Airlines and casinos aren’t the only businesses suffering from the coronavirus health emergency.
Sales of Cartier jewelry and La Mer moisturizer that goes for $2,400 a jar are threatened, too, as their owners temporarily lose access to some of their biggest-spending customers.
The coronavirus, which originated in Wuhan, China, and has sickened more than 49,000 people while killing at least 1,383, has forced the lockdown of more than 60 million people to limit infection. The outbreak has also led to the temporary closing of some stores in mainland China and the grounding of U.S. flights into and out of the country through late April.
The restrictions have sidelined consumers who accounted for 33 percent of spending in the global luxury market in 2018, according to the management consultancy Bain & Co. By comparison, the U.S. consumer accounted for just 22 percent.
Hit the hardest are the “luxury stores who are gonna lose that Chinese consumer, that Chinese tourist who has been driving sales on 5th Avenue,” Storch Advisors CEO Gerald Storch told FOX Business’ Stuart Varney on Friday.