THE LATEST BOUTIQUES: HUBLOT, AUDI & CHANEL

Dior Homme’s latest store in Miami

Burberry debuts retail as theatre in Chicago, Marni launches in three Chinese Mainland cities, as Hublot takes to the Philippines, United States, China & UAE.

Audi, Ahmedabad, Dubai

Audi in partnership with Nixynova Motoren Pvt. Ltd have moved into a bigger showroom in Ahmedabad, Gujarat, which will now display entire range of Audi cars that is on offer in the country.

The luxury brand has also opened its largest dealership in Dubai with local dealer Al Nabooda Automobiles, which will be display up to 57 new vehicles over three levels. The Audi Terminal Dubai features floor-to-ceiling screens displaying the complete Audi model range including all equipment options, features and technical details on a 1:1 scale.

Source: Rush Lane, Motor Authority

Boucheron, Hong Kong

Boucheron has debuted a new retail design concept in Hong Kong, a model that will be replicated across all the brand’s stores starting with an overhaul in Paris. The 80sqm space has been designed with luminosity in mind, harking back to the first atelier on Paris’ Place Vendome, where the workshop was flooded with light that highlighted the brilliance of the stones.

Source: FashionMag

Breguet, Abu Dhabi

Breguet has unveiled its latest boutique in Abu Dhabi, located in the high standing commercial building “Etihad Towers”. The 32nd monobrand boutique worldwide showcases a mix of timepieces and gem-set Haute Joaillerie creations across 60sqm, in keeping with its global retail design concept launched in 2012.

Source: Breguet

Burberry, Chicago

Burberry has launched its second largest store in North America in Chicago, meshing digital, entertainment and fashion in one seamless experience across five-floors. The store houses the first beauty consultation counter in North America and will carry an exclusive, limited edition collection of outerwear and non-apparel for both men and women, created to celebrate Burberry in Chicago.

Source: Brand Channel

Chanel Timepieces, Paris

Chanel has opened its first dedicated watch store in Europe on the first floor of Paris department store Galeries Lafayette, to house its Première and J12 lines in addition to the new Mademoiselle Privé collection. The 25sqm concession is decorated in the brand’s signature black, beige and gold.

Source: WWD

Chopard, Abu Dhabi

Chopard has launched its latest boutique at Abu Dhabi’s Marina Mall, in partnership with Abu Dhabi distributor Al Manara International Jewellery. Created by architect Thierry Despont, the décor reflects that of a welcoming living room boasting fine woods for the floors and leather for the wall panels, store fixtures and furniture fronts and luscious velvet for curtains and upholstery.

Source: Luxos

Christian Louboutin, London

Christian Louboutin has unveiled its first store dedicated to men in the United Kingdom, to carry a range of shoes, sneakers, bags and accessories. The 170sqm Dover Street flagship has been realised by New York architects 212box, the same architects responsible for Christian Louboutin stores worldwide.

Source: FashionMag

Dior Homme, Miami

Dior Homme is the latest brand to launch in Miami’s new Design District, showcasing sleek architecture, minimalist decor, and luxe materials. To highlight the opening, Dior Homme collaborated with artist and photographer, Bruce Weber, to curate an exclusive film titled, “Can I Make the Music Fly,” that can be viewed here.

Source: The Fashionisto

Elie Saab, Geneva

Elie Saab has opened a new 155sqm boutique overlooking Lake Leman in Geneva, Switzerland. Saab himself, in collaboration with architect Chakib Richani, has designed the dual-level space. The store will showcase the designer’s accessories and ready-to-wear items from both the autumn and winter 2012-2013 and pre-fall 2012 collections.

Source: VMSD

Eterniti, London

London-based boutique luxury carmaker, Eterniti Motors, has officially launched its first showroom with a 930sqm facility in Park Royal, northwest London. Eterniti-owned showrooms will open in Asia in 2013, beginning with Hong Kong, which will serve as the company’s Asia-Pacific hub.

