[vc_row][vc_column][vc_column_text]
France’s Hermes on Wednesday said operating margins reached a first-half record at the start of 2018 as resilient demand in key markets such as China also helped the luxury handbag maker and most of its major rivals lift profits. In parallel, Dior chooses Japan for its first men’s pre-fall show, as well as for the opening of a pop-up store for men in a Japanese department store. For its part, The Printemps, which expects this year record-breaking sales, embarks on the online business to seduce millennials.
Septembre 13, 2018 | Press Review
Business
Hermès published its half-yearly results on Wednesday, September 12th. Figures are up thanks to strong organic growth and record profitability. The most successful sectors are Leather Goods (18%) and Clothing and Accessories (16.7%).
During this half-year, current operating income was € 985 millions before taxation, or € 708 million net. The group announces a current operating margin of 34.5%. A result that Axel Dumas, Chairman and CEO of Hermes International Group, welcomes.
Unexpectedly, the market in China is the most flourishing with a turnover increase of 15% in Asia – excluding Japan, thanks to two cities: Macau and Hong Kong. Hermès has indeed opened a 255m2 shop at the Landmark Prince’s in Honk Kong earlier this year.
Brand strategy
Dior decided to organize its first fashion show for men. The objective being to highlight the new artistic director of Dior Homme, Kim Jones and strengthen the men’s segment.
The presentation of the Pre-Fall Collection for Men will take place on November 30, in Tokyo. “This will be the equivalent of our Cruise Shows and a way to celebrate Dior and Japan“, said a spokesperson to FashionNetwork.com.
Concurrently with the event, Dior will open a pop-up store on November 28 in a department store in Tokyo’s Shinjuku district. A collection of men’s capsule from the very first collection for spring-summer 2019 signed by Kim Jones and unveiled on the Parisian podium on June 23rd will be proposed for a duration of two weeks.
For the designer Kim Jones, Japan is a destination of choice: “A parade in Tokyo is the best way for me to present and celebrate my first pre-fall parade, Japan is a magical country that I know well and that I especially loves his incredible and unique culture, his history and also his nature, which have always fascinated and inspired me“.
In an interview with WWD, Pietro Beccari, CEO of Dior, said that a runway in Japan will also strengthen ties with the Japanese market, where the house opened a flagship store last year in Ginza.
Finance
The Printemps store chain is set to sign a record year at the end of its 2018-2019 fiscal year, driven by the rebound in the luxury goods market.
Paolo de Cesare, Director of Printemps, announced for the current fiscal year, which ended in March 31, 2019, an increase in sales between 6% and 8% to 1.5 billion euros for the entire group, namely the stores Printemps, the website placedestendances.com and the brand Citadium.
Sales at the historic Haussmann Boulevard store are expected to rise by 8% to 10% to reach the one billion mark, double the mark of 10 years ago.
The Printemps, which currently generates 7% of its online sales through its “premium” brand website, placedestendences.com, is now seeking to reach millennials with the launch of a luxury website.
After these results on the rise, Paolo de Cesare announced Tuesday that the Paris department store is embarking on e-commerce.
This e-commerce platform dedicated to luxury will be called Printemps.com and should see the day in late 2019 or early 2020. With this site, Printemps account, achieve between 15% and 20% of its sales online Paolo de Cesare said.
The future platform will go far beyond the French market. “We have international ambitions“, said Paolo de Cesare. “Half of the luxury sales recorded here in Haussmann are made to an international clientele“.
RSE
After having inaugurated its sport yacht in early 2017 in Miami, the Lexus brand is now setting out to conquer the seas, with its high-end yacht, the LY 650.
This model has been designed by Lexus’ internal teams, in collaboration with the American company Marquis-Larson Boat, which will manufacture and distribute Lexus yachts.
The LY 650 measures 19.9 meters long and 5.7 meters wide, accommodating up to 15 people. Inside, three cabins, six berths and three toilets, rest areas, an outdoor kitchen, all in refined materials such as leather and wood.
“We want to present an idyllic vision of the luxury lifestyle, this yacht extends the concept of Lexus brand mobility to the ocean“, said Shigeki Tomoyama, executive vice president of Toyota Motor Corp. (owner of the brand Lexus), for Forbes magazine.
The production of this model should be launched in early 2019.
[/vc_column_text][/vc_column][/vc_row]
