Sales of the leather goods brand Hermès rose by a third in the first quarter of 2022. Demand for fashion accessories and watches in the United States and Europe was noticeably higher.
Hunger for luxury
2022 started well for luxury brand Hermès: sales rose by 33 % compared to the same period last year, to reach nearly 2.8 billion euros. Demand was particularly buoyant in America and Europe, with growth rates of over 40 %. All divisions of the fashion house did well, but the growth in the ready-to-wear and accessories division (+ 44 %) was remarkable, CEO Axel Dumas said. The watches division also surged 62 % thanks to the launch of a new model.
At the start of the year, the company’s Asian sales benefited from a very good Chinese New Year as well. Thailand, Singapore and Australia performed particularly well. The 20 % increase in sales (excluding Japan) was nevertheless tempered by new lockdowns in China since mid-March. Global sales at the retail shops accelerated with an increase of 28 %. Hermès’ store network continued to develop with openings and expansions, while online sales also increased globally.
Consequently, Hermès is confident about the future, “despite the still uncertain context”, and is making additional investments in attracting new talent. For example, the luxury brand now offers training in leather workmanship in almost all French regions. The various branches of the “École Hermès des savoir-faire” award a diploma recognised by the French National Education Authority. Hermès now employs some 17,600 people, a thousand more than a year ago.
