The Global Luxury Industry Is Facing Challenges, And Paris Is In Deep Crisis.

The terrorist attacks in Europe have not yet subsided. Kniss, Brussels terrorist attacks and Paris terrorist attacks make it difficult to assess the negative impact of these incidents. This is a challenge that global luxury retailers are facing now.

Exane BNP Paris estimates that Paris accounts for 74% of French luxury consumption.

According to the data of Altagamma and Bain in 2014, only New York has the ability to promote more consumption power than Paris, while London ranks third.

Paris also has worrisome data. This year, the largest tourist city in the world lost its tourism revenue of up to US $1 billion 500 million.

The terrible warning came from the Paris Tourism Commission. On Tuesday, the agency announced that the number of overnight tourists fell by 6.4% in the first half of this year, and that a series of deadly terrorist attacks in Paris, Brussels and nice were lavish fashion.

The gloomy prospect is worse.

Statistics show that the number of tourists in the French capital is about 1 million, and foreigners account for 2/3 of their income loss.

Some analysts believe that in recent years, the European luxury brands, which are constantly expanding their business in the French capital Paris, will surely put pressure on the government to stop the downward trend.

President of the French Tourism Board

Calling this "unprecedented" tourist downturn is an industrial disaster, and urged French Foreign Minister Jean-Marc Ayrault to convene experts from local tourism industry to plan emergency action plans.

About 1 million jobs in Paris depend on tourism, which is estimated to receive about 30 million tourists a year.

France receives about 84 million 500 thousand foreign tourists each year, leading 7500 people in the United States and 6820 in Spain.

According to the French tourism board, the number of visitors from Japan dropped by 46.2% in the first six months of this year, the number of Russian tourists dropped by 35%, the number of tourists in Italy dropped by 27.7%, the number of Chinese tourists dropped by 19.6%, and the number of tourists in the United States dropped by 5.7%.

Even if the Frenchmen themselves avoided Paris, the number of visitors dropped by 3.5% to 8 million 300 thousand.

The Tourism Bureau cautionary: "the entire tourism supply chain has been greatly affected."

It includes hotels, museums, memorial halls, cafes, restaurants, department stores and travel agencies.

For example, the number of visitors in The Grand Palace Art Museum in Paris dropped by 43.9%, while Triumphal Arch tourists dropped by 34.8%, and the number of visitors in the seer palace dropped by 16.3%.

According to each

Paris has been worrying about the second quarter earnings released by fashion brands.

As of June 30th, the Dior fashion sector's operating profit plunged 30.2% to 74 million euros, and the fourth quarter revenue fell 2.9% to 464 million euros, compared with the 1% decline in the third quarter. The decline in operating revenue in the quarter was further expanded. Dior CEO Sidney Toledano told the US women's wear daily that: "the brand is seriously affected by the decrease in tourist flow, although the growth trend has been seen in various local markets around the world, but this is obviously not enough to compensate for the negative impact of the decline in Paris tourists."

L'OREAL SA, the world's largest beauty group, announced its earnings in the second quarter and the first half of 2016, of which L'OREAL's second quarter sales grew 4.3%, less than 4.6% of analysts' forecasts.

The group says it is facing a very difficult French market.

Jean-Paul Agon, chairman and chief executive officer of L'OREAL group, said that the heavy attack of terrorist attacks on tourism has resulted in fewer people and the French market is going through a very difficult period.