Japan'S Massive Earthquake Hit Global Luxury Industry

Any major disaster will affect the disaster state at the psychological level of consumption.

It is understood that at present, the major luxury brands are beginning to consider whether to reduce investment in Japan.

For many luxury brands around the world, the Japanese earthquake will be their devil. According to relevant statistics, Japan accounts for 11% of the global luxury consumer market, and is the number one market for many luxury goods giants.

Big earthquake slumped luxury price

As the market was worried about the sales prospects of luxury goods in Japan, luxury shares fell sharply on Monday. Japan is the third largest luxury consumer market in the world. It is also an important source of profits for Hermes, Burberry, LVMH and the peak group.

Analysts said that Japan, which accounts for 11% of global luxury goods sales, is in the process of recovery, but the major earthquake and the panic caused by nuclear radiation are expected to damage its economy and seriously affect the consumer market.

MFGlobal said, "the luxury industry will be seriously affected in the short term after the Japanese earthquake."

"Because the European consumer industry is affected by the earthquake, we believe that the" early stage "of the luxury market is still very fragile.

Japan is now slightly ahead of China in terms of luxury sales, second only to the world's largest consumer luxury goods company.

Combined with domestic and overseas purchases, the Japanese are still the largest luxury consumers in the world before Americans and Chinese.

Japan accounted for 19% of Hermes sales, 9% of LVMH sales, 16% of PPR Group sales, and 12% of the Swiss peak group.

Tod 's shares were also dragged down, the morning trading price fell 3%, while in Japan, nearly 7% of Burberry's stock price fell 6%.

Greenwich time on March 11th, 9 hours and 3 minutes, LVMH shares fell 3.3%, Hermes 2.12%, 2.3%, Burberry 5.45%, PPR 1.75%, Tod 's 1.19%.

Meanwhile, Finland fashion company Marimekko shares fell 3.6% after the Japanese earthquake, and Japan is its largest overseas market.

AnttiKoskivuori, a Evli analyst based in Helsinki, said, "basically, 7% of Marimekko sales are from Japan, so a slight drop in share prices is a natural thing."

Sarasin, a Swiss asset manager, said in a report, "if a nuclear accident causes global pressure, it will have a more negative impact on luxury companies.

The sale of luxury goods depends on people's confidence.

Overseas purchasing is also affected by the impact of overseas travel.

"I shipped nearly 10000 yuan a month, basically milk powder, cosmetics and electronic products."

Xu Ze, the owner of a large Japanese commodity purchasing shop in Shenzhou City, told reporters that he was a native of Fuqing, Fujian Province, and some relatives were in Japan.

Like many people in Fuqing, the main business of his shop is to run Japanese goods.

At present, Japanese goods account for a relatively high proportion of overseas purchases in Fuzhou.

On the one hand, the quality of cosmetics, milk powder, daily necessities and electronic products made in Japan is excellent. On the other hand, the purchase of luxury goods from Europe and the United States is much cheaper than that in China. Many businesses also buy goods from Japan and sell them locally.

Insiders estimate that even the most optimistic estimates, business is bound to fail within weeks.

Some businesses have announced that they will stop buying orders from Japan.

"What is even more worrying now is that some businesses may inevitably be hit hard after that."

Xu Ze said that the Japanese nuclear power plant explosion caused many customers to worry, although now do not know how the final impact, but many people have been afraid to buy Japanese milk powder.

Reporters learned from the Fuzhou online sellers' union that the flow of goods they are carrying in Japan indicates that the shelves of many shopping malls in Japan have been robbed.

Because of the power supply and traffic congestion, many shops are closed or even bankrupt.

The most troubling thing is that many Japanese executives are simply unable to get in touch.

The impact of earthquake on the purchasing industry can be immediate and synchronous with seismic waves.

"The liquidity on hand is most supportive for a week, and it looks like it will not come back in half a year."

Xu Ze, owner of the store, told reporters that because Japan's business situation was close to the expected impact of the great earthquake, the related purchasing business in Japan was severely affected.

"On television, just showing the sudden events of the Japanese earthquake, ten minutes later, a Japanese relative on my MSN who helped me to purchase goods sent information that the whole thing was out of order, and the people who brought the goods could not come. It might be delayed for some time."

Xu Ze said, "after more than ten minutes, he came again to say that the flight had been grounded, and the shipment was not going."

In addition, the strong earthquake in Japan made China's enthusiasm for going to the sun also be affected.

It is reported that because of the coming of the flower season, Japan's "flower appreciation and stroll" has recruited many local visitors.

At present, 8 major travel agencies in Fuzhou are receiving applications for the day tour, and the Department has been fully booked.

A travel agency started the 6 day visit to Japan's luxury cherry blossoms in March 23rd, offering a price of 6780 yuan per person.

Although the routes to Japan are generally famous cities such as Tokyo, Kyoto, Osaka and Nagoya, the overseas shopping mall for luxury goods has spread to Fuzhou for shopping and shopping. This disaster affected Sendai and other places are not tourist attractions. However, taking into account the current state of Japan, travel to Japan will be greatly affected.