Report

Handbags Market Analysis

The handbags market is valued at USD 74.33 billion in 2025 and is forecast to reach USD 95.98 billion by 2030, reflecting a 5.25% CAGR during 2025-2030. Urbanization is continuing to grow, women are gaining more purchasing power, and there is an increasing trend of people buying luxury items for emotional satisfaction. The Asia-Pacific region is leading the market's growth, with China playing a significant role due to its wide variety of luxury consumer preferences. Additionally, the region's strong social-commerce culture is further boosting the market. Tote bags remain the most popular product, but bucket bags are becoming more sought after as consumers prefer designs that are flexible enough to suit both work and leisure needs. The use of digital technologies is helping brands expand their distribution channels, but exclusivity strategies are still proving successful. Furthermore, new sustainability regulations, such as the European Union's Digital Product Passport, are encouraging brands to adopt traceable materials and focus on circular design practices to comply with these standards. The market shows moderate fragmentation, with companies like LVMH benefiting from vertical integration and cooperation across its multiple brands, particularly through the success of Louis Vuitton.

Global Handbags Market Trends and Insights



Increase in outstation and leisure travel

The growing popularity of outstation and leisure travel is significantly boosting the demand for handbags, particularly those that are travel-friendly and stylish. According to the World Travel and Tourism Council (WTTC), in 2024, the Travel & Tourism sector contributed 10% to the global economy, amounting to USD 10.9 trillion. The WTTC forecasts that by 2035, tourism will inject USD 16.5 trillion into the global economy, accounting for 11.5% of global GDP . This increase in tourism, supported by relaxed travel restrictions and the availability of budget airlines, is encouraging consumers to invest in luggage and leather goods, including handbags, for weekend getaways and vacations. To meet the needs of travelers, brands are introducing innovative products. For example, Dagne?Dover launched its Petra Convertible Tote a sleek hybrid tote-backpack featuring a padded laptop compartment, trolley sleeve, and multiple organizational pockets designed specifically for professionals who balance travel and work demands.

Rising female workforce participation

As more women enter the workforce, the demand for handbags that are both stylish and functional is increasing. Women now seek bags that can carry essentials like laptops, documents, and personal items while complementing their professional attire. According to the World Bank, the global female labor force participation rate reached 40.2% in 2024, reflecting this growing trend . Office-friendly handbags, such as structured totes, satchels, and laptop-compatible crossbody bags, are becoming more popular because they combine practicality with fashion. To cater to these needs, brands are designing bags with features like multiple compartments for better organization and convenience. For example, Michael Kors launched the Jet Set Travel Large Logo Tote in 2024, which offers a spacious and organized interior, making it ideal for working women. This shift shows how handbags are no longer just fashion statements but have become essential tools for modern working women, balancing style and functionality to meet their daily needs.

Availability of counterfeit products

The presence of counterfeit products remains a significant challenge for the handbag market. The rise of high-quality "superfakes" is harming the reputation of luxury brands, as even experienced collectors sometimes struggle to distinguish them from genuine products. For example, on September 20, 2024, U.S. Customs and Border Protection officers in Wilmington, Delaware, seized counterfeit luxury handbags worth over USD 151,431 . This shipment, which came from China and was headed to an address in Newark, Delaware, contained 26 handbags falsely labeled with luxury brand names like Chanel, Goyard, Gucci, Hermes, Loewe, and Louis Vuitton. Many younger consumers are increasingly purchasing these replicas, viewing them as affordable ways to achieve a sense of social status. To combat this issue, luxury brands are adopting advanced technologies such as NFC tags and blockchain-based certificates, which allow customers to quickly verify the authenticity of their purchases. Educating consumers about the risks of counterfeit goods and implementing standardized authentication methods are becoming critical steps to protect brand trust and ensure the long-term value of the handbag market.

Other drivers and restraints analyzed in the detailed report include:

Changing fashion trends and consumer preferences / Influence of social media and celebrity endorsements / Environmental concerns regarding materials /

For complete list of drivers and restraints, kindly check the Table Of Contents.

Segment Analysis

Tote bags dominated the handbags market in 2024, holding a significant 41.25% share due to their practicality and versatility. These bags are especially popular among professionals and individuals managing hybrid work routines, as they can easily accommodate laptops, documents, and other daily essentials. Features like expandable interiors and compartments for tech gadgets have further boosted their appeal. Meanwhile, bucket bags, though holding a smaller market share, are growing rapidly with a projected 5.46% CAGR. This growth is driven by younger consumers who prefer casual, stylish, and adaptable designs that pair well with streetwear and leisurewear. In urban cities, bucket bags from brands such as Mansur Gavriel and Prada have gained popularity.

