According to the 19th edition of the Bain & Company Luxury Study, in 2020 the core personal luxury goods market contracted for the first time since 2009, falling by 23% year-on-year to a value of €217bn. “It has been a year of profound global change in the way we live, the way we shop and what we value,” the report said. “Tourists have remained at home, changing how, when and why they purchase luxury products.”

But it has not been all bad news: online shopping for luxury goods doubled its share of the market from 12% in 2019 to 23% in 2020. Online sales of luxury goods totalled €49bn in 2020, up from €33bn the previous year.

The rest of the industry is facing much heavier losses, with the closure of non-essential stores and economic uncertainty among consumers causing many businesses to suffer. It is anticipated that recovery to 2019 levels could occur by 2022–23, with a 50% recovery on lost profits expected in 2021.