Luggage Market Overview
The global luggage market generated revenue of $30,967.0 million in 2014 and is predicted to reach $43,356.0 million in 2020, progressing at a CAGR of 5.5% during 2015–2020. The changing lifestyle, increasing urbanization rate, prospering tourism industry, growing business activities, and increasing number of high-net-worth individuals are some of the key factors driving the growth of the market across the globe.
Based on product, the luggage market has been categorized into casual bags, travel bags, and business bags. Among these, the travel bags category held the largest share in the market in 2014. The increasing leisure and travel activities are boosting the growth of the travel bags category in the market. The largest market for travel bags in 2014 was Asia-Pacific (APAC).
On the basis of distribution channel, the luggage market has been classified into specialist retailers, factory outlets, internet sales, and others, which includes discounters, supermarkets, hypermarkets, and small independent retailers. Of these, the others category held the largest share in the market in 2014. The key reason for the high luggage sales via this distribution channel is that people prefer shopping for almost all categories of products under one roof.
Luggage Market Dynamics
The growing demand for ultra-lightweight luggage is one of the major trends being observed in the luggage market. Lightweight luggage is easier to carry and handle and provides comfort to customers. Luggage companies are utilizing raw materials, such as polycarbonate resins, to decrease the weight of the luggage. Polycarbonate and other high-tech plastics form the hard sides of luggage, as they are strong and lightweight. Moreover, they also help reduce the overweight charges on airplanes.
The expanding tourism industry is primarily driving the growth of the market worldwide. The changing recreation patterns and increasing disposable income of the global population are the major reasons for the growth of the travel and tourism industry. From 2010 to 2013, Europe was the largest tourism destination, followed by Asia-Pacific. As luggage is an important part of travel and tourism activities, this factor is fueling the growth of the luggage market.
Luggage Market Competitive Landscape
The luggage market is fragmented and highly competitive in nature with the presence of a large number of market players. Key players are primarily focusing on mergers & acquisitions and new product launches to expand their market foothold. For instance, in February 2015, Samsonite International S.A. acquired Rolling Luggage, a global manufacturer of travel products and airport retailer of branded luggage, for $23.7 billion. Through this acquisition, the company has strengthened its multi-brand retail program and increased its share in the growing travel retail market.
The major companies operating in the global luggage market include Tumi Holdings Inc., VIP Industries Ltd., MCM Worldwide, Samsonite International S.A., Briggs & Riley Travelware, Rimowa GmbH, VF Corporation, and Louis Vuitton Malletier S.A.
Key Questions Addressed/Answered in the Report
What is the current scenario of the global luggage market?
What are the historical size and present size of the categories within the market segments and their future potential?
What are the major catalysts for the market and their impact during the short, medium, and long terms?
What are the evolving opportunities for the players in the market?
Which are the key regions from the investment perspective?
What are the key strategies being adopted by the major players to expand their market share?