Recently, the top French luxury goods group Louis Vuitton said that the growth of its flagship brand Louis Vuitton in the third quarter has not experienced a significant slowdown compared to the second quarter. The group’s statement lowered the concerns of investors who feared that after enjoying many years of rapid growth, the brand’s growth has lost momentum, especially in Asia.
‘There was no significant slowdown in the third quarter compared to the second quarter,’ Jean-Jacques Guiony, chief financial officer of the Louis Vuitton Group, said at a conference on Tuesday. However, there were some slowdowns, especially in Asia China, the passenger flow in China this year is lower than last year.
The chief financial officer said that there had been no reductions in the order of Louis Vuitton products, including embossed canvas bags worth 600 euros.
LV is the world’s largest luxury brand with sales of more than 7 billion euros, accounting for 75% of the total sales of the Louis Vuitton Group. Luxury investors are worried that Chinese customers will no longer like brands like Louis Vuitton and Gucci because they know fashion better. Some investors also believe that the Chinese government’s suppression of the conspicuous consumption that has grown as a result of this has led Chinese consumers to choose brands that are not very high-end and to be more cautious about luxury consumption.
A report released on Monday showed that China has become the number one luxury goods market over Japan, the United States and Europe. But the situation here has also become more and more complicated, and people’s consumption patterns have changed from excessively inclined logo brands to completely high-quality products. Chinese consumers are still waiting and watching.