Suffer moet hennessy Louis vuitton (LVMH) “invasion”, be control 20% equity, Hermes also begin to adjust to deploy.
A few days ago, Hermes Evelyn selling French fashion brand high mention “(Jean Paul Gaultie) a controlling stake in finally decided. According to the news media, the Spanish fashion group, the seventh largest global perfume makers Puig final with 16 million euros from Hermes success purchased and high mention 45% of the equity.
At the same time Puig will also pay 14 million euro debt, the equity transfer and debts for Hermes Kelly bring totaling 30 million euros in return.
In addition, Puig and from high lift and founder and designers, jean Paul high lift and the acquisition of the hand 15% of the equity, eventually Puig have high lift and 60% of the equity, jean Paul high lift and keep the other 40% equity stake.
News that, Hermes CEO jean Louis Joe dumars’s death, make Hermes Picotin and jean Paul high mention “as long as ten years between the cooperation eventually lead to break off. Early last year, jean Paul high lift and quit the Hermes creative director joined the L ‘Oreal group.
In 1999 MaShi buy high lift and love the equity of 35%, and in 2008 will be controlling stake up to 45%. 2009 high lift and sales declined 19%. Although sales last year have rebounded, but still is net losses. In April this year MaShi love is announced the sale of its stake.
Later, including Japanese cosmetics company shiseido Puig, and potential bidders to mention “all high assault. Founded in 1982 years of high lift and revenue to franchise fees to give priority to, perfume product is its brand the most core is also the most profitable part, perfume of business than as high as 80%, partly also explains why the brand for its assault reasons.
Luxury industry analysts interviews points out: “Hermes sell high lift and more is to gain considerable income, had suffered from foreign invasion moet hennessy Louis vuitton (LVMH) ‘, ‘by Bernard · Arnold’s (Bernard Arnault) control the Hermes stake of more than 20%, Hermes Handbags also began to deploy yourself.”
For the Chinese market to customize the brand
China’s global luxury market in the status of an already, coveted each big luxury brand in China’s capital market (the move is taken for granted. Honour such as Hermes is specially for China’s emerging market tailor new brand “and”, so as to fully swallow this “fat”.
However, in native is still in the initial phase of luxury brand China, complete by Chinese designer team to design and main Chinese elements “and” can be consumers to accept, “and” the brand can spend the enron “cultivation period”, are still to be the test of the market. More important, the board out, may also lead to the loss of the global customer MaShi love. Hermes “reverse innovation”, at present the show in front of consumers, still is a great question.
To the luxury industry is concerned, MaShi love for China’s introduction of the brand “and” strategic significance lies in that it first impressions are most lasting for global luxury brand fully occupied the Chinese market has opened up a new way, cultivating brand.
And Hermes set up specifically for China’s high-end brand the Chinese luxury market in history it is’s first lift. But introduce original brand products in China can be a not sale of luxury brands, why are put into a large amount of energy resources, the local luxury brands in China is still in the initial phase of market cultivating brand?
The world luxury association chief executive OuYangKun China in an interview think: “now of Chinese consumers the choice of luxury brand was blind, but in the future of the luxury goods choice cultural foundation will always be a balance, many consumers will return to the Chinese elements and Chinese spirit up, by that time luxury brands to divert direction already late, and build a native Chinese current international luxury brands, Hermes is undoubtedly first impressions are most lasting for the start of the cultivating brand, to capture the market in advance.”
At present Chinese luxury consumption 90% from the foreign luxury brands of consumer spending. Local Chinese luxury brand or a gap, but in OuYangKun look: “the future there is always a portion of the consumer will return to a domestic brand of luxury goods companies, this is a big business opportunities, but also Hermes the move will bring more luxury business to follow suit, aeriform in also led the Chinese native luxury brand really produce and development.”
“Hybrids” go China road
Whether Hermes launch “and” how proactive, also hard to avoid the loss of faced the threat the possibility of customers. According to the consumer luxury consumption psychology, luxury brand often just a symbol, reveal its nobility status. Although “and” in China’s position is the high-end, it launched its clothing and shawls average selling price in 56000 yuan RMB. “Luxury degree” can’t and Hermes comparable. Whether the board will weaken the orientation of the brand?
Even so, Hermes still resolutely choose the future in China swallow more market share. And in order to better cultivate “up and down” and balance the MaShi and love, the relationship between the MaShi love to “and” take independent operation system so that can be more flexible strategy and execution.
Now the “up and down” and Hermes in Shanghai belong to two companies, have their own independent market and public relations departments. But Hermes oneself of the spirit into “up and down”. As is known to all Hermes noble lineage because so far to keep the traditional inheritance: manual craft traditional and cultural inheritance. Hermes Chinese “and” also will take the essence, the product by China’s best craftsmen made by hand, and find China lost history and culture, and these are very scarce just.
A brand of incubation periods was not an easy journey, will inevitably suffer many challenges. “And” the France and China’s “hybrids” brand in the market can stable to continue down, adhere to the implementation of China’s element was key. “Not just pure brand grafting, its success is unlikely.” OuYangKun said.zhengyiqiong/Dec.blog
From invasion moet hennessy Louis vuitton (LVMH) Hermes start deployment-for the Chinese market to customize the brand
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