Source: Eterniti

Georg Jensen, London

Danish luxury lifestyle brand Georg Jensen, has unveiled its newest concession in Selfridges, London, designed by British architects Mark Pinney Associates. The 20sqm space is housed within the store’s designer jewellery room, showcasing fine jewellery, luxury fashion jewellery as well as the heritage range and contemporary silver pieces.

Source: Retail Jeweller

Gucci, Gurgaon

Gucci has opened its fifth and largest store in India at The Oberoi in Gurgaon, New Delhi, in keeping with the new design concept by Creative Director Frida Giannini. The near-400sqm space has been realised in ribbed glass, warm polished gold, smoked mirror and smoked bronze glass, recalling the elegance and richness of the Art Deco era.

Source: Daily Mail

Hublot, Atlanta, Abu Dhabi, Dalian, Manila

Hublot has unveiled the first of five North American boutiques to open in the coming three years, with a 92sqm space in Atlanta, operated in partnership with Ares Distributors. The brand has also opened a second boutique in Abu Dhabi, and a second boutique in Dalian, in partnership with Jinhua Watch & Jewellery.

Finally, the very first Hublot boutique in the Philippines has debuted at the newly opened Bonifacio High Street Central mall, Manila. The boutique design concept creatively reflects Hublot’s DNA of luxury and innovative design, bringing to life its vision of fusion.

Source: Hublot

Ittierre, Milan

Ittierre Group – producer of contemporary lines such as Pierre Balmain, C’N’C, Aquascutum, GF Ferré, Galliano and Karl Lagerfeld Paris – has debuted its first temporary department store in Milan. Housed over 1000sqm in Palazzo Gallarati Scotti, IT’S 30 MANZONI will offer principal collections of the group’s licensed brands.

Source: Vogue Italia

IWC, Beijing, Miami, Sao Paulo

IWC has unveiled flagship boutiques in Beijing, Miami & Sao Paulo. The Beijing store features a 300sqm bi-level glass cube facade, a brainchild of in-house designers and architects. Each boutique is fitted out with sumptuous dark woods and exquisite materials, inviting customers to explore the six fascinating watch families along with boutique-exclusive editions.

Source: IWC

Jaguar Land Rover, Beijing

Jaguar Land Rover has inaugurated its100th retail space in China, with the Beijing Changjiushida 4S Center in the heart of the city. The state-of-the-art repair centre and showroom, operated in partnership with the Changjiu Group, will have a workforce of around 110 people.

Source: Luxuo

Jitrois, Beijing

In partnership with Keyijili Ltd, Jean-Claude Jitrois has opened a flagship store in Beijing, marking the brands first boutique in Asia. The 250sqm space has been designed by Christophe Pillet, the architect responsible for all of the brands stores, in a luxury shopping centre in the Chaoyang district of the Chinese capital.

Source: FashionMag

Marni, Nanjing, Shanghai, Shenyang

Marni has unveiled three Chinese flagship boutiques, in Shanghai’s REEL shopping centre, Nanjing’s Deji Plaza and a store in Shenyang, brining its presence to nine locations in the country. Marni creative director Consuelo Castiglioni worked closely with architecture firm Sybarite, the creators of the brand’s Beijing store, to create the spaces.

Source: Luxuo

Montblanc, Abu Dhabi

Montblanc has opened its latest boutique in Abu Dhabi, United Arab Emirates, offering the exclusive Bespoke Nib Service, which is currently available in just four Montblanc boutiques worldwide. The store will house luxury watches, jewellery and leather goods, as well as writing instruments and its customisation service. Curacao boutique pictured

Source: Luxos

Pucci, New York City

Pucci creative director Peter Dundas has unveiled the world’s largest Pucci store in New York, designed in collaboration with French architect Joseph Dirand, modelled after the Palazzo Pucci in Florence. The 250sqm store will form the design basis for future retail locations and feature the entire collection of Pucci ready-to-wear and accessories.

Source: Bloginity

TAG Heuer, Geneva

TAG Heuer has opened its first boutique in Geneva, with a 100sqm space located on Rue Robert-Céard. The store will house the brand’s Lifestyle collection of accessories, as well as a range of sunglasses and luxury communication devices, Meridiist, Link and Racer, specially conceived by TAG Heuer.

