Who Controls The Economic Lifeline Of Luxury Brands?

In response to the fact that the UK will withdraw from the European Union after the referendum, the new research shows that the decision has had a huge impact on the Global Luxury Retailing Industry and will continue to affect the future market.

Since the British referendum decided to leave the EU two weeks ago, less than 48% of the global luxury goods market was sold last week.

When analysts from the Edited retail data analysis firms can decipher the winners and losers of the e-commerce industry in Europe, they say that cross border consumers and mobile e-business websites will become the driving force of the whole retail market, while poceanic supply chains, especially high priced goods, and

Expansion will suffer negative effects, and will be the economic lifeline of luxury brands.

However, the news did not destroy all brands, especially those in the UK.

As the result of the referendum of Britain's withdrawal from the EU has been fixed, with the sharp depreciation of the pound to the lowest point in history, a large number of tourists and consumers are lowering the rate of exchange for the exchange rate.

The research report points out that Burberry is one of the brands that profit from it.

Last week, its selling rate of goods at full price increased by 50 points compared with a year ago, mainly based on sales of accessories, shoes and tops.

The report also considers that Burberry owes much to its success.

It has been calculated in pounds, so the cash flow from outside the UK can flow back to the country to buy more pounds.

Also enjoying the good Britain's return to Europe and Britain.

E-commerce platform Matches, data show that its platform has full price merchandise sales surged 90%, and Gucci, as one of the best selling brands in the platform, has achieved a direct growth rate of nearly 154% through this referendum.

But for some brands, the referendum turned out to be bad news, especially when share prices and full sales plummeted.

Louis Vuitton is the most severely affected brand, compared with the same period last year, the online full merchandise sales rate plummeted by 73%.

Followed by the Paris based cloud group, the stock price was cut by 9.3% in the three days after the referendum announcement, and the overall sales situation was not satisfactory, including the fall of 81% Bottega Veneta, the fall of 68% Saint Laurent and the 55% decline of Balenciaga.

The report indicates that the potential threat from Britain's withdrawal from the EU includes the tariff issue of luxury goods entering the UK, and the inertia thinking of the public in saving property.

This is perhaps the best time for British brands to take full advantage of their cultural heritage and handcrafted craftsmanship to return to the fashion world.

Looking ahead, the Edited research report believes that luxury industry still has the opportunity of sewing skills.

For example, the potential growth capacity of fashion brands in Italy and France is expected to increase the market share in Europe and the peak season of tourism due to the weakness of the pound.

But the report warns the British brand that more detailed strategies are needed for future capitalization of its own brand.