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.
Hermès’ first-quarter sales showed a sharp recovery from the coronavirus crisis. Revenues of €2.1 billion ($2.5 billion) jumped 44 percent year-on-year, and were up 33 percent compared to pre-pandemic levels in early 2019.
Demand for Hermès’ most popular bags has long exceeded demand, and clients typically seize on the opportunity to buy one even in a crisis. That’s helped the company to outperform rivals during previous economic downturns.
Strong growth in other categories including ready-to-wear, shoes, watches and beauty showed that the brand’s classic style is resonating with consumers beyond its flagship bags. Sales in the division selling homewares and jewellery nearly doubled.
The news follows strong numbers at LVMH last week, where sales in the key fashion and leather division were up 37 percent over 2019. Gucci-owner Kering also rebounded, albeit less dramatically, with sales edging up 5.5 percent above pre-pandemic levels.
The world’s biggest luxury conglomerate is counting on China’s reopening to boost sales after quarterly growth slowed to a single-digit rate for the first time since 2020.
This week LVMH will report results, and executives may offer clues about its megabrands’ next steps under new leadership. That plus what else to watch for this week.
A performance by pop superstar Rosalía made Louis Vuitton’s menswear show a memorable spectacle, even as the brand has yet to name a successor to designer Virgil Abloh.
From Prada to Dior, fashion’s embrace of Korean pop stars is going into overdrive as brands look to Asian consumers to fuel growth.