Hermès has constant pressure to impress. The iconic brand has established a world-renowned name for themselves, which they must uphold from season to season. Creating and delivering distinctly new product that will excite consumers is a daunting challenge – so how does Hermès do it so beautifully? Their continuous and remarkable success continues year after year, and 2016 was no different.
While the market is unpredictable, Hermès is not. Their incline is steady, which is represented through their 2016 annual profits. Hermès revenue growth is once again over performing the sector with sales up 7.5%. This impressive revenue rise was fueled by many factors, specifically their broadened distribution network. The luxury label concluded 2016 with four new store openings along with several renovations and extension works.
Hermès ended the year strong with their ready-to-wear women’s collection, which resulted in a 4% increase in the 4th quarter. Another contributing success to the companies’ growth was the launch of Galop d’Hermès, driving the perfume line to a 9% incline. Inspired by such impressive results, Hermès quickly submerged itself in the New Year through the release of new collections such as the Autumn/Winter 2017 Menswear line, as well as the Spring/Summer 2017 Runway Bag Collection. These bold lines both played a monumental role in the companies January 2017 stock price of 411.55, which is an impressive all time high. The accomplishments Hermès made in 2016 were remarkable, and seem to be continuing through the start of the New Year.
Photo Credit: Parfumtest, Spottedfashion