The Impact of Covid-19 on the Luxury Goods Market
“Breathe in, Breathe out” seems to be the current collective global human mantra.
This mantra is being spewed by virtually everyone virtually. From your favorite yogi (who look decidedly different from the yogis I remember — the yogis todays have banished their saffron robes for the latest under armour gear and all sport rock solid abdomens) to doctors, scientists and grandmothers all ensuring our lungs are working to its full capacity every morning. Our new home-bound way of life has led to an awakening of some sort and a great deal of introspection. Mainly this introspection has taken the form of how our lives were overflowing with uselessness and fast paced nothingness mainly in the quest of pursuing all that money can buy. But one question remains. Once we return to normality and are unleashed from our homes how many of us are going to sprint to our favorite designer stores for some much needed therapy………the retail type of therapy.
Quite frankly I was slightly bemused to learn that that on 11th April 2020 on the reopening of the Hermes store in Ghanzhou, they tilled a whopping £2.7 million dollars in sales. This in part had to do with a shift in store strategy including stocking the diamond studded Himalayan Birkin Bag which is normally not available in stores. Is this an indicator that despite the looming presence of Covid-19 on us the demand for luxury items is insatiable?