Luxury brands court America's AI-fueled super-rich amid wealth boom: Report

Amid the AI boom and soaring shares of technology conglomerates, a new stream of disposable income appears to have reached wealthy consumers. To capitalize on this renewed appetite for spending, European luxury brands have sharpened their focus on the United States once again. Sweeping changes across product lines, refreshed branding strategies, and new marketing campaigns appear to have captured the attention of this emerging group of affluent shoppers.

Reports suggest that after two years of contraction, the luxury goods sector was showing signs of stability until the Iran war, which began at the end of February. The conflict disrupted travel and dented luxury spending far beyond the Middle East.

Luxury brands took note of the changing landscape and responded quickly, as highlighted by Savills' latest Global Luxury Retail Report, which has tracked the sector since 2016. The report reveals that North America accounted for about 27% of global luxury store openings in 2025, compared with 26% in Europe and 19% in China. Globally, luxury store openings fell to their lowest level since 2020.

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The research points out that the United States has relatively few luxury stores compared with its population of ultra-wealthy consumers. Many brands still view the market as underpenetrated relative to the scale of wealth it contains. The investment highlighted in the report is not limited to major East and West Coast cities. It also extends to second-tier states and cities where high-net-worth individuals have relocated, drawn by lower tax rates.

Beyond metropolitan hubs such as Los Angeles and Miami, emerging centers of wealth across the West Coast and the US interior are presenting attractive opportunities. According to Savills, San Francisco is re-emerging as a focal point, benefiting from return-to-office mandates and a renewed influx of visitors from the Asia-Pacific region. Chicago and Dallas have also attracted attention due to their concentration of established wealth, making them important hubs for domestically driven luxury consumption.

A major wealth transfer underway in the United States is also creating long-term opportunities in affluent, fast-growing cities with younger populations, particularly technology hubs such as San Francisco, Seattle, and San Jose.

The luxury sector is increasingly reflecting two contrasting trends. While the United States and parts of Asia continue to drive growth, Europe and the Middle East have faced pressure from weaker tourist spending amid disruptions linked to the Iran conflict.

Several luxury groups have already reported stronger momentum in the Americas. Richemont's sales rose 18% in the region between January and March, marking its ninth consecutive quarter of double-digit growth there. Beyond Cartier-owner Richemont, brands such as Ralph Lauren and Coach parent Tapestry have also delivered sales performances that have outpaced many of their industry peers, underscoring the growing importance of the US market to the global luxury industry.