Logo
Friday, 29 March 2024
Thursday, 26 Dec 2019 06:00 pm

Tiffany sees rise in holiday sales on higher China spending

Net sales in Asia-Pacific for the interim holiday period from Nov. 1 to Christmas Eve rose about 5%-7%, the company said. In the Americas, Tiffany expects net sales growth of 2% to 4%.

newsImage
 

Tiffany & Co (TIF.N), which is being bought by Louis Vuitton owner LVMH (LVMH.PA), on Thursday estimated sales growth of 1% to 3% during the holidays, with the biggest contribution coming from China and a recovery in the Americas.

Last year, holiday sales in Asia-Pacific and the Americas fell 3% and 1% respectively, which Chief Executive Officer Alessandro Bogliolo attributed to a slowdown in tourism and softening demand among locals in its home market.

“We continued to see the Chinese Mainland drive our overall sales growth with a strong double-digit increase, offset by the persisting declines in the Hong Kong market and, to a lesser degree, Japan,” Bogliolo said on Thursday.

“We are happy to see sales growth in the Americas, a momentum shift in the region,” he added.

Luxury retailers including Tiffany depend on China’s burgeoning middle class that has found an appetite for expensive jewelry and handbags, as consumer demand remains subdued in the United States and Europe due to various geopolitical reasons.

Slowing growth in China, mainly due to its prolonged trade war with the United States and a stronger dollar, has impacted sales for Tiffany, which relies on tourists from the world’s second-largest economy.

Net sales in Asia-Pacific for the interim holiday period from Nov. 1 to Christmas Eve rose about 5%-7%, the company said. In the Americas, Tiffany expects net sales growth of 2% to 4%.

Sales in Japan, however, fell 9% to 11% during the period, hurt by the recent increase in the consumption tax.

Read here


Neha Pandey

Aware of her elements, Neha writes the best articles across industries including electronics & semiconductors, automotive & transportation and food & beverages. Being from the finance background she has the ability to understand the dynamics of every industry and analyze the news updates to form insightful articles. Neha is an energetic person interested in music, travel, and entertainment. Since past 5 years, she written extensively on sectors like technology, finance and healthcare.


Smarter Decisions with Smart News

Smart Market News is committed to getting its readers the latest updates and insights on industries that help in making “smarter” business decisions. With insights and inputs from corporate decision makers, we bring you the stories of adopting innovative solutions and strategies that have been changing the world. Our editorial insights on products, solutions, companies, and adoption of best practices not only help in understanding the markets better, but also prove to be a complete package for your information needs.

Subscribe to our newsletter
Get the latest in your inbox weekly Sign up for the fully charged newsletter
© The News and Media Division of The Insight Partners 2024 | All Rights Reserved | Privacy Policy