Source: FHH

Vacheron Constantin, Lucerne

Vacheron Constantin has chosen Lucerne, in German-speaking Switzerland, for its latest boutique at 10 Kapellplatz. This warm and intimate setting is designed to offer a full immersion into the world of a company combining tradition with dynamic creativity.

Source: FHH

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For more in the series of The Latest Boutiques, please see our most recent editions as follows:

– The Latest Boutiques: Chloé, Brioni & Shang Xia
– The Latest Boutiques: Berluti, Dior & Saint Laurent Paris
– The Latest Boutiques: Hublot, Breguet & Assouline

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© Luxury Society, The Latest Boutiques: Hublot, Audi & Chanel, 10 December 2012, by Sophie Doran.

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A NEW WAVE OF OPPORTUNITY FOR LUXURY BRANDS IN INDIA?

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Hermès Horniman Circle, Mumbai, India’s only stand-alone, street level luxury retail store.

India has passed legislation allowing 100% foreign direct investment in retail stores for the first time. But given its complex landscape, is one change significant enough to start a revolution?

Following two years worth of intense political debate, India’s union cabinet has agreed to allow 51 percent foreign direct investment (FDI) in multi-brand and 100 percent FDI in monobrand retail. In layman’s terms, luxury brands are finally able to open directly owned, operated and controlled boutiques, in one of the world’s fastest growing economies.

An economy that has produced more than 200,000 millionaires, trailing only the United States and China, according to Reuters. Despite such affluence, the region only accounts for only half a percent of the global luxury market ($846 million), as compared to Greater China, which accounts for 10 percent of the very same pie ($17 billion).

India is without one single Tiffany & Co store. Louis Vuitton – an arguable benchmark in the case of luxury retail – has only three stores in India, all three of which are located within upscale hotels or luxury malls. Hermès is currently the only luxury brand in the country to have a stand-alone store at street level, following this year’s opening in Horniman Circle, Mumbai.

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“ The complexity of India’s luxury retail landscape makes it difficult to predict whether or not this change in ownership legislation will have a rapid impact on store openings ”

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The complexity of India’s luxury retail landscape makes it difficult to predict whether or not this change in ownership legislation will have a rapid impact on store openings. Product import duties in India hover at 30 percent, real estate is heavily regulated, existing retail infrastructure is non-existent and potential street-level environments are often unkempt. Challenges not addressed by the sudden ability to set-up company owned shops.

“The challenge is infrastructure. Luxury requires an ecosystem,” identified Anand Ramanathan, manager at KPMG Advisory. “It’s pointless having a luxury mall on a road that is potholed. Even the so-called ‘luxury malls’ in India are not really luxury. They have issues with basic infrastructure, with training of staff, it’s just not a luxury experience.”

Further inhibiting the potential for change are the behaviours of Indian luxury consumers, which are not necessarily geared to support local retail. India’s affluent have developed a habit of purchasing goods overseas, where they find the selection more diverse and the costs significantly lower, as a direct result of the underdeveloped state of domestic luxury retail.

Hermès have begun to manufacture Saris in Paris, available exclusively in its Indian stores.

As business in domestic stores remains slow, buying becomes cautious and ranges become limited. Particularly ironic as it then further inhibits the potential for growing local sales. And range is always going to be a sticking point for luxury brands, as the Indian consumer demonstrates significant disparity in taste, to those consumers in the west, meaning that products that work in Paris, won’t necessarily work in Pune.

The last landmark change in legislation was passed in 2006, allowing 51 percent FDI in single brand retail and resulting in the entry of more than 50 global brands with local partners in India, according to WWD. It will be interesting to see if last week’s announcement rallies the same level of interest and activity from international luxury brands, given the array of challenges market entrants will still face.

That said, it seems entirely plausible that these factors can be overcome – or at the very least managed – in the future. Luxury conglomerates now have a much greater scope to create their own retail destinations in India and begin to plant the seeds of desire, which will hopefully result in the next generation of affluents aspiring to buy their products.

