A lowered people frequency, expensive rent and online shopping trend are to be blamed…
UK - new cheapest luxury market
While the whole world discusses negative impacts of Brexit on the market luxury, Britain enjoys...
Brexit referendum made the pound lose its worth about 10 percent against the euro, which has led to an increase in the number of tourists in Britain from around the world. This currency decline, believe it or not, is doing the right service for Britain. It has now become the cheapest market of luxury all over the world, which inevitably attracts huge number of tourists from all four corners of the planet.
Luxury goods are often sold at reduced prices in countries of origin, as compared with foreign markets. For example, Burberry coat in Britain can cost 1,495 pounds, while in China it will be 50% more expensive. This is precisely the fact that brings the UK a growing influx of tourists. Following this analogy, luxury goods are always sold cheaper in Europe than in other markets, and it will be even cheaper thanks to Brexit.
The value of the pound and the unstable situation in the rest of Europe, caused by terrorist attacks, turned Britain into a magnet for tourists. If we consider that about 80 percent of profit luxury market accounts for tourism, Britain will really do well.
Now, it is about twenty percent cheaper, promises a big sell-off in order to assist the development and stability of its economy. Consequently, their famous brands, such as Burberry, Mulberry and Jimmy Choo have plenty of reasons to celebrate.
Read next luxury article: The richest are about 200 billion dollars poorer