蘑菇AV

Gucci sales slid 25% in Q1: The brand鈥檚 struggles put parent company Kering in a tough spot as it attempts to navigate a slowdown in luxury goods spending.

"Department stores are getting a bad rap," said our analyst Suzy Davidkhanian on a recent episode of "Behind the Numbers." "The way that department stores were structured as this one-hit wonder shop where you could find every single thing under one roof is a fallacy." Department stores are in a tough spot, as Hudson BAy鈥檚 recent bankruptcy shows. But ones that embrace new kinds of experiences, like the newly opened Printemps luxury department store in New York City's Financial District, might have the right idea for the future of department stores.

2025 could be another tough year for luxury companies: LVMH鈥檚 rough Q1 reveals considerable challenges as US spending drops.

Prada鈥檚 Versace deal comes at a difficult time for the luxury industry: Tariffs are threatening brands鈥� access to US consumers, while recession fears could trigger more conservative tastes.

HBO's hit show 鈥淭he White Lotus,鈥� is extending its off-screen influence with a series of retail partnerships. Though the show revolves around miserable rich people on vacation, it keeps viewers engaged with fashion, scenery, and unattainable luxury. Brands including Banana Republic, H&M, and Kiehl鈥檚 have seized the opportunity.

72.6% of US luxury buyers surveyed in August 2024 planned to spend the same amount or more on personal luxury goods over the next year, according to an 蘑菇AV and Bizrate Insights survey.

Luxury brands shake up their creative ranks: While Gucci is betting on provocateur Demna to revitalize its brand, Versace opts for a steadier path.

A lot happens in a week, so every Friday we're going to analyze all the new data and provide you with some of the key takeaways. Welcome to the Friday 5. This week, the economic blackout day made an impact, ecommerce buoys beauty, and luxury spending continues.

Prada nears 鈧�1.5 billion deal to acquire Versace: The move would give the luxury company broader appeal as spending cools.

Social commerce has the potential to go mainstream for luxury. More than 40% of respondents overall said they had used or were interested in using social media channels to buy luxury products.

Less than a third of US consumers with a household income of more than $100,000 see fast food as a luxury, compared with 71% of consumers with an income of less than $30,000, according to April 2024 data from LendingTree.

Refined luxury thrived during the holidays: Shoppers splurged on timeless pieces from Coach and Ralph Lauren but held back on bolder, flashier styles from Versace and Michael Kors.

The explosive rise of dupe videos鈥攚here shoppers hunt for budget versions of luxury items鈥攊s reshaping how retailers compete for customers. With rising financial pressures, shoppers are increasingly turning to store brands and lower-priced alternatives that mimic higher-end products. This shift is not just a matter of necessity but has also evolved into a culture where consumers proudly share their budget-friendly finds.

LVMH beat analysts鈥� middling expectations in Q4: But the company鈥檚 1% growth suggests the luxury sector may take some time to bounce back.

Burberry鈥檚 holiday resurgence is an encouraging sign for luxury brands: The company鈥檚 focus on core products won over US shoppers, although a full recovery is a long way off.

Thailand finds itself in the luxury spotlight as China鈥檚 luster fades: The country鈥檚 booming luxury travel market and growing number of ultra-wealthy shoppers is heightening the appeal.

Department stores are the most popular destination for personal luxury goods purchases, with 44.5% of US adults shopping in-person and 33.2% shopping on department store websites or apps, according to 鈥淭he 蘑菇AV Luxury Survey鈥� conducted by Bizrate Insights in August 2024.

The divide between top-tier brands and the rest of the luxury industry is widening: Companies like Brunello Cucinelli are outpacing the market as wealthy shoppers spend freely.

Luxury ecommerce gets a boost from wealthy shoppers: Our Industry KPIs data shows that spending from top-tier consumers offset softening aspirational demand.

But in luxury goods, men are slightly ahead at 12.9% compared with 11.0% for women. The 45-to-54 age group leads online clothing purchases, while younger demographics dominate luxury and accessories. Gen Xers in the 45- to 54-year-old range report the highest percentage of online clothing purchases (82.7%), closely followed by 25-to-34s and 35-to-44s (both groups at 79.9%), per our survey with ESW.

Only 47% of luxury consumers plan to spend the same or more on luxury goods over the next three months鈥攁n 11-point drop since January and the lowest level since tracking began in April 2023.

The brand鈥檚 affordable luxury ethos is resonating strongly as consumers grow increasingly skeptical about designer brands鈥� value proposition and turn to lower-cost dupes.