The global luxury market is losing momentum, with demand softening in key regions like China. However, Switzerland continues to buck the trend, showing steady growth.

According to a report released today by consulting firm EY, the Swiss luxury market expanded by 3.5% in 2024, reaching a total value of CHF 5.4 billion.

Unlike other countries, where 75% of luxury purchases take place in branded physical stores, only 53% of Swiss sales come from brick-and-mortar shops. This shift reflects changing consumer habits, particularly among younger generations. In a recent survey, nine out of ten Swiss Gen Z respondents said they were willing to pay more for an exclusive in-store experience—one of the highest figures globally.

“The survey results clearly highlight how crucial brand experiences have become for consumers,” said Fabian Wehren, an EY expert. “In Switzerland, where luxury products are purchased online more frequently than the global average, there’s still room for improvement in the digital shopping experience. To secure long-term success, the industry must invest more in innovative technologies, such as AI-driven retail experiences and new business models,” he added. Photo by Jorge Láscar from Melbourne, Australia, Wikimedia commons.