Retail News CRM

Tag: Macau

  • Natuzzi, Kuka signed JV agreement

    Natuzzi, Kuka signed JV agreement

    Natuzzi has signed a preliminary agreement to form a JV with China’s Kuka furniture company with the aim of expanding the Italian brand’s retail network in Greater China.

    “We have known Kuka for many years and have always admired its growth-oriented entrepreneurial spirit and approach,” says Natuzzi chairman/CEO Pasquale Natuzzi. “This partnership will enable Natuzzi and Kuka to become the leading player in the emerging and growing market for branded luxury home furnishings in Greater China.”

    Kuka chairman Jiangsheng Gu says Natuzzi is the right product and brand for the new growth in the Chinese home-furnishing market.

    Subject to certain terms and conditions in the preliminary agreement, and to applicable authorisations, it is expected Natuzzi will contribute exclusive perpetual distribution rights for the Natuzzi Italia and Natuzzi Editions trademarks into a Chinese corporate entity, and that Kuka will invest €65 million (US$77.5 million) to sustain the expansion of the Natuzzi retail network in Greater China, particularly Mainland China, Hong Kong and Macao.

    Of Kuku’s investment, €15 million is in exchange for Natuzzi’s trademark contribution. Natuzzi and Kuka will own 49 and 51 per cent respectively of the entity.

    The preliminary agreement also envisages Natuzzi will contribute its existing stores and commercial organisation in China. Further, the venture will employ Natuzzi’s retail management team.

    It is also expected the JV will take over existing distribution agreements related to the Natuzzi network of franchised stores.

    If the parties fail to reach a final agreement by March 31, the preliminary agreement will be voided.

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  • Chow Tai Fook quarterly retail sales flat

    Chow Tai Fook quarterly retail sales flat

    Chow Tai Fook Jewellery Group (1929) said retail sales in Hong Kong and Macau in the third quarter ended December 31, remained unchanged from the same period the year before.

    Same store sales grew by 5 percent. Gem-set jewelry sales were up by 22 percent, while gold products sales slipped by 1 percent in the third quarter. In Hong Kong and Macau, same store sales improved as a result of an increase in volume and average sale price to HK$11,800, the jewelry retailer reported today in an update.

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  • Modest sales rise for Bauhaus International

    Modest sales rise for Bauhaus International

    With two more shops at year’s end, apparel company Bauhaus International (Holdings) had a modest rise in same-store sales for its latest nine months.

    The quarter reverses a trend of declining sales and store closures by the streetwear retailer.

    Unaudited figures show sales growth was up 9 per cent for Hong Kong and Macau with a weighted average of 65 shops for the third quarter, while for the nine months growth was 4 per cent from 64 shops.

    Bauhaus designs and makes apparel and accessories which it wholesales and retails under its brand names including Bauhaus, Salad and Tough, and retails third-party labels including Superdry.

    With a constant 82 shops, Taiwan saw sales fall 8 per cent for the quarter and 16 per cent for the year to date.

    For Mainland China, 18 shops saw sales growth of 9 per cent for the quarter, while for the nine months growth was 12 per cent for 19 shops.

    Overall, group sales growth was 4 per cent for 165 shops for the quarter, with a 1 per cent sales dip for 165 shops for the nine months.

    At the end of the year the group had 198 self-managed offline shops, two fewer than nine months earlier.

    These comprised 80 outlets in Hong Kong and Macau at March 31, dropping to 77 at year end, 91 in Taiwan rising to 96 by December 31, and no change in China with 25 shops.

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  • M&S sells Hong Kong business to Dubai conglomerate Al-Futtaim

    M&S sells Hong Kong business to Dubai conglomerate Al-Futtaim

    Marks & Spencer has confirmed the sale and franchise of its retail business in Hong Kong and Macau to its long-established franchise partner Al-Futtaim.

    The two companies all but confirmed the sale in August  and settlement took place on December 30.

    Al-Futtaim is now the sole franchisee for Marks & Spencer Hong Kong and Macau, but the deal does not extend to the mainland where M&S has a presence on Tmall, having closed its department stores there.

