Handbags Market Analysis by Mordor Intelligence
The handbags market is valued at USD 74.33 billion in 2025 and is forecast to reach USD 95.98 billion by 2030, reflecting a 5.25% CAGR during 2025-2030. Urbanization is continuing to grow, women are gaining more purchasing power, and there is an increasing trend of people buying luxury items for emotional satisfaction. The Asia-Pacific region is leading the market's growth, with China playing a significant role due to its wide variety of luxury consumer preferences. Additionally, the region's strong social-commerce culture is further boosting the market. Tote bags remain the most popular product, but bucket bags are becoming more sought after as consumers prefer designs that are flexible enough to suit both work and leisure needs. The use of digital technologies is helping brands expand their distribution channels, but exclusivity strategies are still proving successful. Furthermore, new sustainability regulations, such as the European Union’s Digital Product Passport, are encouraging brands to adopt traceable materials and focus on circular design practices to comply with these standards. The market shows moderate fragmentation, with companies like LVMH benefiting from vertical integration and cooperation across its multiple brands, particularly through the success of Louis Vuitton.
Key Report Takeaways
• By product type, tote bags commanded 41.25% of the handbags market share in 2024, while bucket bags are projected to grow at a 5.46% CAGR to 2030.
• By category, the mass segment held 63.61% share of the handbags market size in 2024; the premium segment is forecast to expand at 5.94% CAGR through 2030.
• By end user, women accounted for 89.18% share of the handbags market size in 2024, whereas the men’s segment shows the highest 5.77% CAGR outlook to 2030.
• By distribution channel, offline retail retained 62.72% share of the handbags market in 2024; online channels led growth at a 6.06% CAGR through 2030.
• By geography, Asia-Pacific captured 43.09% of the handbags market share in 2024 and is advancing at a 6.23% CAGR between 2025-2030.
Global Handbags Market Trends and Insights
Drivers Impact Table
Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
---|---|---|---|
Increase in outstation and leisure travel | +0.8% | Global, with concentration in Asia-Pacific and North America | Medium term (2-4 years) |
Rising female workforce participation | +1.2% | Global, particularly strong in Asia-Pacific and emerging markets | Long term (≥ 4 years) |
Changing fashion trends and consumer preferences | +0.9% | Global, led by North America and Europe | Short term (≤ 2 years) |
Product innovation and sustainability trends | +0.7% | Europe and North America leading, expanding globally | Long term (≥ 4 years) |
Influence of social media and celebrity endorsements | +1.1% | Global, strongest in Asia-Pacific and North America | Short term (≤ 2 years) |
Product innovation in terms of raw material and design | +0.6% | Europe and North America, expanding to Asia-Pacific | Medium term (2-4 years) |
Source: Mordor Intelligence
Increase in outstation and leisure travel
The growing popularity of outstation and leisure travel is significantly boosting the demand for handbags, particularly those that are travel-friendly and stylish. According to the World Travel and Tourism Council (WTTC), in 2024, the Travel & Tourism sector contributed 10% to the global economy, amounting to USD 10.9 trillion. The WTTC forecasts that by 2035, tourism will inject USD 16.5 trillion into the global economy, accounting for 11.5% of global GDP [1]Source: Tourism Growth, "Global Travel & Tourism is Strong Despite Economic Headwinds," wttc.org. This increase in tourism, supported by relaxed travel restrictions and the availability of budget airlines, is encouraging consumers to invest in luggage and leather goods, including handbags, for weekend getaways and vacations. To meet the needs of travelers, brands are introducing innovative products. For example, Dagne Dover launched its Petra Convertible Tote a sleek hybrid tote-backpack featuring a padded laptop compartment, trolley sleeve, and multiple organizational pockets designed specifically for professionals who balance travel and work demands.
Rising female workforce participation
As more women enter the workforce, the demand for handbags that are both stylish and functional is increasing. Women now seek bags that can carry essentials like laptops, documents, and personal items while complementing their professional attire. According to the World Bank, the global female labor force participation rate reached 40.2% in 2024, reflecting this growing trend [2]Source: The World Bank Group, "Labor force, female (% of total labor force)", www.worldbank.org. Office-friendly handbags, such as structured totes, satchels, and laptop-compatible crossbody bags, are becoming more popular because they combine practicality with fashion. To cater to these needs, brands are designing bags with features like multiple compartments for better organization and convenience. For example, Michael Kors launched the Jet Set Travel Large Logo Tote in 2024, which offers a spacious and organized interior, making it ideal for working women. This shift shows how handbags are no longer just fashion statements but have become essential tools for modern working women, balancing style and functionality to meet their daily needs.
