United States Luxury Goods - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The united states luxury goods market size was valued at USD 112.68 billion in 2025 and is estimated to grow from USD 115.58 billion in 2026 to reach USD 131.34 billion by 2031, at a CAGR of 2.59% during the forecast period (2026-2031). This report is Segmented by Product Type (Clothing and Apparel, Footwear, Leather Goods, Jewelry, Watches, Beauty and Personal Care, Eyewear, and Home Décor and Fine Living Items), End User (Women, Men, and Unisex), and Distribution Channel (Single-Brand Stores, Multi-Brand Stores, and Online Stores). The Market Forecasts are Provided in Terms of Value (USD).

United States Luxury Goods Market Trends and Insights

Consumer emphasis on sustainability

Environmental responsibility has become a fundamental business requirement in the US luxury market. Luxury brands are adopting circular economy practices, with companies like Stella McCartney incorporating deadstock fabrics and recycled materials in their high-quality collections to reduce environmental impact. This approach demonstrates the industry's commitment to sustainable practices while maintaining premium quality standards. Moreover, a Stifel survey from October 2023 indicated that 22% of Generation Z and 20% of Millennial consumers in the United States make purchases exclusively from brands demonstrating sustainability practices or value alignment. This purchasing pattern has impacted the U.S. luxury goods market, prompting luxury brands to allocate resources toward ethical sourcing, environmentally friendly materials, and supply chain transparency in order to maintain their market position. For instance, in December 2024, Rolex introduced sustainable packaging for its watches, utilizing plywood and recycled cardboard materials, demonstrating how luxury brands can maintain their premium positioning while embracing environmental stewardship.

Influence of social media and celebrity endorsement

In 2024, Chanel teamed up with Hailey Bieber, while Louis Vuitton featured Zendaya in a 2025 campaign. Both collaborations, launched just 72 hours apart, saw a surge in search intent and conversions, each boasting double-digit percentage increases. In 2024, Swiss watchmakers, who had long relied on print media and sponsorships, made a strategic shift. They turned to TikTok and partnered with creators, leading to limited-edition drops. Collaborations with platforms like Hodinkee resulted in these exclusive items selling out in mere minutes. The influence of social proof on perceived scarcity is undeniable: when a celebrity dons a piece, prices for similar items in the secondary market can jump by 20 to 30 percent. Brands, keenly aware of this dynamic, strategically time their product releases to coincide with red-carpet events and award shows. The 0.3 percentage-point CAGR uplift is notably seen in short-cycle categories, fragrances, cosmetics, and small leather goods, where impulse buying is prevalent, and digital attribution is most accurate.

Availability of counterfeit products

In fiscal 2024, U.S. Customs and Border Protection (CBP) seized goods with a manufacturer's suggested retail price (MSRP) of USD 5.4 billion, marking a staggering 93% surge from the USD 2.8 billion seized in fiscal 2023. Notably, jewelry constituted a significant portion at USD 1.65 billion, followed closely by watches at USD 1.44 billion, and handbags at USD 1.09 billion. According to CBP, a staggering 90% of the seized counterfeit items, by quantity, originated from China and Hong Kong. These regions adeptly exploited express-consignment and de-minimis shipment channels, successfully evading traditional cargo screenings. In January 2025, Louisville CBP officers underscored the magnitude of the illicit trade by seizing 28 shipments of counterfeit jewelry, collectively valued at an MSRP of USD 27.5 million. This highlights the scale of counterfeit operations flowing through regional hubs. Further emphasizing the trend, Buffalo Port intercepted 14 counterfeit Rolex watches in July 2025, with a combined value of USD 257,000, spotlighting the allure of high-value items to organized crime networks. The -0.35 percentage-point CAGR drag on the market can be attributed to revenue leakage. Consumers, often unaware, purchase counterfeits either online or through third-party marketplaces, inadvertently diminishing legitimate sales. Moreover, brand dilution occurs as these subpar fakes tarnish the perceived exclusivity of genuine products.

Other drivers and restraints analyzed in the detailed report include:

• Increasing strategic investment and initiatives propelling the market
• Product innovation in terms of raw material and design
• Lesser demand from price-sensitive consumers

Segment Analysis

In 2025, the clothing and apparel sector captured 32.29% of the market share, driven by a fusion of casual wear and athleisure that combines luxury with performance. Meanwhile, leather goods, bags, and small leather accessories are on a growth trajectory, expanding at an annual rate of 2.76% through 2031, marking the fastest pace among product categories. Handbags, with their higher average unit retail and frequent repeat purchases, outpace ready-to-wear items. Tapestry's Coach brand celebrated mid-teens average unit retail gains in fiscal 2025, as consumers gravitated towards its signature leather lines. In contrast, Kate Spade faced a 10 percent revenue dip, attributed to its reliance on promotions in the nylon and canvas segments. Jewelry and watches command a notable market presence, underscored by Chopard's Alpine Eagle TimeForArt 2024 edition and Rolex's Land-Dweller 2025, boasting 32 new patents, a testament to how innovation bolsters pricing power. The beauty and personal care sector, spanning fragrances, cosmetics, and skincare, witnessed mid-single-digit growth in 2024 and 2025. This uptick was largely fueled by Estée Lauder's Balmain Beauty debut in August 2024 and Jo Malone's AI Scent Advisor launch in December 2025, both of which curbed return rates and enhanced conversions.

Footwear and eyewear, while holding smaller market shares, showcase unique trends. Tapestry's February 2025 divestiture of Stuart Weitzman for USD 105 million underscores the challenges faced by footwear brands without vertical integration, especially when pitted against conglomerate-backed competitors. Eyewear enjoys the advantage of prescription-driven repeat purchases and licensing deals, enabling brands to profit from their intellectual property without the burden of inventory. However, online disruptors like Warby Parker have introduced margin pressures. Home décor and luxury items cater to a niche audience, primarily ultra-high-net-worth individuals with multiple residences. In 2024, charm bracelets surged in popularity, with Lyst noting a 150 percent spike in search volumes. Dior, capitalizing on the trend, reported a staggering 750 percent increase in charm-related queries, highlighting the potent influence of social media in driving fleeting demand surges.

Complete Report Scope:

• By Product Type
  • Clothing and Apparel
  • Footwear
  • Leather Goods (Bags and Small Leather Accessories)
  • Jewelry
  • Watches
  • Beauty and Personal Care (Fragrances, Cosmetics, Skincare)
  • Eyewear
  • Home Décor and Fine Living Items
• By End User
  • Women
  • Men
  • Unisex
• By Distribution Channel
  • Single Brand Stores
  • Multi-Brand Stores
  • Online Stores

List of Companies Covered in this Report:

• LVMH Moët Hennessy Louis Vuitton SE
• Kering SA
• Compagnie Financière Richemont SA
• Chanel Limited
• Hermès International SA
• Capri Holdings Ltd.
• Tapestry Inc.
• Rolex SA
• The Swatch Group Ltd.
• Patek Philippe SA
• Estée Lauder Companies Inc.
• L’Oréal SA
• PVH Corp.
• Moncler S.p.A.
• Canada Goose Holdings Inc.
• Giorgio Armani S.p.A.
• Breitling SA
• Prada SpA
• Burberry Group plc
• Ralph Lauren Corporation

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support