Luxury and sport Brands clash in the luxury sneaker race
What do you get when luxury fashion meets sport? $10,000 sneakers.
High-end brands such as Gucci, Prada and Balenciaga are increasingly looking to sneakers for growth, putting them in direct competition with sportswear giants like Nike, Puma and Adidas, and giving rise to ever-more striking and expensive designs.
Luxury groups say they are now increasing investments and marketing budgets to face down their new opponents.
Both luxury groups and sports companies are looking to cash in on a booming market. Premium sneakers can start at around $400 but can easily rise as high as $3,000, for a pair of Christian Louboutin’s leather, crystal-embellished sneakers.
Limited editions can sell for well over $10,000, including the Chanel X Pharrell Hu Race Trail or Nike’s Air Jordan 3 Retro DJ Khaled Grateful.
At Buying Intelligence, we are seeing a steady increase in the average price point of sneaker ranges with the number of products in the upper price tiers increasing to 9% vs 5% at the same time last year.
With the 'luxurisation' of sneakers there still seems to be a large space for prices moving up in this hot category.