Chow Tai Fook Jewellery Poised for Global Expansion and Luxury Market Penetration with New LVMH Executive Hire

Henry Cheng's Chow Tai Fook Jewellery aims for high-end prominence by appointing an executive from LVMH. The jewelry retailer has recruited Gabriela Ferreira from Loewe to improve the appeal of the brand and supervise its product assortment and distribution networks.

The Chow Tai Fook Jewellery Group, owned by the family of Hong Kong magnate Henry Cheng, has selected an executive from LVMH's fashion label Loewe to spearhead their global growth and enhance its attractiveness to high-end consumers.

According to a Wednesday announcement, Gabriela Ferreira, the former general manager for Southeast Asia and Oceania at Loewe, will spearhead the jewelry retailer's expansion efforts in Southeast Asia and other regions. Her primary responsibilities will include boosting the brand's appeal and managing its product range and sales outlets.

Cheng's family business, Chow Tai Fook, has announced a new appointment. The company, a jewel in the Cheng dynasty's crown, is currently undergoing a rebranding process. This includes a logo redesign and refurbishments across approximately 8,000 stores as it aims to transition from a classic retail establishment to a high-end accessories label.

The organization, experiencing a 47 per cent drop in its stock value this year, is grappling with the rising gold prices that have reduced the demand for its primary gold-based products, subsequently affecting its profit margins. Additionally, a decrease in consumer spending in its largest market, mainland China, is further impacting its sales.

Enhancing the brand image might attract more affluent customers, who still have strong purchasing power. Premier luxury brands such as Hermès and Chanel have withstood the wider economic deceleration, primarily due to their emphasis on nurturing relationships with high-value clients.