain very large and attractive.”
McKinsey Quarterly has done some interesting research into the Japanese luxury market by surveying 1,500 Japanese luxury consumers to find out their views.
The survey found that big luxury brands can not rely simply on their “brand as a badge” anymore. If they want a slice of consumers income these companies are going to have to work harder at taking customers away from rival companies and even brand new competitors.
I’ll be back again, thanks for the info.