Luxury Goods in Argentina

Luxury goods in 2025: The big picture

In 2025, luxury goods in Argentina continued its recovery, driven by the economic adjustments made in the previous year, particularly the significant devaluation of more than 100% in late 2023. This realignment of the currency facilitated the normalisation of import channels and stock levels across various luxury goods categories, which had been severely constrained by foreign exchange shortages. Despite this positive trend, the market's growth was tempered by persistent macroeconomic challenges, including wage stagnation amid high inflation and rising poverty rates, which limited broader market expansion. The stabilisation of exchange rates also led to flat foreign tourist inflows, impacting demand in experiential luxury and other categories.

2025 key trends

Demand for luxury goods in Argentina was notably influenced by the ongoing emphasis on sustainability and the integration of advanced technologies such as artificial intelligence in 2025. Sustainability increasingly shaped consumer preferences and brand strategies, with a growing demand for ethically sourced materials and environmentally responsible production practices across product categories, particularly in personal luxury and experiential luxury. Personalisation also gained momentum, driven by AI-powered customisation tools that allowed brands to offer tailored experiences and products, thereby improving customer engagement and meeting the evolving expectations of discerning buyers. Despite the persistence of inflationary pressures and high import taxes, these innovations contributed to maintaining consumer interest and market resilience, ensuring that the industry remained robust and attractive to both local and international investors.

Competitive landscape

In 2024, the competitive landscape of luxury goods in Argentina continued to be led by Mercedes-Benz Argentina SA, with global brand owner LVMH Moët Hennessy Louis Vuitton SA also having a strong presence. Mercedes-Benz Argentina SA maintained its position as the foremost player, primarily driven by the robust sales of premium and luxury cars. Its reputation for durability and as a symbol of status continued to resonate strongly with affluent Argentinian consumers, fostering a willingness to pay a premium. LVMH, on the other hand, leverages its extensive portfolio across fine wines/champagne and spirits, and personal luxury goods. Its key brands such as Hennessy, Moët & Chandon, Veuve Clicquot, Kenzo, Christian Dior, and Givenchy are particularly popular, aligning well with the evolving affluent lifestyle trends in Argentina. The heritage, craftsmanship, and exclusivity of these brands play a crucial role in capturing the interest of discerning consumers.

Retail developments

Store-based retailing remained dominant in the distribution of personal luxury in Argentina in 2025. For many categories, including designer apparel and footwear (ready-to-wear), luxury jewellery, and luxury timepieces, the tactile experience and personalised service are crucial to the purchasing decision. Key retail locations, such as Patio Bullrich, Paseo Alcorta, and Alvear Avenue in Recoleta, continued to attract affluent consumers with their curated environments and premium in-store services, including private appointments, styling consultations, and personalised concierge services. These elements have become essential for meeting the high expectations of luxury shoppers.

What next for luxury goods?

Value sales of luxury goods in Argentina are set to experience solid growth over the forecast period, with a 20% current value CAGR (a 2025 constant value CAGR of 5%). This upward trajectory will primarily be supported by a gradual increase in the number of wealthy consumers, including HNWIs and UHNWIs. Despite ongoing economic volatility, wealth generation in Argentina is expected to improve steadily, driven by sectors such as finance and technology. This expanding affluent consumer base will underpin demand for categories such as experiential luxury and personal luxury, which remain significant contributors to the industry’s value.