Changing fashion trends and consumer preferences
Fashion trends and changing consumer preferences are driving consistent growth in the handbag market, as people increasingly want bags that reflect their personal style and fit with seasonal trends. Vogue’s 2024 roundup highlighted some of the most popular handbags, such as Saint Laurent’s leopard-print tote, Bottega Veneta’s Andiamo, and Prada’s Belt Bag, which combine bold designs with classic styles. Looking ahead to Spring 2025, Vogue points out key trends like straw and raffia bags, handcrafted knit designs, bucket-shaped bags, and those with eye-catching details. These trends show how unique materials, textures, and vintage-inspired designs are influencing what consumers buy. Mostly, women are into handbags for their style and appearance. This growing focus on stylish and design-driven handbags demonstrates that they are no longer just practical items but have become essential fashion accessories. Consequently, the market is expanding as more consumers use handbags to express their individuality and keep up with evolving trends.
Influence of social media and celebrity endorsements
Social media's rise, coupled with celebrity endorsements, is propelling the handbag market's expansion. Take Chanel, for instance: millions of user-generated #Chanel posts on Instagram and TikTok bolster the brand's community trust, rendering it more relatable and coveted. A 2024 University of Portsmouth survey underscores this trend, revealing that 60% of consumers place trust in influencer recommendations, with nearly half of all purchases swayed by such endorsements [3]Source: University of Portsmouth, "New research unveils the 'dark side' of social media influencers and their impact on marketing and consumer behaviour", www.port.ac.uk/. Brands are also leveraging cutting-edge technologies to elevate the shopping journey. Gucci and Louis Vuitton, for example, offer augmented-reality tools, enabling customers to virtually “try on” handbags. This innovation not only aids shoppers in visualizing the bags but also enriches the buying experience. Celebrity collaborations are emerging as a potent strategy to captivate consumers. Kim Kardashian’s capsule tote with SKIMS, Fendi’s tie-up with rapper Lil Yachty, and Selena Gomez’s limited-edition Coach bag in 2024 stirred significant buzz. These partnerships meld celebrity clout with unique product designs, striking a chord with younger demographics.
Restraints Impact Analysis
Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
---|---|---|---|
Availability of counterfeit products | -0.9% | Global, particularly acute in Asia-Pacific and online channels | Short term (≤ 2 years) |
Regulatory hurdles and compliance issues | -0.5% | Europe and North America leading, expanding globally | Medium term (2-4 years) |
Environmental concerns regarding materials | -0.4% | Europe and North America, expanding to Asia-Pacific | Long term (≥ 4 years) |
Fluctuating operational costs | -0.7% | Global, with manufacturing concentrated in Asia | Short term (≤ 2 years) |
Source: Mordor Intelligence
Availability of counterfeit products
The presence of counterfeit products remains a significant challenge for the handbag market. The rise of high-quality “superfakes” is harming the reputation of luxury brands, as even experienced collectors sometimes struggle to distinguish them from genuine products. For example, on September 20, 2024, U.S. Customs and Border Protection officers in Wilmington, Delaware, seized counterfeit luxury handbags worth over USD 151,431 [4]Source: U.S. Customs and Border Protection (CBP), "Wilmington CBP Officers Seize $151k in Counterfeit Designer Brand Name Handbags", www.cbp.gov/ . This shipment, which came from China and was headed to an address in Newark, Delaware, contained 26 handbags falsely labeled with luxury brand names like Chanel, Goyard, Gucci, Hermès, Loewe, and Louis Vuitton. Many younger consumers are increasingly purchasing these replicas, viewing them as affordable ways to achieve a sense of social status. To combat this issue, luxury brands are adopting advanced technologies such as NFC tags and blockchain-based certificates, which allow customers to quickly verify the authenticity of their purchases. Educating consumers about the risks of counterfeit goods and implementing standardized authentication methods are becoming critical steps to protect brand trust and ensure the long-term value of the handbag market.
Environmental concerns regarding materials
Environmental concerns are driving handbag brands to switch to more sustainable materials. Traditional leather production is increasingly criticized for its negative impact on the environment, including deforestation, water pollution, and high carbon emissions. As a result, eco-conscious consumers are demanding alternatives, and brands that fail to adapt may lose their relevance in the market. To meet this demand, many companies are exploring innovative materials like mushroom-based leather (mycelium), apple leather, and recycled synthetic materials. For example, Stella McCartney launched the Frayme Mylo™ bag in 2024, made from mycelium leather, as part of its efforts to embrace sustainability. However, this shift comes with challenges. Developing and scaling these new materials requires significant investment in research and development, which can be costly and time-consuming. Despite these obstacles, the move toward sustainable materials offers brands a chance to align with consumer values, enhance their market position, and drive long-term growth in the handbags market. This growing demand for eco-friendly options is reshaping brand strategies, making sustainability a key differentiator in the competitive handbag market.
