MIDDLE EAST THE BIGGEST OPPORTUNITY FOR LUXURY BRANDS? YES - BUT MAYBE IN A DIFFERENT SENSE

China, Middle East. Everybody still looks at these regions with a focus on distribution. I believe those markets have matured substantially and will get in their next stage of development in terms of luxury & lifestyle readiness: Stage 1 was consumption and education. Stage 2 was about acceleration, which resulted in the acquisition of European brands by Chinese and Middle Eastern investment vehicles. Stage 3 will be about creating own brands with international impact. Yes, there have been initial initiatives like Richemont's Shanghai Tang or Hermes Xanxia a couple of years ago for China. When it comes to the Middle East, some designers - particularly Lebanese - moved from the "Paris of the Middle East" to Europe and demonstrated the richness of local talent. But mostly there are great luxury RETAILERS and luxury hospitality brands, of course. The Middle East has proven its vision and transformed itself from another destination to a global hub. Same should happen brand-wise. By harvesting cultural richness. I believe it's about time to start a serious attempt to build the next generation of luxury brands - which will most likely NOT originate from Europe.

http://www.forbesmiddleeast.com/en/middle-east-markets-a-big-opportunity-for-luxury-brands/