The luxury household linen market - Italy

1.2 The global market

The global linen market was estimated at $***.* billion in ****, it is one of the most profitable markets in the global textile industry [***]

Size of the household linen market World, ****-****, billion USD Source: ****

The Asia-Pacific region leads the market, and is much more developed than Europe and North America, in **** the Asian market accounted for **% of the market share.

The global home linen market is led by bed linen, which was valued at **.* billion in **** and accounted for **% of market share.The second largest segment is bath linen. With an average annual growth rate of *.* percent, the global market for bath linens was estimated at $**.* billion in ****.Similarly, the global market for kitchen linens is estimated at $**.* billion in **** (***).

Breakdown of household linen sales, by product type World, ****, in % Source: ****

The luxury market is a subcategory of the home linen market. According to the Digital Journal source, the global luxury home linen market was valued at $*.* billion in ****, and is estimated to grow at a CAGR of *.**% between **** and ****, reaching a value of $*.** billion.

World luxury home linen market value World, ****-****, millions of dollars Source: ****

1.3 Italian home linen market

In the home textile market in Italy, what is driving the sector is the spread of the "home living" concept, that is, the pleasure of furnishing rooms in the home in such a way that they are cared for in every detail and almost have their own personality. However, Italians have been spending less and less on these items: in fact, the segment lost -*.* percent year-on-year and -*.* percent in the five-year period between **** and ****, and total sales stood at *.*** billion euros in **** [***].

ISTAT provides data on the production sold of household linen products under ATECO Code **.**.** , including the following:

Blankets of wool, synthetic fibers, and other textile materials; Bed linen made of knitted, cotton, linen, ramie and other textile fabrics and materials; Table linen made of cotton, linen, synthetic and man-made textile fibers and other woven or nonwoven fabrics (***) and other textile materials; Bath and kitchen linen of terry and similar fabrics of terry cotton and other textiles.

Trends in household linen production sold Italy, ****-****, in millions of euros Source: ****

As the graph above shows, the value of production sold of household linen in Italy has had a seesaw path between **** and ****. To understand if this path is ...

1.3 International trade

To analyze the state of international trade in household linen, we will use HS Code ****: bed, table, bath and kitchen linen. From the graph below, we can see that Italy is a net importer of household linen, as imports of these products have always been greater than exports.The figure can also be found in the foreign trade coverage rate, which has always been less than *** percent in the period between **** and ****.

Imports, exports and coverage rate for household linen Italy, ****-****, in million euros and in % Source: ****

As one would expect when it comes to textiles, most of the household linen imported to Italy comes from Asian countries, such as Pakistan (***). In fact, all other supplier countries account for less significant percentages of the total value of household linen imports.

Breakdown of household linen imports, by main supplier countries Italy, ****, in % Source: ****

as for the main destination countries of Italian exports, we see the United States in a predominant position, being the recipient of **.* percent of total Italian exports of this product. Other significant partners for this trade flow are France (***).

Breakdown of household linen exports, by main customer countries Italy, ****, in % Source: ****

1.5 Impact of Covid

One of the effects of the closures caused by the Covid-** emergency was definitely the rediscovery of spending time at home the consequent reassessment of the value of space and comfort in the home. During the closures, household activities also drove part of non-food purchases, a symptom that Italians used the time for repairs or embellishments that at other times had been postponed or outsourced [***].

In general, Italian consumers in the post-COVID era strongly desire to improve their living environment. Covid-** forced nearly ** percent of the world's population to stay at home, prompting a sudden explosion of telecommuting, online schooling, and an endless array of "from home" activities, from church services to dinner parties, all of which can only benefit from improved home comfort and style. As a result, experts are positive about the future of companies specializing in home fashion as it is likely that smart working will remain structural for many production divisions, although it will obviously be reduced to a few days a week [***]

In addition, the extended periods of time that Italians are forced to spend at home are also affecting the way consumers buy products. The lockout period coincided with Baby Boomers moving closer to Millennials ...

