Welcome to our final edition of the COMPASS Index for 2024.

In the Q4 edition we are bringing you even more insights and data - taking a rear-view mirror look into what happened in 2024 and what's changed.

2024 was a year where the Chinese consumer decided if you were not able to showcase your value, they would vote with their wallets. There certainly has been a feeling that the average luxury consumer has been questioning the category and their associated spend within the category, and in trying times, its much easier to forego luxury items to save for a rainy day.

It has not been all doom and gloom, but what defines those brands that have been able to swim against the current? If your strategy has been focused on HNWI and building brand loyalists, 2024 has been a year of slower growth, but growth none the less. Similarly, brands that genuinely put efforts into localization of their products, events and campaigns were often better received than those that didn’t.

Looking ahead, 2025 will emphasize retention, ensuring consistent engagement to maintain brand loyalty and prevent customer churn. Optimization will also be crucial, requiring careful consideration of pricing and value proposition to balance profitability with customer experience. In the analogy of sink or swim, treading water might be the wisest strategy.

We hope you enjoy the report!