BoF’s luxury editor Robert Williams offers insight into the surprising news that the mega-label plans to open stores dedicated to serving top customers.
Background:
As traffic to stores soars, Chanel’s chief financial officer Philippe Blondiaux said the brand plans to open dedicated boutiques for top-spending clients starting in key Asian cities. It's a strategy that emphasises the importance of big-spenders to the in-demand French luxury brand’s future amid whispers of an impending recession — but one that risks alienating first time and occasional shoppers who are still dropping upwards of $10,000 for bags.
“Brands like Chanel, they’ve lived through lots of cycles of boom and bust in the economy… When there’s an economic crisis, they need to be ready to have a real focus on repeat business,” said BoF’s luxury editor Robert Williams.
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