    The two companies have a partnership dating back to 1998 when Al-Futtaim opened Dubai’s first M&S store in the UAE.

    The addition of 27 Marks & Spencer Hong Kong and Macau stores takes Al-Futtaim’s M&S network to 72 shops in 11 markets in Asia and the Middle East.

    “We have substantially reshaped our International business, which has improved profitability and positioned us for growth,” observed Paul Friston, Marks & Spencer’s international director in a statement confirming the sale.

    “As one of the world’s leading retail operators, with strong logistics capabilities and local expertise, Al-Futtaim is the ideal partner for us to develop and grow our business in Hong Kong and Macau.”

    Stephen Rayfield, VP of M&S and sports & lifestyle with Al-Futtaim said the company is looking forward to “enriching our customers’ lives and aspirations through the provision of quality products and services in Hong Kong and Macau”.

    Pascal Martin, partner with OC&C Strategy Consultants, said the decision to sell and franchise the Marks & Spencer Hong Kong business is consistent with the shift to an asset-light business model that the UK company has adopted for its international business.

    “It did not make sense to support only Hong-Kong and Macau as directly operated international businesses after having pulled out from all other direct markets, such as China and France. By selling its Hong Kong and Macau business to Al-Futtaim, M&S can also raise cash to continue to invest in its core, including product quality, the UK market and e-commerce.”

    At the same time, Al-Futtaim has a strong track record in operating M&S stores in many other markets and a solid investment capacity to continue to expand the M&S international store network, said Martin.

    “Another key factor is that Al-Futtaim’s M&S business is led by ex-M&S’ senior executive, Stephen Rayfield, who knows the business inside-out and can fully optimise daily operations between Al-Futtaim and M&S.”

    M&S now has a simple homogeneous international business: all wholesale to local partners, with the exception of a joint venture in India with Reliance.

    “The brand will be able to leverage Al-Futtaim’s strong investment capacity to accelerate the International expansion. Al-Futtaim can benefit from adding a strong profitable business (HK and Macau) to its already strong international M&S portfolio. They may be able to exert more control on M&S Asia logistics network to achieve better integration across Singapore, Malaysia, Hong Kong and Macau. Al-Futtaim will likely have increased negotiation power with M&S on product, store format, pricing and more,” said Martin.

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  • Prada Station pop-up at Galaxy Macau

    Prada Station pop-up at Galaxy Macau

    The pop-up is designed as a dream-like container; it represents the image of Prada on the move, drawing inspiration from the brand and its fundamental codes, such as travel and modernity.

    Around the train, the illuminated platforms host a series of small installations that complement the main aesthetic experience embodied by the train including Christmas versions of life-size Prada Robots and a ticket kiosk .

    The interior features walls covered in floral-patterned red silk brocade to create a luxurious, romantic look.

    The setting is completed by the iconic black-and-white chequered floor which characterizes Prada stores around the world since 1913.

    The Prada Cahier bag is reinterpreted in three styles made of exotic leathers, exclusive at The Promenade Shops in Galaxy Macau.

    This project – here inaugurated for the first time – offers customers the chance to acquire exclusive products which are chosen for each leg of the journey and presented inside this original installation.

    Prada Station Pop-up will delight the customers until 14 January 2018 at The Promenade Shops’ Pearl Lobby, located within Galaxy Macau.

    Galaxy Macau and Broadway Macau combine deliver the “Most Spectacular Entertainment and Leisure Destination in the World”. Developed at an investment of HK$43 billion, the two properties cover 1.1 million square meters of unique entertainment and leisure attractions that are unlike anything else in Macau.

  • Macau retail sales continue to climb

    Macau retail sales continue to climb

    Macau retail sales are on the rise with businesses reporting increased turnover year-on-year. Data from the Statistics and Census Service (DSEC) shows 68 per cent of interviewed restaurants and similar establishments registered a year-on-year rise in receipts or a stable business performance in October, a six percentage point rise from September.

    And the proportion of interviewed retailers reporting a year-on-year sales increase in October rose by eight percentage points from September to 59 per cent.

