In an environment of slowing growth in the global luxury industry, Longchamp, the independent French family handbag company known for its “dumpling bags,” on Tuesday released a glowing annual presentation. 2015 sales were up 10% year-on-year to €566 million (at constant exchange rates), up from 2014. Longchamp said it achieved an 8% increase in sales.
According to Longchamp, the growth was driven by the excellent performance of the new stores in Asia and the stable demand in Europe. The Chinese consumer is the second largest customer group after France.
Last year, Longchamp added three new stores in mainland China, bringing the total number of stores to 25. Sales in China grew by 30% at constant exchange rates, a level comparable to that of five years ago, when the luxury brand was at its peak in the country.
Longchamp expects that it will take at least a few months for sales in Paris to recover after the terrorist attacks in November and December last year, which caused a 20% year-on-year decline and caused many tourists to cancel their trips to the city.
Our performance in Paris is still not back to where it was before the terrorist attacks,” Longchamp chief executive Jean Cassegrain told Reuters in an interview.
Cassegrain said that although Paris was the company’s top market in terms of sales, consumers were also able to buy the products in retail stores in other cities around the world (making up for the drop in Paris sales). As a result, he is not worried about a significant impact on the company’s global sales. According to Cassegrain, the company expects sales growth in 2016 to be at the same level as last year.
Longchamp, founded in 1948 during the post-World War II peace era, is a young French luxury brand. In Paris, the Longchamp nylon bag “dumpling bag” is a handbag.
“Inspired by the Japanese art of origami, the cheap Longchamp bags can be folded into the size of a pocket book. The Longchamp outlet is light and durable, and is available in three sizes – S, M and L shopping bags and two travel sizes – L and XL. One size S shopping bag is sufficient for a girl’s everyday bits and pieces. Every year, the family will launch some different new models, and if you need to go to Selfridges, you can go to Selfridges, which has a full range of styles.