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    Why Is Hermes Not Affected By China'S Anti-Corruption?

    2014/12/1 16:34:00 28

    HermesChinaAnti-Corruption

    At the time of the Chinese government's advocacy of thrift campaign, Herm s is one of the few luxury brands that continue to thrive in the Chinese market. It is best known for its highly sought after Birkin and Kylie Kelly.

    "So far, there has been no indication that our performance has been affected," said Axel Dumas, chief executive of Hermes and Family Business successor, Searl.

    The French company did not disclose its sales data in mainland China, but its sales in Asia in the first half of 2014 increased by 17%, while its rival LVMH grew by 3% in the same period.

    In addition, despite the overall downturn in the Chinese luxury market, Hermes's first "Hermes home" in mainland China was unveiled in Shanghai in September, the fifth largest in the world after Paris, New York, Tokyo and Seoul.

    The timing may look terrible, but duer is not worried at all. Perhaps this is just the confidence of the sixth generation of family business.

    But his optimism is more likely to reflect a more fundamental fact that reveals why the French luxury group can continue to achieve good results in the "central kingdom" in the face of the most serious luxury market environment in the past 10 years.

    Hermes has expressed the style that China wants to have: not only to become a rich and tasteless new rich country, but also to become a rich, rich and low-key country.

    Du Mai believes that the situation will be more and more beneficial to Hermes, because Chinese consumers have gone beyond the stage of luxury brands to show off and begin to enjoy the connotation of luxury brands.

    Most retail analysts agree with the above view that Chinese consumers are increasingly keen on niche brands, such as Hermes, to reduce the popularity of popular luxury brands with a striking logo, such as the Hermes competition, Gucci and Gucci.

    Consulting company

    Kearney

    (AT Kearney) Tang Shide Torsten Stocker, a retail partner in Hongkong, said: "the preferences of Chinese high-end consumers are changing, and they are beginning to favour less popular things. The classic style of Hermes has just catered to this trend."

    Cao Weiming, President of Hermes China, said: "two or three years ago, we noticed some changes. At that time, the campaign against corruption had not yet begun, and the market began to naturally turn to a more elegant style, and consumers knew better.

    brand

    Rather than flaunt consumption. "

    It takes time to complete this pformation; however, what Hermes is proud of is that it has plenty of time.

    It took many years to train his craftsmen.

    The waiting time for buying platinum packages is far from being expected.

    It even took 7 years to build the Hermes house in Shanghai.

    Du Mai pointed out that the origin of his family and China can be traced back to a long time ago: in the early twentieth Century, many French writers and artists yearned for the "Far East". His grandmother was born in that era and used to play mahjong in life.

    stay

    Beijing

    The traditional Chinese elements can be seen everywhere in the exclusive shops, including horse year theme tableware.

    In fact, Hermes is so eager to win the market that it launched its own luxury brand "up and down" 4 years ago.

    Instead of being sorry for its own Chinese style, the brand tries to highlight this point, which is rare in mainland brands.

    Each piece of clothing, jewelry, furniture and crafts has a story: "Cashmere felt", inspired by the wool felt made by nomads in Mongolia. The ladder ladder necklace is made of 4 kinds of materials, Hetian jade and so on, inspired by the ancient Chinese sweaty clothes with summer clothes.

    It is the first Chinese fashion brand created by the European leading luxury group from scratch.

    It takes time, even decades, to turn it into a successful brand.


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