Explosion of riches

By Karl Wilson in Sydney (China Daily) Updated: 2014-05-12 08:12

"It's a sign of status," he says. "It is very different to the Western world where a luxury-brand bag or wristwatch is an expression of your inner self. In other words, you don't buy a Louis Vuitton bag or Dunhill watch to impress people - you buy a luxury brand because you like it."

Roll says the Asia-Pacific region will continue to drive the world's luxury market for the "foreseeable future".

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In Singapore, for example, the sale of luxury goods is expected to reach S$2.7 billion this year, up by 6.6 percent from last year, according to research data firm Euromonitor International.

"From one-of-a-kind watches made with parts of a Formula One car, to one where all movements of the watch are made from solid gold - retailers say price is usually not an issue for their clients," Channel News Asia says in a report.

"One of the most expensive timepieces at E'Collezione on Singapore's Orchard Road is a Julien Coudray watch that is retailing for S$230,000. But not only can customers buy the watches here, they can also shop for a new car to go with that watch as well," the report says.

The distributor of Lambor-ghini in Singapore started bringing in luxury watches by deLaCour more than a year ago to close a gap in the market.

"Eurosports Global has limited deLaCour timepieces that retail at S$1 million, but it says the price range for customized pieces really depends on the customer's request," CNA says.

The Economist Intelligence Unit says that Asia will account for more than half of the world's luxury goods market within a decade.

"Fears of a slowdown have been heightened recently by China's crackdown on displays of wealth, and Japan's shifting exchange rate," Jon Copestake, chief retail and consumer goods analyst at the EIU, tells London's Daily Telegraph newspaper.

"But even in this climate, some luxury firms have continued to deliver strong sales," he says. "With Europe stagnating and North America subdued, the focus is firmly on Asia's potential."