Handbags have always been a fashion statement among consumers, and with improved fashion sense in the time of social media influencers, pop culture, and globalization, the demand for luxury consumer products has only heightened in recent years. However, as awareness about the environment and rampant animal cruelty spreads, several bag brands have been utilizing novel eco-friendly materials to create sustainable hand-bags.
New York-based Angela Roi has been committed to developing vegan, leather-free totes and bucket bags. Cuyana, another US-based bag company, offers bags manufactured from recycled and up-cycled materials. The spreading presence of such products is expected to fuel the growth of the market in the forthcoming years.
Increasing Availability of Eco-friendly Bags to Boost the Market
The global handbags market is projected to reach USD 78.46 billion by 2028, exhibiting a CAGR of 6.8% during the forecast period. Fortune Business Insights™ shares this information in its report, titled “Handbags industry, 2021-2028”. As per the report, the value of the market stood at USD 47.57 billion in 2020.
Falling Household Incomes amid COVID-19 to Disrupt Market Growth Prospects
The COVID-19 pandemic, while causing an unprecedented downturn in national economies, has delivered even more severe setbacks to individual household incomes. According to the World Bank’s high-frequency monitoring phone surveys, on average, 36% of those working prior to the pandemic outbreak were without a job in the April-July period, while 62% of households reported a reduction in total income.
In India, to take a country-specific example, a decline of 5.4% in per capita income is envisaged, according to a report released by the State Bank of India, the country’s top lender. In such dire circumstances, the demand for dispensable consumer goods, such as Handbags, is likely to diminish substantially. This is reflected in the 2020 values of the global market, with its CAGR dropping by 25.6% and its size expected to reach USD 49.63 billion in 2021.
Europe will lead the Market Backed by High Personal Incomes
Europe is anticipated to lead the Handbags industry share during the forecast period owing to the high disposable incomes of consumers in the region. In 2020, the Europe market size stood at USD 16.14 billion. The market in the Asia Pacific is forecasted to make prolific progress due to increasing employment and rapid expansion of the consumer goods industry.
In addition, a growing young population in the region has also propelled the demand for fashion items, such as Handbags. In North America, the market will be driven by the rising popularity of unisex Handbags designed specifically for business activities.
Some of the key questions answered in this research analysis:
- Who are the global key manufacturers of the Handbags Business Industry? How is their operating situation (capacity, production, sales, price, cost, gross, and revenue)?
- What are the Handbags Business market opportunities and threats faced by the vendors in the global Handbags Business Industry?
- What are the different sales, marketing, and distribution channels in the global industry?
- What are the upstream raw materials and manufacturing equipment of Handbags Business along with the manufacturing process?
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