Alex Bolen

Luxury Market Weekly Round-Up: Key Developments (June 1-7) 🌍 Saks Parent Company Acquires NMG for $2.65 Billion Hudson’s Bay Company, the entity behind major U.S. department stores including Saks Fifth Avenue, has announced the acquisition of Neiman Marcus Group, further expanding its luxury retail portfolio. The move signals a significant consolidation in the luxury retail sector. 🥇 Louis Vuitton to Outfit Olympic Medal Bearers for Paris 2024 In a glamorous twist to the upcoming Paris 2024 Olympic ceremonies, French luxury fashion house Louis Vuitton will be designing the outfits for the medal bearers, adding a touch of haute couture to the global sporting event. ⌚ Innovative Timepieces from Chanel and Hermès Both Chanel and Hermès have been lauded for infusing creativity into their latest watch collections, demonstrating that innovation in horology is far from stagnant. 📈 Leadership Reshuffle at Richemont Following a strategic reorganization by chair Johann Rupert, Vacheron Constantin’s head will now lead the prestigious Cartier brand, marking a significant leadership shift within the Swiss luxury group Richemont. 🛍️ Cartier and LVMH Bet on Retail Boost Outside Paris During Olympics With the 2024 Paris Olympics expected to draw global crowds, luxury retailers like Cartier and LVMH are optimizing their stores in other European cities to attract tourists looking to escape the congested French capital. 🔝 LVMH Names New CEO for Givenchy Alessandro Valenti has been appointed as the new CEO of Givenchy by LVMH, marking a pivotal change in leadership for the high-end fashion brand. 🌨️ Moncler's Fall/Winter 2024 Collection Unveiled Italian luxury fashion brand Moncler has introduced its Fall/Winter 2024 collection, featuring French actor Arnaud Binard and his daughter, showcasing a blend of classic and modern styles in Milan. 🇯🇵 Hermès Expands in Tokyo Hermès continues to expand its global footprint with the opening of a new store in Tokyo's Ginza district, located in the Mitsukoshi department store, promising an immersive shopping experience influenced by the city’s vibrant culture. 💃 Dior Couture Champions Athletic Elegance Dior Couture's latest Autumn/Winter 2024-25 collection by Maria Grazia Chiuri, presented an athletic yet elegant line, inspired by historical and modern influences on gender equity in sports. Stay tuned for more luxury insights and updates on global fashion and retail trends. #fashion #retail #ecommerce #b2b #market #fashionmarketnews

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'Talent is the multiplier. The more energy and attention you invest in it, the greater the yield.' - Marcus Buckingham #fashionheaveninc #luxuryretail #luxuryfashion #fashionrecruitment #executivesearch #fashionjobs #globalsearch #fashionindustry #careercoaching #fashioncareer

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A small 1.3% rise in sales at US jewelers in April. The increase in revenue was fully spurred by a 2.5% increase in the average consumer expenditure per unit purchased. A few of the figures: Natural diamond jewelry sales rose 1%, Prices of LGD-set DERs declined, Loose LGD was 57% of loose diamond sales, but just 25% of revenue. Here is an issue: LG prices are down, but gross margins and unit sales are up. What does it impact gross profits? We took a look at that and have some findings. https://lnkd.in/dDw4s8MQ

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Recent action by the FTC to block the mega merger of big brands Coach and Michael Kors marks a significant move in antitrust enforcement within the luxury fashion industry. It reflects a broader trend under the new federal merger guidelines issued last December. The FTC argues that the luxury fashion market, although highly fragmented with many brands, should not see this merger proceed as it would decrease head-to-head competition in the "accessible luxury" segment. As the case proceeds, it will be a test of the new guidelines' effectiveness and could set a precedent for how similar high-value mergers in luxury sectors are handled in the future. In my experience, what happens in Vegas does not stay in Vegas in such situations. Sooner or later, regulators across the world tend to latch on to such trends and guidelines. #AntitrustLaw #LuxuryFashion https://lnkd.in/gyXPXa-R

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The latest data from Tenoris: US specialty jewelers experienced a 2.1% decrease in jewelry sales, with a 3.5% decline in units sold compared to the previous year, driven by weak demand for natural diamonds. Based on data from over 2,000 US jewelry retailers, the cost of goods sold decreased by 3.2% year over year, contributing to an increase in overall gross margins to 50% in the first half of 2024. Despite this, revenue from finished jewelry and diamond sales softened by 0.6% during the same period, while the average retail price of items sold saw a modest 0.7% increase. For a more detailed view of market trends and performance, check out the full report here: https://lnkd.in/dw-8Gtnf

