The gap between the prices for luxury handbags, watches and jewellery in Europe and in China is the biggest it has been for three years, as weakness in the euro upsets global pricing strategies for high-end consumer brands.
Currency swings mean a Chinese consumer would save 39 per cent on luxury goods by flying to Paris instead of buying at home, compared with a saving of 26 per cent last year, according to analysts at Bernstein.
The widening difference is a headache for watchmakers such as Patek Philippe and fashion house Chanel, which have been forced to risk irritating customers with price changes in an effort to clamp down on the secondary, or “grey”, market in luxury goods.
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