« Predict Gold To Become Scarcer. | Main | Is Surging Gold Price Affecting Jewlery Sales? »
Luxury Watches Coming To China.
To seize on a Chinese luxury retail market that is fast becoming red-hot, U.S. watch retailer Tourneau has formed a partnership with Hong Kong's Peace Mark Limited and International Watch Group to open stores in greater China, the companies announced.
Under the brand name Tourneau, the new joint company, which has been christened Peace Mark Tourneau Holdings Ltd., will open high-end stores in mainland China, Hong Kong, Taiwan and Macau. The first two stores will be in Shanghai, with a third in Beijing. All told, the company plans to open 30 stores in China within the next five years, a figure that nearly rivals Tourneau's presence in the United States.
Patrick Chau, chairman of Peace Mark, said the Chinese watch market saw $3.8 billion in sales last year, and that Swiss watches accounted for $2.1 billion of the total sales. The joint venture with Tourneau will lead to the opening of 13 stores in the People's Republic of China over the next few years.
"We are confident that in the next few years, as the luxury market for watches in China expands, we will have stores in China that rival the most successful stores in the United States," Chau said, adding that with the burgeoning number of wealthy Chinese consumers, the men's luxury market is particularly hot.
Tourneau operates 31 stores in the United States and the Caribbean and plans to add 14 additional stores in the United States this year, with new shops slated for King of Prussia, Pa., Naples and Aventura, Fla., Atlantic City, N.J., and more.
Sales at the privately-held company's U.S. retail stores were over 250 million. Selling and distributing more than 100 brands—including Jaeger-LeCoultre, Omega, TAG Heuer and Omega—the retailer's average ticket is about $3,250. Tourneau is heading to China with confidence.