    The best performing retail categories were cosmetics, with 78 per cent of retailers reporting an improvement, leather goods, (80 per cent), and apparel, (60 per cent).

    Some 21 per cent of interviewed retailers registered a year-on-year sales decline, down by three percentage points over September. Of department stores, 11 per cent reported a decline and 22 per cent of watch and jewellery vendors.

    Generally, retailers expected their sales to be stable in November, with 77 per cent predicting a year-on-year sales increase or a steady business performance, the same proportion as in October.

    Dining out data

    The proportion of western restaurants (25 per cent) reporting a year-on-year growth in receipts went up by nine percentage points, while that of Japanese & Korean Restaurants (44 per cent) was down by 13 percentage points. On the other hand, the share of establishments recording a year-on-year decline in receipts decreased by six percentage points over September to 32 per cent.

    Restaurants and similar establishments interviewed were cautious about their business prospects, with 68 per cent expecting a year-on-year rise in receipts or a steady performance in November, up by four percentage points from October. Among the various types of establishments, 50 per cent of the western restaurants and 73 per cent of the Chinese restaurants predicted their receipts to increase or to remain stable in November, up by 10 and three percentage points respectively from October.

    The DSEC says the sample of the Business Climate Survey on Restaurants & Similar Establishments and Retail Trade was selected based on the value of receipts of the establishments, comprising 167 restaurants and similar establishments (accounting for 53 per cent of the industry’s receipts) and 135 retailers (accounting for 70 per cent of the industry’s receipts).

  • Prada Silver rolls out a new line in Macau

    Prada Silver rolls out a new line in Macau

    Adopting a rail theme, Prada has unveiled an itinerant retail project, “Prada Silver Line”, at Galaxy Macau.

    It runs until January 4, then will steam off to other destinations around the world. Different items will be developed for each city the Silver Line visits.

    With an illuminated platform, the pop-up draws inspiration from American train sets of the ’30s to ’50s. The imaginary railway station includes a train coach with metal outer shell that houses the main product display space. Floral-patterned red silk brocade tapestry and black-and-white checkered marble flooring, as appears in all the brand’s boutiques, embellish the space.

    Around and outside the coach are rail-inspired installations including life-size Prada robots and a ticket booth, which serves as a concierge service where customers can arrange delivery of purchases to their homes.

    A “Macau St” sign marks the retail space, a reference to the first stop for the train on its international journey. Throughout next year the retail project will travel throughout Asia, Europe and the US, starting with Dubai late next month.

    To mark the project, the brand presents a range of exclusive products including women’s bags and accessories. In particular, the Prada Cahier bag is reinterpreted in three new styles using exotic leathers.

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  • Flagship Project of Lai Sun Group Novotown Welcomes New Strategic Partners

    Flagship Project of Lai Sun Group Novotown Welcomes New Strategic Partners

    Novotown, an integrated project with a mix of cultural and entertainment attractions currently under development in Hengqin Zhuhai by Lai Sun Group, today announced a slew of new strategic partners at a ceremony attended by Zengqing Luo, Deputy Director of the Administrative Committee of Hengqin New Area, and representatives of concept brands and media.

    Novotown’s strategic partners include China Mobile Group Guangdong Co., Ltd. Zhuhai Branch, CITIC Bank, Trans-Island Limousine Service Ltd. and travel partners Guangdong Gongbei Port China Travel Service Ltd., Guang Zhilv (GZL) International Travel Service Ltd. and Century Holiday International Travel Group. These partners will work closely with Novotown to craft and build a quality community in the Greater Bay Area.

    ‘Novotown is Lai Sun Group’s flagship project in the Greater Bay Area which aligns ideally with China central government’s Greater Bay Area development plan.’ said John Tse, Chief Executive Officer of Novotown. ‘We’re delighted that so many quality partners are coming onboard to support our grand vision for one of the most immersive and participative tourism and entertainment destinations in China, fostering high technology, travel, culture and creativity to benefit economic development of the area.’

