Leather Goods Market Size to grow by USD 90.98 billion between 2023-2027
According to a research report “ Leather Goods Market” by Product (Footwear, LBWP, Others) Distribution Channel (Offline, Online) Geography (APAC, North America, Europe, South America, Middle East and Africa)- Global Forecast to 2027 published by Technavio, the market size is estimated to grow by USD 90.98 billion, at a CAGR of 6.24% during the forecast period. The global leather goods market has witnessed significant growth in recent years, fueled by the rising number of fashion-conscious consumers, particularly in developing regions. Luxury leather goods vendors, including LVMH, Hermès, and CHANEL SAS, target this demographic through strategic marketing in fashion publications. Celebrity endorsement is a prominent marketing tool, with LVMH utilizing high-profile influencers such as Jennifer Lopez, Kate Moss, Scarlett Johansson, and Uma Thurman to boost brand image and sales. Manufacturers continually innovate and adopt diverse marketing campaigns to expand their customer base and maintain market competitiveness.
Browse market data tables, figures, and in-depth TOC on “Leather Goods Market” by Product (Footwear, LBWP, Others) Distribution Channel (Offline, Online) Geography (APAC, North America, Europe, South America, Middle East and Africa) Global Forecast to 2027. Download Free Sample
By Product, the Footwear segment is projected to dominate the market size in 2024
In the leather goods market, the offline distribution channel represents a significant revenue stream, derived from sales through specialized retailers, including exclusive brand stores, multi-brand outlets, apparel shops, and personal goods stores. Additionally, sales are generated via hypermarkets, supermarkets, clubhouses, and department stores. However, the offline channel's revenue has been experiencing a steady decline due to the increasing trend towards online shopping. To counteract this trend, vendors are expanding their physical retail presence in local and regional markets, such as Hermes' recent opening of a 20,250 square-foot flagship store on Madison Avenue, New York, USA.
By Distribution Channel, Offline segment is expected to hold the largest market size for the year 2024
In the dynamic leather goods market, footwear remains a significant category, characterized by its upper surfaces crafted from genuine leather. Vendors persistently innovate, introducing novel patterns and designs to cater to market competition and evolving consumer preferences, driven by the ever-changing fashion landscape. Leather footwear's durability is a key selling point, with many high-end and luxury brands opting for exotic leathers such as crocodile skin, snakeskin, and lambskin. For instance, Hermes' Valois ankle boots showcase smoked-brown calfskin suede, featuring straps, saddle nails, and diagonal side stitching, reflecting the brand's commitment to quality and style.
APAC is forecasted to hold the largest market size by region in 2024
The leather goods market in Asia-Pacific (APAC) is experiencing significant growth, fueled by robust economic expansion, a burgeoning middle class population, and the presence of a large number of leather goods manufacturers in the region. Key contributors to this growth include China, Japan, and South Korea. Notably, several international leather goods producers, such as PRADA, Tapestry, and Giorgio Armani, have established factories or Original Equipment Manufacturers (OEMs) in countries like China, Indonesia, Bangladesh, and Vietnam. Moreover, the market is anticipated to continue expanding due to increasing consumer awareness, rising demand for fashion products, and the shift from price-conscious to fashion-conscious purchasing behaviors. The fashion industry's growth in APAC, driven by an increasing number of fashion shows and endorsements from celebrities, particularly in the entertainment industries like Bollywood in India, is further fueling demand for leather goods, particularly among the younger demographic.
The Leather Goods Market growth and forecasting report also includes detailed analyses of the competitive landscape of the market growth and forecasting and information about 20 market companies, including:
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Research Analysis Overview
The leather goods market is experiencing a surge in popularity, with innovative materials like mushroom leather adding to its versatility and appeal. Sage-ONF, a leading leather manufacturer, is at the forefront of this trend, producing high-quality leather goods using advanced processing techniques and automated machinery. Their product range includes handbags, belts, wallets, furniture, and even saddles, catering to both fashion-conscious consumers and those in need of durable, functional items. Designers like Meghan Roach are also embracing the versatility of leather, creating fancy leather apparel and accessories that reflect the latest fashion trends. The rising demand for leather goods is not limited to apparel and accessories, as footwear and furniture segments are also seeing significant growth. According to the World Footwear report, the leather goods industry is expected to continue its growth trajectory, driven by increasing brand awareness and living standards. Digital cutting technology is enabling the production of complex designs, making leather goods more desirable than ever before. The future of the leather goods market looks bright, with endless possibilities for innovation and creativity.
Market Research Overview
The leather goods market is a significant segment of the fashion business, encompassing a wide range of products from handbags, belts, wallets, furniture, and saddles, to apparel, luggage, shoes, and leather garments for all seasons. Companies like VitroLabs are leading the way in innovation with PV-based coatings for leather material, offering temperature-controlling, breathable, and weather protection properties. Meghan Roach's Lug line showcases Apple leather, a vegan alternative to animal-based leather made from mushroom leather, while Sage-ONF specializes in full-grain leather, known for its finer quality, durability, and luxurious appeal. The leather products business faces industrial constraints, as animal-based leather production raises concerns over animal cruelty and negative effects on the environment. Synthetic leather, made from materials like Polyvinyl Chloride (PVC), Polyurethane, and plant-based PET, PLA corn plastic, and Synthetic type, is gaining popularity as a sustainable alternative. Brands like Stella McCartney, Converse, All birds, Reebok, Puma, Adidas, New Balance, and Nike are embracing sustainable products. UHNWIs and consumers of designer and branded clothes are driving the rising demand for leather consumer goods, with brand awareness and fashion trends influencing their purchasing decisions. The versatility and popularity of leather goods make them a statement of wealth and status symbol, with complex designs and processing techniques requiring automated machinery from leather manufacturers. Digital cutting and fashionable colors add to the extensive usage of leather in the fashion business, making it a thriving industry. However, the leather business must address the challenges of sustainability, animal welfare, and environmental concerns while maintaining the lightness, softness, durability, and finer quality that consumers desire.
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Jesse Maida
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