Hermès US Chief Confirms Boutique Expansion To Smaller Cities & Suburbs

Hermès’ Chief of the Americas Bob Chavez confirms what we have written about the brand’s latest sales strategy. Find the customer where they are. And in this instance, it explains why Hermès is developing boutiques in smaller cities and more suburban locales.

Read:
Birkins in the ‘Burbs
Luxury Brands Look to the United States for Growth. Maybe.

Hermes USA President Robert Chavez
Image Credit: Leila Navidi/Las Vegas Sun

In an interview with Vogue Business, Chavez says “We’ve realised customers want that localised convenience,” and Hermès is considering boutiques in what some currently may term “Hermès deserts” like Portland, OR and Nashville, TN. Chavez further explained that they are opening stores in “pockets of wealth” outside of big shopping destinations.

Furthermore, Chavez admits that he has been trying to push the brand beyond the core of Birkins, Kellys, and scarves. During the pandemic, Hermès saw that local and regional customers unable to travel shifted purchases to items other than the core. Behold the pandemic decorating à la “chez Hermès”.

Image Credit: @christine_aestheticcredit

According to Vogue Business, this interview occurred just before Hermès announced its 2022 Q1 results. Perhaps then it is no surprise the financials demonstrate lessened growth in the Leather Goods and Saddlery line, aka those Birkins and Kellys, and greater growth in ready-to-wear, watches and other items.

Read:
Hermès Q1 Revenues Rise 27% But Slower in Handbags & China

Any thoughts on bringing the Birkin to your local community? Or would you rather have Hermès remain destination shopping?