How luxury resorts are making money off luxury products
Posted On July 24, 2021
Luxury resort chains are making a killing off the luxury goods that are sold at their resorts, according to Recode’s The Next Web.
According to The Next, some of the most expensive luxury goods sold at these resorts can fetch up to $25,000.
However, the luxury resorts have been struggling to keep up with demand for their luxury products.
“The luxury goods industry has seen a sharp rise in the last year, and there are lots of reasons why,” the site’s founder Josh Barro said in a statement.
“One of the biggest is that consumers are more willing to spend more for luxury goods, especially high-end products like cars and jewelry.”
The website said that resort owners are struggling to make ends meet, and that they have been unable to maintain the same number of hotels as in the past.
However they do have a few ways to supplement their budgets, including the use of luxury food and beverages.
In the last quarter, luxury hotel chains including the Four Seasons and La Quinta Resort earned $2.3 billion and $1.7 billion, respectively.
Meanwhile, luxury nail polish brand H&M was able to earn $1 billion and up to a whopping $2 billion in revenue, according Topper.
“With a strong growth rate of luxury goods sales, it’s no wonder that they are finding a way to monetize this new opportunity,” Barro added.
The site’s authors say that the luxury resort industry is on the cusp of a new era.
“This boom in luxury sales is not a temporary one.
The trend of luxury resorts’ growth will continue as the industry matures, and the consumer demand for luxury products will grow exponentially,” the authors said.