In 2025, the luxury market is no longer ruled by the usual giants. Louis Vuitton and Gucci saw their combined search share fall, while smaller maisons—Bulgari, Givenchy, and Montblanc—gained ground. South African consumers are exploring more brands, choosing with curiosity and discernment rather than defaulting to familiar names. This is according to The State of Luxury Report 2025 by Luxity, which highlights trends observed in the market.
Luxury shoppers are not only looking towards well-known brands like Gucci. Source: Luxity.
Rolex watches in South Africa are now reselling for an average of 126.5% of their retail price, making them one of the country’s most reliable alternative assets and the standout insight from The State of the Luxury Market in Africa 2025. In a landscape shaped by caution, rising costs, and shifting priorities, luxury buyers are turning to items that hold—or grow—their value.
A market that has stabilised, not slowed
While traditional luxury retail plateaued with a marginal -1% change year-on-year, the pre-owned luxury market surged. Luxity reported a 27.86% increase from 2024 to 2025, extending its overall growth to more than 594.15% since 2019. This signals a consumer base that isn’t spending less but is spending strategically.
The rise of the rational collector
Consumers are behaving less like impulse shoppers and more like asset managers. Hard-luxury categories—such as watches and fine jewellery—performed exceptionally well, with Cartier, Hermès, and Bulgari reinforcing their reputation as stable long-term stores of value. Rolex’s record resale performance represents the peak of this trend.
Bags and jewellery lead the category shift
Search interest reveals a decisive move toward investment-grade categories. Jewellery recorded a massive 43.8% jump, while bags rose 14.6%, underscoring the appeal of timeless, tradeable items. In contrast, more transient purchases like shoes and wallets lost momentum as buyers sought durability rather than seasonality.
Who holds their value?
Cartier topped the 2025 value-retention rankings at 72.6%, followed by Hermès at 67.8%. Chanel, Bulgari, and Louis Vuitton formed a stable cluster just above 64%, reflecting strong long-term confidence in heritage maisons. Meanwhile, hype-driven brands saw corrections, with Marc Jacobs, Bottega Veneta, and Alexander McQueen experiencing the steepest declines.
Popularity doesn’t equal investment
A key takeaway from the report is that visibility is not a predictor of value. The correlation between search popularity and resale performance remained weak. Brands that dominate conversation—like Prada or Burberry—do not necessarily deliver the strongest investment returns, while under-discussed labels such as Bulgari and Montblanc outperform quietly.
Chanel vs Gold: A surprising comparison
One of the report’s most compelling analyses compares the Chanel Medium Classic Flap to gold. While gold offers liquidity, the Chanel icon delivers both financial resilience and everyday utility. With retail prices rising in step-like increments and resale closely following, many South Africans are choosing the handbag over the bullion.
The outlook: Smarter, sharper, more informed
The 2025 findings point to a luxury market that is not shrinking but evolving. South Africans are prioritising craftsmanship, scarcity, and long-term value over rapid-turnover trends. The future of luxury in the country will be defined by smart upgrading—where consumers buy fewer, better, and more enduring pieces.
