Global sales of personal luxury goods are expected to bounce back this year, says a study by consultancy firm Bain. It will be fueled further by domestic spending in the United States and China, particularly on high end shoes, leather goods and jewelry. Shoppers under 40 are expected to account for more than 60 per cent of luxury purchases this year and more than 70 per cent by 2025. Brands are attracting a new customer base with strong marketing and online campaigns, while existing customers are buying more.

Business in the US, which this year overtook Europe as the largest market, got a boost by early vaccination campaigns and a quick rebound in local consumption. Demand in China, the growth engine of the luxury industry, remained strong through October despite lockdowns in some areas, as the Chinese -- unable to travel abroad -- made purchases in their home market. In Europe, business is yet to return to pre-Covid levels, and may take until 2024 to do so, despite a pick-up in tourist activity over the summer. The largest players in the industry have already recovered strongly from the crisis, pushing well above 2019 levels of business as lockdowns ease and socialising resumes.