Despite the publicly documented doom and gloom of the last five years, the luxury goods market continues to defy the odds.
“Luxury” is defined by the Oxford English Dictionary as “a state of great comfort or elegance, especially when involving great expense.”
The lure of luxury is put into context by a recent Daily Telegraph article, which reports that in 2012 a total of 169 superyachts were sold worldwide, for approximately £3bn. Citing Superyacht UK data, the Huffington Post also reports that superyacht sales in the UK rose 3.9pc between 2012 and 2013 to £442m. The Asian and US markets have proved especially resilient, with Bloomberg identifying Asia as an emerging market for both shipyards and brokers.
The aviation sector too is no exception, with the UK in particular seeing an increase in the sale of private jets. A Reuters report notes that more private jet sales were supplied in Britain during the recession period than any other European country. Specifically sales in Britain between the period 2007 – 2011 increased 50pc on sales taking place between 2002 and 2006.
Indeed other luxury goods are also proving their ability to withstand economic meltdown. The LVMH group (whose brands include Louis Vuitton and Moët), and Rolls Royce continue to report buoyant sales figures, with the latter selling more cars in 2011 than ever before.
Aside from the aviation, superyacht, automobile and fashion markets, the cosmetics industry has also proved stoic during the economic downturn. Companies such as L’Oreal and Beiersdorf have reported positive sales figures, appearing to ride the recession wave. The industry’s success could be attributed to Lauder’s “lipstick index,” which suggests that small luxuries such as lipsticks are more likely to be purchased during difficult financial periods, first observed during the 1930s Great Depression.
Here at Bargate Murray, our award winning Superyacht and Aviation Group is on hand to assist with all maritime and aircraft related matters. With a long standing commitment to client care and competitive rates, we can ensure a sterling service for matters of all shapes and sizes. Clients can expect a personal and commercial practical based approach in the sale, purchase and enjoyment of luxury goods (generally excluding cosmetics!)