What: BCG and Altagamma's 2026 luxury consumer survey shows a market recovery shaped by consumer selectivity, domestic spending, experiential luxury, and rapid GenAI adoption.

Why it is important: This recovery represents a structural recalibration of luxury, where brands must rebuild growth through stronger client retention, clearer product value, and more meaningful experiences.

Luxury is returning to growth, but on more selective and balanced foundations. BCG and Altagamma's 2026 True-Luxury Global Consumer Insights survey, based on more than 10,000 respondents, expects personal luxury to grow by 2% to 5% in FY26 and by 4% to 7% by 2029. The market is shifting away from pandemic-era volatility, with top-tier clients becoming a steadier growth engine while aspirational consumers stabilise after years of weakness. The report shows that luxury shoppers are prioritising design, craftsmanship, quality, and timelessness over logo visibility. Price sensitivity is also becoming structural, with 70% of consumers walking away from purchases they considered unjustified, although more than 50% remain within the brand or luxury sector. The survey's most striking finding may be how far GenAI has already moved from experiment to expectation: 87% of luxury consumers use it weekly, 80% apply it to luxury research, and 62% now expect AI across brand touchpoints — from after-sales support and clienteling to digital content and product design.

IADS Notes: Recent industry coverage corroborates the BCG and Altagamma diagnosis. BoF's May 2026 report — that the sector has lost 50 million customers since 2022 due to price hikes and weakening perceived value — puts a consumer-level number on the structural shift BCG describes. The Robin Report (July 2026) arrives at the same conclusion from a brand perspective, describing a recalibration around emotional connection, cultural relevance, and meaningful experience. In China, Bain and WWD's February–April 2026 coverage documents the domestic-spending shift in real time: consumers are becoming more selective and rewarding brands with clearer local positioning and immersive retail. Inside Retail (October 2025) adds the store-level lens: experiential, personalised formats are becoming the standard rather than the exception in maturing markets.

True-Luxury Global Consumer Insights 2026 - full report 

Luxury is back on track, with healthier foundations (and AI is here to stay)