3% drop in quarterly sales for LVMH due to China's thriving grey markets for luxury goods.

China's thriving grey markets for luxury goods, driven by economic challenges and price hikes, are impacting major brands like LVMH, which reported a 3% drop in quarterly sales. The grey market, valued at $57 billion annually, offers discounts up to 50% through platforms like DeWu, attracting consumers seeking cheaper options. This shift poses significant challenges for luxury companies as they struggle to maintain sales in a vital market.

October 21, 2024
7 Articles

Further Reading