Luxury Retailers Hope For Boost in London, Milan as Shoppers Avoid Paris Olympics

Luxury retailers in European cities outdoors France are jockeying for enterprise from deep pocketed vacationers this summer time, betting on a surge in guests avoiding crowds and avenue closures in Paris through the Olympic Video games.

“Paris will in all probability be gradual,” with cities like London, Milan or Barcelona probably seeing a carry in visitors through the occasion, Cartier CEO Cyrille Vigneron mentioned on Friday.

The Summer season Video games, which run from July 26 to Aug. 11, are in all probability “not the precise time to organise a vital excessive jewelry celebration in Paris”, mentioned Van Cleef & Arpels CEO Nicolas Bos. “However we are going to hold the shops open and be very completely happy to welcome sports activities amateurs,” he added.

The executives of the Richemont-owned jewellery brands converse from expertise. The 2012 Olympics, held in London, drove some severe consumers to their boutiques in Paris, they mentioned, though it was “impartial” general for his or her companies. Anticipating the same development this yr, they’ll deal with assembly their rich prospects the place they flip up.

LVMH, the world’s largest luxurious group and an Olympic sponsor, can be basing its expectations on its expertise throughout earlier occasions in London and Beijing.

“It’s normally fairly impartial — though it makes our life just a little bit extra sophisticated with regards to supplying merchandise into our shops,” mentioned LVMH chief monetary officer Jean Jacques Guiony.

A report commissioned by Paris 2024 final week flagged a potential “crowding out” impact whereby vacationers that had deliberate to return to Paris go elsewhere, however mentioned that it’s laborious to measure and to foretell.

France’s governing trend physique, The Fédération de la Haute Couture et la Mode, has moved the autumn 2024 high fashion trend exhibits ahead every week to June 24, straight after the menswear spring 2025 ready-to-wear occasions. Organisers are additionally doubling shuttle providers between exhibits as closing Olympic preparations are anticipated to snarl metropolis visitors.

Nonetheless, some trend labels will solely maintain showroom shows in Milan this season, as a consequence of “logistical difficulties due to the Olympics”, Carlo Capasa, chairman of Italy’s Nationwide Style Chamber, mentioned.

London retailers, which have suffered from a drop in vacationer visitors with the top of UK tax-free purchasing, are hoping to seize enterprise from Paris, with preparations effectively underway at iconic shops Harrods and Selfridges. “Paris has already been taken off the Chinese language tour information lists for this summer time,” mentioned Harrods’ managing director Michael Ward, who’s anticipating a big enhance. “We’ve bought to curate the product, we’ve bought to be completely on our sport to deal with it,” mentioned Ward.

The division retailer hopes to attract in consumers with celebrations of its new Tiffany & Co. excessive jewelry boutique, designer pop-ups and unique merchandise together with two new one hundred and seventy fifth anniversary teddy bears designed by Italian jewelry label Bulgari and make-up label Charlotte Tilbury.

Selfridges plans to draw locals in addition to worldwide guests with sporting occasions akin to a operating membership and is beefing up its supply of sportswear merchandise.

“We’re preparing for an enormous celebration of sport,” mentioned CEO Andrew Keith.

Barcelona, in the meantime, is pitching itself as a laid-back different to the frenzied Olympic ambiance in Paris.

“Spain can supply a extra relaxed leisure and client expertise than that which, for weeks, the host metropolis and nation of the Video games could have,” Spanish retail and meals trade affiliation AECOC advised Reuters.

Some vacationers, together with from the USA, who do go to the Video games, which can principally be held in venues all through the French capital, are planning to increase their journeys to go to different European nations.

“US journey knowledge seems to suggest a halo impact, as along with a rise in bookings in France for the Olympics, our knowledge displays an amplification of intra-European journey by Individuals in Europe to sure locations, akin to Spain, Germany and Italy,” journey company eDreams advised Reuters.

By Helen Reid, Corina Pons, Elisa Anzolin and Mimosa Spencer; Editor: Kirsten Donovan

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