Louis Vuitton raise prices by 8 percent in Europe, to maintain growth

After almost a year of speculations on increasing prices in Europe to counter the influx of Chinese shoppers, Louis Vuitton confirmed today it raised prices in Europe for all product categories. Vuitton’s organic third-quarter sales growth “doesn’t differ materially from the previous” three months, LVMH Finance Director Jean-Jacques Guiony said on a conference call today. The Paris-based company raised prices at the fashion brand by 8 percent in Europe in October, he said, adding that “the appetite for luxury goods is there.”

Total revenue at LVMH in the quarter rose 15 percent to 6.9 billion euros ($8.9 billion), the company said yesterday, adding it remains confident in its outlook for 2012. The median of six analysts’ estimates compiled by Bloomberg was 6.88 billion euros. “The third-quarter figures reflect a tougher environment,” Guiony said. “One shouldn’t see the bottle half empty in my view.”

adapted from Bloomberg

Louis Vuitton flagship store Champs Elysees, Paris