The Place Vendome and its Surroundings have the Wind in their Sales

Since the beginning of 2009, the brands of the French Place Vendome in Paris did start some various and profitable approaches towards the Chinese customers. One used to believe that Chinese customers went shopping only at the department stores or along the Champs-Elysees and that free Chinese individual buyers did not exist. But the Place Vendome gives the proof of the contrary everyday.

Lets talk about sales results:
According to “Global Blue”, the leader institute concerning duty-free shopping which works with most of the Parisian brand names, “the duty-free turnover made with the Chinese tourists has increased by 80% up between 2008 and 2009. In the Vendome area and for the first time, the Chinese tourists average basket overtook the Russian’s one; more than 2.700 Euros have been reached on their side against 1.800 Euros on the Russian’s. On the Place Vendome duty-free market, they stand at the fourth place behind the Japanese, the Russian and the US customers”.

China Union Pay Sales Figures

On the other hand, the China Union Pay Card compares the results running from January until May 2010 to those from January until May 2009: The Paris (France) total turnover has increased by 20% up. As for the Place Vendome’s share in the sales made in Paris, it has gone up from 6% to 12% of the total turnover which means a 2,5 points progression.

What has been done by the brands of the Place Vendome ?

By the end of 2008, Zhenji (the new name of the Chinedge company) suggests that the Vendome Committee should prepare the “Place Vendome and its surroundings” special supplement with the upmarket lifestyle Chinese magazine “Target” , supplement which would be delivered to 100.000 HNWI readers in Mainland China.
The objective should be dual:
First, introduce the great number of famous establishments of the Place Vendome in order to give the Chinese people to understand that here is the Parisian spot for luxury goods.

Target supplement and its map of the district

Then, and with the help of a map using the well-known Opera as a landmark, make clear that, as the Parisian department stores, the Opera and the Place Vendome are situated within the same district, they should be able to move individually and without being guided from the department stores to the Place Vendome shopping site.
No sooner said that done… and the Chinese individual customers arrive.

On July 2008, Zhenji also suggests to the billionaire Li Ka Shing that he should send some of the former pupils of his Management and Business School — those who own their companies newly listed on the stock exchange– to the Place Vendome where they will go on a short morning course concerning French luxury goods, course completed by a half-day’s shopping (which did bring in dozens of thousands Euros).
Reinforced by this flood of new customers, the luxury goods shops start to equip themselves with a Chinese sales staff which will, in return, optimize the selling to this new clientele.
On the other hand, they set up some training modules concerning Chinese customers, jewellery or fine watches.

Li Ka Shing IPO course members visiting the Vendome Comittee

In 2010, Zhenji with the help of five luxury brands invites once more the magazine “Target” which will publish in September, and is currently in negociation with “Hurun Report”(the Chinese equivalent to the “Forbes List”) for a special issue so called “Place Vendome”…

This short story about the Place Vendome and its Chinese customers proves that, less expensively and without any commissioned guides, one can today very well make the tourist marketing profitable. And long live the Place Vendome.