Global Leather Goods Market was valued at US$ 293.5 billion in 2021, According to Leather Goods Market Report, by Product Type (Footwear, Luggage, Wallets & Purses, Apparel, and Others), by Distribution Channel (Hypermarkets, Supermarkets, Convenience Stores, Online Stores, and Others), and by Region (North America, Latin America, Asia Pacific, Europe, and Middle East & Africa), published by Coherent Market Insights
Global leather goods market was valued at US$ 293.5 Billion in 2021. Leather goods market is expected to register a CAGR of 5.18 % over the forecast period (2022–2030), to reach US$ 460.8 Billion by 2030.
Rapid urbanization, inflating income levels, and rising living standards are among the key factors catalyzing the demand for premium and branded leather products. In addition, the thriving travel and tourism industry and the emerging trend of travel vlogging are increasing the sales of customized suitcases, trolley bags, and backpacks made from leather. In line with this, the rising traction of fashion shows that promote leather products, such as handbags, jackets, pants, and shoes, is offering lucrative growth opportunities to manufacturers. Additionally, leading market players are focusing on creating brand awareness among the masses through various promotional activities on social media platforms and celebrity endorsements. They are also adopting advanced technologies in leather production, such as the automated cutting process, to provide varieties and customization options. Furthermore, the growing global population is catalyzing the demand for passenger and commercial vehicles with enhanced and customized automotive upholstery. Moreover, the introduction of bio-based leather is gradually replacing conventional leather products and it is expected to propel the market growth in the coming years.
The COVID-19 outbreak led to a disruption in the retail sales of leather goods products during 2020, owing to the limitations in spending power, shut stores/outlets of premium apparel, and widespread lockdown globally. The pandemic also disrupted the production and supply chain of the companies, owing to the complete lockdown. For instance, in 2020, all 42 Hermes production factories in France were shut down except for its perfume factory, which was used for sanitizer manufacturing during the period.
To know the latest trends and insights prevalent in this market, click the link below:
https://www.coherentmarketinsights.com/market-insight/leather-goods-market-1439
Browse 50 market data tables* and 40 figures* on "Global Leather Goods Market” - Forecast to 2030.
Key Trends and Analysis of the Global Leather Goods Market:
- According to Coherent Market Insights in 2021, Asia Pacific held the largest market share of 25% in terms of value in the global leather goods market in 2021. The market is driven by increasing leather footwear production in this region. According to India Brand Equity Foundation (IBEF) in 2020, India ranks second in terms of leather garments and footwear production, and the country accounted for 9% of the world’s footwear production.
- According to Coherent Market Insights in 2021, North America held the second largest market share of 20% in terms of value in the global leather goods market in 2021 and is expected to grow at a faster rate over the forecast period. This is attributed to the availability of raw skin and hides from slaughterhouses and the discovery of the chrome tanning process.
Key Takeaways of the Global Leather Goods Market:
- According to Coherent Market Insights in 2021, among product type, the footwear segment held the largest revenue share of 55.30% in the global leather goods market in 2021. This is attributed to the increasing inclination of consumers toward comfortable and high-quality products. For instance, according to the India Brand Equity Foundation (IBEF), per capita, footwear consumption in India is expected to increase by up to four pairs by 2020, whereas domestic footwear consumption is expected to reach five billion pairs.
- Key players operating in the leather goods market are focusing on various in order to strengthen their market presence and expand their product portfolio. For instance, in October 2020, Adidas AG collaborated with biotech startup Bolt Threads, Stella McCartney, and lululemon to create plant-based vegan leather trainers. With this, the companies will be able to replace animal-derived leather with mushroom-based vegan leather.
- New product launches, mergers & acquisitions, strategic partnership expansion, and research & development activities for leather goods are key strategies adopted by players in the global leather goods market. For instance, in March 2021, Hermes, a France-based luxury design house, opened a new factory in France for its Guyenne leather goods to keep up with the increasing demand for its luxury handbags. This is the 19th leather goods factory of Hermes.
