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Our take: Delta has ample reason to be optimistic鈥攕pending from wealthy consumers has been resilient across sectors, from CPG to luxury, as easing inflation and stock market gains boost sentiment.

The number of these consumers, who have assets worth more than $30 million, is expected to grow 50% between 2023 and 2028, making the country a particularly lucrative opportunity for luxury brands. India鈥檚 luxury market is expected to grow between 15% and 25% annually for the next seven years, per Barclays.

Because you were in all these different touch points, it really felt like you were, I didn't really think about it as a budget brand necessarily, being bootstrapped quite as much as it was because it had a luxury feel like you would thought about all the different touch points and connecting the stories. Aron North:.

Makeup and fragrances, high-priced fashion staples, and super luxury brands are Gen Z鈥檚 favorite categories for dupes, according to Cafeteria, an app that connects teens with brands. Products meant to last, like coats and jewelry, or with high name brand recognition, like Nike, are less popular as dupes.

Its turnaround strategy includes shuttering 150 stores and focusing more heavily on luxury and beauty. Reports that Walgreens may sell itself to private equity firm Sycamore Partners could prompt the struggling chain to shutter even more locations鈥攊t鈥檚 already planning to close 14% of its US stores over three years.

Luxury resale has been growing at a much faster pace than the overall luxury retail sector. The global market for pre-owned luxury goods was forecast to reach 鈧�43 billion ($45.21 billion) in 2022, according to Bain & Company and Altagamma鈥檚 annual luxury study. That鈥檚 more than double the market鈥檚 size in 2017.

Paramount's extensive localization efforts for "Gladiator II," including country-specific promotions and luxury partnerships, demonstrate the evolving sophistication of international marketing.

While it makes sense for Ralph Lauren to lean into luxury, transforming its brand perception will take time.

High-income travelers present a travel media opportunity for luxury brands, who can reach consumers that may be more likely to buy premium products by targeting consumers who opt for higher-tier airline seats, rideshare options, and hotels. Drivers: 71% of traveling US adults plan to use a car this holiday season, making the transit method more than twice as popular as planes (31%), per CivicScience.

Notably, while the majority of its sales still come from the US, Revolve reported robust Q3 international sales growth of 20% YoY, even in China鈥攁 region that dragged down many luxury players this year.

Gucci entered resale earlier this year by partnering with luxury resale platform Vestiaire Collective. The brand encouraged consumers to take their Gucci bags to participating stores for evaluation. Then, customers could sell the items for store credit.

I think as the pool of creators and influencers has expanded significantly over the past couple of years, marketers are now in a position where they have the luxury of choice in terms of who to work with. But I think it has also made it a lot more difficult for brands to sort through and determine who is the right partner for them.

Two solutions to boost sales could be adding inexpensive standard features that feel like luxuries or cutting unnecessary features to appeal to those looking for a simple daily driver. The unknown factor: President-elect Donald Trump. Until Trump takes office, automakers are in a holding pattern as they wait to see if he enacts tariffs on imported goods or eliminates the EV tax credit.

Cyber Monday in particular 鈥渨as a day for splurge purchases,鈥� said Caila Schwartz, Salesforce director for consumer insights, with considerable growth in the luxury handbag and apparel categories.

Brands also have the luxury of choice. While there are now fewer overnight TikTok sensations, the market has become saturated with creators looking to score brand deals. That gives marketers the upper hand during negotiations, and they鈥檙e using it to propose more 鈥渃reative鈥� solutions, like affiliate marketing and content licensing deals, which cost less but can provide more measurable performance.

A tough environment: Flagging sales in China have already taken a toll on categories such as luxury, beauty, and QSR. Beer is proving no exception. Carlsberg CEO Jacob Aarup-Anderson told the Financial Times that China鈥檚 economic stimulus measures haven鈥檛 had an effect on the 鈥渟ignificant deterioration鈥� in consumer sentiment. He鈥檚 also uncertain that the climate will improve next year.

"Early on in that post-pandemic environment, we saw value chains like Planet Fitness, Crunch Fitness, etc., doing really, really well and more luxury chains not seeing the same recovery," Chernofsky said. "Now鈥�we're actually seeing that success spread out. That tells us that there is a segment that is really set up for the consumer, where so many people can find their lane within a segment.".

President-elect Trump鈥檚 plans to cut EV incentives and expand oil production could drive up vehicle costs, undermining Biden鈥檚 clean-energy policies.

While there are signs that US consumers are cooling on full-price luxury, secondhand players like The RealReal and thredUP have an opportunity to attract aspirational shoppers who can鈥檛 pay the retail price but still want to purchase name brands. Go further: Check out our US Online Fashion Resale report.

Among eight categories, luxury and jewelry had the highest cart abandonment rate, at 81.4%, and consistently experienced the highest rates, averaging around 80% in the 12 months ending July 2024. Given the high price points and longer consideration times of luxury purchases, it鈥檚 not surprising the category has the highest cart abandonment rates.

The extra mile: Clienteling is a popular tool among luxury brands that want to provide a best-in-class customer experience in and out of the store. Italian luxury brand Zegna teamed up with Microsoft Azure to launch Zegna X, an AI-powered clienteling platform that lets customers mix, match, and visualize different clothing items.

Beauty products offer an accessible way for Gen Z consumers to explore luxury brands without making a major purchase. We forecast personal luxury sales of cosmetics and beauty products will increase by 12.7% this year to reach $5.99 billion. What it means: Gen Zers are perfectly happy using dupes instead of more expensive products if the end result is the same.

While maintaining the high-income preference for quality, these consumers may combine luxury purchases with value-seeking behaviors, having been influenced by ultra-low pricing from platforms like Temu and Shein.

More than three-quarters (78%) of consumers viewed fast food as a luxury, an April LendingTree survey of just over 2,000 people found. Those earning $30,000 felt particularly stretched. Households with annual incomes of less than $50,000 were curbing eating out, per an August Ipsos survey.

鈥淭he truth is simple,鈥� says Thoma茂 Serdari, PhD, a professor of marketing and the director of NYU Stern鈥檚 Luxury and Retail MBA program, told Vogue Business. 鈥淭here鈥檚 so much digital noise that early movers are hoping to get the customer鈥檚 attention away from the digital landscape and in a 鈥榮low鈥� mode of consumption.鈥�.