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Sandra Halliday Published
June 29, 2025
Luxury goods retailers are set to significantly boost spending on technology and communications over the next three years as sales increasingly go online. That’s according to new global research by UK-based communications technology company Communications Specialist.
Its study with senior executives at luxury retailers with total annual turnover of $3.1 billion across Europe, Asia, Africa, the US and South America found they’re predicting an increase of 36% in spending on technology over the next three years. One in five believe spending will rise by 50% or more.
Importantly too, on average the executives questioned expect 28% of sales in the luxury retail market to be online within three years as customers increasingly want to interact with favoured brands online.
This will require heavy tech spend and a key focus will be the increased use of mobile solutions such as mobile POS devices, which help sales staff to enhance customer service in stores and help manage delivers to customers.
Some 24% of executives expect the use of mobile POS to increase dramatically over the next three years while 76% expect a slight increase.
Enhancing the customer experience in stores is important as the research found sales are increasingly moving online.
It also found costs in the sector have risen sharply in the past year and when compared with the pre-Covid period. Some 32% questioned estimate costs in the sector are 30%, or more, higher.
Kevin Buchler, Chief Marketing Officer at Communications Specialist, said: “The luxury retail sector globally is growing strongly but retailers are having to adapt to changing customer demands and perceptions.
“The rise of online shopping identified in the research coupled with a need to enhance the in-store experience is putting pressure on the costs of retailers.
“We are seeing the impact in increased interest from the sector which represents a growing market for secure radio communications and communications technology.”