Analyses & Studies

Key Insights from Agility's 2026 Luxury Leaders Pulse

Agility announces the release of the 2026 Luxury Leaders Pulse study, gathering interviews with over 40 c-suite global executives from a variety of luxury sectors including senior executives from Rosewood, Van Cleef, Dior and Chanel and Harrods. The report provides insights on perceived priorities and challenges and how they see the luxury sector evolve in the upcoming year. Here are some key takeaways:

1. The luxury industry enters 2026 with cautious optimism
Luxury leaders are divided about the year ahead. Around 39% expect challenges, while 36% anticipate stability, suggesting a market navigating uncertainty rather than clear growth momentum. Only a smaller share sees strong opportunities or major disruptions, highlighting a broadly balanced but cautious outlook for the sector.

2. Business expectations are stabilizing after a slowdown
Sentiment has rebounded slightly compared with 2025 but remains well below the post-pandemic highs seen earlier in the decade. About 45% of executives expect higher business performance in 2026, while another 47% expect results to be similar to 2025, reinforcing a view that the industry is shifting from rapid expansion toward a phase of disciplined growth and normalization.
 

3. Geopolitics and cautious consumers are the biggest risks
Luxury executives see macro uncertainty as the primary challenge for 2026. The top concerns include geopolitical instability, consumer trading-down behavior, and inflationary pressures, reflecting growing sensitivity to economic volatility and shifting spending priorities among affluent consumers.

4. Experiences are becoming the central growth engine
The industry continues to pivot toward experience-driven luxury, with 70% of leaders identifying experiential luxury as the leading trend shaping the sector. Wellness-focused luxury, localized brand positioning, and AI-enabled personalization are also gaining momentum, signaling a shift toward holistic lifestyle engagement rather than product-centric luxury alone.
 

5. Marketing budgets are shifting toward immersive engagement
Luxury brands are reallocating marketing spend toward experiential and digital channels. Investments are increasing in consumer events, digital media, collaborations, and celebrity ambassadors, while traditional advertising and live-stream KOL marketing are declining, reflecting a strategic pivot toward high-impact brand experiences that drive deeper engagement and conversion.

SOURCE: AGILITY