Hermès holds European prices as profits rise

[MsHermesAU]

As for the website, I'm all for an improved experience, but I think Hermes needs to be careful with expanded offerings. Look how long the Plume handbags have been sitting on the website, these don't belong on the webstore. CDCs are too available these days, the more frequently they appear, the longer they sit.
It has also been hinted that H intends to favor web selling over phone sales. I have already complained to corporate about this. It's a horrible idea on two levels: it cheats boutique employees out of a store bonus, and it cheats the customer out of a personal relationship with a Sales Associate. At this price point, I want a shopping experience with an SA who is knowledgable about the product and knows my tastes and interests. A person who can help find a special gift or share in my excitement when a wish list item arrives. The fact that Hermes wants to move towards a generic web shopping experience is very disappointing. I only use the webstore to look at items I am interested in and then return. If H allowed returns for refund at their boutiques, I wouldn't use the webstore at all.
I lose the shipping costs, and they take forever to refund, but I prefer to shop via phone with a real person, so the webstore is review-only for me.

I totally agree with everything you've said here Monceau!! H needs to tread carefully...

 

[MarvelGirl]

I agree on all points, MASEML! Let's keep our fingers crossed for a better functioning website!

I'm happy for a better website! I find the website, esp the scarf store, difficult to navigate and often very frustrating. I also prefer to purchase in store but I visit the website to do research on silks and other accessories. For me, the website often inspires in-store purchases that I probably wouldn't have otherwise purchased.

totally agree re website. finally they are doing something about their horrendous website! even though i have access to stores, i buy online too..improving the website will help increase sales for those who don't have direct access to stores too..

+4! I lived in LA for many years and was happy with my in boutique experiences. But I now live 3+ hours away from the closest H boutique so the H website is the only way for me to get my H fix. Love shopping via the website for their refund policy and pray for a better experience soon because what we have now is horrendous!

 

[MSO13]

If Hermes could raise prices in Europe they would. This is not some position they are taking on principle, or out of loyalty to the French people, regardless of what some analyst at BNP says.

Just read what Axel Dumas said: if Hermes raised prices in Europe, they would lose sales. They see their future growth beyond Europe, which is why they are focusing on expanding their website.



As for the website, I'm all for an improved experience, but I think Hermes needs to be careful with expanded offerings. Look how long the Plume handbags have been sitting on the website, these don't belong on the webstore. CDCs are too available these days, the more frequently they appear, the longer they sit.

It has also been hinted that H intends to favor web selling over phone sales. I have already complained to corporate about this. It's a horrible idea on two levels: it cheats boutique employees out of a store bonus, and it cheats the customer out of a personal relationship with a Sales Associate. At this price point, I want a shopping experience with an SA who is knowledgable about the product and knows my tastes and interests. A person who can help find a special gift or share in my excitement when a wish list item arrives. The fact that Hermes wants to move towards a generic web shopping experience is very disappointing. I only use the webstore to look at items I am interested in and then return. If H allowed returns for refund at their boutiques, I wouldn't use the webstore at all.

I lose the shipping costs, and they take forever to refund, but I prefer to shop via phone with a real person, so the webstore is review-only for me.

I thought of you today as I saw literally a stuffed cabinet of CDCs including exotics and yet none I had to have. Back to topic now.

While I agree that an improved user experience on the website would be amazing I wish they would make it a more inclusive showcase of the products they make but steer clients towards boutiques for purchasing. I like the knowledge that my SA can impart to me. Granted I within a few hours of 5 boutiques but I do wish that it were easier for phone orders in boutiques for the folks who don't live near a store. I would love to see more of the items online so that I can hunt them with my SA.

 

[footlocker]

If Hermes could raise prices in Europe they would. This is not some position they are taking on principle, or out of loyalty to the French people, regardless of what some analyst at BNP says.

Just read what Axel Dumas said: if Hermes raised prices in Europe, they would lose sales. They see their future growth beyond Europe, which is why they are focusing on expanding their website.

Well said, especially your first few lines. If they could raise the price, they would. As they see that they could not, so they would not but out it with a very beautiful reason - "loyal to the French customers". Given the current economy in Europe is not doing good, I doubt how many European brands are serving/targeting European customers. If the local sales are not performing well, stores need money from external countries, aka tourists, to support the operation. If the cheaper retail price is harmonized with the rest of the world, I doubt how these European brands can survive without money from tourists. All in all, Hermes is so clever to see through the fact that the French/European stores need money from tourists and relying on locals will be doomed.