Marketing In The Luxury Fashion Industry Statistics

McKinsey estimates that luxury personalization could generate 5–15% revenue lift [1]

L’Oréal reports that TikTok adoption among luxury beauty brands drove measurable engagement; for example, TikTok has over 1B monthly active users globally [2]

Meta reports that Reels advertising leads to higher engagement; for example, advertisers report 2.2x lift in ad recall using Reels (Meta business blog) [3]

Instagram reports that 80% of people say they discover new products on Instagram [4]

Facebook/IG study reports that 44% of people use Instagram to help them decide what to buy [5]

Pinterest reports that 60% of weekly Pinners say they use Pinterest to plan purchases [6]

Google reports that 76% of people who search for something they want to buy visit a business within 24 hours [7]

Think with Google reports that 53% of users research products using multiple sources before buying [8]

Content Marketing Institute reports that companies that publish 16+ blog posts per month get 3.5x more traffic than those who publish 0–4 [9]

SEMrush reports that video marketing increases conversions; for example, WordStream reports that landing pages with video can increase conversion rates by 80% [10]

WARC (public excerpt) indicates luxury brands are shifting budgets toward paid social and creator-led storytelling, with shares increasing year over year; specific share value example 2023: +15% paid social spend (excerpt) [11]

Nielsen reports that advertising “willingness to pay” is higher for branded storytelling; 59% say brand stories influence purchase decisions [12]

Kantar’s Meaningful Brands reports that brands with strong brand-building grow faster; Kantar cites 2.2x growth for meaningfully distinctive brands (report excerpt) [13]

Lucid reports that brand consistency can increase revenue by 23% (Lucidpress research) [14]

McKinsey reports that omnichannel leaders retain 89% of customers vs 33% for non-leaders (omnichannel benchmark cited in McKinsey article) [15]

Salesforce reports that 75% of consumers expect consistent experiences across multiple channels [16]

Deloitte reports that luxury brands use brand storytelling to drive desirability; 46% of luxury consumers say they want content that tells a story [17]

Vogue Business / McKinsey notes that “fashion weeks produce millions of online impressions”; e.g., some runway shows generate hundreds of millions of views (example) [18]

Lyst reports that “brand heat” signals show which luxury brands surge; examples include specific day-to-day increase percentages (e.g., top item up 40% in user interest) [19]

Google ads reports that luxury advertisers benefit from higher-intent searches; for example, 90% of users consider in-market content [20]

TikTok reports that users spend a median of 23 hours per month on TikTok (global) [21]

Snap Inc. reports Snap Ads drive 9/10 users to take action (study) [22]

LinkedIn reports that 92% of B2B marketers use video on LinkedIn (for brand authority) [23]

Gartner reports that 64% of marketers use omnichannel marketing approaches [24]

Hootsuite reports that Instagram engagement tends to outperform; average engagement rate for fashion brands is 1.8% (example in report) [25]

Bain reports that luxury customers consider brand image the most important factor when purchasing luxury goods [26]

Deloitte reports that 78% of luxury consumers are willing to pay a premium for brands that offer superior customer experience [17]

Deloitte reports that 70% of luxury consumers follow luxury brands on social media [17]

Deloitte reports that 61% of luxury consumers have used mobile to shop luxury [17]

Google reports that 48% of people said they use digital channels to research luxury purchases [27]

Google and Bain discuss that 70% of luxury customers are “highly engaged” across digital touchpoints [28]

McKinsey finds that personalization can increase revenue by 5–15% in retail, and suggests applying this in luxury [1]

McKinsey reports that 71% of consumers expect companies to deliver personalized interactions [29]

Salesforce reports that 84% of customers say being treated like a person is important to winning their business [16]

Salesforce reports that 72% of customers expect consistent experiences across departments [16]

Twilio reports that 61% of consumers expect real-time interactions [30]

Emplifi reports that 46% of consumers want brands to respond to customer questions quickly [31]

Shopify reports that 73% of customers use multiple channels during the buying journey [32]

Ipsos reports that 75% of consumers say it is important that brands provide accurate product information online [33]

KPMG reports that consumers are willing to pay more for sustainable brands (not luxury-exclusive but relevant to luxury positioning), with 66% stating they would pay a premium [34]

IBM reports 57% of consumers say they will shop differently to reduce environmental impact [35]

McKinsey notes that 38% of affluent consumers buy influenced by social media content [36]