Other handbag styles are also evolving to meet changing consumer preferences. Clutches remain a go-to choice for evening and formal occasions, but multifunctional crossbody bags are increasingly taking over part of this demand. Satchels continue to attract professionals who value their structured and polished designs, while newer styles like belt bags and modular convertible bags are gaining attention for their versatility. Technology and sustainability are shaping the market. Handbags with RFID-blocking compartments, wireless charging pockets, and QR codes for authentication are becoming more common, as seen in Tumi and Samsonite's 2023 collections. On the sustainability front, brands like Stella McCartney and Pangaia launched handbags made from plant-based leather in 2024, reflecting the growing demand for eco-friendly products and compliance with stricter regulations.

The mass segment accounted for 63.61% of the handbags market size in 2024, offering trendy and affordable styles that appeal to a wide range of consumers. Brands in this segment focus on fast production cycles and staying updated with the latest trends, making them especially popular among Gen Z shoppers who frequently change their preferences. For example, in 2023, brands like Zara and H&M introduced handbag collections inspired by seasonal trends, allowing younger consumers to experiment with different styles without spending too much. On the other hand, the premium segment is growing faster, with a projected CAGR of 5.94%, as more consumers seek high-quality craftsmanship and ethically sourced materials. Premium brands like Coach and Tory Burch have successfully used limited-edition collections and serialized designs to create a sense of exclusivity, which justifies their higher price points.

Luxury brands are combining digital technology with traditional craftsmanship to maintain their reputation and appeal. For instance, in 2023, brands like Hermes and Louis Vuitton introduced handbags with QR-enabled tags that allow customers to trace the origin of materials, such as the specific workshop where the leather was crafted. This transparency not only assures buyers of the product's authenticity but also aligns with the growing demand for ethical and sustainable practices. The use of eco-friendly materials, such as plant-based leather, is helping luxury brands comply with stricter European Union eco-design regulations. Meanwhile, mid-market brands face challenges in standing out, as they are caught between the affordability of mass-market products and the heritage appeal of premium and luxury brands.

The Handbag Market Report is Segmented by Product Type (Satchel, Bucket Bag, Clutch, and More), Category (Mass and Premium), End User (Women and Men), Distribution Channel (Offline Retail Stores and Online Retail Stores), and Geography (North America, Europe, Asia-Pacific, South America, and Middle East and Africa). The Market Forecasts are Provided in Terms of Value (USD).

Geography Analysis

Asia-Pacific accounted for 43.09% of global revenue in 2024 and is expected to grow at a 6.23% CAGR through 2030. China plays a key role in this region as it is the largest producer and exporter of handbags, but its consumers are diverse. In tier-one cities, affluent buyers focus on high-quality craftsmanship, while middle-class professionals prefer reliable premium products. Younger consumers, especially Gen Z, are drawn to sustainable and culturally relevant designs. Social-commerce platforms like Xiaohongshu are popular in the region, helping consumers discover products, get peer reviews, and make quicker purchase decisions. However, intense price competition and occasional price drops in China require brands to adapt their pricing strategies and product offerings to meet local demands.

North America remains a dominant player, particularly in high-value purchases. U.S. travelers play a pivotal role in global tax-free luxury spending. Moreover, American consumers, frequently shopping for luxury items overseas, wield considerable influence on global product planning. Meanwhile, Europe is at the forefront of regulatory developments. The European Union's Digital Product Passport initiative mandates brands to disclose comprehensive supply chain details by 2027, urging global companies towards sustainability. This regulation is poised to significantly influence the global handbags market.

The Middle East and Africa and South America are growing markets with unique characteristics. In the Gulf Cooperation Council (GCC) countries, there is a strong demand for luxury goods, while Africa's expanding middle class shows potential for future growth despite limited infrastructure. In South America, fluctuating currencies make pricing challenging, but brands that adapt by localizing production or using flexible pricing strategies can succeed. Increasing use of social media, more women joining the workforce, and stronger travel connections are helping these regions gradually contribute more to the global handbags market.

List of Companies Covered in this Report:

LVMH Moet Hennessy Louis Vuitton SE / Kering SA / Tapestry Inc. / Capri Holdings Ltd. / Hermes International SA / Chanel SA / Prada SpA / Burberry Group PLC / Longchamp SAS / Mulberry Group PLC / Tory Burch LLC / Braun Buffel GmbH & Co. KG / Salvatore Ferragamo S.p.A / PVH Corp. / Furla SpA / Charles & Keith Group / Dagne Dover Inc. / Maison Goyard / MCM Worldwide / VF Corporation /

Additional Benefits:

The market estimate (ME) sheet in Excel format /
3 months of analyst support /