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BURBERRY SALES FELL 12 PERCENT IN EARLY 2024 The Business of Fashion: The brand isn’t the only one struggling in a cooling luxury market, but the weak numbers increase pressure on CEO Jonathan Akeroyd to deliver Burberry’s long-awaited turnaround. Burberry’s revenues were flat excluding currency shifts in the twelve months through March 30, the British luxury brand said Wednesday. Sales dropped 12 percent in the first three months of 2024 as its attempts to build momentum around a revamped offer in a cooling luxury market faltered. Burberry isn’t the only luxury player who is struggling: Gucci’s sales fell 20 percent in the first quarter, while Italian footwear house Ferragamo registered a 17 percent drop. Even the sector’s biggest player LVMH reported a 2 percent dip in reported revenues. “Executing our plan against a backdrop of slowing luxury demand has been challenging,” chief executive Jonathan Akeroyd said. The brand has continued to focus its message on Britishness (albeit a more niche, arty take on its national heritage) as well as following up chief creative officer Daniel Lee’s runway vision with more accessible products for stores. “We are confident in our strategy and in our ability to navigate this period,” Akeroyd told reporters Wednesday, reiterating the company’s ambition to grow into a £4 billion-per-year business from just under £3 billion today. Still, the weak numbers pile on pressure for the latest round of leaders charged with delivering Burberry’s long-awaited turnaround. Burberry shares have tumbled 54 percent year-on-year, so the clock is ticking for Akeroyd and Lee to prove that their more textured, fashion-forward approach to the brand can gain commercial traction. Burberry has no controlling shareholder and is governed by board-sitters in the City eager to see a return. Burberry expects the first half of this year to remain challenging, followed by an improvement in the second half. A autumn collection focused on revitalising Burberry’s core outerwear category could help, as will increased marketing investments in the key Chinese and US markets, where slowing sales to aspirational clients have hurt business. Sales to Chinese clients both domestically and abroad were down 12 percent in the first three months of the year, Akeroyd said. https://lnkd.in/e_UZDBFR #ai #fashion #metaverse #web3 #ar #tech #investment

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GOLDEN GOOSE POSTS STRONG Q1, APPOINTS MARCO BIZZARRI TO BOARD FashionUnited Following a strong performance in 2023, Golden Goose net revenues for the first quarter increased by 12 percent at constant exchange and 11 percent on a reported basis, while maintaining strong margins. The company also announced the appointment of Marco Bizzarri, former president and CEO of Gucci, to its board of directors. The company’s direct-to-consumer channel rose by 20 percent at constant exchange and 18 percent on a reported basis, driven by continued strong performance in EMEA and the Americas. Golden Goose appoints Marco Bizzarri to its board In his role at Gucci, the company said in a statement, Bizzarri led the transformation of Gucci, reinventing the brand’s retail and digital experience, restyling all points of contact between the brand and its customers and executing an ambitious growth strategy that increased Gucci’s annual revenue from 3.9 billion euros in 2015 to 9.9 billion euros in 2023. Commenting on his new role at Golden Goose, Bizzarri said: “I’ve been following the successful story of Golden Goose over the past 10 years, and I’m impressed with the unique culture, products, and community they’ve been able to build on a global scale. I’m very proud to become part of this family and to contribute to their future growth built on expansion into new categories, geographies, and experiences.” “Bizzarri’s world-class expertise and visionary approach to reinventing luxury are unprecedented. I am sure he will make a timeless contribution to the brand,” added Silvio Campara, chief executive officer, Golden Goose Group. Born in 2000, Golden Goose is present in the Americas, Europe, the Middle East and APAC, with 191 stores including six duty-free stores, 28 shop-in-shop stores and 10 outlets and online and wholesale distribution. https://lnkd.in/eJRcureF #metaverse #fashion #investment #ai #crypto #btc #web3

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I’m excited to announce that Hill & Co. is launching its first-ever industry report - The Business of Jewelry. This report marks the beginning of a unique series exploring the most significant themes shaping the future of the diamond, gemstone, and jewelry industry. We all know how challenging the market landscape is at the moment: supply chains are consolidating, consumer demands are evolving and technology is transforming how we do business. Generational brands are disappearing from our malls and main streets. With every challenge, there lies a golden opportunity. This is a pivotal moment for you to reflect on the future direction of your business, and we are here to support you in this journey of growth and adaptation. Demand for fine jewelry isn’t changing, but businesses must work harder to capture their customers' attention. That may mean fine-tuning your approach or transforming your business altogether. With our market changing rapidly, we wanted to produce a report that shares our insights and gives a platform to leading business thinkers in our industry and beyond. The first edition is all about the supply chain consolidation we’re witnessing and how you should respond in your business. We normally reserve our frameworks and strategic thinking for some of the fastest-growing businesses in our industry that we’re privileged to call our clients. But today, we’re providing it to you. Download your copy at the link below, I’d love to hear what you think in the comments. Breaking the Chain — Hill & Co. https://bit.ly/3XXmtTa