    He added, ‘Novotown has great potential to become the landmark of Hengqin. Together with other lifestyle elements and infrastructure, I am confident that Novotown will become a quality living, leisure and creative destination for both domestic and international audiences.’

    China Mobile unveiled its plans to launch its first concept store in Hengqin at Novotown to elevate retail experience of its guests. In addition, the brand will also introduce a ‘smart mall’ concept to Novotown – by logging-in to the shopping mall’s Wifi system, customers can get access to comprehensive services, such as parking payment, restaurant and locker reservation, locating stores and receiving coupons, via app or website. The system also grants tenants access to certain customer data, which could allow them to better craft their marketing strategies.

    Meanwhile, CITIC Bank intends to open a branch at Novotown, providing financial services for the residents, tenants and travellers in the area.

    Trans-Island Limousine Service Ltd. will provide point-to-point shuttle bus services between Hong Kong and Novotown via the new Hong Kong-Zhuhai-Macao Bridge to encourage customer traffic, while Guangdong Gongbei Port China Travel Service, Guang Zhilv (GZL) International Travel Service and Century Holiday International Travel Group will also help to promote multiple travel products available at the destination to international, mainland China and Hong Kong tourists.

    Wenqiang Hu, Director and General Manager of Guangdong Gongbei Port China Travel Service Ltd., said: ‘We are very excited to be the strategic partner of Novotown. As travellers are more sophisticated these days, Novotown’s partnerships with world-renowned brands create a diverse range of themed entertainment experiences, which together with their comprehensive infrastructure, are the key elements that help us attract these travellers in such keen competition. We are happy to work closely with Novotown and promote it as a vibrant and creative lifestyle community in the Greater Bay Area.’

    In addition to strategic partners, a range of China’s popular concept brands was a part of the ceremony today. They included Super Species, Sports Infinite, and Hutaoli Music Restaurant & Bar.  

    Adjacent to Macau, Novotown is positioned as a cultural and creative incubator. Benefiting from China (Guangdong) Pilot Free Trade Zone and Special Economic Zone policies, Novotown has been actively developing a wide range of leisure facilities which helps elevate the quality of life in the Greater Bay Area. With the addition of other confirmed partners including Lionsgate, National Geographic, Taipei Wellness Clinic and Resort, Real Madrid Football Club, Porsche and a world-class institute, the Innovation Leadership Academy Hengqin managed by Harrow International (China), Novotown is gearing up to become a vibrant and creative lifestyle community in the Greater Bay Area.

  • Alipay Launches “Double 12” Global Shopping Festival in Hong Kong

    Alipay Launches “Double 12” Global Shopping Festival in Hong Kong

    Alipay, the world’s largest online, mobile payment and lifestyle platform operated by Ant Financial Services Group, today launched this year’s “Double 12” Global Shopping Festival in 15 countries spanning across four continents. In addition, Ant Financial’s strategic partners in Hong Kong, India, Thailand and the Philippines will introduce campaigns for their local e-wallet users for the first time. These partners include Paytm in India, TrueMoney in Thailand, and GCash in the Philippines. Together with CK Hutchison Holdings (“CK Hutchison), AlipayHK was launched in Hong Kong earlier this year to further develop local service offerings in the city.

    In short, we call it ‘glocalization.’” Douglas Feagin, President of International Business, Ant Financial Services Group said at the launch ceremony. “This concept is about developing Alipay globally while also developing localized service offerings.”

    “Working with our global merchants network, we also continue to focus on enhancing the Alipay mobile payment experience for Mainland Chinese tourists wherever they travel,” he added. “In particular, some of our most attractive Double 12 promotions are in the Greater Bay Area, where millions of Chinese travellers regularly visit.”

    As part of this year’s Double 12 Shopping Festival, almost 10,000 merchants in Hong Kong and Macau will offer exclusive discounts throughout December to Alipay users from Mainland China. This year, a key feature of this year’s Double 12 offering is focused on Hong Kong delicacies to attract Mainland China users. In Hong Kong’s Mongkok district, a promotion of “Hong Kong snacks for 1 RMB” can be enjoyed by Alipay users. In the Guangdong province, Alipay users will receive a cashback for every payment made in over 2 million stores.

