💎 Brazilian bling

While global luxury flags, Brazil’s high-end market surges ahead

Across Europe and the United States, consumers in general (and Gen Z-ers, in particular) are growing disillusioned with luxury brands that have raised prices without delivering meaningful improvements in quality or experience. China’s uneven economic recovery has also dragged down global sales.

Industry giants like LVMH — the owner of Louis Vuitton, Christian Dior, Fendi and others — posted declining profits in 2024, even as other luxury-adjacent sectors, such as real estate and hospitality, continued to thrive. Meanwhile, social media has become a battleground, with viral videos peeling back the curtain on production methods and even encouraging some consumers to opt for counterfeit alternatives.

Researchers say the constant exposure of brands once synonymous with exclusivity has led to consumer fatigue. Meanwhile, in Brazil, the luxury market is booming — and digital influencers are helping fuel the rise.

“In Latin America, influencer marketing — with digital creators and celebrities — has become a key pillar in local brand communication strategies,” said Katherine Sresnewsky, coordinator at São Paulo’s Superior School of Marketing and Advertising (ESPM) and an expert in luxury markets. She noted the strategy’s reach in Brazil’s smaller cities, where aspirational messaging often has more resonance.

💬 Brazil Society