February 25, 2024
Luggage Market

The Growing Luggage Market is driven by increased Tourism and Business Travel

The luggage industry manufactures a wide variety of suitcases, trolley bags, duffel bags and other bags for the transportation of clothing and personal items during travel by passengers. Luggage is an essential requirement for tourists and business travelers to conveniently carry their belongings. The growing tourism and business travel activities globally have increased the demand for luggage. Suitcases equipped with spinner wheels, multi-directional wheels, telescopic handles and lightweight materials provide enhanced mobility and convenience to travelers. Trolley bags have extra compartments for quick access to items. Locks and straps offer security during transit.

The global Luggage Market is estimated to be valued at US$ 177.03 Bn in 2023 and is expected to exhibit a CAGR of 12.% over the forecast period 2023 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the key trends in the luggage industry is the growing preference for smart luggage. Smart luggage comes integrated with USB ports for charging devices, Bluetooth speakers, digital locks and luggage tracking systems. These features offer additional safety, convenience and connectivity during travel. Manufacturers are focusing on developing smart suitcases with longer battery ranges, real-time baggage tracking and other advanced digital capabilities. The adoption of lightweight durable materials such as carbon fiber and polycarbonate along with durable spinners and wheels also enhances the durability and ease of mobility of luggage products.

Porter’s Analysis
Threat of new entrants: The luggage market has established key players making the entry difficult for new players. High initial investments required for manufacturing facilities also acts as a barrier.

Bargaining power of buyers: The presence of well-known brands gives buyers varied options at different price points depending on theirbudget. However, product differentiation leads to some sticky customer loyalty.

Bargaining power of suppliers: Major raw material suppliers have ability to influence prices however established luggage brands can negotitate with multiple suppliers to reduce dependency on few.

Threat of new substitutes: While substitutes like backpacks, duffel bags exist, luggage is still a necessity for air/road travel limiting major threat from substitutes.

Competitive rivalry: Being a mature market with established brands, rivalry is intense. Brands differentiate through product innovation, quality, durability, style and effective marketing.

Key Takeaways

Global Luggage Market Demand is expected to witness high growth over the forecast period supported by increasing international tourism and air travel.

Regional analysis: Asia Pacific market for luggage is growing at a brisk pace due to large population, rising middle class and increased spending on travel and tourism in countries like China, India. The presence of key manufacturers such as Samsonite, VIP Industries in the region also consolidates its dominance.

Key players: Key players operating in the luggage market are Samsonite, VIP Industries Ltd., RIMOVA, VF Corporation, Briggs & Riley Travelware, DELSEY, Fox Luggage. Samsonite is a global leader with strong brand presence across regions. VIP Industries has a wide product portfolio and dominates the Indian market.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it