    Venetia Lee, General Manager of Alipay Hong Kong, Taiwan & Macau said, “Our aim is to provide a seamless payment and travel experience to millions of Alipay users who constantly travel to the Greater Bay Area. We will plan to launch more integrated campaigns to further enhance our user experience and bring more value to our merchant network in the region.”

    Jennifer Tan, CEO designate of the joint venture between CK Hutchison and Ant Financial that offers AlipayHK separately commented on plans for Hong Kong. “Building on Alipay’s success in mainland China, we are rolling out a creative, localized payment experience for our Hong Kong users. Participating in this year’s Double 12 Festival is a first step towards that, and we are very excited to be partnering with so many local merchants to bring this festival to life by providing exclusive offerings to AlipayHK users.”

    CK Hutchison and Ant Financial first announced the strategic partnership in September 2017. The joint venture remains subject to regulatory approval, and is expected to complete in the first quarter of 2018.

    AlipayHK has partnered with over 8,000 brick-and-mortar stores to offer exclusive gifts, discounts and rewards throughout December. In addition, vendors in the Po Tat Market will offer “1 Dollar Groceries” flash sale on December 12.

    Alipay is also working with partners across Southeast Asia to launch localized versions of Double 12 shopping festival. In Thailand for example, more than 10,000 merchants will be participating in the 1212 D-day Deals for TrueMoney users while 3,000 merchants will offer exclusive discounts on 1212 GCash Day in the Philippines.

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  • Luk Fook Holdings gets back up to grow

    Luk Fook Holdings gets back up to grow

    In a golden first half, jewellery group Luk Fook Holdings (International) saw revenues and profits rise as it continued to expand its retail outlets.

    As well as a return to growth for same-store sales and a doubling of e-commerce sales, its interim results show a 14.9 per cent rise in revenue to HK$6.2 billion (US$794 million) for the six months to the end of September.

    A relatively stable gold price resulted in the group’s overall gross margin dropping to 26.2 per cent from 28 per cent a year earlier, but gross profit rose by 7.5 per cent to $1.6 billion. Profit attributable to equity holders grew by 21.3 per cent to $520.3 million.

    During the six months, the group added 46 Lukfook shops worldwide – 47 (29 licensed) in Mainland China and one in San Francisco, with two closures in Hong Kong. This took its global network to 1542 Lukfook shops (up from 1455 shops a year earlier), spanning Australia, Canada, China, Hong Kong, Korea, Macau, Malaysia, Singapore and the US. It also had 10 3D-Gold shops in China (an addition of one).

    Retail was the group’s primary source of revenue, which grew by 17.1 per cent to $4.7 billion, accounting for 75.1 per cent (up from 73.7 per cent) of total revenue.

    Slide reversed

    Back on track after three years of decline, first-half overall same-store sales growth was 11.2 per cent (minus 31.5 per cent a year earlier). There was double-digit growth in both Hong and Macau and Mainland China at 10.5 per cent (-32.3 per cent last year) and 16.7 per cent (-23.7 per cent) respectively.

    Hong Kong was the key market for the Group with the recovery of both retail sentiment and visitor arrivals. In terms of tourist spending, sales of jewellery, watches, clocks and gifts rose about 4.3 per cent, according to the Census and Statistics Department of Hong Kong. This was reflected in an 8.4 per cent lift in the group’s retail revenue in Hong Kong to $2.8 billion.

    Similarly, official figures in Macau show a 17.5 increase in tourist spending while the group’s revenue grew by 18.8 per cent to $790 million for the half-year.

    Meanwhile, retail revenue from the Mainland China market grew by 43.6 per cent to $924 million, attributed to an improved retail environment and more self-run shops. It accounted for 14.7 per cent of the group’s total revenue, up from 11.8 per cent a year earlier.

    Revenue from e-commerce in China jumped by 104.7 per cent to $136.6 million, accounting for 14.8 per cent of retail revenue, up from 10.4 per cent.

