Feature

2/3 of Russian luxury spend goes abroad

Contact Lab recently published a report on global luxury demand flows where the patterns of luxury demand are presented across the world regions. According to the report, in 2015 Russia, Kazakhstan and Azerbaijan accumulatively accounted for 5% of the worldwide foreign luxury revenues (vs. 8% in 2015)  which is comparable to Brazil and the US. The highest share of foreign luxury revenues (50%) is attributed to China, Macau and Hong Kong.

Russia is thus a significant contributor to the international luxury sales. And while Japanese and USA nationals make more than 90% of their luxury purchases in their country, 2/3 of Russian luxury spend goes abroad (See Table 1 ), while inflows account for just over 5% of luxury sales in the country.

Table 1: % revenue abroad vs. % revenue in the home country, 2015

 

 

 

 

 

 

 

 

 

Source: Contact Lab

The most of the Russian luxury spending goes to Heritage EU countries (France, Italy, Spain, Germany). Gulf region receives 13% of the Russian luxury spending and Russian nationals are among the most important luxury goods spenders in the UAE. Switzerland gets around 5% of the Russian luxury spending.

Table 2: Russian luxury spending abroad by country, 2015

 

 

 

 

 

Source: Contact Lab

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