Luxury Goods - Nigeria

Nigeria

Highlights

Revenue in the Luxury Goods market amounts to US$795.60m in 2024. The market is expected to grow annually by 3.74% (CAGR 2024-2029).
The market's largest segment is the segment Luxury Eyewear with a market volume of US$188.40m in 2024.
In global comparison, most revenue is generated China (US$102bn in 2024).
In relation to total population figures, per person revenues of US$3.47 are generated in 2024.
In the Luxury Goods market, 4.2% of total revenue will be generated through online sales by 2024.

Key regions:

Definition:

The conceptual key to understanding luxury in marketing is exclusivity. This exclusivity is maintained mainly by a high price point but also by consciously limiting sales volumes and outlets. In the Consumer Market Insights, Luxury Goods encompass highly exclusive personal items that convey the taste and status of their owners. The market data presented here is based on an analysis of the financial filings of a set of market leading companies that target the luxury segments within the specified categories.

Structure:

The Luxury Goods market is divided in 5 markets.

Luxury Leather Goods covering handbags, suitcases and briefcases as well as small leather goods such as wallets.
Luxury Watches & Jewelry referred to as “hard luxury” to differentiate them from fashion and accessories, which are made from comparatively “soft” materials the overall definition of this segment follows broadly the Consumer Market Insights Watches and Jewellery Segment in the Accessories market, while here only sales of luxury brands are considered.
Luxury Fashion includes Luxury Apparel and Footwear including designer clothing and clothing accessories, that are made “ready-to-wear”, leather footwear, athletic footwear and sneakers as well as textile footwear, sandals and other shoes. The overall definition of this segment follows the Consumer Market Insights Apparel and Footwear markets, while here only sales of luxury brands are considered.
Luxury Eyewear is comprised of eyewear frames and sunglasses. The overall market definition follows the Consumer Market Insights Eyewear market, while here only the super-premium to luxury price range is considered, and lenses and contact lenses are excluded.
Prestige Cosmetics & Fragrances are comprised of Prestige Skin Care, Prestige Fragrances and Prestige Cosmetics (including the sub segments Eyes, Face and Lips all covering decorative cosmetics). The overall market definition is aligned with the Consumer Market Insights Beauty and Personal Care Cosmetics and Skin care markets, while here only the super- and ultra-premium range is considered, and hair care, oral care and personal hygiene products are excluded.

Additional Information:

The market comprises revenue and average revenue per capita, company shares and sales channels. Per capita figures refer to a countries or region’s whole population.

The most important players are shown as part of the competitive landscape and only companies with a revenue from more then 150 million US-Dollars per year are considered. Smaller companies and artisanal production unaffiliated with the covered companies are not included in the data. All market and company share data always refer to the retail value (including sales taxes). Sales of licensed brands (especially important in the Eyewear and Cosmetics segments) are attributed to the licensee, so for example, Hugo Boss fragrances are counted as Coty sales to avoid double counting.

Key players in this market include LVMH Moët Hennessy-Louis Vuitton SE, Kering SA, Compagnie Financière Richemont SA, The Estée Lauder Companies Inc. and Chanel Limited.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

Data coverage:
The data encompasses B2C enterprises. Figures are based on reported company revenue data from the main players of the market. The market data presented here is based on an analysis of the financial filings of a set of market leading companies that target the luxury segments within the specified categories and only companies with a revenue from more then 150 million US-Dollars per year are considered. Smaller companies and artisanal production unaffiliated with the covered companies are not included in the data.

Modelling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market. As a basis for evaluating markets, we use resources from the Statista platform as well as on in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. We evaluate the status quo of the market, monitor trends, and create an independent forecast regarding market developments of the global Luxury Goods industry. Since reporting standards vary widely between companies, an array of estimation techniques has been employed to harmonize the reported key performance indicators with the market definitions employed here. For example, among other indicators, the resident population of High-Net-Worth Individuals (abbreviated as HNWI, people with investible assets exceeding 1 million US-Dollars) has been used in combination the Google Trends relative search interest on each company to allocate sales geographically.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behaviour of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Luxury Goods market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:
The data is modelled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).

Personal luxury goods is the second-largest segment of the luxury industry after luxury cars. Encompassing luxury apparel, accessories, watches, jewelry and eyewear, the revenue of the personal luxury goods market has increased at a steady pace over the past decade, apart from the hiccup caused by the coronavirus (COVID-19) pandemic. The United States is projected to be the market leader in personal luxury goods with a revenue of about 83.3 billion U.S. dollars, followed by China. By 2028, the United States is expected to retain its position as the leading country where the personal luxury goods market generates the highest revenue worldwide. Parallel to this, American nationals make up the leading consumer group when it comes to luxury goods consumption.