Thailand's Luxury Retail Sector Poised for Continued Growth
Market valued at 4.4 billion dollars, projected to grow 5 percent annually through 2028 amid tourism resurgence and retail expansion
Thailand's luxury retail market is valued at 4.4 billion dollars and is projected to grow by approximately 5 percent annually through 2028, positioning the country as a leading luxury retail hub in Southeast Asia and ranking it seventh in the Asia-Pacific region.
This growth is supported by a resurgence in tourism and a significant expansion of retail space in Bangkok.
In 2024, Thailand welcomed 35.5 million international tourists, boosting demand in the luxury segment.
Between 2024 and 2025, over 410,000 square metres of downtown Bangkok shopping mall space is being added, providing new opportunities for luxury retailers targeting both affluent locals and international visitors.
Developers have responded by reallocating prime retail areas in central business district malls to prioritize luxury brands, enhance experiential offerings with fine dining and entertainment, and redesign layouts for flagship stores.
Features such as multilingual services and tax-free shopping are being integrated to attract global shoppers.
Luxury brands are increasingly selective, choosing venues that align closely with their brand identity.
This has driven strategic planning among mall developers, particularly in areas like Bangkok’s Lumpini district, where projects such as Central Embassy and DIOR Gold House have expanded.
In Phuket, developments like Central Phuket Floresta and a second Siam Premium Outlets site are under way.
Key retail districts are leveraging accessibility and transit connectivity.
The Em District, developed by The Mall Group, exemplifies this trend by optimizing shopper flow through integration with mass transit systems.
Siam Piwat has announced the addition of 15 new luxury brands to Siam Paragon and Iconsiam in 2025.
These malls are curating high-end tenant mixes and environments to attract new-to-market luxury brands and enhance the shopping experience.
Experiential retail is another growing trend, with brands creating immersive and flexible spaces.
Gaysorn Village, now hosting Louis Vuitton's LV The Place Bangkok, combines retail, dining, and exhibitions to deepen customer engagement and loyalty.
Thailand’s appeal to high-net-worth individuals, favorable long-term visa policies, and a safe living environment are also contributing to a rising number of wealthy residents and visitors, reinforcing the growth of the luxury market.
This growth is supported by a resurgence in tourism and a significant expansion of retail space in Bangkok.
In 2024, Thailand welcomed 35.5 million international tourists, boosting demand in the luxury segment.
Between 2024 and 2025, over 410,000 square metres of downtown Bangkok shopping mall space is being added, providing new opportunities for luxury retailers targeting both affluent locals and international visitors.
Developers have responded by reallocating prime retail areas in central business district malls to prioritize luxury brands, enhance experiential offerings with fine dining and entertainment, and redesign layouts for flagship stores.
Features such as multilingual services and tax-free shopping are being integrated to attract global shoppers.
Luxury brands are increasingly selective, choosing venues that align closely with their brand identity.
This has driven strategic planning among mall developers, particularly in areas like Bangkok’s Lumpini district, where projects such as Central Embassy and DIOR Gold House have expanded.
In Phuket, developments like Central Phuket Floresta and a second Siam Premium Outlets site are under way.
Key retail districts are leveraging accessibility and transit connectivity.
The Em District, developed by The Mall Group, exemplifies this trend by optimizing shopper flow through integration with mass transit systems.
Siam Piwat has announced the addition of 15 new luxury brands to Siam Paragon and Iconsiam in 2025.
These malls are curating high-end tenant mixes and environments to attract new-to-market luxury brands and enhance the shopping experience.
Experiential retail is another growing trend, with brands creating immersive and flexible spaces.
Gaysorn Village, now hosting Louis Vuitton's LV The Place Bangkok, combines retail, dining, and exhibitions to deepen customer engagement and loyalty.
Thailand’s appeal to high-net-worth individuals, favorable long-term visa policies, and a safe living environment are also contributing to a rising number of wealthy residents and visitors, reinforcing the growth of the luxury market.
