Luxury Goods in Singapore

Luxury goods in 2025: The big picture

Retail value sales of luxury goods in Singapore witnessed a significant 9% increase in 2025, reaching approximately SGD13.9 billion. This growth underscores the resilience of the luxury market, particularly in the face of global economic uncertainties and inflationary pressures. Affluent consumers in Singapore, driven by strong consumer confidence and rising wealth accumulation, continued to demonstrate robust demand for both luxury experiences and premium products. The industry's performance was further bolstered by a steady influx of international leisure tourism and a resurgence in business travel, which provided a significant boost to sales.

2025 key trends

In 2025, sustainability continued to shape developments in luxury goods in Singapore. Consumers demonstrated heightened awareness of environmental impact, increasingly favouring brands that implemented eco-conscious practices across their operations. In response, a number of players focused on sustainable elements, including local label Sans Faff, which launched its "Beyond Tomorrow" collection featuring tailored power pieces made from sustainably certified fabrics, catering to consumers who prioritise both style and environmental responsibility. In addition, Loro Piana introduced its Resort 2025 collection at a pop-up on ION Orchard, emphasising craftsmanship and eco-friendly materials, reflecting the brand’s commitment to reducing its carbon footprint and promoting responsible sourcing.

Competitive landscape

In 2024, the competitive landscape of luxury goods in Singapore continued to be led by manufacturers of premium and luxury cars, namely Performance Motors Ltd (BMW), Daimler South East Asia Pte Ltd (Mercedes-Benz), and Hong Seh Motors Pte Ltd (Tesla). These brands continued to resonate with affluent consumers, driven by their reputation for quality, luxury, and innovation. Mercedes-Benz’s strategic focus on electric vehicles and advanced automotive technologies aligned perfectly with Singapore’s growing infrastructure support for electric mobility, while BMW tends to attract discerning buyers with its sporty yet sophisticated electric and hybrid models. Both Performance Motors and Daimler have expanded their electric vehicle offerings and retail footprints, including the opening of new store locations (such as a new flagship showroom by Performance Motors for BMW in September 2024), and pop-up experiences, including a Mercedes-Benz “Mission: Electric” event in April and May 2025, and the BMW Ultimate Showcase at Suntec City in June 2025. This type of activity can significantly enhance customer engagement and accessibility, and help drive sales.

Retail developments

In 2025, the luxury goods retailing landscape in Singapore continued to be dominated by physical retail. Affluent consumers in the city-state preferred the tangible and immersive experiences offered by physical stores, especially in leisure and personal goods specialists. These venues provided a broad and carefully curated selection of high-end products, ensuring a personalised shopping environment that included private shopping sessions, concierge services, and expert styling consultations. The appeal of luxury department stores and high-end shopping centres was further enhanced by continuous improvements in physical layouts and customer service standards, catering to the discerning tastes of luxury shoppers. Additionally, there was a surge in demand driven by a rebound in international tourism and favourable regulatory changes, such as GST exemptions for travellers. Visitor arrivals gradually moved closer to pre-pandemic levels, boosting sales and prompting luxury brands to expand their presence through new stores and immersive pop-ups in high-traffic areas like Orchard Road and Changi Airport. Loro Piana leveraged a pop-up to showcase its Resort 2025 collections, blending craftsmanship with experiential retail. These developments reflected a shift towards catering to affluent travellers seeking convenience, exclusivity, and memorable shopping experiences, reinforcing brand loyalty and driving higher value sales in Singapore’s evolving luxury landscape.

What next for luxury goods?

The forecast for luxury goods in Singapore remains optimistic, with retail value sales expected to record a 6% current value CAGR (2025 constant value CAGR of 4%), reaching a total value of SGD18.8 billion by 2030. This growth will primarily be driven by the rising population of high-net-worth individuals (HNWIs), ultra-high-net-worth individuals (UHNWIs), and wealthy adults. The affluent consumer base is anticipated to expand steadily, bolstering demand for luxury goods across product categories. Personal luxury is projected to reach a retail value of SGD7.8 billion by 2030, recording a 4% current value CAGR of 2% (2025 constant value CAGR of 2%). This category's strong performance underscores the enduring appeal of designer apparel, luxury jewellery, and luxury timepieces among Singapore's wealthy consumers. Meanwhile, further growth for experiential luxury is likely to be driven by the full recovery of inbound arrivals and the increasing preference for unique and exclusive experiences, particularly in luxury hotels, as consumers seek to invest in memorable and high-quality moments. Luxury goods in Singapore will continue to benefit from the country's stable economic environment and its status as a regional luxury hub, fostering increased consumption among both local and international wealthy customers.