Agenda-setting intelligence, analysis and advice for the global fashion community.
The Roman luxury house has started construction of a facility in Tuscany slated to open in 2022. The project has been underway since 2018, but construction is beginning amid intense financial pressure on the industry.
While the pandemic has increased the attraction of secure vertical integration in the industry, it has also created fresh uncertainty over the fate of Italian manufacturing.
Hermes saw Chinese buyers snap up its luxury products as the Kelly bag maker showed its resilience amid a broader slowdown in demand for the sector.
The group’s flagship Prada brand grew more slowly but remained resilient in the face of a sector-wide slowdown, with retail sales up 7 percent.
The guidance was issued as the French group released first-quarter sales that confirmed forecasts for a slowdown. Weak demand in China and poor performance at flagship Gucci are weighing on the group.
Consumers face less, not more, choice if handbag brands can't scale up to compete with LVMH, argues Andrea Felsted.
