Market Trends of Luggage Industry
Rise in Workforce and Surge in Travel and Tourism
- The demand for business bags is likely to be significantly affected by a rise in the workforce, particularly in the professional and corporate sectors. As the number of employed people grows, more professionals require business bags like briefcases, backpacks, weekenders, and laptop bags for carrying their personal belongings. With a larger workforce, professional travel is increasing as workers take part in conferences, meetings, and visits with clients.
- To carry work-related essentials, business travelers often require specially designed luggage such as a briefcase or rolling suitcase. Thus, the growing number of business travelers is contributing to increased demand for bags specifically designed for travel. According to UN World Tourism Organization (UNWTO), in 2021, there were approximately 251 million domestic and inbound business trips in the United States, an increase from 182.7 million in the previous year.
- Moreover, the growth of the travel and tourism sector directly reflects the increase in demand for luggage bags. Significant growth has taken place within the global travel and tourism sector in recent years. The tourism sector is one of the most dynamic and diversified sectors in the world. Outbound tourism is strong in countries such as China, the United States, South Korea, Brazil, the Netherlands, Spain, Germany, the United Kingdom, and the United Arab Emirates.
- Besides, spending on leisure travel by the baby boomer generation has increased rapidly over the last few years, which in turn has contributed to the growth of the market. According to World Tourism Organization (UNWTO), the number of international tourist arrivals worldwide was approximately 962.8 million in 2022, a rise from 406.89 million in 2020.
Understand The Key Trends Shaping This Market
Download Sample
Asia-Pacific Currently Dominates the Market
- Asia-Pacific is the largest market for the luggage industry. This can be attributed to increased domestic and international travel due to higher incomes, favorable exchange rates, easier visa processes, and resilient aviation infrastructure. As per the survey published by European Travel Commission, Asia-Pacific reported the highest annual tourism visitor growth in 2022, with the volume of outbound and inbound travelers rising by around 236% and 280%, respectively, over the previous year.
- Another leading factor behind the significant market growth includes innovation and technology adopted by manufacturers to introduce high-utility and functional products. Companies are launching travel bags with advanced materials, innovative features, and connectivity to enhance the user experience.
- Furthermore, as consumers become more environmentally conscious, companies are adopting sustainable production practices and introducing eco-friendly products made using recycled materials, reducing carbon emissions. With rising brand consciousness, players in the Asian market are focusing on the premium segment to attract affluent customers.
- For instance, in June 2023, Marven Korea, a travel bag specialist, signed a license agreement with LagarderActive Enterprises for the 'Elle' travel bag division. The 'Elle' travel bag aims for a French sensibility and competes with a trendy design and luxurious color.
Get Analysis on Important Geographic Markets
Download Sample
