The recent Berstein X Altagamma study highlights the clear decline of multi-brand retailers in the global luxury market, a consequence of the rise of brand-owned stores. However, a few players are proving resilient and contributing to the sector’s wealth of offerings by providing a distribution channel for lesser-known brands.
How can multi-brand distribution, which has been undermined in recent years by the overwhelming rise of single-brand stores, regain its success in the luxury sector?
This is the pertinent question posed by the study “Reinventing Multi-brand retail,” conducted by the American analyst firm Bernstein for the Italian association Altagamma, which brings together the biggest Italian luxury brands.
This focus was presented on July 15 in Milan at a conference organized for the eleventh edition of the Altagamma Consumer & Retail Insight survey.
The decline of traditional multi-brand stores
“Traditional multi-brand stores, such as department stores and independent boutiques, are clearly in decline, while single-brand retail is booming, particularly in the clothing and accessories sector. Online marketplaces have entered the fray with ambitious projects, but in most cases they have failed. The result is a significant reduction in consumer choice, as well as in the distribution channels available to small brands, which do not have the strength to be present in retail under their own name,” summarizes Luca Solca, head of the luxury sector at Bernstein and author of the study.
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Read also > Latest Bain x Altagamma report: global luxury set to decline in 2025
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