2.1 Luxury in Italy

The luxury market is generally appreciated and purchased by a narrow niche of people willing to pay more money than the average person in order to own more exclusive products of higher materials and quality. it is useful, therefore, to see where the buyers of luxury goods are and who they are.

Geography of luxury

The geography of luxury has a double epicenter between the U.S. and China, two giants that drive consumption, followed by the Middle East, which is nonetheless on the rise. the U.S. continent-with a volume of** billion euros-is now home to the largest luxury market, accounting for ** percent of global business. China stands firm at ** billion euros, weighing in at ** percent [***]. Since the United States is among the worst importers of Italian underwear bain it is conceivable that it imports luxury linens anceh.

Luxury market share by country World, ****, percent Source: ****

Since it is difficult to estimate the demand for luxury home linens, it is useful to see where luxury properties are located in Italy, being more likely to encounter within them home linens of a higher quality.

In Italy, luxury properties are concentrated in the Northwest, ** percent, followed by the Center, ** percent, and the ...

2.2 Sectors using luxury linens

In Italy, luxury whiteira brands, such as Jesurum, collaborate closely with other industries to make the end customer experience more exclusive and unique. The most important categories are:

In order to provide a better idea of what the sectors mentioned above may be worth, we provide below some data on the *-star and luxury hotel and mega yatch sector.

Luxury hotels are found scattered throughout Italy predominantly in the most touristy regions or those with an importnate city center. Tuscany leads the ranking with ** hotels, followed by Campania, **, and Lazio, **.

Regarding the mega-yatch sector, according to Deloitte's report, The production value of the Italian shipbuilding industry amounts to *.* billion euros (***).In terms of geography, North America is the main outlet with a **% share, while Europe accounts for almost **% of the world market[***].

Finally, thanks to the concept of Home Living, customers' search for quality and personalized products is developing more and more. We can summarize the concept of "Home Living" by defining it as a new way of furnishing the home, a new way of understanding it and taking care of it in every detail, following the rules of fashion and its trends. After a long period when home care and ...

2.3 New trends

Consumers of luxury products tend to be looking for new experiences. There are some trends that affect products and some new trends that affect the market in general.

source:Cegid

3.1 Household linen market value chain

United Nations Environment Source: ****

Active players in each stage of the textile value chain are depicted in the image above, from fiber to finished products to distribution and sales. The household linen and textile upholstery value chain is an adaptation of the textile and apparel value chain, characterized by textile components that appear in a variety of end markets, from building materials to air filters, from automotive fabrics to upholstered furniture.

The industry can thus be segmented in various ways, such as:

By fiber type (***); By fabric production process (***); By finishing process of the fabric (***); By end use (***).

3.2 Leading Italian companies in the industry

There are different types of companies active in the luxury linen industry. There are large companies active in the sector, such as Frette, which are companies with a turnover of several tens of millions of euros, with hundreds of employees, and small luxury handicraft companies. Prices, although both companies work in the luxury sector, vary greatly, since in the latter case most of the workmanship is handcrafted. In addition, the smaller companies offer more possibilities for customization, a great advantage especially for working on interior customization projects.

3.3 Luxury linens and Made in Italy brands

Numerous luxury brands have entered the home goods market, adding another dimension to their universe and reaching consumers in their homes. By creating smart partnerships and luxury houses have secured a real extension of their DNA, demonstrating that their craftsmanship goes beyond clothes and accessories.

Versace was one of the first luxury brands to develop its own collection dedicated to the home. In addition, the brand extended its universe to the hospitality sector with the launch of Palazzo Versace in **** in Queensland, Australia and in **** in Duba, leading the brand to be known not only for fashion but for the lifestyle concept.

