China

After two weeks in the mountains of Wyoming, come home and what do I find? Not only is Mulberry without a CEO (and still without a designer), but all that conventional wisdom about the super-duper high-speed growth of the Chinese luxury market (shock! Trauma!) slowing down may have been wrong. Or not wrong, exactly, but slightly misguided. Read more

There’s an interesting report in the FT today about declining sales of China’s local-brand cars, and it’s got me thinking about the benefits and problems of “national” brands – which is to say, not state-owned brands, but rather the perceptions surrounding the name of a country, ie its own brand, when attached to product, and the way this can work for and against manufacturers. Blame it on the Made in Italy and Made in France strategy the luxury industry so cannily implemented back in the day (a recent BCG/Altagamma/Sanford Bernstein Global Consumer Insight study found a whopping 80% of consumers think “Made in is key”) but seems to me, when it comes to consumers, products don’t just have to be good, they have to somehow come to grips with national stereotype, and either neuter it or exploit it. But what they can’t do is ignore it. Read more

This Sunday is the Oscars, which as we all know is the be-all and end-all of red carpet dressing, and may explain the notable lack of Hollywood celebrities at Paris Fashion Week thus far: they’re all back in Hollywood, juicing in order to get their stomachs flat. Or, in fact – and here’s what I am thinking – there may be something else going on. Something that has to do with changing markets, and marketing. Read more

All that stuff we’ve been hearing about the Chinese market moving toward the exclusive, the subtle, and the non-logo? It’s happening in beauty too. The other day I was chatting to Christophe Robin, the Paris hair colourist, and he mentioned that his line of products had really taken off in China. They’re called “Christophe Robin.” Heard of them? No? Well, that’s the point. “Last year sales were up 53%, and this year we think it will be 70%,” he said. Given that Bain reported luxury market growth of about 2.5% in China last year, that’s saying something. Read more

Just after Burberry’s nice third quarter results prompted a rash of headlines (including in this paper) about positive returns “easing [the industry’s] China slowdown fears,” especially when combined with similar happy stories from Swatch and Tiffany, today we came down to earth with a bump courtesy of Richemont. In their third quarter trading statement, things looked not so rosy in China. In fact, they looked pretty doldrum-like. Read more

As this is my last post of the year I thought I’d leave you with a few ideas about the five main thing I’m going to be watching in 2014, and where the action might be (aside from the already well-documented worlds of M&A and IPOs), from store wars to legal battles, consumer behaviour and designers that will make the difference. Read on! Read more

Much celebrating (and some amazement) about the stellar stock market debut of Moncler yesterday, with some analysts attributing the excitement over buying into the brand to the idea it could be “ the next Burberry”. But is that true, or wildly optimistic? I can see where they are coming from, but am not necessarily convinced. Read more

Just as the Chinese government cracks down further on luxury spending at home, and more company results demonstrate a flattening of the local market causing fear and trauma in heritage luxury brands with major capex in Asia, enter Antonio Tajani, EU Vice-president and commissioner for industry, to attempt to stem the pain. Their hero! Mr Tajani, aka luxury’s friend in Brussels, has “an action plan on the competitiveness of the European fashion and high-end industries”. Or a kind-of action plan. A beginning action plan? A small movement plan? You know what I mean. The point is: there’s a plan. Read more

The latest global luxury CEO survey from Ledbury Research and Departures magazine contains some interesting nuggets of information from the 70 unnamed chief executives who talked — the un-named bit slightly undermining the survey’s results, it must be said, though also underscoring the a) super-secretive and controlling nature of many of these companies; and b) suggests they may be telling the truth about some things that are perhaps a wee bit controversial. Like, for example, two things in particular. Read more

Much drumroll comes around the world from China, where Chinese Vogue is celebrating its 100th issue (left), which also happens to be its first “all-Chinese” issue — by which they appear to mean all-Chinese models and subjects issue, as it was also all shot by Mario Testino, who is, of course, Brazilian. Still, it’s interesting, both for the content, and for the sheer fact that for 100 issues it hadn’t happened. I mean, the magazine was founded in 2005. What took them so long? Before you say “why do we, who do not necessarily read Chinese Vogue, care?” I offer you this: the advent of the all-China Chinese Vogue is less about China itself than about the relationship between China and Western fashion, and where exactly the balance of power lies. Read more