    Overall, first-half revenue from China grew by 25.5 per cent to $2.1 billion, accounting for 34.4 per cent of total revenue (31.5 per cent a year earlier).

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  • Stelux Holdings slows down the bad trend

    Stelux Holdings slows down the bad trend

    While turnover and gross profit margin slid for watch/optical company Stelux Holdings International for its first half, it managed to cut back on its net loss.

    Group turnover was down by 6.9 per cent (6.3 per cent foreign-exchange neural) to HK$1.3 billion (US$166.4 million) and gross profit margin fell from 59.6 to 58.1 per cent. Group net loss reduced by 15.2 per cent to $62 million.

    Given the fragile retail environment, the group says it continued with consolidation measures to improve shop productivity. While group turnover fell by 6.9 per cent, largely because of an 11.3 per cent drop in shop number, same-store sales improved, particularly in Mainland China. Sales also stabilised in Hong Kong and Southeast Asia. Gross profit margin remained under pressure at 58.1 per cent, compared to 59.6 per cent in the same period last year.

    City Chain Group

    Turnover fell 11.1 per cent for the City Chain Group, with a loss before interest and tax (LBIT) of $37.7 million from $49.4 million. The group has about 260 stores in Hong Kong, Macau, Mainland China, Malaysia, Singapore and Thailand together with three online stores.

    The drop in turnover from $668.5 million to $594.4 million was because of a 17.9 per cent decrease in shop numbers.

    In response, the chain is undergoing a major transformation to attract both a younger and local clientele. New store layouts have been introduced in Hong Kong, Guangdong, and Thailand.

    Turnover for the chain in greater China fell by 12.5 per cent to $439.8 million while LBIT was down 11 per cent to $34.8 million.

    Same-store sales growth has also resumed in Hong Kong and Macau since August with a freshed store image and enriched brand portfolio. The closure of loss-making shops and the positive impact from the expiry of high rental leases contributed to a 19 per cent fall in operating costs. City Chain tapped into the e-commerce business in Mainland China a few years ago, with the turnover of its watch e-commerce business increasing by more than 60 per cent compared to the corresponding period last year.

    With store consolidation in Southeast Asia, turnover fell 7 per cent to $154.5 million. There was a 16.5 per cent drop in shop numbers. Nonetheless, LBIT narrowed significantly to $2.9 million from $10.3 million.

    EBIT for Malaysian stores more than tripled while LBIT in Singapore fell by 79 per cent. With sustained recovery in Thailand, both turnover and same-store sales growth were “satisfactory”.

    Optical 88 Group

    Optical 88 Group turnover decreased by 2.9 per cent with EBIT rising to $32 million from $15.2 million. The group has 194 shops throughout Hong Kong, Macau, Mainland China, Malaysia,  Singapore and Thailand delivering professional eyecare/eyewear products and services, as well as hearing products and services.

    Turnover eased by 2.9 per cent to $504 million with 7.6 per cent fewer shops. EBIT more than doubled from $15.2 million to $32 million.

    In greater China, Optical 88 had a marginal 0.7 per cent decline in turnover to $414.2 million, with 4.1 per cent fewer shops. EBIT rose by 16.8 per cent to $38.2 million.

    Southeast Asia business had a 11.7 per cent drop in turnover to $89.8 million with 10.2 per cent fewer outlets delivering a narrowed LBIT of $6.2 million.

    Turnover rose 13.5 per cent of Egg Optical Boutique with LBIT widening from $7.1 million to $13.6 million. There are more than 80 stores in Hong Kong, Mainland China and Southeast Asia
    together with an online store.

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  • Oriental Watch Holdings sales back up

    Oriental Watch Holdings sales back up

    Easing rents, the closure of unprofitable stores and a trimmed-down inventory all helped Oriental Watch Holdings record a 10-fold increase in profit in its latest quarter.

    In the six months to September 30, Oriental Watch increased its post-tax profit from HK$4.12 million last year to $45.93 million, on sales down marginally from $1.545 billion to 1.508 billion. Same-store sales rose 14 per cent year on year.

