"Revenge shopping" gives Prada solid sales growth

Luxury brand Prada has published strong results: after the difficult pandemic year 2020, sales of handbags and clothing rebounded, with revenue growth of 41 %.

Own stores and e-commerce

Turnover climbed to 3.4 billion euros in 2021, an increase of 41 % compared to the lockdown year 2020, but also still an 8 % growth compared to 2019. Business was particularly good in the second half of the year: after the compulsory store closures, it became clear that consumers want to indulge themselves again, a phenomenon sometimes referred to as “revenge shopping” or “catch-up shopping”.

Sales in the company’s own stores in particular picked up sharply, as did e-commerce activities. The company also managed to sell more products at full price. Like many luxury brands, Prada is taking matters into its own hands and continues to rationalise its wholesale channel.

CEO Patrizio Bertelli called 2021 a year full of challenges, but he said his company was ready and able to quickly respond to the changing market. He attributed the success to his company’s ability to understand changes in consumer behaviour effectively, he said in a press release.