The Slump In The Luxury Sector Will Continue To Slump.

Although many luxury brands are very optimistic about the economic situation in the current financial year, many brands of CEO also believe that the brand will continue to grow.

But a recent report from foreign media predicts that the slump in the luxury sector will continue to slump in the current 2016 fiscal year.

In addition, the report also points out that

Consumers began to treat luxury consumption with wait-and-see status, and even many consumers waited for the discount season to start buying. In the past, the characteristics of "buy and sell" were catalyzed by the reasons of economic slowdown and strong dollar, and turned to a calm and cautious attitude.

To a certain extent, this reflects the prudence of consumers, and it also proves that the main reason for the negative growth of the luxury goods industry in the current fiscal year 2016 is recorded.

It is reported that in the 2015 fiscal year, the global luxury industry recorded an increase of 1.5% to 250 million euros, but as a result of the low growth of luxury goods, the US and China market will forecast a decrease of about 1%.

The foreign media who conducted the survey said that the 2016 fiscal year will be a year of low growth in the luxury goods industry.

In the past few weeks, many luxury brands and chain corporation have released the report of the current quarter. Although a few brands have recorded growth, negative growth is the current norm for the luxury goods industry.

At the same time, because of the influence of the US dollar exchange rate, it has also led to Europe and China.

This report predicts that, in the current fiscal year 2016, 35% of the decline will be reflected in the sales volume of these markets, and in the coming days, the decline may be reduced to 25%.

In the report, it was specifically pointed out that the global price of luxury goods is not uniform.

The selling price is much higher than that of the overseas market. Even though some brands have adopted the strategy of lowering the pricing, the price of the European and American markets and the Asia Pacific region still has a gap of 30%, because the Hongkong market has become a "freezer", which has further reduced the number of visitors to Hong Kong.

At the same time, visitors to Europe have improved, promoting the growth of European luxury goods sales.

However, this trend has also led to a further reduction in luxury consumption in the Chinese market.

In this regard, many luxury brands have chosen to lower market expectations for the current fiscal year 2016.

For example, UBS investment bank reduced Cartire and Swatch group's profit target by 7% and 9% respectively.