Wealthy Romanians still making most purchases of luxury watches and jewelry abroad
According to the official figures reported to the Fiscal authorities, CELLINI, the largest luxury watches and jewelry retailer in Romania registered in 2008 a turnover of EUR 15 million and a profit of EUR 315.000. The figures indicate a rather poor performance considering the potential of the market and the fact that the company operates 18 stores nationwide. The company is also the franchisee of Swarovski in Romania. Owners have recently estimated a fall of up to 40%-50% of profits in 2009.
The second retailer of luxury watches and jewelry is HELVETANSA reported a turnover of EUR 5 million and a loss of EUR 54.000 in 2008. Helvetansa currently has 2 stores and it is the main distributor of the Richemont group brands and the jewelry brands ofLVMH group. Helvetansa will open by the year a store on high street Calea Victoriei, which is probably a relocation of its existing store.
Considering the size of the market and the profile of Romanian consumers these figures clearly suggest many wealthy Romanians make their purchases of luxury watches and jewelry abroad. One of the reasons for this choice is the fact that most of the international luxury brands are represented in multi-brand, therefore with a limited selection of products. The only luxury brand with a mono-brand presence in Romania is Rolex (one location).