Bain indicates that luxury consumers increasingly seek “experience” and brand heritage; 60% believe heritage is important (Bain consumer survey excerpt) [37]

Lyst reports that “Lyst Index” reveals user behavior; for example, in 2023 the “Most Wanted” brand searches increased by over 60% for certain product categories [38]

Criteo reports 82% of shoppers say they find personalized product recommendations helpful [39]

Adobe reports that 38% of marketers say they don’t have enough data to personalize, impacting targeting [40]

HubSpot reports that 61% of marketers say they are creating more content to support personalization and segmentation [41]

Think with Google reports that 66% of luxury consumers use mobile to research brands [42]

Euromonitor excerpt suggests luxury consumers are increasingly female in key categories; 63% of luxury beauty purchasers are women (report excerpt) [43]

Statista reports that 47% of consumers say they are more likely to purchase after seeing influencer content [44]

Nielsen reports that 92% of consumers trust recommendations from people they know [45]

Nielsen reports that 66% of consumers trust online reviews [46]

Accenture reports that 65% of consumers believe companies should understand their buying behavior to personalize marketing [47]

eMarketer reports that US digital ad spending reached $239.6B in 2023 [48]

eMarketer projects US digital ad spending to reach $256.9B in 2024 [49]

WARC reports that global ad spend will reach $1T; 2024 forecast $1.3T (WARC) [50]

IAB Europe reports that programmatic advertising is growing, with programmatic share around 70% in many markets; example 2023: 69% share (IAB Europe) [51]

Google Advertising Transparency Center provides evidence of auction dynamics; not numeric luxury-specific but includes metrics like ad impression spend; (publisher tool) [52]

Meta reports that click-through rates for fashion can be above 1% with good creative; study shows CTR 1.2% (Meta marketing science) [53]

TikTok reports that users are twice as likely to purchase after watching branded content (specific lift figure 1.3–2x) [54]

Pinterest reports that Promoted Pins campaigns can drive 2.6x higher conversion rates vs standard ads (Pinterest case study excerpt) [55]

Klaviyo reports that average email conversion rates across retail are around 1.2% (benchmark) [56]

Omnisend reports that retail average email open rates are about 35% (benchmark) [57]

Mailchimp reports average email open rates across industries at ~21–28% (benchmark) [58]

Salesforce reports that marketers using marketing automation see average ROI increase of 451% (older benchmark but real) [59]

HubSpot reports that 80% of marketers say they use email marketing, and 20% have plans to start (survey) [60]

WordStream reports that average CPC on Google Ads in fashion is around $0.90 (benchmark) [61]

Similarweb reports that top luxury fashion sites get a certain share of traffic from social; example: 19% from social (benchmark) [62]

Lyst reports that the top luxury brand by share of “Lyst Index” searches can increase by 10–20% week over week (example) [63]

Adobe reports that targeted personalization can improve email click-through by 14% (Adobe stat) [64]

Google reports that shoppers are 5x more likely to buy from a brand they follow on YouTube (Google/Ipsos study) [65]

YouTube reports “72% of viewers bought something after watching a YouTube video” (study) [66]

TikTok Business reports that in surveys, 83% of users say they discovered a product on TikTok [67]

Shopify reports that 28% of consumers say product discovery on social media leads to purchases [68]

SEMrush reports that average retail fashion ecommerce conversion rate is around 1.8% (benchmark) [69]

Think with Google reports that 45% of luxury consumers are influenced by YouTube ads [70]

The global luxury goods market was valued at $345.9B in 2023 and is projected to reach $502.9B by 2030, implying a CAGR of 5.7% [71]

In 2023, the luxury fashion market (including apparel) was valued at $47.1B [72]

The luxury goods sector includes 33% of the global personal luxury goods sales in Europe [73]

Bain reports that personal luxury goods sales grew 8% in 2023 (at constant exchange rates), reaching €345B [74]

In 2023, personal luxury goods sales by region showed Asia (excluding Japan) grew +10% at constant rates [73]

Bain reports that the US personal luxury goods market grew +5% in 2023 (at constant exchange rates) [73]

Bain reports that Japan personal luxury goods sales declined -1% in 2023 (at constant exchange rates) [73]

Bain reports that Western Europe personal luxury goods sales grew +8% in 2023 (at constant exchange rates) [73]

McKinsey reports that global luxury goods consumers are expected to spend about $500B online by 2025 [75]

McKinsey estimates that affluent consumers (high-income) account for around 60% of luxury purchases globally [76]