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Amidst challenges like diamond sanctions and evolving consumer preferences, the jewelry industry now faces another potential hurdle: soaring gold prices. However, we view this as an opportunity rather than a setback. This is a chance to differentiate your brand and products in a competitive market and empower you to communicate the premium nature of your business. You just need the strategy and tools to help you tell that story to your customers who want the aspirational feeling that only gold can provide. Your response to gold price fluctuations today will shape your business's sustainability tomorrow. Explore our latest article, "The Gold Rush: What High Prices Mean for Jewelry," today and share your thoughts in the comments below. https://bit.ly/4bfDWJV #Gold #Prices #Jewelry

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Gem Edge 2025 Predictions Confirmed by Financial Times: Continuing with our trend confirmation for 2025, the Financial Times' Fashion section has spotlighted the rising popularity of "Statement Jewellery" in their latest post, "What's Trending in Jewellery." Explore the full FT article and see which designers and brands are leading the way. https://lnkd.in/g4PAHcBz

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The luxury jewelry market is evolving at a breakneck pace, projected to reach a staggering $482 billion by 2030, with a growth rate of 4.7% annually​​. Amidst this growth, RUH Jewelry stands out by blending age-old craftsmanship with cutting-edge technology. 🚀 Why It Matters: Tradition Meets Tech: Traditional craftsmanship is not just a skill but an art form that has been passed down through generations. At RUH, we honour age-old craftsmanship while integrating 3D modelling to minimize errors and reduce waste. This blend ensures each piece is crafted with precision and sustainability in mind. Sustainability at the Core: In a world where conscious consumerism is on the rise, our commitment to ethical sourcing and sustainability sets us apart. The market for sustainable luxury jewelry is expected to grow significantly, driven by eco-friendly practices and materials like recycled metals and lab grown diamonds. Cultural Richness: With the Asia-Pacific region leading the global luxury jewelry market, the demand for high-quality, culturally rich designs is higher than ever. RUH Jewelry taps into this by creating pieces that resonate with diverse cultural influences, blending global aesthetics with local craftsmanship​​. ✨ Discover the Journey: Creating a product is not just about luxury but about the journey of merging innovation with tradition, creating timeless pieces that are both beautiful and meaningful. Read the full article on the website below. https://lnkd.in/gHM7UuZP

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In 1987 Puig acquired Paco Rabanne fashion then in 95 Carolina Herrera, and even more fashion brands after that. In 2023 The Estée Lauder Companies Inc. acquired TOM FORD (fashion license assigned to Zegna). This is only to mention few beauty companies that extended their reach into the fashion world. And, this phenomenon does not manifest only among the big players ... the latest is from Desire Fragrances that just announced the acquisition of the historical Italian fashion brand #SergioSoldano! This type of activities are not always widely publicized and more beauty companies have ventured in this direction either overtly or through controlled companies. https://lnkd.in/gZXxfEwV

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As we enter May, the trajectory of China's jewelry industry for the remainder of the year is beginning to take shape. While the economy is gradually rebounding, the stock markets in Shanghai and Hong Kong have surged over the past three months, technically entering bull territory. However, a significant challenge looms in the form of gold prices, which have dampened demand within the jewelry sector. Official statistics for China's #jewelry industry in Q1 have been released, revealing notable trends. In March 2024, retail sales of gold, silver, and jewelry consumer goods rose by 3.2% year-on-year. Moreover, total retail sales for these items in Q1 witnessed a solid increase of 4.5% year-on-year, indicating sustained growth momentum. Recent data from the China #Gold Association highlights a substantial uptick in national gold consumption during the first quarter of 2024, reaching 308.905 tons—a significant 5.94% increase from the previous year. While the consumption of gold coins and bars surged by 26.77% year-on-year to 106.323 tons, gold jewelry consumption experienced a slight decline of 3.00%, likely due to the adverse impact of soaring gold prices on consumer demand. Pure gold jewelry, once the shining star of the Chinese market, has seen sluggish sales in April and May amidst record-high gold prices. Reports from jewelry manufacturers indicate a decrease in orders and working hours as a result. Additionally, there are signs of cooling demand for pearls. Rather than witnessing a price increase, it is anticipated that prices may undergo a decline, particularly among low and middle-grade goods, before affecting high-end products. #ChinaJewelry #Chinamarket

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