Collaborating with interior design and real estate companies is a rapidly growing trend in the industry. In particular, fashion brands are collaborating either with large hotels, as in the case of Palazzo fendi in Rome or Armani Hotel in Dubai, or directly with branded residences, i.e., super-luxury apartments with hotel-like amenities, as in the case of Elisenzahn * in Berlin by Bottega Veneta[***].

The segueti Italian brands have a continuous home line one can mention Diesel Living, Versace Home, Armani Casa, Etro, Trussardi Home and many others. In terms of turnover in the sector, Loro Piana, being primarily a ...

4.1 Products

Household linen products can be divided into three major macro groups: table linen, bath linen, and bed linen.

4.2 Prices

Prices of luxury linen items may vary depending on brands, materials, and type of workmanship, but all are distinguished by their much higher price than the same item but not luxury. Below we compare the prices of home linen items from a luxury brand (***).

Source: ****

The price of home linens is also partly determined by the prices of textiles used in the creation of luxury home linens.

The chart below shows the main prices of textile raw materials used in base *** in ****. Cotton has increased after a decline in April **** and is now more expensive than other textiles. In contrast, the price of linen has decreased sharply, while wool fluctuates between ***.* and ***.

Evolution of the price of natural raw materials World, ****-****, in euros/kg Source: ****

Another important valuable material used to produce luxury linens is silk. The prices of **/**D raw silk are shown below.

*A raw silk price of Chinese origin Italy, January ****-February ****, €/kg Source: ****

Finally, cashmere wool, being a fine and luxury wool, is used in the production of luxury blankets and plaids. Cashmere is a very special textile fiber, considered one of the most prestigious and expensive fabrics in the world.This in fact, is ...

4.3 Supply trends

Textile companies are seeking to offer natural materials, the production of which is environmentally friendly, in order to meet the growing concerns of consumers sensitive to sustainability issues. it is highly likely that this trend will characterize future collections and could lead to a close association between the textile and agricultural sectors.

Recently, Donne in Campo, an association of the Cia-Agricoltori Italiani (***) registered the trademark "agritessuti," in order to create a ***% eco-sustainable Made in Italy textile supply chain that uses natural fabrics with natural dyes made from agricultural products and waste, such as the leaves of white artichokes, the "tunics" of coppery onions, pomegranate peels, chestnut husks or the pruning residues of cherry and olive trees.

In addition, the UN has called for new production systems with lower environmental impact by **** for the textile industry, considering that it is one of the most polluting.

In the field of domestic fashion, companies are recently rediscovering an ancient product, but one that had been sidelined in recent years, hemp fiber. Italy until World War II was the world's largest producer of hemp, after Russia. The fiber was later replaced by cotton or nylon. As of ****, however, it is again possible to produce hemp ...

5.1 Regulations

Luxury bainery manufacturers follow the same laws as regular household linen manufacturers, both being part of the textile products category.

Textile products are defined as all products which, in their raw, semi-finished, processed, semi-finished, semi-made-up state, are composed exclusively of textile fibers, whatever the mixing or joining process used.

The following are assimilated to textile products:

products whose textile fibers constitute at least ** percent by weight; textiles, the textile components of which constitute at least ** percent by weight, for covering furniture, umbrellas, parasols, and, under the same conditions, the textile components of multi-layer floor coverings, mattresses and camping goods, as well as insulating linings of footwear and gloves; textile products incorporated into other products of which they are an integral part, when their composition is specified.

The composition labeling requirement does not apply:

to textile products given for processing to home workers or independent enterprises working from materials supplied to them without giving rise to a transfer for consideration; textile products made to measure by tailors acting as self-employed workers; to products listed in Annex V of EU Regulation No. ****/****

Household linen, like all textile products, must therefore meet certain standards in terms of

Chemicals: the European Reach regulation defines the ...

6.1 Segmentation

• Frette
• Gentili Mosconi
• Rubelli
• Gianni Versace
• Jesurum
• Once Milano
• Diesel
• Quagliotti 1933