Segment Analysis
By Product Type: Tote Dominance Meets Bucket-Bag Momentum
Tote bags dominated the handbags market in 2024, holding a significant 41.25% share due to their practicality and versatility. These bags are especially popular among professionals and individuals managing hybrid work routines, as they can easily accommodate laptops, documents, and other daily essentials. Features like expandable interiors and compartments for tech gadgets have further boosted their appeal. Meanwhile, bucket bags, though holding a smaller market share, are growing rapidly with a projected 5.46% CAGR. This growth is driven by younger consumers who prefer casual, stylish, and adaptable designs that pair well with streetwear and leisurewear. In urban cities, bucket bags from brands such as Mansur Gavriel and Prada have gained popularity.
Other handbag styles are also evolving to meet changing consumer preferences. Clutches remain a go-to choice for evening and formal occasions, but multifunctional crossbody bags are increasingly taking over part of this demand. Satchels continue to attract professionals who value their structured and polished designs, while newer styles like belt bags and modular convertible bags are gaining attention for their versatility. Technology and sustainability are shaping the market. Handbags with RFID-blocking compartments, wireless charging pockets, and QR codes for authentication are becoming more common, as seen in Tumi and Samsonite’s 2023 collections. On the sustainability front, brands like Stella McCartney and Pangaia launched handbags made from plant-based leather in 2024, reflecting the growing demand for eco-friendly products and compliance with stricter regulations.

Note: Segment shares of all individual segments available upon report purchase
By Category: Mass Volume Versus Premium Velocity
The mass segment accounted for 63.61% of the handbags market size in 2024, offering trendy and affordable styles that appeal to a wide range of consumers. Brands in this segment focus on fast production cycles and staying updated with the latest trends, making them especially popular among Gen Z shoppers who frequently change their preferences. For example, in 2023, brands like Zara and H&M introduced handbag collections inspired by seasonal trends, allowing younger consumers to experiment with different styles without spending too much. On the other hand, the premium segment is growing faster, with a projected CAGR of 5.94%, as more consumers seek high-quality craftsmanship and ethically sourced materials. Premium brands like Coach and Tory Burch have successfully used limited-edition collections and serialized designs to create a sense of exclusivity, which justifies their higher price points.
Luxury brands are combining digital technology with traditional craftsmanship to maintain their reputation and appeal. For instance, in 2023, brands like Hermès and Louis Vuitton introduced handbags with QR-enabled tags that allow customers to trace the origin of materials, such as the specific workshop where the leather was crafted. This transparency not only assures buyers of the product’s authenticity but also aligns with the growing demand for ethical and sustainable practices. The use of eco-friendly materials, such as plant-based leather, is helping luxury brands comply with stricter European Union eco-design regulations. Meanwhile, mid-market brands face challenges in standing out, as they are caught between the affordability of mass-market products and the heritage appeal of premium and luxury brands.
By End User: Women Lead, Men Accelerate
Women accounted for 89.18% of handbag sales in 2024, highlighting the strong connection between handbags and women’s personal style, self-expression, and professional needs. Handbags remain a staple for women, often seen as both functional accessories and symbols of status or sentiment. However, the demand among men is growing steadily, with a projected growth rate of 5.77% CAGR. Urban men, especially professionals, are increasingly opting for messenger bags and compact crossbody designs that can hold essentials like tablets, chargers, and other gadgets. This shift is further supported by the influence of celebrities and K-pop icons, who are helping to break traditional gender norms around handbag usage.
Handbag designs are also becoming more inclusive, with gender-neutral styles gaining popularity. These designs often feature muted colors, simple aesthetics, and adjustable straps to cater to a wider range of users. Many brands that previously offered separate collections for men and women are now creating unisex collections to appeal to diverse audiences. Despite this growing inclusivity, women continue to have a deeper emotional connection with handbags, often viewing them as heirlooms or meaningful gifts that symbolize relationships or milestones. For instance, iconic designs like the Hermès Birkin or Chanel Classic Flap are often passed down through generations or gifted to mark special occasions. By focusing on inclusive designs and storytelling that resonates with different audiences, brands are successfully expanding their customer base while maintaining their unique identity in the market.

