Despite a looming recession, online purchases of designer fashions continue to grow. According to a recent report by IBIS World, sales of designer fashions are trending upwards making it the fastest growing online retail sector. 

Revenues are expected to reach $13.8 billion with overall market share growing by 2.7 percent in 2022. This aligns with recent growth trends which has seen online designer clothing sales grow 8.5 percent a year on average between 2017 and 2022. 

A demand for the latest designer styles has not only made the online industry the largest growing online sales sector but also the fastest. 

Over the last two years, online sales for most goods have grown due to limited access to in-store shopping resulting from lockdowns. These recent numbers indicate that more consumers are opting to continue to make their purchases online, including luxury goods.

Resale websites like Net-A-Porter, Fashionphile and The Real Real have also driven online sales of designer goods. These websites offer consumers the opportunity to purchase used and vintage designer luxury brands like Chanel, Hermes and Dior at a fraction of their price if purchased new. 

According to Save My Cents, Gen Z dominates the online luxury retail market with women between the ages of 25 to 35 making up the largest percentage of purchases while Millennials make approximately 33 percent of personal luxury purchases. 

The most in demand brands include Louis Vuitton, which reached a value of $51.7 billion in 2020, followed by Chanel at $36.1 billion and Hermes at $33 billion. 

Overall luxury sales continue to rise both in-store and online with the U.S. topping out as the number one consumer for luxury items at $64.8 billion in 2020 followed by China at $51.8 billion. The U.S. held 28 percent of the global luxury market, well ahead of China at 20 percent and Japan at 8 percent.