Pandemic restrictions damage Asian jewellery retail sales

The COVID-19 pandemic and ensuing government restrictions on public gathering have continued to wreak havoc on China’s jewellery retail sales.

Chow Tai Fook, the largest jewellery retailer in China with more than 5,900 stores, has noted a significant decrease in sales following the release of its financial report for the third quarter.

Sales declined by 19 per cent year-on-year for the period ending 31 December, a disappointing outcome following a strong second quarter.

Retail sales decreased by 20 per cent in stores located in mainland China, while in Hong Kong and Macau, sales declined by 11 per cent.

Same-store sales of gold products (36 per cent decline) were the hardest hit category while gemstone-set jewellery (32 per cent decline) also struggled in mainland locations.

Luk Fook struggles

Hong Kong retailer Luk Fook reported similar issues with same-store sales decreasing by 10 per cent in the third quarter.

“Due to the rebound in gold prices and the severe pandemic on the mainland, sales turned from a positive to negative growth, despite a solid retail sales performance and a relatively lower base as compared with the first half of the financial year,” the Luk Fook statement reads.

In contrasting outcomes, same-store sales in Hong Kong increased by 13 per cent while decreasing by 45 per cent in Macau. In mainland China Luk Fook’s same-store sales declined by 35 per cent.

Luk Fook’s total retail sales decreased by 27 per cent. Same-store sales of gemstone-set jewellery declined by 38 per cent in mainland China as the product category most impacted. Same-store sales of gold jewellery declined 33 per cent.

Luk Fook has more than 2,800 points of sale worldwide and plans to open a further 500 stores this year.

More reading
Significant sales jumps for Chow Tai Fook and Luk Fook
Luk Fook aiming for rapid expansion
Sales decline for Chow Tai Fook
China’s largest jewellery retailer reports strong sales despite lockdowns
Chinese jewellery chain accused of organised crime association


Source link

Web Stories
Artificial Jewellery
Enable registration in settings - general
Compare items
  • Total (0)
Artificial Jewellery | Birthstone Rings Designs Beautiful Wedding Rings Artificial Jewellery | Charm Bracelets Designs Earring – A look into the finest Beautiful Collection of AD Pendants Artificial Jewellery | Negligee Necklace Designs Artificial Jewellery | Signet Ring Designs Stunning Stackable Band Designs Have you bought a promise ring yet? ARTIFICIAL JEWELLERY – BRACELET DESIGNS There a necklace for everyone. Beautiful Bridal Necklace | Artificial Jewellery AD – A Collection of Beautiful Earrings. Aesthetic Artificial Jewellery – Necklace American Diamond Earrings. Pendants & Lockets Designs
Shopping cart