June 14, 2024
Luxury Vegan Handbag Market

The Luxury Vegan Handbag Market Driven By Increasing Ethical Fashion Consciousness

The growing trend of veganism and animal welfare across the globe has driven significant demand for luxury vegan handbags. Vegan handbags are made without the use of any animal by-products like leather, fur, skin or wool. These bags offer stylish designs and superior craftsmanship at par with traditional luxury bags. Vegan materials like synthetic leather, jute and cork offer durable and sustainable alternatives to animal-derived fabrics. The global shift towards ethical and sustainable fashion choices has prompted many luxury brands to introduce vegan collections.

The global Luxury Vegan Handbag Market is estimated to be valued at US$ 2.5 Billion in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024-2034, as highlighted in a new report published by CoherentMI.

Market Key Trends :

One of the key trends in the luxury vegan handbag market is the increasing adoption of innovative Brands are extensively researching novel plant-based and recycled materials that can replicate the look and feel of authentic leather. Many startups are developing sophisticated vegan leathers using pineapple leaves, cork and mushrooms which are more sustainable and environment-friendly. Another notable trend is the rising penetration of luxury vegan handbags among millennials and generation Z consumers. Young shoppers are more ethically-driven and willing to pay premium prices for brands aligning with their sustainability values. Several luxury fashion houses like Prada, Gucci and Coach have witnessed over 30% of their online sales coming from vegan accessories targeting younger demographics.

Porter’s Analysis :

Threat of new entrants: Low. Given the established brands, high capital requirements and regulations, new entrants face significant barriers.
Bargaining power of buyers: Moderate.Buyers have significant influence over price given the availability of alternatives. However, brand preference and loyalty limits influence.
Bargaining power of suppliers: Low. Given the availability of raw materials and easy availability of alternatives, suppliers have limited influence.
Threat of new substitutes: Moderate. Alternative luxury and fashion brands pose significant threat, though vegan and environment-friendly positioning reduce impact of threat.
Competitive rivalry: High. Presence of multiple established brands results in intense competition on product quality, pricing and innovation.

Luxury Vegan Handbags Market Segmentation:

  • By Material Type
    • PVC
    • Polyurethane
    • Recycled Materials
    • Cork
    • Others (Pinatex, Mushroom leather, etc.)
  • By Product Type
    • Handbags
    • Wallets
    • Clutches
    • Shoulder Bags
    • Tote Bags
    • Satchels
    • Others (Crossbody bags, belt bags, etc.) 
  • By Price Range
    • Premium
    • Mid-Range
    • Low Range
  • By Distribution Channel
    • Offline Retail Stores
    • Online E-Commerce Websites
    • Brand Outlets
    • Others
  • By End User
    • Women
    • Men
    • Unisex 

Key Takeaways:

The global Luxury Vegan Handbags Market Size is expected to witness high growth. The global Luxury Vegan Handbag Market is estimated to be valued at US$ 2.5 Billion in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024-2034.

Regional Analysis: North America is expected to dominate the market during the forecast period. Growth in veganism, rising sustainability concerns and presence of key brands in the region drive the North American market. Asia Pacific is expected to be the fastest growing regional market owing to growth in vegan population, emerging economies and expansion strategies of key brands in the region.

Key Players: Key players operating in the luxury vegan handbags market are Matthew Mora, Matt & Nat, Everlane, Kate Spade, Stella McCartney, Lodys Vegan Leather Luxury, Pamella Roland, and Dion Lee. Growth strategies involve product, material and technology innovation to appeal to the new-age luxury consumer.

*Note:
1. Source: CoherentMI, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it