The hotly-anticipated showing of Chanel’s Cruise Collection in Hong Kong has been put on hold amid ongoing political upheaval in the city.
As the luxury label sells more products than ever before, it is committed to keeping the majority of its supply chain in France.
Chairman Jide Zeitlin will take over the role on an interim basis, the company said in a statement.
European luxury names including Swatch and Richemont, both of which are particularly exposed to the disruptions in Hong Kong, saw shares rise on the news.
The luxury jeweller was hurt by lower spending among tourists and political unrest in Hong Kong, sending same-store sales down 3 percent compared to an expected 1.3 percent drop, but had focused on the Mainland Chinese market.
The group expects sales in Greater China to decline in the current fiscal year, a sign the brand is still struggling to shake off the fallout from a controversial advertising campaign in the country in November 2018.
Ulric Jerome, who joined the company in 2013, has stepped down as chief executive, the company confirmed to BoF.
Global brands are hungry for a bigger slice of India’s $30 billion luxury market but they aren’t exploiting the country’s colossal film industry to its full potential.
Kering is leading luxury’s sustainability efforts, but the wider sector is walking a high wire: surging demand and social media are pushing brands to increase production and stage ever-flashier events, while consumers and regulators ramp up pressure on the same brands to lower their environmental impact.
Violent clashes between pro-democracy protesters and China’s government spell long-lasting damage to the local retail sector, leaving Richemont, LVMH, Kering and others exposed. What options do brands have? BoF does the analysis.
Shares rose 20 percent after the luxury goods reseller posted a narrower net loss than expected, and revenues rose 51 percent to $71 million.
Brands have issued apologies and lost celebrity ambassadors like supermodel Liu Wen after products were discovered listing Hong Kong, Macau and Taiwan as separate countries, angering nationalist Chinese consumers amidst political unrest in Hong Kong and a trade war with the US.
The recovery long promised by luxury brands seems nowhere in sight, as the expansion of war in the Middle East, along with China’s tax crackdown on the wealthy, piled further pressure on the world’s biggest luxury conglomerates in the third quarter, and executives buckled in for a tough winter.
The French leather goods powerhouse reported no sales growth in Asia-Pacific excluding Japan, its biggest market, last quarter.
Performance was weighed down by the core Moncler brand, known for its puffer jackets, which posted a 1 percent decline in revenue during the quarter.
The Indian brand will hold a special event at the Florence show.
The Lii designer took home the top award after winning the Karl Lagerfeld prize at the LVMH Prize earlier this year.
Total shipments rose 2.7 percent to $23.6 billion in the first nine months of the year, the Federation of the Swiss Watch Industry said Tuesday.
Revenue rose 7.2 percent, beating analysts' estimates.
Most stores in the Via Montenapoleone luxury shopping district, home to brands including Chanel, Tiffany and Dior, removed merchandise from their windows as a precaution.