Luxury firms step cautiously into Web

10:26, June 12, 2010      

Email | Print | Subscribe | Comments | Forum 



Buying diamond watches or designer labels online might seem detestable for those able to jet across the world for a shopping spree, but global luxury firms are slowly but surely investing in e-trade.

Two high-end French labels, Lacoste and Mauboussin, have just opened Internet boutiques, while British luxury website net-a-porter has been bought out by luxury Swiss group Richemont, owner of Cartier and Chloe.

In a sector where exclusivity touches as well on distribution and price control, the cultural revolution has been slow in coming.

In 2009, worldwide luxury sales on the Internet totaled 3.5 billion euros ($4.2 billion), a fraction of total sales amounting to 153 billion euros ($185 billion), Bain &Company said.

Consultant Precepta said Internet sales in the luxury sector could double to 7 billion euros ($8.5 billion) in 2011.

Lacoste, which hopes to generate 100 million euros ($121 million) in turnover via Web sales by 2014, is also counting on the move to rejuvenate its image.

French jeweler Mauboussin, which just launched e-trade in France, expects to see Internet sales of 6 million to 8 million euros ($9.7 million), "equivalent to a Paris boutique."

Faced with the boom in e-trading and a change in customer habits, the luxury sector has had to give in and follow suit to avoid subsidiary sites grabbing a slice of the pie, such as multi-brand stores such as Neiman Marcus or specialized Internet boutiques such as net-a-porter.

But many high-end brands, such as Louis Vuitton and Hermes, only offer a selection of their goods.

Jewelry firms such as De Beers in the United States, a joint-venture of De Beers-LVMH, or Tiffany for example choose to offer engagement rings on the net rather than more expensive sets.

"There's no hurry," said Philippe Pascal, who heads LVMH's watch and jewelry division. "After-sales service has to be perfect to ensure customers are entirely happy with a purchase."

Source: Global Times

(Editor:黄蓓蓓)

  • Do you have anything to say?

双语词典
dictionary

  
Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Giant red lantern lights up in Tiananmen Square to celebrate the coming National Day on Oct. 1. (Xinhua/Li Xin)
  • A ceremony is held in Taipei, southeast China's Taiwan, on Sept. 28, 2011, to commemorate the 2,562nd birthday of Confucius (551-479 BC), a Chinese thinker, educationist and philosopher. (Xinhua/Wu Ching-teng)
  • The world's first Boeing 787 Dreamliner for delivery arrives at Haneda airport in Tokyo, capital of Japan, on Sept. 28, 2011. The Boeing 787 Dreamliner, whose buyer is All Nippon Airways (ANA), will implement a flight of ANA on Oct. 26 from Tokyo's Narita Airport to Hong Kong in south China. (Xinhua/Ji Chunpeng)
  • A Libyan National Transitional Council (NTC) fighter shows what is believed to be human jawbone found inside a mass grave near Abu Salim prison in Tripoli, Libya, Spet. 27, 2011. The NTC on Sunday said they had found a mass grave containing the bodies of 1,270 people killed by Gaddafi's security forces in a 1996 massacre at Abu Salim prison in southern Tripoli. (Xinhua/Li Muzi)
  • Rescue workers and local residents search for survivors after a building collapsed in old Delhi, India, Sept. 27, 2011. At least 10 people were killed and 35 injured when an old three-storey building collapsed. More than a dozen people are still feared trapped under the debris, police said. (Xinhua/Partha Sarkar)
  • A visitor has flying experience in the windmill castle of Jinshitan National Holiday resort in Dalian, northeast China's Liaoning Province, Sept. 27, 2011. The castle is a 23-meter-high building with 21 meters in diameter. The castle uses wind tunnel to make objects floating in the air. It is the first indoor stadium in China, which enables people to have flying experience. (Xinhua/Zhang Chunlei)
Hot Forum Discussion