Coronavirus and luxury

BY SILVIA ORTEGA ALCORTA

I am writing these lines at the end of October, just before this fantastic copy that you are holding in your hands goes to press; three months before it is released to the public – an exercise in boldness and courage in these strange, ever-changing times. A VUCA environment is what economists call it – an acronym for “volatility, uncertainty, complexity, and ambiguity.”

But there is hope beyond our borders.while the Western world is entering into a new state of alert,the news coming from China provides some hope. Not only in regard to the country’s return to normalcy, but also because as a result of this, the luxury sector has not stopped yielding good news.

The large conglomerates have just published their results for the third quarter, and we find double-digit growth in Louis Vuitton and very positive results for firms such as Hermès, Bottega Venetta, and Loewe. There is talk of “revenge spending” to represent consumers’ desire to resume their consumption habits, to make up for activities that they could not do for months, and to indulge themselves.

Travel retail, or consumption linked to international tourism,will still have to wait for restrictions on movement between countries to be lifted, but the desire to travel and enjoy is still there, stronger than ever. An example of that fact? The millions of journeys in China during Golden Week, the eight days of vacation spent visiting family and friends and doing pre-christmas shopping.

But the mother of all battles is taking place in the digital environment. New entertainment platforms like Tiktok are emerging strongly, aiming to reach an increasingly digital consumer. Amazon has launched Luxury Stores in its desire to hold a place in cyberspace and the Tmall platform, owned by Alibaba, has become the preferred outlet in China for the purchase of goods with a high added value for a “digital first” customer who prioritizes convenience and speed.

This may seem to us to be something that is happening very far away –which is true– but even from a distance, we can draw a couple of conclusions to be transferred to an environment closer to home.the first is that, even after the horror, the human being continues to seek and value beauty, excellence, and creativity as a sort of “emotional balm” for the wounds of the soul.the second, that a digital presence and the ability to maintain contact with our clients and to continue generating content are essential to survive in the current era.the experience and enjoyment of the physical environment will come back stronger than ever; that is undeniable. And that will be our time to shine: a new Belle Époque will arrive, and we will experience and take advantage of it, accompanied by visitors from beyond the seas.

Meanwhile, each of us, from our own space and with our own resources, must do our bit. The context does not help, I know. Instead, it scares and invites lethargy, but even those who decide to take refuge in their cocoon until the storm subsides must look to the future and interpret the signs.

We need more than ever to look around us and see what others are doing, be they from our sectors or others linked to lifestyle and the creation of beauty – and we need to find support for ourselves in them. Let’s do things together and create constructive synergies! Let’s try to come out stronger from this difficult situation!

Being part of BASQUE LUXURY is in itself a way to do just that; an association born in a land blessed with a wonderful natural environment, renowned cuisine, a dynamic and interesting cultural life, and a noble and fighting people. But much remains to be done. May neither spirit nor constructive and serene reflection fail us!

We will be remembered for what we did during the times of the coronavirus. Saint Laurent sends bouquets of white roses to its clients.what can you do?