Russia Luxury Goods Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 5.60 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Russia Luxury Goods Market Analysis
The Russia Luxury Goods Market is projected to register a CAGR of 5.6% in the forecasted year ( 2022-2027).
The emergence of e-commerce has provided consumers easy access to product-related information and prices through online sources. This factor has further contributed to the overall growth of the luxury goods market. Eventually, with the consumer's preference toward premiumization, the demand for luxury goods products is rising which is also driving the respective market.
Furthermore, seeking the consumer's inclination toward e-commerce websites several companies have gained momentum by opening new websites for their respective products, for instance, Luxury department store Tsum and mid-market player Wildberries, who have developed leading apparel e-commerce businesses have estimated their earnings up to the USD 4.8 billion of annual online clothing sales ahead of international luxury brands.
Likewise, due to the impact of the Russia War crisis different companies which were exhibiting their business in the same horizon has been flipping up their exports in the respective country, such as, swiss watchmaker Grapple has fallen out of russian crisis, besides, the sanctions against Russia and a ban on exports of luxury goods mean brands can no longer ship timepieces to Russia and all the big labels. Therefore, the russia's luxury goods market has been affected drastically.
Russia Luxury Goods Market Trends
This section covers the major market trends shaping the Russia Luxury Goods Market according to our research experts:
Consumer's Willingness to Spend on Luxury Grooming
As Russia has a stable economy, the consumers are engaged in purchasing the products that have a high brand value, this is because the consumers in the respective nation are owning the accessibility to purchase the product, moreover, due to the high brand equity of the products in the luxury goods segment, consumers also use them to showcase their lifestyle in the market. Furthermore, the rising employment and spending power among the Russians have provided the ingress to the consumers to purchase these premium products, for instance, consumer spending in Russia for 2021 was USD 886.41B, a 17.11% increase from USD 756.91B in 2020. According to the Russian Federal State Statistics Service, the employment distribution among consumers starts from the age group of 15 and ends beyond the age group of 70, eventually, the mid-age (25-40), consumers have the highest percentage share among the Russian population who are employed., thereby, due to the increased employment rate, consumers are availing the accessibility to purchase luxury goods.
Evolving Retailing Landscape with the Penetration of Online Channels
With the changing lifestyle of the consumers, the demand for luxury goods such as premium watches is also rising among them, this is because, of the fact that the utilization of these products enables the consumers with an extreme level of comfortability. Moreover, due to the premiumization factor of these products consumers trends to utilize them in their daily routine, likewise, the retailing segment has been playing a significant role in the selling of luxury products, such as, in 2020, the Russian brand WOS launched e-commerce at the start of the year and has seen online monthly sales grow 1000 percent between January and May. Eventually, the availability of different products in both offline shopping chambers and online retailing websites has added additional value to the purchasing as the consumers are been offered choices before the final purchase. Besides, the consumer can purchase different classes of watches, moreover, the utilization of these luxury watches promotes the self-esteemed of the individual, thereby, this factor has turned the consumers to purchase the products of their choices which has resulted in fueling the luxury goods market of Russia.
Russia Luxury Goods Industry Overview
Russia's Luxury Goods Market is highly volatile in nature, this is due to the presence of several domestic and international players in this sector. Thereby, the key players exhibiting their business in this segment are focusing on product development and product innovation to meet the consumer's preference to maintain the premiumization at their respective levels. Moreover, some of the top players who are leading with the market growth are Russkie Samotsvety Corporation, Rolex SA, NIKA jewelry watches, and Patek Philippe SA. Eventually, some of the other players are using mergers and acquisitions as their key strategy. The strategy to follow mergers and acquisitions by these top players is to sustain and secure a leading position in the industry, this will enable the companies to maintain dominance over other players, and also the companies can remain a strong competition for other players in the market.
Russia Luxury Goods Market Leaders
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Russkie Samotsvety Corporation
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Rolex SA
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NIKA jewelry watches
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Tiffany & Co.
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Patek Philippe SA
*Disclaimer: Major Players sorted in no particular order
Russia Luxury Goods Market News
- In 2021, The Russian company Alrosa completed the consolidation of its jewelry production and launched its first online jewelry store. The company's goal is to promote origin-guaranteed Russian diamonds, improve the user's experience, and combat fraud in the market.
- In 2021, Russian jeweler Sokolov has planned a dual listing in New York and Moscow 2023, its co-owner told Reuters, betting on strong revenue growth and the development of its retail network as it joins a raft of Russian companies pursuing market debuts. The major strategy behind its movement toward the initial public offering (IPO) is to expand the company's business.
- In 2020, & Other Stories opened its first store in Russia. The strategy behind the opening of its new establishment was to cater to consumers with several types of luxury goods such as bags, jewelry, and other products.
Russia Luxury Goods Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Porter's Five Force Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 By Product Type
5.1.1 Clothing & Apparel
5.1.2 Footwear
5.1.3 Jewelry
5.1.4 Watches
5.1.5 Bags
5.1.6 Other Types
5.2 By Distibution Channel
5.2.1 Single Brand Stores
5.2.2 Multi-Brand Stores
5.2.3 Online Stores
5.2.4 Other Distribution Channels
6. COMPETITIVE LANDSCAPE
6.1 Most Adopted Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Nika Watches Jewelry
6.3.2 Russkiye Samotsvety Corporation
6.3.3 Rolex S.A
6.3.4 Tiffany & Co.
6.3.5 EssilorLuxottica SA
6.3.6 Giorgio Armani S.p.A.
6.3.7 Fossile Group
6.3.8 Estee Lauder
6.3.9 Patek Philippe SA
6.3.10 Sokolov Jewelry
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. IMPACT OF COVID-19 ON THE MARKET
9. DISCLAIMER
Russia Luxury Goods Industry Segmentation
Luxury goods are products that are not essential but are highly desired and associated with wealthy or affluent people. The Russian luxury goods market is segmented by product type and distribution channel. By product type, the market is segmented into clothing & apparel, footwear, jewelry, watches, bags, and other types. By distribution channel, the market is segmented into single-brand stores, multi-brand stores, online stores & other distribution channels. For each segment, the market sizing and forecasts have been done based on value (in USD million).
| By Product Type | |
| Clothing & Apparel | |
| Footwear | |
| Jewelry | |
| Watches | |
| Bags | |
| Other Types |
| By Distibution Channel | |
| Single Brand Stores | |
| Multi-Brand Stores | |
| Online Stores | |
| Other Distribution Channels |
Russia Luxury Goods Market Research FAQs
What is the current Russia Luxury Goods Market size?
The Russia Luxury Goods Market is projected to register a CAGR of 5.60% during the forecast period (2024-2029)
Who are the key players in Russia Luxury Goods Market?
Russkie Samotsvety Corporation, Rolex SA, NIKA jewelry watches, Tiffany & Co. and Patek Philippe SA are the major companies operating in the Russia Luxury Goods Market.
What years does this Russia Luxury Goods Market cover?
The report covers the Russia Luxury Goods Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Russia Luxury Goods Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Russia Luxury Goods Industry Report
Statistics for the 2024 Russia Luxury Goods market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Russia Luxury Goods analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
