Revenue Fell More Than 20% Of Hong Kong'S Jewelry Market In Hong Kong And Macao

Hong Kong and Macao's jewelry market, which is relatively simple and supported by tourism consumption, can hardly be seen.

The vast mainland market has become the main battleground and battleground of jewelry brand in the future.

A few days ago, after Zhou Dafu, the annual performance of Lufu jewelry, which is a jewellery brand in Hong Kong, showed that as of March 31, 2015, the group's turnover fell by 17.1%, from HK $19 billion 214 million 900 thousand in the previous year to HK $15 billion 922 million 700 thousand.

Meanwhile, net profit fell 13.4%, from HK $1 billion 864 million 900 thousand in the previous year to HK $1 billion 614 million 800 thousand.

The decline in group performance was mainly affected by the decline of major markets in Hong Kong and Macao, and the two market revenue declines were more than 20%.

In terms of data, the group's annual revenue in Hongkong market was HK $9 billion 513 million 100 thousand, a year-on-year drop of 20.4%.

Hongkong's market share also dropped from 62.2% in the previous year to 59.8%.

Macao's market income was HK $2 billion 264 million 900 thousand, down 21.5% compared to the same period last year, and the market share shrank from 15% in the previous year to 14.2%.

The decline in the two market performance was mainly due to the reduction of mainland tourists' consumption in Hong Kong.

In July 5th, statistics released by the Hongkong Statistical Office showed that sales value of hard and luxury goods such as jewellery, watches and clocks fell 14.9% in May.

A spokesman for the Hongkong government said that the reduction in shopping for visitors to Hong Kong is still evident.

Coincidentally, Zhou Dafu, who has just released its annual earnings report in June, also confirms the weakness of Hong Kong and Macao markets.

Data show that as of March 31, 2015, the group's income was HK $64 billion 277 million, down 17% compared to the same period last year. Net profit shrank even more, and fell 25% compared with the same period last year. The group's same store sales also fell by 24.1% in the same year, of which the sales of same stores in Hong Kong and Macao fell by 32.8%.

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And Zhou Dafu jewelry's earnings analysis, coincide with reference to the future will focus on the development of the mainland market.

Among them, Zhou Dafu in the just concluded 2015 fiscal year, the mainland's pre tax profits have surpassed the Hong Kong and Macao market for the first time, accounting for 55.3%.

The group's mainland turnover has also exceeded the Hong Kong and Macao market for three consecutive years, accounting for 58.9%, up 6.1 percentage points in three years.

At present, Zhou Dafu is in.

With more than 2000 retail outlets, it will suspend shops in Hong Kong and Macao in the new fiscal year, and add 150-160 new stores in the mainland.

However, the view of the North Institute of Commerce believes that in the Hong Kong and Macao markets,

The price advantage and the exchange rate spread between the Hong Kong dollar and the renminbi are the biggest competitive advantages of jewellery brands in the region.

Once the huge expansion of the mainland, this advantage will no longer exist. Relying solely on the expansion of stores is not a permanent solution.

The consumption expenditure of mainland tourists has not been reduced, but has been diverted by neighboring countries such as Japan and Korea, and some of the high consumption tourists travel and spend on luxury goods, international jewelry and watch brand European countries of origin.

Consumer Liu said that in the past, buying watches and jewellery would go to Hongkong, or to travel to Hong Kong and to buy friends on business trips.

But she found that the price of some watches in the Korean market is even lower than in Hongkong.

Therefore, it is far from enough for Hongkong jewelry brands to open stores only to the mainland.