By Distribution Channel: Omnichannel Takes Hold
Physical stores accounted for 62.72% of handbag sales in 2024, as many consumers still prefer to see and feel products in person and enjoy personalized service. However, online sales are growing faster, with a 6.06% compound annual growth rate (CAGR), driven by features like augmented reality (AR) try-ons, fast delivery options, and seamless mobile experiences. Many customers now start their shopping journey on mobile devices but complete their purchases in physical stores, showing how online and offline channels are working together. Luxury brands also maintain exclusivity for certain iconic products, like the Birkin bag, by selling them only in physical stores, which helps attract foot traffic and maintain a sense of rarity, while still offering a wide range of products online.
Social media platforms like Instagram are making it easier for consumers to shop directly from influencer content, streamlining the path from discovery to purchase. In-app shopping features and product tagging have made social commerce a key driver of online handbag sales. Platforms like TikTok and Pinterest are also gaining relevance for trend-driven product discovery. Brands with a strong, consistent presence across these digital touchpoints can better influence purchase decisions and boost engagement. Companies that integrate inventory, pricing, and customer data across both online and offline channels are better equipped to meet evolving consumer expectations in the handbags market.
Geography Analysis
Asia-Pacific accounted for 43.09% of global revenue in 2024 and is expected to grow at a 6.23% CAGR through 2030. China plays a key role in this region as it is the largest producer and exporter of handbags, but its consumers are diverse. In tier-one cities, affluent buyers focus on high-quality craftsmanship, while middle-class professionals prefer reliable premium products. Younger consumers, especially Gen Z, are drawn to sustainable and culturally relevant designs. Social-commerce platforms like Xiaohongshu are popular in the region, helping consumers discover products, get peer reviews, and make quicker purchase decisions. However, intense price competition and occasional price drops in China require brands to adapt their pricing strategies and product offerings to meet local demands.
North America remains a dominant player, particularly in high-value purchases. U.S. travelers play a pivotal role in global tax-free luxury spending. Moreover, American consumers, frequently shopping for luxury items overseas, wield considerable influence on global product planning. Meanwhile, Europe is at the forefront of regulatory developments. The European Union's Digital Product Passport initiative mandates brands to disclose comprehensive supply chain details by 2027, urging global companies towards sustainability. This regulation is poised to significantly influence the global handbags market.
The Middle East and Africa and South America are growing markets with unique characteristics. In the Gulf Cooperation Council (GCC) countries, there is a strong demand for luxury goods, while Africa’s expanding middle class shows potential for future growth despite limited infrastructure. In South America, fluctuating currencies make pricing challenging, but brands that adapt by localizing production or using flexible pricing strategies can succeed. Increasing use of social media, more women joining the workforce, and stronger travel connections are helping these regions gradually contribute more to the global handbags market.

Competitive Landscape
The handbags market is moderately fragmented. LVMH remains a leader, benefiting from its strong control over production and the global popularity of Louis Vuitton’s leather goods. Hermès holds its position as a top luxury brand by keeping its supply limited and focusing on high-quality craftsmanship. In May 2024, Hermès expanded its leather workshops in Louviers and Riom to strengthen its artisanal production. On the other hand, Kering is facing challenges as Gucci’s discounting strategies risk weakening its exclusive image. To address this, Kering is diversifying by acquiring stakes in other brands, such as a 30% stake in Valentino in July 2024 and full ownership of fragrance brand Creed in June 2024.
Technology is becoming a major factor in the handbag market. Tools like Digital Product Passports (DPPs), NFC tags, and AI-based image verification are helping brands fight counterfeit products and build customer trust. Additionally, regulatory bodies are playing a bigger role. In April 2024, the U.S. Federal Trade Commission blocked the merger of Tapestry and Capri due to antitrust concerns, showing stricter oversight on mid-tier consolidations. Smaller brands are standing out by using direct-to-consumer models, focusing on eco-friendly storytelling, and adopting innovative materials like mushroom-based and apple-based leathers.
In the future, the handbags market will be shaped by strategic mergers, new smart features in bags, and stronger commitments to sustainability. For instance, in February 2024, Stella McCartney launched her Frayme Mylo™ bag made from mushroom leather, while Coach introduced recycled leather bags under its Coachtopia line. Brands that focus on eco-friendly materials, digital tools to build trust, and unique brand stories will have a competitive advantage. As consumer preferences change and regulations become stricter, companies that adapt quickly and lead with innovation will succeed in this evolving market.
