Luxury Retail & Poverty: Let’s be uncomfortable a minute and see what we can do as responsible citizens

Pierre Gervois - Producer of The Face of America interview series - Brooklyn NY 2018

Pierre Gervois, President of Gervois Hotel Rating and Producer of “The Face of America” Interview Series

For the past thirteen years, I have worked as a media entrepreneur and producer, serving the luxury industry in Paris, Shanghai and New York City, producing luxury digital publications for the very affluent Chinese global traveler. I have managed international teams of marketers, editors, bloggers, photographers and community managers to build successful communications campaigns in more than twenty countries for a variety of clients, private and governmental organizations, willing to attract High Net Worth Chinese travelers to their country, region or hotel.

I have met outstanding individuals in the luxury goods and luxury travel industry, incredibly skilled artisans who are making beautiful objects with their hands and heart, innovative entrepreneurs who are breaking the rules and reinventing luxury, and countless hotel executives who warmly welcome their guests in the new generation of boutique hotels.

I have learned to understand the new generation of affluent Chinese outbound tourists, what they really wanted (vs what the travel industry assumed they want to do), and how they felt routinely disrespected in Europe or in America, dismissed as second-class travelers by the luxury travel and hospitality industry.

I published several luxury lifestyle and travel magazines in Shanghai and New York City (including the acclaimed STC magazine) and featured more than five hundred luxury lifestyle stories, working with very talented journalists, and in particular Elaine Ke, Managing Editor of the STC magazine.

I have given speeches and lectures about international luxury travel marketing at Universities and at corporate events and always felt grateful for the opportunity to exchange ideas with students and fellow professionals.

It has been a rich professional and personal experience. Thank you to all of the wonderful people I have met over these years, from the clients who trusted me to the great individuals who composed my team, and without whom I would not have achieved such successes.

I have lived in New York City for the past five years, and now consider it my true hometown. NYC is by far my favorite city in the World, for one reason: the entire world meets here, in this city created and run by immigrants, bringing their ideas, cultures, languages and foods in this happy melting pot.

As the Founder and Publisher of Gervois magazine, I have seen wealthy individuals buying very expensive jewelry, watches, apartments, as a result of the marketing campaigns my company has created and it’s a good thing: that means more jobs in the jewelry, watchmaking, retail, and real estate, and potentially more money for philanthropic causes.

I have also seen hard working Americans with not enough money to feed their families, dads and moms without a job having a hard time to come back home and face their children, individuals discriminated for their race, gender or sexual orientation, and courageous immigrants -from China and all over the World- struggling to fully embrace the American dream.

I know we are, as business professionals and entrepreneurs, supposed to remove our emotions out of the equation and always think in terms of return on investment, business credibility, and project an emotionless and politically correct image of ourselves. This is specially true in the luxury industry where talking about social issues, hunger, poverty or racial discrimination is largely taboo.

I cannot change the World alone, and there are in New York City hundreds of very talented and very experienced philanthropists, activists, social entrepreneurs and dedicated elected officials.

As a privileged media entrepreneur fully conscious of my privilege, I decided that the best course of action for me, although modest and certainly limited in scope, was to help to create awareness about issues that really matter to me.

One year ago, our production company launched an indie, experimental YouTube channel Legit News based out of our Brooklyn studio. The first program we created was named The Face of America, an interview series.

Since October 2017, I had the pleasure to interview outstanding individuals from diverse backgrounds, who came to our recording studio to tell their own stories and share with us how they were working to make America a better place, one small step at a time.

We have explored multiple aspects of American society: social discriminations, race relations, LGBTQ issues, 2nd amendment, poverty, religious issues and women’s empowerment.

This interview series has changed me profoundly.

What I never told to the first persons I have interviewed is that I have no formal training in hard news journalism, and no experience in interviewing people. I was really scared when the camera was rolling and I had to conduct the interview. I was also ashamed of my strong foreign accent, and having sometimes to repeat questions as they were formulated in my imperfect English. (Most of my English vocabulary revolves around the luxury world, and I’m poorly linguistically equipped to talk about complex social issues).

I want to thank all the persons I have interviewed. They opened their heart, trusted me, and frequently went well beyond the context of a formal ten minutes interview. I felt sometimes I was not supposed to witness the incredibly intimate stories they were sharing with me, drifting away from the main topic of the interview.

I remain a proud media entrepreneur working in the luxury industry.

And I’m even prouder of sharing inspiring stories in The Face of America.

