Samsonite: World’s Largest Luggage Brand Is Still Undervalued
Samsonite is the largest luggage company in the world, with a dominant 20% global market share and US$3.6 billion in annual revenue. That might not sound massive, but keep in mind—the luggage industry is highly fragmented. The next biggest player? Rimowa, owned by LVMH, and even then, Rimowa’s estimated sales come in at just around US$1 billion. There’s a huge gap between number one and everyone else.
The group’s business spans three core brands—Samsonite, Tumi, and American Tourister—which target the mid- to premium segments. When Samsonite IPO-ed in 2011, it was seen as a single-brand business, with the Samsonite brand contributing over three-quarters of revenue. But over the years, the company has deliberately diversified and built out its brand portfolio. It expanded American Tourister and acquired Tumi in 2016, which brought in a new customer base and price point (read luxury).
Today, these three brands make up 93% of group sales—Samsonite at 52%, Tumi at 24%, and American Tourister at 17%. The rest comes from smaller brands like High Sierra, Hartmann, Lipault, Gregory, Kamiliant, and eBags. This brand architecture allows Samsonite to serve different price points, regions, and retail channels without cannibalizing itself—something many consumer companies struggle to balance.
How Samsonite Makes Its Money
About 40% of Samsonite’s revenue comes from its direct-to-consumer channel—which includes e-commerce and over 1,100 self-operated stores (up from 1,052 last year). The remaining 60% is wholesale. This omni-channel approach is essential to control margins, gather consumer insights, and mitigate reliance on external retail partners. It also provides more pricing power and resilience during economic cycles.
The brand performance tells us where the pressure points are:
Samsonite continues to grow steadily, with 3.3% YoY sales growth, driven by strong branding and functional product upgrades.
Tumi saw a 0.8% decline, largely because luxury and premium segments are feeling the pinch of slower discretionary spending.
American Tourister took the biggest hit, down 6.1%, due to increased price competition in India and weaker demand from North American wholesalers.
The good news? Momentum started to return in Q4 2024. Samsonite and Tumi both posted net sales growth of 4.6% and 4.4% respectively. The fourth quarter often reflects peak travel periods, so a strong showing there suggests the brand strength remains intact.
Management remains cautiously optimistic. They’re betting on continued recovery in global travel—especially in China and India. They believe China alone could see revenue double over the next five years. That’s a bold statement, but not impossible if outbound travel fully recovers and middle-class consumption rebounds.
Tumi is also expanding beyond its traditional luggage focus. We can expect to see more lightweight travel gear and women’s lifestyle products in the pipeline. This is part of a broader strategy to widen category relevance and reduce dependence on travel cycles.
Managing Tariff Risks
Samsonite’s supply chain decisions have been impressive. While many companies were caught flat-footed by the U.S.–China trade war, Samsonite moved early. Back in 2019, 70% of its U.S.-bound goods were produced in China. Today, that figure has dropped to just 10%. Over 90% of goods headed for the U.S. are now sourced from outside China—minimizing tariff exposure and diversifying geopolitical risk.