Hugo Boss Says Chinese Shoppers Are Decreasing.

Germany Latest fashion Hugo Boss said that many Chinese shoppers were hesitant to buy luxury goods or even did not buy them directly in China, where luxury brands were rare. The company predicted that the United States would replace Asia as the biggest driver of the company's growth.

However, it is the demand of Asian consumers for high-end brands that will enable many luxury Brand Company to avoid the impact of Europe's most economic downturn. Since 1999, as China has been on the right track from the lowest speed of development throughout the year, more and more people are paying attention to luxury goods.

The Hugo Boss brand suits are well known. The company said in a statement not long ago that the sales growth rate of the brand in China in the second quarter dropped by only 1%, which is quite different from that of LVMH, but its annual profit is expected to be lower than analysts' expectations. The company's profit is expected to be lower than that of LVMH.

Chief executive Claus Dietrich Lars told many analysts: "all the major shopping centers in China are facing huge business losses, and consumers feel uneasy." It is also emphasized that shoppers are suffering from changes in credit policies.

In the past few months, China's economic growth rate has been in the sixth sluggish quarter, and by June, the growth rate is only 7.6%, which is also the slowest growth period in 3 years.

As Boboli said earlier, its recent sales have been severely affected by the slow economic growth in China. HugoBoss The company still believes that the Chinese market has great potential for development, and plans to invest in new stores, as well as some other new or refurbished shops with better performance.

Mark Langer, chief financial officer, said: "although we sometimes feel a bit disappointed, we have always maintained confidence in the medium term growth potential of the region."

He told Reuters that last year, HugoBoss continued to gain a higher sales growth in the United States, and is likely to outstrip Asia as a driving force for its sales growth.

Langer, chief financial officer, said: "as a brand in this industry, we have not seen any obvious changes in people's business sentiment."

The Group expects its core profits to grow by 10% to 12% in 2012, and the result is much larger than some analysts estimate for 15%.

Hugo Boss reported sales of 485 million euros in the second quarter, an increase of 14% over the analysis of 462 million euros.

Its European sales increased by 17%, and its growth rate in the Americas was 11%, only 4% in Asia. In the first quarter, sales in Asia increased by more than 9%.

Hugo Boss said sales growth in 2012 was expected to exceed 10%, while in the second half of the year, due to slow economic growth, Sales volume Stagnation is not increasing.