Pierre Gervois

English language magazines are the new cool for HNWI Chinese: iconic travel & shopping Gervois magazine now distributed to Shanghai Travelers’ Club members

Shanghai Travelers' Club - Gervois partnership announcement March 1st, 2018GERVOIS magazine has been selected to be the new preferred global travel publication of the prestigious Shanghai Travelers’ Club, and is now distributed to its members.

GERVOIS magazine is proud to follow the steps of the iconic STC magazine, the Club’s own iconic travel magazine that has been published from 2008 to 2017.

Founded in Shanghai in 2008, the Shanghai Travelers’ Club is China’s most exclusive international luxury travel club for discerning Chinese global entrepreneurs and executives seeking experiential & authentic travel discoveries.

Its 12,000+ members have an average annual income of US$580K, travel overseas on average four times per year, and spend on average US$63,500 per year during their travels. 23% of them have invested in real estate internationally. Excluding their real estate investment abroad, they collectively spend & invest more than US$700M per year in travel related expenses.

Chinese power couple - China Elite Focus

Shanghai Travelers’ Club

As the vast majority of Chinese high net worth individuals who travel frequently overseas is now speaking Engligh fluently, the Shanghai Travelers’ Club members felt the need to partner with an English language luxury travel magazine.

The club has selected GERVOIS magazine for its acclaimed editorial content, featuring exceptional hotels, men’s fashion styling ideas, art investment, real estate investment, and their iconic travel photoshoots made by the New York based famous travel photographer EFDLT studio, Director of Photography.

Starting with the Spring 2018 issue, released on March 16th, GERVOIS magazine will proudly partner for the years to come with the Shanghai Travelers’ Club and invite its Chinese members to travel and discover the United States and the World in style.

More informations about GERVOIS magazine:
http://www.gervoisrating.com/shanghai-travelers-club/

More informations about EFDLT studio, Director of Photography:

http://www.efdltstudio.com/

https://www.instagram.com/efdltstudio/

Luxury brands might have forgotten that Wealthy Chinese shoppers also wanted a good service

Bottega Veneta store ChinaKering, the French luxury group, is adapting its sales approach to better cater for increasingly sophisticated Chinese customers, according to group managing director Jean-François Palus.
“We’ve changed the way we conduct our business in China and the way we address Chinese clients when they’re abroad,” said Mr Palus at the Financial Times luxury conference in Lisbon on Tuesday.
“We learnt that a very serious risk is to become complacent, to think that it’s an easy business, an easy customer base, easy to open stores with good products and then people will come in. That was true for a moment but Chinese customers have become sophisticated and highly demanding and we need to adapt.”
Chinese consumers account for more than 30 per cent of global luxury consumption, according to consultant Bain, which is forecast to increase to 35 per cent by 2020.
How much of global luxury consumption Chinese consumers account for, according to Bain, a figured set to rise to 35% by 2020
In the past, luxury houses relied on rapidly opening up stores in China to fuel growth amid rampant Asian demand for their products, but this approach has been undermined by an economic slowdown in China.
In the final quarter of last year, Chinese consumers showed signs of returning, although notably shopping more in mainland China, while tourism in Europe has slowed in part owing to recent terrorist attacks.
In China, Kering is retraining shop assistants and replacing email communication with WeChat, China’s most popular social media platform with more than 800m daily users.
Mr Palus said: “The way the Chinese treat very important clients is different — they have a very candid approach to wealth.”
He pointed to a recent visit to a Gucci store in Beijing where the store manager told him he had hired the daughter of a billionaire to work with clients in the shop “because to talk to wealthy people in China, you need to be wealthy”. He added that bad feng shui in a shop can hurt client traffic.
According to Pierre Gervois, the New York Based Founder and Publisher of the STC magazine, a luxury travel publication for High Net Worth Chinese global travelers “HNWI Chinese clearly signaled about  five years ago that they wanted to purchase luxury goods outside China, to enjoy the full experience of the iconic flagship stores in London, Paris or New York”
“This new trend has not been immediately recognized by luxury conglomerates such as LVMH and Kering, that led to an inflation of store openings in China in the years 2010/2015, with little customer traffic, insufficient staff training, and in some cases damaging consequences in terms of brand image.”, Mr Gervois added.
Kering posted a 31.2 per cent rise in revenues to €3.57bn in the first three months of 2017, lifted by a 34 per cent jump in sales from luxury activities.
Among its brands, Gucci led the way, posting record revenue growth of 51.4 per cent for the three months — the latest sign of improvement under creative director Alessandro Michele. Other Kering brands such as Brioni and Bottega Veneta were doing less well than the likes of Saint Laurent.
Mr Palus said: “The market has become more difficult and the pace of growth has slowed down. In this environment you need to take market share from the competition.”
Kering was not looking at acquisitions, added Mr Palus. “We have so much on our plate with helping our existing brands tap their potential . . . we don’t have enough time to think about M&A.”
He said that Kering was also still adapting to digital platforms. “We need to open ourselves to what’s happening in other industries and other countries. Our industry needs to become less product-centric and become more customer-centric.”

