Hermès Achieves Record Sales

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French luxury goods manufacturer/retailer Hermès achieved record profits in 2012 with a 22.6% increase over 2011 sales. Asian consumers account for much of the growth including several store openings and renovations. Hermès has five Canadian stores in four Canadian cities.  

Hermès has managed to maintain exclusivity with high prices/no discounts, low supply, and a heritage of craftsmanship/artisanship.

Worldwide revenues of $4.66 billion make Hermès one of the highest grossing luxury goods retailers in the world. Hermès’ Asian sales increased 25% between 2011 and 2012. European growth was at 15% while American growth was 14%.

Crocodile/white gold/diamond Birkin bag. [Image Source]

Hermès may be best known for its bag called the ‘Birkin’, named after acress Jane Birkin in 1984. Prices typically range between $9,000 and $150,000. In 2009 a $220,000 Birkin bag made of red crocodile with a clasp of 18k white gold and diamonds rotated around Canadian Hermès stores, starting with the new Calgary Hermès location which opened inside of Holt Renfrew in October of 2009. It sold in a 2011 Dallas auction for about $203,000.

Hermès has five Canadian locations:

Toronto: 130 Bloor Street West,
Montreal: at Holt Renfrew,
Calgary: at Holt Renfrew, and
Vancouver: 1) 107-755 Burrard Street and 2) Vancouver International Airport

The Toronto (4,000 sq ft)  and Vancouver (2,500 sq ft – Burrard Street) Hermès stores compete for Canada’s highest Hermès sales, according to a sales associate at the Toronto location. 

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Hermès website: www.hermes.com

Holt Renfrew website: www.HoltRenfrew.com