gold rush: china jewelers go west for growth - ring and necklace set

by:JINGLIXIN     2019-08-03
gold rush: china jewelers go west for growth  -  ring and necklace set
Zhenjiang, Singapore/China (Reuters)-
Smart young women and co-habiting housewives browse rings and necklaces in a shiny new shopping mall in the city along the Yangtze River, which can inject new vitality into the prosperity of China's gold consumption.
With jeweler stores already flooding the shopping districts of Beijing and Shanghai, retailers are shifting their attention to smaller cities, hoping to tap into the rich interest in products that make up the bulk of gold --
Buy in a country more than India
Consumers of precious metals.
Analysts and industry officials say an increase in wealth and spending power in less developed areas will help revive China's gold consumption. After explosive growth over the past two years, China's gold consumption grew at a rate in 2012 as the economy slowed, and some shoppers thought twice before buying big goods. ticket items.
"Third and Fourth
First-tier cities will be the main engine for the Chinese jeweler market, "said Leon Zhao, consulting director for research firm Frost & Sullivan's China operations.
The Company believes that Chinese cities are below
By 2015, the so-called third-tier status will account for more than 40% of the national jewelry market, up from 34% in 2010 and 29% in 2006.
This year's slowdown has dragged down growth in China's demand for gold jewelers, with consumption rising less than 1% year-on-year in the first half of 2012 to 250.
4 tons, compared to 13 tons
According to data from the World Gold Association, the growth rate in 2011 was (WGC)
An industry agency said.
But analysts say a boost to smaller cities and a rebound in interest in gold will help demand growth accelerate again.
"I want the total (jeweler sales)
To double the volume of growth
The digital interest rate for the next three years, "Ji-
Invest in Hong Kong.
This should be an opportunity for the country's gold demand, which could grow by about 7% in 2012, from 22-
According to data from GFMS, a metals consulting firm owned by Thomson Reuters, it grew by a few percent last year.
In 2011, demand from jewelers accounted for 2 out of 3 of China's gold demand, and the rest was purchased by investors.
Demand for gold in the world's most populous country has supported a surge in global gold prices, which will rise for 12 consecutive years.
Earlier this week, gold was about $1,680 an ounce, down 13% from the $1,920 high hit last year.
"The growing demand in China and the central bank's purchase of gold, gold etf (exchange-traded funds)
Strong purchases from India have driven gold prices up, "said Antaike analyst Shi Heqing.
A supportive metal consulting company in Beijing.
China is overtaking India as the world's largest buyer of metals, and its main consumers, such as farmers, are hit by slowing economic growth and soaring prices, thanks to weak currencies and higher import taxes.
According to the World Gold Association, China produced 361 tons of gold in 2011, which means more than half of the demand comes from imports and more than 770 tons.
Zhao from Frost & Sullivan said that if China's economy grows steadily, demand for small-city jewelers will grow by more than 20% next year, while 15-
Level 1 18%
According to the size and importance of the city, Chinese cities are usually divided into different grades.
While there are no official standards, Beijing, Shanghai, Guangzhou and Shenzhen are often seen as first-tier cities, while provincial capitals and some affluent coastal cities are seen as second-tier cities. Hong Kong-
Chow Tai Fook Jewelry Group Co. , Ltd (1929. HK)
The world's largest jeweller retailer says half of its stores are in third and fourth place in the fiscal year starting in April --
It is mainly concentrated in first-tier cities in central and western China.
"In the past two to three years, and in the first half of this year, we have performed better than coastal cities in retail stores at levels 3 and 4, as well as in central and western China," Kent Huang said, general manager of the company competing with Tiffany & Co (TIF. N)
And Luk Fook Holdings Limited (0590. HK).
Zhou Dafu is one of the three outlets in Zhenjiang. Zhenjiang is a port city with a population of 3 million along the Yangtze River. it is more than 200 kilometers west of Shanghai, 30-something Ms.
Zhang is looking at the gold pendant.
"I'm shopping for myself here," she said . ".
"I'm looking at all kinds of gold, including gold and gold --plated items.
Gold has maintained its value over time, while other types of gold look more modern.
"While consumers in China's top cities are increasingly fond of platinum, platinum and other non-gold products
People still prefer gold products in smaller cities.
"Consumers in smaller cities emphasize value, not design or craft.
They buy jewelers for celebrations such as weddings or value stores, "said Zhao of Frost & Sullivan.
He added that although market share of gold products may decline in the future as these consumers become more complex, gold's dominance is unlikely to subside in the next decade.
Overall demand for gold will be smooth, because investment options are limited, and as governments around the world inject money into the troubled economy and boost the attractiveness of precious metals, people are worried about the devaluation of the currency, whether it's a jeweler or an investment, analysts say.
Indeed, jewellers hope that the favorable economic policy of a leadership change at the Communist Party Congress, which began on Thursday, should help support luxury spending broadly.
"If China does not grow, we have nowhere to go," said Nancy Huang, executive director of lufuke, who already has nearly 1,000 stores in China.
Custom message
Chat Online 编辑模式下无法使用
Chat Online inputting...