Global Blue Sees Record Chinese Bounce in March

THE MONEY TRAIL: Chinese tourists are abandoning Hong Kong in droves — at least when it comes to shopping — according to the latest Global Blue statistics, analyzed by Barclays in London. According to the bank, March’s Global Blue data showed a record increase in Chinese tourist spending, which rocketed 122.4 percent year-on-year, following a 51.9 percent bounce in February. “This is an exceptional step-up…and continues to reflect the redirection of Chinese spending from Hong Kong towards Europe in particular, given the widening of the price differentials, which is a much-discussed theme during the ongoing reporting season,” the bank said in its report, adding that the March figures could have also benefitted from some refunds related to the later Chinese New Year. Due to the March bonanza, Chinese tourist spending is up 67 percent year-on-year in the first quarter, compared with 32 percent in the fourth quarter, and 18 percent in 2014. “In the context of weak Chinese GDP figures and ongoing disruption in Hong Kong and Macau, the strong European reading provides evidence as to why luxury brands may be reticent to narrow price differentials,” as foreign exchange rates continue to fluctuate. As reported, companies including Chanel, Patek Philippe and Tag Heuer have re-adjusted their

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