If brands move towards directly owned and operated stores, they will begin to increase their internal understanding of complex real estate regulations and position themselves more strongly for future expansion. The creation of luxury retail precincts and street-level destinations – driven by a potential alliance of luxury brands entering the market independently – could help to solve problems associated with a lack of eco-system and help to create the correct environment in which Indians can experience true luxury.

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“ It’s difficult, it’s frustrating, to do business here. Real estate regulations, bureaucracy, it takes years to set up office – Bertrand Michaud, Hermès India ”

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The local market will benefit from brands commanding a more intimate understanding of local retail and developing both marketing and products to best suit the region. With any luck, consumers will also benefit from more competitive pricing and a diverse range of goods and services.

Speaking with Reuters at the time of the Mumbai launch, president of Hermès India, Bertrand Michaud, made the remark: “It’s difficult, it’s frustrating, to do business here. Real estate regulations, bureaucracy, it takes years to set up office, the goods sit at customs for months. I wish they would make it easier.”

And whilst the bureaucracy and taxes may remain, India may be that one crucial step closer to ‘making it easier’ for luxury brands to invest in real estate and be present in a market rife with opportunity, without ceding control of brand image and operations to distribution partners. Maybe, just maybe, this change and its resulting developments, will ignite a system of functionality and demand for luxury goods, reflective of India’s exponentially growing wealth.

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© Luxury Society, A New Wave of Opportunity for Luxury Brands in India?, 28 November 2011, by Sophie Duran.

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LUXURY, FULLY CUSTOMISABLE IN 2012

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Coach’s Year of the Dragon collection, developed in collaboration with Chinese artist Zhang Lan.

As luxury consumers become more diverse and discerning, we investigate how brands are approaching an increasingly fragmented international market.

I would be happy to argue that luxury has become one of the most globalised industries in the world. Rapid and aggressive expansion by super brands like Louis Vuitton, Rolls Royce, Rolex and Four Seasons, backed by powerful super conglomerates like LVMH, Richemont and PPR, has seen luxury permeate areas of the earth once better known for human rights conflicts than seven-star hotels.

At the risk of oversimplifying the situation, luxury has never been bigger – nor has it ever had larger levels of retailers, consumers, publicity and services. As the game moves at a breakneck pace, success in this industry has become driven by Darwinian thinking, where brands must quite literally, adapt or die.

Whether it be conforming to the consumer driven digital revolution, selling goods on the internet or responding to the need for personalisation of iconic products, it has been those brands quickest to embrace change that have remained the most agile and best positioned to absorb the effects of economic instability.

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“ For me bespoke is exactly what luxury should be. Old-fashioned luxury is about having something especially made for you – Anya Hindmarch ”

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Difficult when you consider that luxury is unique, in that the customer and the Maison are always right. Keeping a brand “luxury” is just as much about dictating what that brand is and what it stands for, as much as it is about bending over backwards to give a client what they want. But in saying this, in 2012 it feels like the pendulum of favour may be swinging toward consumers. Brands seem to have conceded the need to deliver outside their traditional value charter – whether that is a Facebook page or Hermès Sari.

The fruits of such logic are ever apparent when one looks at the products luxury brands will be taking with them into 2012 – products that are not only regionally and culturally thoughtful, but often made-to-order and sometimes designed entirely by the customer. Whilst 2011 was an active year for the launch of bespoke initiatives for brands, I can’t help but think it was just a taste of what’s to come. Vanessa Friedman often muses that three times makes a trend – if that is the case, expect to see a veritable avalanche of bespoke
options in the coming twelve months.

Anya Hindmarch and an example of a made-to-order product from her Bespoke boutique.

Mass Customisation

Customisation is nothing new – it is if anything, a founding principle of luxury – but it certainly is something incredibly popular in fashion and accessories. And in an era where luxury has penetrated the mass market and something afforded by the middle class, what could be more appropriate? The only thing more luxurious than a signature Burberry trench, is a signature Burberry trench made entirely to your specifications, which technology has now made a reality on a global scale.

Burberry’s Bespoke service allows clients to choose fabrics, patterns, designs, cuts and even colours. In addition, they can to scroll through various options in collar styles, cuff straps and mink linings, among others. The completed product is be delivered within four to eight weeks.

