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    European Luxury Goods Collective Price Increases

    2010/8/28 16:00:00 52

    Luxury Goods

    While we are still immersed in the best time of the euro trough, while the summer rush to Europe to sweep goods, the big players have begun to hurt the killer, the price of Europe has been greatly increased, to those who aspire to buy a big card at a low price.


    What is even more depressing is that since September 1st, the tariff exemption scale for entry and exit personal mail items has been reduced to 50 yuan from the current 400 yuan in Hong Kong, Macao and Taiwan, and 500 yuan in other countries and regions.

    This means that the cost of overseas purchasing will rise overall next month.


    We never seem to have encountered such a tangled attack on our hands with the big ones.


     

    Europe

    Luxury goods

    Collective price increase


    Hesitate for 2 weeks to buy a bag and spend 5000 yuan more.


    "What? The price has increased!" Shanghai's famous second-hand bag shop "the Platycodon grandiflorum" boss Zhou Wei came back from Paris just a moment ago. When he spoke of an unfortunate guest, she was very helpless. "She wanted me to buy a bag at the time," she said. "If you think about it a little, it will probably be 2 weeks late. When she decides, Europe has just increased its price, and it will cost more than 5000 yuan."


    As early as the end of June, Chanel carried out a new round of price adjustment in Europe. For big players, the annual price adjustment is the required action, but the 40% is the first time.

    "I saw in Paris's old Buddha's shop that the 2.55 medium number was raised from 1670 euros to 2400 euros."

    Zhou Wei said, "of course, compared to domestic prices, Europe is still cheaper, but the gap is smaller."


    During the summer vacation, Miss Yin, who worked in Colleges and universities, deliberately went shopping in France. I didn't expect big players to increase their prices. "Chanel has the biggest price increase, and Gucci and Hermes have also risen by about 10%.

    The price of LV is relatively stable, which has risen by only 10-20 euros, but merchants have limited the number of tourists to buy. A passport can only buy a big bag, two packets, or two big bags.


    Ms. Kim Meng Meng, who has long been a "flying trapeze" in international routes, recalled that "luxury goods purchased in Europe last year are very enjoyable. The same style is cheaper than one or two in Hongkong, and this year's price has gone up too fast."

    She suggests that tourists who focus on quality but do not deliberately pursue fashionable new styles will be more economical to buy in Hongkong now.


    According to industry sources, the root cause of collective price hikes in European luxury goods lies in the depreciation of the euro, and luxury businesses compensate the loss caused by the exchange rate by raising the selling price.

    "Every summer vacation, there are many tourists from all over the world who buy luxury goods in Europe, and their purchasing power is strong. So businessmen are not worried about the fact that no one is interested in the price increase after the product is raised. The fact is that after the price rises, the commodities just went on the shelves and were soon robbed."


      

    local

    Major suit

    Static and dynamic geometry


    The price increase seems to be limited to the European market. The reporter has found that the price of the local luxury brands in Wuhan is basically not infected with the "Butterfly Effect" of the European market. Only the price of the LOEWE counters rises globally, but the increase is only 3%, with a price fluctuation ranging from several hundred yuan to 1000 yuan.

    The price of some brands declined in the current quarter.


    In the Burberry counters on the first floor of the International Plaza, the new leather goods in the autumn and winter have been put on shelves. The salesperson told reporters that the price of the new bag was about 2000 yuan lower than that of last year after the change of the counter to the brand direct battalion, and the price of the classic lattice belt LOGO package, which was introduced every year, also dropped by nearly 1000 yuan.

    Some of the commodity prices have been raised slightly, but they have nothing to do with the increase in European market prices.


    The Gucci counters and LV flagship stores had a modest price increase in the last quarter. The prices of commodities in this season are basically stable. The price of the classic Ferragamo package has risen by several hundred yuan.

    It is understood that this kind of price increase is a regular hedge for luxury goods, and every luxury product will raise its price one or two times a year.

    Last year's global financial crisis, some luxury brands postponed or even abolished the practice of increasing prices. At present, the global economy is getting warmer, and the plan for the promotion of luxury brands is starting to restart.


      

    You will also purchase.

    Estee Lauder

    Do you


    Over the past year, the depreciation of the euro and the US dollar has led to the business of buying and selling overseas shops and online shops. The price difference between some domestic and foreign luxury goods has reached 40%, and health products and infant formula are at least 20% cheaper than domestic ones.

    China's e-commerce market data monitoring report 2010 shows that as of the end of June this year, the scale of overseas purchasing market pactions reached 7 billion 820 million yuan, and cosmetics and milk powder were the main purchasing products.


    Then what will happen after September 1st? First, you need to know a formula: import duty = duty paid price * import tax rate.

    At present, the import tax rate of most cosmetics is 50%, and the import duty rate of milk powder is 10%.

    That is to say, after September, the value of cosmetics purchased by mail is higher than 100 yuan or that of milk powder more than 500 yuan.


    Families who are accustomed to buying milk powder have to face many problems of paying freight or choosing to pay customs duties.

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