Hermes Breaks Records In China
While the rest of the world is in still grappling with the devastating impact of COVID-19, China is beginning to re-emerge and rebuild. While many are focusing on recession and economic hardship as a certain future, recent actions made all pause for a moment regarding luxury sales in the region.
As per respected fashion industry trade WWD, on re-opening day of the Hermes flagship store in Guangzhou totaled $2.7 million and is reportedly the highest figure for a single boutique in China.
The sizeable amount is indicative that Chinese consumers, including spenders on luxury goods, are ready to begin shopping again after the easing of the coronavirus-related lockdown. Hermès, known for its iconic handbags and silk scarves, received a shipment of rare bags, including a diamond-studded Himalaya Birkin, according to report.
What is interesting to note is that many of the remarks in the comment section of news media ridiculed such sales as shallow behavior yet many psychologists have also indicated that such spending can also be seen as life-affirming. Where both the brand and consumers perhaps missed a fabulous opportunity was to dedicate a portion of sales to philanthropic avenues in any number of ways. As we move deeper into a new era of relating to each other, branding, and creating, moves such as that demonstrated by LVMH pivoting to create and distribute hand-sanitizer at no charge have set a new bar. The intersection of social impact and luxury could just be one of those where we see the most innovation and excitement, yet.