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“ In an era where luxury has penetrated the mass market and become a status symbol of the middle class, what could be more appropriate? ”

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UK accessories brand Anya Hindmarch, established a dedicated bespoke retail space in London over two years ago, most recently launching online. Speaking with The Telegraph, the designer mused that “old-fashioned luxury is about having something especially made for you. It’s something that has a story.” Her Knightsbridge boutique has an on-site craftsman, developing an array of leather goods as diverse as £75 bookmarks, through made-to-measure wallets, to Hindmarch’s £15,000 crocodile-leather Ebury bags.

And as luxury menswear becomes more and more important to the landscape, it is unsurprising to learn that Louis Vuitton and Bally now both offer made-to-order shoes – and in the case of Vuitton, made-to-order handbags for women. Prada launched customisable eyewear and accessories options last year, Gucci moved into made-to-measure suits and shoes. Brioni recently revealed that 40% of its sales are derived from its bespoke products, stitched by hand in the Southern Italian town of Penne.

Blancpain’s “Chinese Dragon” Caruso, limited to a run of only 50 units worldwide, retailing for approximately $220,000.

Regional Customisation

Regional influence has extended well beyond local inventory management and appropriate
communications strategies. Today geography not only exudes overt influence on product design but seeks to compliment – or should I say capitalise – on local culture and religion. 2012 will make an example out of China, with the significant number of products designed by luxury brands, celebrating the Year of the Dragon.

Just this week, Vertu has launched a luxury dragon-themed mobile phone based on its Signature collection, with prices hovering above $20,000. Coach has collaborated with Chinese artist Zhang Lan on an accessories collection, adorning the brand’s signature designs and mahogany colour scheme with golden dragons rendered in a style reminiscent of traditional Chinese ink painting (Jing Daily).

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“ How far can brands travel in their quest to please consumers before they lose their own specific defining values and cultural heritage? ”

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Piaget threw an elaborate gala in Beijing to launch its Dragon and Phoenix collections, Shanghai Tang collaborated with Nespresso for its Dragon collection and Rolls Royce has released a limited edition Phantom for the occasion – unsurprising when they now claim to sell more cars in China than they do in the West.

Swarovski lauded the event with a jewellery and timepiece collection whilst Versace designed a collection of flashy accessories starting at $5000, for distribution exclusively in the Asia Pacific region. Blancpain debuted its “Chinese Dragon” Caruso, priced at 1.4 million Yuan (approximately $220,000), limited to a run of only 50 units worldwide.

Louis Vuitton’s 2010 celebration of Diwali, which included a collaboration with Indian artist Rajeev Sethi, whose window concepts were installed from Beirut to Shanghai and from Johannesburg to Oslo.

Many of these sentiments were evident in India 2011, when Hermès produced a range of Saris and Bottega Veneta its ‘Knot India’ collection, coinciding with its exhibition in Mumbai. Louis Vuitton was characteristically ahead of the curve back in 2010, when they feted Diwali, the Indian Festival of Lights, on a global scale.

Whilst pursuing these types of strategies is neither a surprising move nor a new one – particularly when you consider the fanfare that is Christmas – an increasingly diverse customer base is forcing brands into new territories and cultures that are not there own, as we have seen with the Year of the Dragon. But to remain successful, history suggests they must also stay true to their luxury positioning, the specialities and strengths of their own native soil and essentially, retain tight control their of brand image – easily achieved
by controlling the products on the market.

The question remains, how far can brands travel in their quest to please consumers before they lose their own specific defining values and cultural heritage? Does a Sari made in France by Hermès, hold real significance to an Indian consumer? How will products change again with the emerging strength of Brazil and continued prosperity in Russia?

With any luck 2012 will answer some of these questions, but as always, we invite our members to join the discussion below.

For more in our Bulletin series, please see our most recent editions as follows:

• The Mixed Performance of Luxury in 2011
• The Complexities of Ethically Sourced Precious Stones
• A New Wave of Opportunity for Luxury Brands in India?

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© Luxury Society, Luxury, Fully Customisable in 2012, by Sophie Doran.

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