Precious Gemstone Tourism
Harry Winston Sells Luxury Jewellery in Asia, Europe & North America
In their quest to find the world's finest jewellery collections, rich jet setters visit haute couture travel destinations that feature Harry Winston luxury salons.
In face of subprime loan defaults and declining financial markets, privileged classes continue to spend on luxury jewels and exotic vacations.
According to Scorpio Partnership consultants, spending by the rich is expected to rise as their fortunes gain over 30% to US$32.8 trillion by 2010.
Principal beneficiaries of increased spending on luxury items include high-end retailers of precious gemstones. Fine jewellery enables the upper classes to display their personal wealth, particularly at parties and special events.
Canadian Diamond Miner & International Luxury Jewellery Retailer
One company uniquely positioned to profit handsomely from this trend is Harry Winston Diamond Corporation. Winston is a preferred destination for a growing leisure class willing to travel around the globe in pursuit of highly valued gemstones.
Renown for jewellery worn at the Oscars, Harry Winston owns both a major diamond mine in Canada’s Northwest Territories plus an ever-expanding global network of elite retail salons in prime travel destinations.
Building on a pair of privileged retail outlets in each of North America, Europe and Asia just 4 years ago, Harry Winston will have launched 18 locations by the end of January 2008.
Preferred Travel Destinations For Buying Jewellery
Winston’s sales of precious gemstones in the quarter ending July 31 were up 22% in the U.S. and 52% in Europe and Asia. The U.S. and Japan represent the largest and most mature markets, while China and India are home to the fastest-growing stores.
The Harry Winston retail store in London, England is on historic Old Bond Street. Known for its bronze-sculptured door, Winston’s English site is under protection by the City of London’s Landmarks Commission.
Winston’s Sinsaibashi outlet provides a fashion-focused center for the key luxury tourist shopping area of Osaka, Japan. Sinsaibashi’s front door leads to a room known as the Petit Salon where high-end diamonds are on display. Interested clients who desire confidentiality and more personal service can move to a private selling room. Upstairs is the larger salon where entry-level pieces retail for up to $500,000.
Winston also opened a men’s jewellery store in Tokyo’s mid-town center in 2007. Another retail outlet that targets affluent clients visiting the central Japanese city of Nagoya is planned for December 2007.
Also in December 2007, Harry Winston will open a luxury showroom in Hong Kong. This will complete the company’s so-called luxury triangle in China, which also includes the recently upgraded Taipei and the vast specialty shop in Beijing.
In addition, Harry Winston added to its prime holdings on 5th Avenue in New York City with stores in historic sections of Dallas, Texas and Chicago, Illinois.
Precious Gemstone Collections
Harry Winston uses its international network of luxury shops to introduce new jewellery collections. The Wreath Collection is a family of necklaces and bracelets, with one necklace retailing for $560,000. Featuring different diamond shapes articulated at different angles, the Cluster Earrings group ranges in price from $25,000 to well beyond $310,000.
The size, quantity and quality of diamonds in a piece dictate its price – particularly the stones at the bottom of a necklace. Sometimes diamond pieces are privately commission by wealthy clients. Other creations are designed in workshops like the one above Harry Winston’s 5th Avenue jewellery salon in New York City. One spectacular example is the Incredible Lattice Bracelet that sold for $1.1 million after 3 weeks on display.
Similarly, Harry Winston’s cabochon blue sapphire bracelet with an encrusted shank of small diamonds went for $310,000 after about a month.
Sources for this Article
This article presents independent insights from data presented in the Bloomberg article "Smooth sailing for ‘superyachts’ as demand swells" (Warren Giles on November 21, 2007) and Investor Relations on harrywinston.com.
