Retail in Asia


Richemont’s crown jewels and APAC performance deliver revenue growth

Luxury group Richemont posted a 19 percent growth in sales for the quarter ended June 2023, up from a 12 percent increase of the prior-year period, with all channels and regions excluding the Americas generating higher sales than the previous period.

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The luxury group’s crown jewels, Buccellati, Cartier, and Van Cleef & Arpels, delivered the highest sales increase at 24 percent.

Notably, Asia Pacific offered the strongest performance with a 40 percent rebound in sales, and growth in other Asian markets Australia and Taiwan.

Elswhere in Asia, Japan reported a 14 percent growth in sales, stemming from local demand and increased tourist spending thanks to a weak yen.

Sales in Europe rose 11 percent on domestic demand and tourist spending from American, Middle Eastern, and Chinese travellers, while sales in the Middle East and Africa increased 15 percent on higher spending in Dubai. Sales in the Americas, however, contracted by 2 percent.

Richemont’s ‘retailisation’ strategy appears to be paying off, with retail progressing 24 percent as its best-performing channel in all regions and business areas.

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Meanwhile, its specialist watchmakers, which includes Jaeger-LeCoultre, Baume & Mercier, IWC Schaffhausen, Piaget, and Vacheron Constantin, grew by 10 percent.

Richemont’s other business area, comprised by fashion and accessories maisons such as Alaïa, Delvaux, Dunhill, and the premier pre-owned watch platform Watchfinder & Co., generated growth of 6 percent. An updated product offering as well as a rebound in travel retail are also driving sales for Montblanc.