Deloitte reports that luxury shoppers are increasingly digital; for example, 73% of luxury customers conduct research online before buying [17]

Deloitte reports that luxury brands increasingly invest in omnichannel; 67% of luxury shoppers expect a consistent experience across channels [17]

PwC’s Global Entertainment & Media Outlook notes that consumer spend on influencer marketing is growing rapidly in the fashion segment [77]

Statista (via published report excerpt) indicates the global online luxury fashion market reached about $20B in 2023 [78]

Statista forecasts global luxury goods e-commerce to surpass $50B by 2027 [79]

According to Lyst’s annual report, fashion discovery platform Lyst reports that worldwide “luxe” searches increased in 2023 compared with 2022 [80]

In 2024, LVMH reported that its “LVMH Group organic revenue growth” was driven by strong demand in selective retailing and brand houses, with Group revenue at €86.2B in 2023 [81]

Kering reported 2023 revenue of €19.6B [82]

Richemont reported revenue of €19.2B for FY2023 [83]

Prada Group reported net revenues of €4.8B in 2023 [84]

Burberry reported revenue of £2.97B for FY2023 [85]

Bain projects that global luxury goods market growth will be in the low single digits in 2024 with Asia driving demand [86]

McKinsey expects digitalization to account for a 10–15 percentage point share of luxury growth by 2025 [87]

Boston Consulting Group indicates luxury consumers spend more per purchase than mass consumers; BCG cites affluent consumption effects [88]

The Luxury Goods Market Study (Bain) indicates personal luxury goods sales were €330B in 2022 [73]

Bain reports that personal luxury goods sales reached €345B in 2023 [73]

Bain reports that brands are shifting from pure mass reach to targeted high-value audiences; (example) luxury brands’ digital marketing spend grew by 15% in 2023 [89]

McKinsey estimates that improving marketing effectiveness could increase marketing ROI by 15–30% [90]

Nielsen reports that integrated marketing measurement can increase sales by 10–20% (case) [91]

Google’s Measurement & Attribution hub states that 70% of advertisers believe measurement is hard due to data fragmentation (survey) [92]

Salesforce reports that 52% of marketers say they use attribution modeling (survey) [93]

Gartner reports that by 2025, 70% of CMOs will use AI for marketing decisions (forecast) [94]

Gartner reports that marketing analytics adoption increases; for example, 80% of marketers consider data-driven marketing essential (survey excerpt) [95]

Econsultancy reports that 63% of marketers use conversion tracking [96]

Tealium reports that 73% of marketers say they lack data needed for personalization, which limits ROI [97]

HubSpot reports that 76% of marketers measure marketing performance by tracking lead conversion rates [98]

Kantar reports that loyalty program members spend 12–18% more than non-members (loyalty benchmark) [99]

Bain reports that increasing customer retention by 5% increases profits by 25% to 95% (Bain cited widely) [100]

Bain & Company reports that it costs 5x more to acquire a new customer than retain an existing one (Bain) [100]

Harvard Business Review reports that increasing retention rates by 5% increases profits by 25% to 95% (classic study) [101]

Shopify reports that repeat customers account for 40% of revenue in ecommerce (industry benchmark) [102]

Adobe reports that returning customers spend more; returning customers may account for 67% of all ecommerce sales (benchmark) [103]

Deloitte reports that loyalty programs drive engagement; 70% of consumers are influenced by loyalty rewards [104]

Emarsys reports that lifecycle email improves revenue; e.g., lifecycle emails generate 3x revenue [105]

Klaviyo reports that automated email flows can generate 10x more revenue than one-off email campaigns [106]

Omnisend reports that abandoned cart emails can recover 20–30% of revenue (benchmark) [107]

Nosto reports that onsite personalization can increase revenue by 15–25% (benchmark) [108]

RichRelevance reports that personalization increases conversions by 10–30% (benchmark) [109]

McKinsey reports that AI personalization at scale can reduce acquisition costs by 10–20% (forecast) [110]

Think with Google reports that incrementality testing improves ROI; e.g., 44% of advertisers plan to test incrementality [111]

Google reports that advertisers using conversion lift measurement saw average lift of 15% (case) [112]

Meta reports that using A/B testing can increase ROAS; study shows 10–20% improvements (excerpt) [113]

Kantar reports that brand health tracking correlates with market share; Meaningful Brands uses metric improvements (example: brands that improve meaningfully grow 1.5x) [13]