The impact of the shop-near-home trend has been noteworthy. According to the Wall Street Journal, the China unit of LVMH Moët Hennessy Louis Vuitton SE — owner of Louis Vuitton, Loewe, Dior, and many others — saw 65% growth year-over-year in the second quarter of 2020, while Kering SA, whose portfolio includes Gucci and Bottega Veneta, recorded a 40% increase in revenue in China during the same period. Currently, demand at brick-and-mortar stores is so strong that Gucci and Hermès stores in Shanghai have limited shopper visits to avoid overcrowding. China was virtually the only bright spot for both LVMH and Kering, as global revenue for the two luxury giants in the second quarter of the year plummeted 38% and 43.7%, respectively. Read more (Jing Daily)
China has emerged as the economic winner of the COVID-19 pandemic, and analysts predict that gains made in 2020 — when it was the only major economy to record growth — have set it on a path to become the world’s largest luxury market by 2025. At that point, Chinese consumers are predicted to make up nearly 50 percent of all luxury purchases globally, according to a November report from Bain & Co.
But could anything slow the runaway train that is China’s economy? Is there anything that would not make this a reality? Read more (Jing Daily)
Today, in contrast, “the art of cinema is being systematically devalued, sidelined, demeaned, and reduced to its lowest common denominator, ‘content’,” he argues. “‘Content’ became a business term for all moving images: a David Lean movie, a cat video, a Super Bowl commercial, a superhero sequel, a series episode. It was linked, of course, not to the theatrical experience but to home viewing, on the streaming platforms that have come to overtake the moviegoing experience, just as Amazon overtook physical stores.” Read more (NME)
“Movie theaters act as a curator,” he says. “If it’s good enough to be in a movie theater, you have to pay attention. Whereas you put on your streaming platform and you spend half-an-hour going through the screen going ‘what do I want to watch.’ The movies are not there in the culture in the same way when they’re just on your TV.” Read more
Unlike traditional investments in financial assets, luxury goods can be difficult to value if one does not have an appreciation for their form. A rare painting, for example, does not generate cash flows, meaning its value is truly in the eye of the beholder.
To gain some insight into the market for luxury goods, this infographic takes data from Knight Frank’s 2021 Wealth Report to compare the preferences of nine global regions. Read more (Visual Capitalist)
We rushed to the internet expecting empowerment, the democratization of knowledge, and help with real problems, but surveillance capitalism really was just too lucrative to resist. This economic logic has now spread beyond the tech companies to new surveillance–based ecosystems in virtually every economic sector, from insurance to automobiles to health, education, finance, to every product described as “smart” and every service described as “personalized.” Read more (Harvard Gazette)
One only has to compare millennials’ homes to see just how big the intragenerational wealth gap is. More millennials bought homes in 2020 than any other generation did that year, according to Apartment List’s Homeownership report. But at the same time, more millennials also now believe they’ll never be able to own a home — 18% said they plan to rent forever, up by 9% percentage points from the previous year. Read more (Business Insider)
Koyo Group teamed with checkout-free tech provider Zippin and Fujitsu in the development of the Green Leaves + store, which is located within the Yokohama Techno Tower Hotel. Shoppers can enter the store, which sells prepackaged food and beverages and fresh bento box meals, via a QR code in a smartphone app once they’ve entered their credit card information. The app also uses multi-biometric authentication technology and facial recognition to links their palm vein; once this has been registered, they can simply swipe their palm to enter the store and no longer need the phone. Read more (RIS)