    At the end of the period the luxury watch retailer operated 63 retail and wholesale points (including associate retail stores) in greater China: 47 in Mainland China, 12 in Hong Kong, three in Taiwan and one in Macau.

    Chairman Yeung Ming Biu said the return of mainland tourists and improving business confidence.

    “Most importantly, the stabilising sales performance along with rent adjustment has also become one of the key drivers for the group this year, which provided greater improvement in profitability with less rent burden suffered compared to the past few years.”

    During the quarter, the company’s rent costs fell by 26 per cent to $84 million, now accounting for 36 per cent of overall operating expenses, compared with 45 per cent in the same period last year.

    “The group has successfully negotiated better rental rates and more flexible leasing terms for the lease renewal,” he said. “In addition, regular internal assessment on the performance of all retail stores and closedown of high-rent yet non-performing stores are also the group’s strategy for better resources allocation.

    “The group will continue to closely monitor the store performance and its efficiency and hope the above measures together with the rent adjustments can improve profitability of each store in the forthcoming years.”

    Inventory management

    Yeung Ming Biu said careful monitoring of inventory of high-ticket items and reordering only when predetermined stock levels were reached had seen inventory cut by 10 per cent over six months.

    Meanwhile, Swiss watch exports by value increased by 4.1 per cent into Hong Kong and by 17.2 per cent into Mainland China between January and September, indicating that demand for luxury watches has rebounded.

    “Looking ahead, the group remains cautiously optimistic on the business outlook of the luxury goods market and expects retail sales in Hong Kong will hold stable amidst the sustained recovery in visitor arrivals and the resilience of local consumption demand,” he said.

    Same-store sales growth in China rose 14 per cent increase during the quarter.

    “On the other hand, the retail market in Hong Kong has begun to turn up after having bottomed out and these have provided good preconditions for the group’s development in Hong Kong,” he concluded.

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  • More stores for Berluti Asia

    More stores for Berluti Asia

    Berluti Asia will open in India before year’s end, to be followed by a third store in Macau next year.

    It has stores in Macau Galaxy (pictured) and Macau One Central, with the third location yet to be revealed.

    In India, it is being introduced through an exclusive partnership with luxury retail group Bequest, reports Fashion Network. Bequest has exclusive rights in India already for such brands as Bang & Olufsen, and also has plans to expand the presence of UK cosmetics brand Molton Brown and Paris-based perfume house Creed.

    “Berluti is our first association with LVMH,” says Bequest group CEO Gaganmeet Singh. “We are also in advanced talks with Brunello Cucinelli and other brands.”

    Berluti will launch at Emporio mall in Delhi.

    The luxury shoe brand, which has 53 monobrand stores internationally, was founded in Paris in 1895, adding menswear to its range in 2011 as well as a bespoke service. Bought by LVMH in 2012, ,the label started to roll out globally the following year with stores in Shanghai and Tokyo as well as London and New York.

    In September last year the label appointed Colombian ready-to-wear fashion designer Haider Ackermann as creative director.

    His collections are working well with clients in all geographical areas, says Berluti CEO Antoine Arnault. “Chinese clients are swarming back, and Japan too is going very well.”

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  • DFS Group Kicks Off Its Seasonal Gifting Campaign

    DFS Group Kicks Off Its Seasonal Gifting Campaign

    DFS Group kicked off its Give Joy Together seasonal gifting campaign in
    style with the Art of Personalization shopping experience, which was held on November 11 at T Galleria by
    DFS, City of Dreams, Macau. The world’s leading luxury travel retailer sshowcased a bespoke approach to gift
    giving through craftsmanship and customization, simultaneously drawing attention to the wide range of exclusive
    luxury items available at the store.

    Global retail influencers Bag Snob and Mr. Bags and world-famous contemporary pop artist Boyarde joined
    senior DFS executives including Sibylle Scherer, President Merchandising and Consumer Marketing, Christophe
    Chaix, Senior Vice President, Fashion, Watches, Jewelry and Accessories, Nelson Mui, Vice President of Global
    Fashion Merchandising and Trends, and Johan Pretorius, Managing Director, Cotai Limitada, DFS at the event.

