Retail in Asia

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Chow Tai Fook sees glitter in China’s growing middle class

Whoever said all that glitters is not gold didn’t get the memo to Chow Tai Fook Jewelry Group, based out of Hong Kong. Despite China’s sputtering economic growth, the jeweller expects sales of its accessibly priced gold rings and bracelets to continue to rise. In turn, the brand is opening more than 500 stores in China over the next four years.

Despite a decrease in China’s economic expansion to 7.5 percent in 2012 from the 8 percent goal in place since 2005, caused largely by crises in Europe and the US, Alan Chan, Director of Chow Tai Fook’s group branding, says, "We’re still quite positive. Jewellery demand is growing steadily." The demand, however, is not for pricy bespoke pieces, but rather mid-range jewellery as higher-end luxury demand eases from 70 percent to as low as 15 percent.

(Source: red luxury)