Asia’s tourism sector had been relatively less affected by the recession because of its competitive packages and prices. Now with the turn around firmly on track, the luxury brands are expected to get some boost. Companies wanting to come up on top of this rebound will need to come up with better brands, services and prices.
The upsurge in demand has already made the profits of retailers healthy. F J Benjamin’s profits for the financial year ending June 2010 went up to $6.2 million compared to a net loss of $2 million for the previous year. The company is trying to increase their reach in the growing markets of China and Asia by investing $500,000 to acquire 60% stake in Arcangel, the Catherine Deane owned design house. The brand is already sold in 45 countries but F J Benjamin intends to double it in three years.
According to their CEO they are focusing on promoting their brands in the countries from where the tourists come to the Asian region. If they know the brand they will buy it. Some of the top brands with Benjamin are GUESS and Gap. China is leading the way in this rebound and Singapore is lagging behind a bit. They will have to boost their service standards in order to catch up.
Via: ChannelNewsAsia
