Sensormatic Solutions report: luxury store traffic slows in Italy

According to the Luxury Retail Report 2026 by Sensormatic Solutions, luxury retail in Italy is facing increasingly selective demand.

Luxury footfall is less dynamic

Between 30 March 2025 and 26 April 2026 the luxury segment recorded just one week of growth in store traffic compared with the same period of the previous year. Over the same period, the premium and mass-market retail segments went through several positive phases. In particular, premium recorded growth in traffic during around half of the period analysed, with an average increase of 7,2%. The strongest performances were concentrated during the summer of 2025 and at the beginning of spring 2026.

The three categories followed similar patterns, with peaks and declines recorded at the same times, but luxury showed more pronounced fluctuations and a significantly weaker performance. Rather than indicating a simple slowdown, this gap suggests a transformation in demand: even in a traditionally resilient sector, consumers are paying greater attention to the relationship between price and perceived value, the quality of service and the overall experience offered by the brand.

Younger generations

The traditional equation between price and value is being challenged above all by younger generations. The Gen Z shows more limited engagement with many longstanding brands and is also turning to alternative channels, such as second-hand, fast fashion and dupe culture, while Millennials balance aspiration with growing price sensitivity. High-income aspirational consumers, the HENRYs (high earners, not rich yet), are also reducing discretionary spending under pressure from inflation, housing costs and employment uncertainty.

The gap between expectations and experience

The change also concerns what consumers expect from a store. According to data from McKinsey cited in the report, 36% of luxury consumers express a less positive assessment of the in-store experience, signalling a growing gap between their expectations of brands and the experience actually offered.

At the same time, the shift from product-centred luxury to experience-oriented luxury has accelerated. Spending on travel, hospitality and high-end dining is growing faster than spending on personal luxury goods, while brands are investing increasingly in flagship destinations, hospitality-related projects and hybrid spaces capable of integrating retail and lifestyle. Value is therefore shifting from the individual product towards a broader ecosystem of experiences and relationships.

Numbers are not enough

The physical store continues to play a central role in the relationship between brand and customer, but the number of visits is no longer sufficient to describe its effectiveness. Alongside footfall are indicators such as dwell time, journeys, conversion and integration with digital channels, which help to understand not only how many people enter, but also the quality of the interaction built during the visit.

This article was translated from the original Italian version with the assistance of artificial intelligence. In case of discrepancies, please refer to the original Italian version.