The Price Increase Of Hermes Does Not Include The Chinese Market.

The chief executive of Hermes, Axel Dumas, declared at the annual meeting of the company in Paris last week that even if the euro fluctuation caused the price difference between Europe and Asia, the price of other luxury goods companies should be reduced, the brand decided to increase its price in Switzerland by about 4% in 2015 and consider a wider range of prices in 2016.

At the same time, it said: "there will be no proposal to raise prices in France in some places, because it is unreasonable for French consumers to raise prices."

It is the global parity strategy of the French luxury brand Chanel in March that the price reduction in China and the European price increase.

In the face of the weakness of the euro,

The company is likely to make some adjustments.

For possible adoption

Hermes has no specific explanation.

The head of the Beijing Yintai store, Hermes, said that the brand price adjustment schedule usually took place at the end of the year. Whether the Chinese market was involved in the price increase still needed to wait for the headquarters to arrange.

However, senior industry insiders in the field of luxury goods told reporters that

As a matter of fact, he consulted the head of Hermes's China agency in private, and was told that the price increase would not have the Chinese market. At the same time, the price of a new bag arrived by 50 yuan recently.

Although the 50 yuan is too small for the price of several million yuan for Hermes, agents and luxury electric providers all agree that this indicates the trend of Hermes in reducing the relative selling price in China and narrowing the price gap between Europe and China.

To verify Hermes's public relations in China, no reply was received before the press release.

For the industry, Europe is rising and China is not rising. It is a disguised price cut.

After all, in the past few years, the Chinese market has always been rising with Europe.

The Business Research Institute of North China once said that the price of Hermes is about 40% higher than that of Europe. In terms of global price equilibrium, Hermes still has room for price reduction or discount promotion in China.

This view is now corroborated.