France Luxury Group To Increase China'S Selling Price In Order To Make Up For The Sharp Loss Of Sales In China

Legal media reported on May 1st.

Group LVMH recently said that the sales price of luxury brands such as Louis Weedon would be raised in Europe, in view of the shrinking sales volume and reduced profits in the Chinese market.

The report quoted the group's data as saying:

The global sales volume continued to rise, with sales revenue of 6 billion 580 million euros in the first quarter of this year, an increase of 25% over the same period. But Asia is the slowest growth area in sales, especially in the Chinese market, showing signs of gradual decline.

Reported that, due to exchange rate and

Tax and other factors, Louis Weedon in China and France, the price difference has risen to 45% - 47%, more Chinese consumers choose to go overseas shopping, according to HSBC data analysis, from China, including Asian tourists accounted for the European luxury goods sales of 35% - 60%.

Barclays Capital analysis suggests that only 3% of the sales price outside the Chinese territory will be compensated by the road business in order to make up for the loss of profits caused by overseas purchases by about 15% of Chinese consumers.

According to the report, the way of further adjustment of the price structure has not yet been determined by the Lu Wei Xuan group. The luxury consultancy analysis thinks that if the price rises in Europe are too large, it will affect the local demand in Europe. But gradual price adjustment is an inevitable trend.