Jean-Claude Biver says it is time to re-ignite investment in China after several years of consolidation.
In an interview with journalist and author Aaron Sigmond for Chinese luxury news website Jing Daily, the president of LVMH’s watch division says he is confident that China will bounce back to become the biggest market in the world for luxury watches.
“It’s time again to push forward in China and to invest strongly, especially as the market has become more stable after this period of consolidation the last few years,” says Mr Biver.
“The more competitors are reducing their investments, the more you should invest. One also cannot forget that China is the second-biggest luxury market and will, with no doubt, become the biggest,” he adds.
Asked about this year’s falling exports of Swiss watches to Hong Kong and China, Mr Biver explains that he is taking a longer-term approach to the key Asian markets.
“We are not reallocating or adjusting priorities; we’re just continuing to adapt and trying to make long-term decisions rather than short-term adjustments. Our policy in each market has always been marked by a long-term approach. The long term is your friend, the short term your enemy. No luxury brand can be built on short-term policies,” he stresses.
China was overtaken by the UK as the fourth largest export market for Swiss watches for the July-August period, although remains ahead for the full year to date.