    “The Art of Personalization demonstrated how bespoke craftsmanship can transform luxury handbags and
    accessories into highly desirable one-of-a-kind gifts, and we were delighted that Bag Snob, Mr. Bags and
    Boyarde were able to join us,” said Nelson Mui. “Their collective talent and knowledge of the luxury retail
    market is vast and we were honored that they were a part of this exciting event.”

    Each celebrity presented a curated selection of pieces as gift inspiration for the holiday season. Bag Snob,
    passionate bag lover and founder of BagSnob.com, highlighted her top choices for seasonal gifts that included a
    DFS exclusive Bulgari bag and watch, a Tiffany & Co Key necklace, exclusive Tod’s shoes and an exclusive
    wallet on chain by Valentino. Style guru Mr. Bags, who has more than three million followers on Chinese
    microblogging site Weibo, promoted eight of his favorite products from the many brands available at the store.

    These included a Tiffany & Co Key necklace, bags by Dolce & Gabbana, Burberry and Bulgari, shoes by Rupert
    Sanderson, Bing Xu and Tod’s, and whisky by Johnnie Walker. Pop artist Boyarde, whose playful designs are
    highly sought after around the world, conducted mini workshops and conducted live paintings. The British artist
    also presented a selection of exclusively designed and hand painted bag straps and charms for her customers.

    Bag Snob gave her tips on how best to spend 24 hours in Macau, while VIP guests had the opportunity to offer
    their own thoughts on personalization. The visiting influencers also highlighted the customization services
    available in store at the Make it Yours counter throughout the holiday season, such as tag embossing, bottle
    engraving and personalized gift wrap creation.

    A silent auction to raise money for Make-A-Wish, the world’s largest wish-granting organization, was run
    throughout the event, reminding guests that gifting is also about giving to others less fortunate. Bidders vied for a
    fabulous leather jacket donated by AllSaints and handbags chosen by Mr. Bags and Bag Snob, all personalized
    with Boyarde’s iconic and eye-catching designs. This is the fourth successive year that DFS has partnered with
    the foundation, which has made dreams come true for over 415,000 children around the world who suffer from
    life-threatening medical conditions.

    The evening culminated in a party featuring two spectacular balloon drops. Any guest catching a glitter-filled
    balloon stood the chance to win amazing prizes, whilst shoppers who spent over MOP1000 enjoyed MOP200 off
    their purchase.

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  • Richemont’s half-year is good in APAC

    Richemont’s half-year is good in APAC

    Asia Pacific sales accounted for 39 per cent of group sales for Swiss luxury-goods holding company Richemont for its half-year to September 30.

    Sales in Asia Pacific rose by by 25 per cent, with double-digit growth in most markets led by Mainland China, Hong Kong, Korea and Macau. While all product categories saw growth, the unaudited figures show jewellery and watch sales were particularly strong year on year, with watches benefiting as no inventory buy-backs were needed as in the previous year.

    For Japan, the 7 per cent rise in sales was driven by higher domestic and tourist spending, which benefited from a weaker yen. Jewellery and watches led sales growth, partly supported by the reopening of the Cartier flagship store in September last year and new flagships for Piaget (November) and Van Cleef & Arpels (April), all in Ginza.

    Overall, group sales rose by 10 per cent at actual exchange rates to €5.6 billion (US$6.5 billion) and by 12 per cent  at constant exchange rates. Excluding the previous year’s inventory buy-backs, sales increased by 8 per cent at constant exchange rates.

    Operating profit expanded by 46 per cent to €1.1 billion, with profit for the period up 80 per cent to €974 million.

    Gross profit increased by 13 per cent, representing 65.4 per cent of sales. The 190-point margin increase was mainly because of the non-recurrence of inventory buy-backs and improved manufacturing capacity absorption, says Richemont.

    Profit grew by 80 per cent to €974 million, mainly reflecting the higher operating profit and a €181 million reversal in net finance income.

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