Source: The Financial Times / Chinese Tourists Blog

Mainland Chinese shoppers accounted for 75% arrivals in Hong Kong in 2016

Chinese power couple - China Elite FocusShoppers from mainland China contributed 35% of Hong Kong’s total retail sales in 2016, which is up from 15% 10 years ago.

Visitors from mainland China now account for 75% of the tourist arrivals in Hong Kong according to Hong Kong Tourism Board reports, up from 54% in 2006.

Mainland travelers spend an average of 2.7 nights in Hong Kong per trip and spend more than CNY20,000 (US$2,900) each time they visit. And while 5 in 10 visitors buy jewelry and watches on their trips, some visitors who come to enjoy the food (51%) and culture (40%) who spend 10% more during their stay than those who come just to shop.

According to Nielsen’s recent study, Hong Kong covers off on the top 6 reasons that consumers look for when they consider regional travel. Online travel agencies and social media are dominant influencers to mainland Chinese travelers, at 95% and 49%, respectively according to Nielsen.

The Brexit’s One Bright Spot: More Chinese gentlemen getting bespoke suits in London

The STC magazine Sept 2016 CoverA volatile stock market, downgraded credit rating, and plunging pound may be some of the economic woes plaguing the UK after the Brexit vote, but there is one thing that seems set to go up in the near future: Chinese tourist numbers.

According to a recent report in Shanghai Daily, travel agencies are seeing a surge in Chinese travelers booking tour packages to the UK as travel and shopping in the region are set to become much cheaper. According to Chinese travel agency Shanghai Spring Tour, all of its tour packages to Britain have now been totally booked for the summer. Meanwhile, Ctrip has also seen a jump in bookings to the UK.

“An interesting reason for this increase of London travel for affluent Chinese men is the new trend for bespoke tailoring”, said Pierre Gervois, Publisher of the Shanghai Travelers’ Club (STC) magazine, a digital luxury travel magazine for wealthy Chinese gentlemen. “As London is probably the best city in Europe to get a bespoke suit, a growing number of Chinese gentlemen are going to London to see their tailor – such as Benson & Clegg, for example, and take advantage of the favorable exchange rate as well”, Pierre Gervois added.

Advertisement Tower - Gervois Hotel Rating May 2017 featuring Pierre GervoisWith shopping a high travel priority and an acute awareness of where to seek out the best prices of luxury goods and avoid mainland tariffs, Chinese tourists have been known to follow currency fluctuations to get a good deal. This has been one factor in the recent Chinese spending boom in Japan as the weak yen means cheaper prices of luxury goods and premium Japanese brands. When the ruble rapidly plunged in 2014, Chinese travelers and daigou sellers rushed to Russia and cleared out entire luxury boutiques thanks to the cheap prices.

The UK has long been working to attract more Chinese tourists, but its exclusion from the Schengen Area has made the visa application process cumbersome for visitors from China. As groups such as the luxury retailer-led UK-China Visa Alliance have lobbied for easier visa access, the government has made changes such as a two-year multi-entry visa policy for Chinese travelers as well as a partnership with Belgium to grant Chinese visitors with a Belgium-issued Schengen visa access to the UK.

But these efforts for greater EU-related visa access may now be undone, showing it’s not all good news when it comes to Chinese tourism in the post-Brexit UK. UK-Europe package tours could take a hit as participants traveling to both the UK and European countries would have to declare tax-free goods brought from the UK into Europe. This includes not only European countries, but also Ireland, which will now see fewer Chinese tourists entering form the UK.

In the long run, Chinese tourists are risk-averse when it comes to making their travel plans and tend to avoid places seen as politically unstable. The perception of increased political and economic instability could also deter the Chinese real estate buyers who have been flooding to London in recent years.

Source: Jing Daily / TopTier