Everything is cheaper- Burberry UK sees tourist boom

The Burberry British fashion house said tourists’ higher spending power due to the drop in sterling drove the rise.

The Burberry British fashion house said tourists' higher spending power due to the drop in sterling drove the rise.

Comparable European sales, which exclude new store openings, were higher in the first half of the year, marking the first rise for over a year.
The firm, which makes just 15% of its sales in the UK, said the pound’s fall would increase full year profit.
The pound has fallen almost 20% since the Brexit vote on 23 June, and around 16% against the euro. The drop has helped to drive overall tourist spending higher.

Louis Vuitton handbags are cheaper in London than anywhere else.

According to FTSE 100-listed payments processor Worldpay, foreign card spending growth was up 3.4% in August compared with the previous year, and online sales growth rose by 5.3%. High Street sales were up 3.0%.
The most recent official statistics also show signs of a tentative rise in tourism, with overseas residents making a whopping 3.8 million visits to the UK in July, up 2% on the same month last year. In total, they spent some £2.5bn.
However, the boom in UK tourism hasn’t been enough to offset Burberry’s other woes.
Total sales at the designer fell, with Burberry blaming the 4% drop to £1.16bn in the six months to the end of September on a fall in wholesale and licensing revenues, which dragged down its overall performance.
Nonetheless, Burberry, which has been overhauling the business including redesigning its website and offering customers the opportunity to personalise products, sai

December 18, 2016   Posted in: Building Businesses, Business Development, Business Finance, Business Growth, Business Jobs, Business Profits, Business Sales, Business Services, Business Survival, Business Win, Finance Business, Growing Businesses, Growing Economy, Growing Sales, Uncategorized

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