gift giving Archives - Inside Retail Asia
China’s retail sales target remains achievable
China’s retail market remains on track to achieving an annual average retail sales growth of 14 per cent until 2015. Due to weaker household incomes and a crackdown on gift giving, retail sales in the country are likely to decline from 15.7 per cent growth rate over the previous two years to 13 per cent by the year-end, says commerce minister Gao Hucheng. “The economy will maintain steady growth, income distribution, social security systems and the long-term mechanism for expanding consump…
China dents Hugo Boss’ profitability
German luxury fashion house Hugo Boss joins luxury retailers reporting weaker sales on China’s slowdown. Hugo Boss says it will not achieve its targeted profit margin by 2015 as crackdown on gift giving dulls luxury goods demand. The company, known for its men’s suits, is still keeping its target to hit sales of 3 billion euros ($4.1 billion) but said it would no longer be able to reach an Ebitda margin of 25 per cent in 2015. “We are clearly committed to a 25 per cent Ebitda margin t…