The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
"Prada Sales Slide on Weak Demand" (Bloomberg)
"Prada SpA reported the first decline in opening-half sales since its 2011 listing as weak demand in China and terrorist attacks in Europe weighed on the Italian luxury-goods maker."
"What's Stopping Luxury Goods Groups in China Moving From Bricks to Clicks?" (CNBC)
"China's luxury consumers are moving beyond bricks and mortar and going online for their next python-skin handbag fix, and high-end fashion houses and retailers will have to follow them."
"U.S. Overtakes Hong Kong as Biggest Swiss Watch Market" (Reuters)
"The United States overtook Hong Kong as the No.1 market for Swiss watch exports in July as cash-strapped watch retailers in Hong Kong held back from ordering new timepieces."
"As China E-Commerce Booms, Private Equity Sees Room for Growth in Storage Space" (Reuters)
"As Chinese consumers embark on an online shopping spree, demand has soared from e-commerce companies, far outpacing supply and prompting a parallel binge in investment in warehouses and logistics businesses."
"Fan Bingbing, Angelababy, and Taylor Swift Among Top Stars Boosting Luxury Brands on WeChat" (Jing Daily)
"Dior, Gucci, and Chanel see the best return on their key opinion leader investment in China, with Louis Vuitton, Givenchy, and Estée Lauder following close behind."
With consumers tightening their belts in China, the battle between global fast fashion brands and local high street giants has intensified.
Investors are bracing for a steep slowdown in luxury sales when luxury companies report their first quarter results, reflecting lacklustre Chinese demand.
The French beauty giant’s two latest deals are part of a wider M&A push by global players to capture a larger slice of the China market, targeting buzzy high-end brands that offer products with distinctive Chinese elements.
Post-Covid spend by US tourists in Europe has surged past 2019 levels. Chinese travellers, by contrast, have largely favoured domestic and regional destinations like Hong Kong, Singapore and Japan.