A scandalous article was published by Bloomberg citing that Tiffany’s flagship store in China is allegedly reducing in size. The luxury brand Tiffany’s is known for their diamonds and silver jewelry. But, in recent years, there have been talks about their alleged quality decline and sharp price increases.
LVMH’s Tiffany’s allegedly unable to make rent in China?
There have been disgruntled customers complaining about the quality of their items. For fine jewelry that cost thousands of US Dollars that are supposed to last an entire lifetime, many find this to be unacceptable. This alleged decline in quality apparently started around the 2020 time frame.
The Bloomberg article reads, Tiffany & Co., LVMH’s jewelry maker, plans to downsize its 12,000-square-foot flagship store in Shanghai due to declining luxury sales in China. The store, opened in 2019, will reduce its space by half later this month.
This move highlights the challenging business environment luxury brands face amid economic slowdown and property market slump. Tiffany’s Blue Box Cafe, the first in China, will remain open. The brand has struggled to meet LVMH’s sales targets and has seen employee departures. Tiffany also requested a rent reduction from the landlord, Lai Fung Holdings.
Additionally, some say that the end of luxury is already here. There are further alleged stories of sales associates promoting an installment plan feature if payment were to be made by a credit card. Typically, one would think that for those who are purchasing a luxury jewelry piece from the brand, they’d be ready to drop the full amount at check out.
Follow us on:
Read More News at #latestmalaysia #BusinessNews and #WorldFuture
