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LVMH Building Beauty Hub in Shanghai


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The luxury conglomerate parent of brands such as Louis Vuitton, Dior, and Fendi will open a new e-commerce sales and storage hub in the Asia-Pacific region.


The new hub is expected to cost around $154M and will become the largest e-commerce sales and storage hub for the Asia-Pacific region. Upon completion will be an industrial base for e-commerce packaging and dispatch for LVMH’s cosmetics and perfumes.


The location of the new hub does not come as a surprise considering that Asia continues to be one of the largest markets for LVMH, with the region (excluding Japan) contributing 45 per cent of the Group’s perfumes and cosmetics sales, meaning that the Asia-Pacific region is the company’s largest market.


Prior to the Coronavirus, the beauty market was flourishing in Asia. According to Ifop, Asia, the sector was generating $66.06bn in retail sales. Following the Covid-19 pandemic, China was one of the strongest rebounding markets for the company.



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