HERMES OPENS NEW CHINESE BRAND SHANG XIA

HERMES HAS OPENED ITS FIRST BOUTIQUE FOR ITS NEW BRAND SHANG XIA, A BOLD STRATEGY THAT HIGHLIGHTS CHINA'S GROWING IMPORTANCE TO LUXURY GOODS COMPANIES. 'WE ARE VERY MOVED, THIS IS LIKE THE BIRTH OF A CHILD', HERMES CHIEF EXECUTIVE PATRICK THOMAS SAID AHEAD OF THE INAUGURATION OF THE SHOP IN SHANGHAI. THE STORE, A PICTURE OF MINIMALIST CHIC, OFFERS CLOTHING, HOME FURNISHINGS, SHOES AND TABLEWARE, A COLLECTION INSPIRED BY TEA, AND MADE FROM TRADITIONAL ASIAN MATERIALS SUCH AS BAMBOO, CASHMERE AND PORCELAIN. IN FRONT OF THE STORE, ARTISANS PUT THEIR SKILLS ON DISPLAY FOR THE WIDELY ANTICIPATED OPENING, MAKING TEA CUPS ENVELOPED IN AN INTRICATE WEB OF WOVEN BAMBOO. SHANG XAI, WHOSE NAME MEANS 'UP DOWN' IN MANDARIN, AIMS TO BOOST WHAT THOMAS TOLD AFP LAST MONTH WAS 'VERY STRONG GROWTH' IN MAINLAND CHINA, HONG KONG, MACAU AND TAIWAN, COLLECTIVELY NOW THE COMPANY'S 'PRINCIPAL MARKET'. 'THE IDEA IS TO BRING THE HERMES PHILOSOPHY TO CHINA, TO CREATE A CHINESE HERMES', THOMAS TOLD AFP. THE BRAND, WHICH WILL BE RUN AS A SEPARATE ENTITY, PRESENTS A UNIQUE CHINA STRATEGY FOR AN INTERNATIONAL FASHION HOUSE: BUILDING A BRAND FROM SCRATCH AROUND A BLEND OF TRADITIONAL CHINESE CRAFTSMANSHIP AND CONTEMPORARY DESIGN. 'IF SHANG XAI BECOMES A COMPETITOR TO HERMES, THAT WOULD BE A SUCCESS', SAID THOMAS, WHO ADDED HE IS PLANNING TO OPEN THE NEW LABEL'S STANDALONE STORE IN PARIS, WITHOUT OFFERING A SPECIFIC DATE. THE BRAND'S CREATIVE DIRECTOR JIANG QIONGER, A SHANGHAI-BASED, IS MANAGING A TEAM OF ABOUT 20 ARTISANS WHO WILL BRING TO LIFE THE DESIGN TEAM'S VISION. SALES OF LUXURY GOODS IN MAINLAND CHINA HIT AN ESTIMATED $8.6 BILLION IN 2008, ACCORDING TO THE CONSULTING FIRM BAIN & COMPANY. WHEN PURCHASES BY CHINESE PEOPLE ABROAD ARE FACTORED IN, THE MARKET WAS WORTH $20 BILLION. CHINA IS FORECAST TO BECOME THE WORLD'S TOP BUYER OF LUXURY GOODS BY 2015, ACCORDING TO THE CONSULTING FIRM PRICEWATERHOUSECOOPERS.