Handbags Industry Leaders
-
Michael Kors
-
Prada Holding BV
-
LVMH Moët Hennessy Louis Vuitton SE
-
Hermès International SA
-
Kering SA
- *Disclaimer: Major Players sorted in no particular order

Recent Industry Developments
- June 2025: Nicola Morris has introduced MAIA, a special collection of rare Hermès handbags now available in Dubai. This exclusive, appointment-only service is hosted at ExecuJet, Al Maktoum International FBO, giving collectors and fashion lovers a chance to explore unique heritage pieces in a private and discreet environment.
- March 2025: Stoney Clover Lane expanded its presence in the accessories market with the debut of its first leather collection, signaling a notable move into the luxury space. Best known for its playful and personalized nylon travel accessories, the brand is now introducing leather pieces at a higher price point in response to increasing demand for more refined, premium materials.
- February 2025: Perfect Moment Ltd. has launched its new puffer tote bag collection, combining functional design with fashion-forward style. Inspired by a “throw in & go” mindset, these jumbo padded totes are perfect for travel, gym days, or ski trips.
- February 2024: Jacquemus and Nike co-launched “The Swoosh Bag,” a limited-edition silhouette that merges luxury craft with athletic design, marking a high-profile cross-category product collaboration.
Global Handbags Market Report Scope
A handbag is used to carry personal items or accessories and comes in various sizes and designs.
The handbag market is segmented by product type, distribution channel, and geography. By product type, the market has been segmented into satchel, bucket bag, clutch, tote bag, and other product types. By distribution channel, the market has been segmented into online retail stores and offline retail stores. By geography, the market has been segmented into North America, Europe, Asia-Pacific, South America, and Middle-East and Africa.
The market sizing has been done in value terms in USD for all the abovementioned segments.
By Product Type | Satchel | ||
Bucket Bag | |||
Clutch | |||
Tote Bag | |||
Other Product Types | |||
By Category | Mass | ||
Premium | |||
By End User | Women | ||
Men | |||
By Distribution Channel | Offline Retail Stores | ||
Online Retail Stores | |||
By Geography | North America | United States | |
Canada | |||
Mexico | |||
Rest of North America | |||
Europe | Germany | ||
United Kingdom | |||
Italy | |||
France | |||
Spain | |||
Netherlands | |||
Poland | |||
Belgium | |||
Sweden | |||
Rest of Europe | |||
Asia-Pacific | China | ||
India | |||
Japan | |||
Australia | |||
Indonesia | |||
South Korea | |||
Thailand | |||
Singapore | |||
Rest of Asia-Pacific | |||
South America | Brazil | ||
Argentina | |||
Colombia | |||
Chile | |||
Peru | |||
Rest of South America | |||
Middle East and Africa | South Africa | ||
Saudi Arabia | |||
United Arab Emirates | |||
Nigeria | |||
Egypt | |||
Morocco | |||
Turkey | |||
Rest of Middle East and Africa |
Satchel |
Bucket Bag |
Clutch |
Tote Bag |
Other Product Types |
Mass |
Premium |
Women |
Men |
Offline Retail Stores |
Online Retail Stores |
North America | United States |
Canada | |
Mexico | |
Rest of North America | |
Europe | Germany |
United Kingdom | |
Italy | |
France | |
Spain | |
Netherlands | |
Poland | |
Belgium | |
Sweden | |
Rest of Europe | |
Asia-Pacific | China |
India | |
Japan | |
Australia | |
Indonesia | |
South Korea | |
Thailand | |
Singapore | |
Rest of Asia-Pacific | |
South America | Brazil |
Argentina | |
Colombia | |
Chile | |
Peru | |
Rest of South America | |
Middle East and Africa | South Africa |
Saudi Arabia | |
United Arab Emirates | |
Nigeria | |
Egypt | |
Morocco | |
Turkey | |
Rest of Middle East and Africa |
Key Questions Answered in the Report
What is the current size of the global handbags market?
The handbags market is valued at USD 74.33 billion in 2025 and is projected to reach USD 95.98 billion by 2030.
Which region contributes most to handbags sales?
Asia-Pacific leads with 43.09% of global revenue in 2024 and displays the fastest 6.23% CAGR outlook to 2030.
Which product type dominates the handbags market?
Tote bags hold the largest 41.25% share, thanks to their versatility for work-leisure lifestyles.
How fast is the online channel growing for handbags?
E-commerce sales are set to expand at a 6.06% CAGR through 2030, outpacing traditional stores.
Page last updated on: July 14, 2025