Recently, two other companies reported layoffs: the British Burberry Group will reorganize its corporate structure, including layoffs, after the company's closure led to a sharp decline in sales; Swatch Group, a famous watch brand, will lay off 2400 people, and the company decided to speed up the plan to reduce the number of stores. ?
On behalf of LVMH Group, European luxury goods group's revenue in the first quarter fell by 65,438+05%. In contrast, the share price of Richemont Group, one of the three largest luxury goods groups in the world, fell by 47% in the first quarter, almost halved to 654.38+0.99 billion euros.
Burberry is a British luxury brand founded in 1856. Its business scope includes garments, accessories, handbags, shoes and perfume.
In the first fiscal quarter ended June 27th, comparable sales of Burberry decreased by 45%. According to the company, it is expected that the retail sales will decrease by 65,438+05% to 20% in the second fiscal quarter and 40% to 50% in the first half of the year.
Sales of brands such as Omega and Longines owned by Swiss watch manufacturer s watch have dropped by 43% in the six months since the beginning of this year.
The layoffs mainly come from shops. The position of production workers will be largely preserved.
The company has closed 260 stores and now has 1800 stores.
At the same time, various brands are also changing their business strategies and innovating and developing.
All products of Inditex Group, a Spanish fast fashion giant. The Spanish giant owns several FMCG brands, including Zara, and plans to close as many as 1200 stores in 202 1 year. But at the same time, Inditex spent more money on e-commerce. In order to accelerate the transformation, Inditex Group will spend 65.438+0 billion euros to increase the online digital field, hoping to increase the revenue of e-commerce from the current 654.38+04% to 25% in 2022.
While the fast-moving brands are moving quickly, the Italian luxury brand Armani Group is not idle. Armani, 86, has worked with him for more than 20 years? Old friends? The global e-commerce platform YNAP continues to cooperate, this time with * * * to develop a product that integrates digital and comprehensive shopping experience.
This Next Era distribution model, which is aimed at new consumer groups, aims to integrate Armani's digital stores with physical boutiques and establish a seamless connection between online and offline.
The epidemic that everyone is experiencing now has accelerated the application of technology. Through the application of technology, the relationship between brands and customers has become closer. Armani believes that this cooperative relationship marks the beginning of a new chapter and will also provide customers with more sustainable choices, transparency and liquidity.