When London’s West End stores emerged from lockdown, a queue soon formed outside Louis Vuitton on New Bond Street.
It seemed perverse; the world was in the throes of a health crisis, struggling to cope with illness and death on an enormous scale. Everywhere fear abounded, about the virus and its effects.
Across the globe, people were afraid for their vulnerable and elderly relatives and friends, children were denied access to school, social lives ground to a standstill, planes stopped flying, mental well-being plummeted and job insecurity soared. Yet, here were people who wanted to spend thousands on a handbag or a pair of boots. It was perverse.
Was it, really? When they were asked why they were doing this, the shoppers replied that they wished to treat themselves, that while they were holed up in their homes, they’d dreamt of one day touching, smelling, buying the sort of quality product that “LV” specialised in. They could have bought online but they wanted to enjoy the experience of being cosseted and indulged, and indulging, again.
Confirmation that luxury products are different, that they cater for a need in human beings outside the normal, everyday humdrum of just getting by, comes this week from Rolls-Royce. The BMW-owned company sold 5,586 vehicles last year, an increase of 49 per cent on 2020 and the highest total in its history.
According to Rolls-Royce’s boss, Torsten Müller-Otvös, wealthy motorists realised that “life is short”. He said: “Quite a lot of people witnessed people in their community dying from Covid, that makes them think life can be short, and you’d better live now than postpone it to a later date. That also has helped [Rolls-Royce sales] quite massively.”
His analysis is borne out by the fact that soaring demand was across the board, it really was worldwide. As, of course, were the ravages of the virus. Just as 5.5 million people have died due to Covid around the world, so too has Rolls-Royce enjoyed a commensurate rise in sales. The boom was not confined to one market but applied to all of them — something again the carmaker had never seen before. Normally, while one country or region is up, another is down. That was not the case this time. China and the Americas saw 30 per cent sales increases, Europe was up 20 per cent and the Middle East 10 per cent. South Korea and Russia also did well.
The surge was not confined to Rolls-Royce. Bentley also enjoyed a 30 per cent rise, selling 14,659 cars. The best-seller for Rolls-Royce was its new SUV, the Cullinan, which retails at £264,000, although customers were lining up to design their own Rolls-Royce Boat Tail model for a mere £20m.
The sense of parallel universes was exemplified by semiconductors. Elsewhere in cars and other industries there was a chronic shortage of the computer chips. Factories in Asia, hit by Covid, were unable to manufacture enough of them to keep pace with orders. Their absence added to worldwide supply chain woes. But Rolls-Royce and Bentley don’t make as many cars as other manufacturers and therefore require fewer chips. In the case of the former, parent BMW was able to lend its weight to source the chips; similarly, Volkswagen, which owns Bentley, helped the British subsidiary.
The Rolls-Royce results come on the back of figures from elsewhere in luxury goods. Hermes International reported a more than doubling of sales, to pre-pandemic levels. Revenue climbed by 127 per cent in the Birkin handbag-maker’s second quarter, beating City estimates, and was 33 per cent higher than in the same period of 2019. Likewise, LVMH posted a 40 per cent gain from 2019 for its fashion and leather goods. Gucci and Prada have also reported buoyant trading.
As with Rolls-Royce and Bentley, the designer labels are more insulated from the production problems besetting the rest of manufacturing. They depend less on the use of technology and mass-produced electronic components and more upon the application of finer, natural materials and artisanal craftsmanship.
Nevertheless, it appears odd that one section of society should be splashing out on such items while the rest is wilting. Superyachts — 894 were sold last year, costing $5.2bn, up from 465 at $3.2bn the year before, according to VesselsValue — and rare wines are also enjoying a roaring trade.
Accelerating inflation, recession, slowdown in China and the US could all change the mood. For now, though, they must find something to do with that money
But wealth has climbed. Borrowing costs are low and stock markets are soaring (the S& P 500 was 27 per cent higher last year), making the super-rich even richer. Accelerating inflation, recession, slowdown in China and the US could all change the mood. For now, though, they must find something to do with that money. Normally, that would be the getaway trip to the villa or ski chalet, but that is off limits. Besides, they’re sitting on so much that a spot of retail therapy via a new Roller or bit of LV won’t make much of a dent in their fortunes. In the UK, sales of mansions and country estates are also powering upwards — so much cash is there floating around.
There is, too, an extra factor. Rolls-Royce reports that the average age of its buyer is now 43, down from 56 over the last decade. The younger owners hail from tech and crypto, from industries that are equally youthful and have prospered during the previous, Covid-affected, two years.
What’s occurring is that people want to enjoy themselves, that’s the effect of the pandemic — get ready for the outpouring of crazy celebrations when the outbreak officially ends. As F Scott Fitzgerald wrote: “Let me tell you about the very rich. They are different from you and me. They possess and enjoy early …”
While we can only stand and gawp, a few — and exclusivity is the point — lucky companies are reaping the benefit.
Profile of Bitex UAE
Date of launch: November 2018
Founder: Monark Modi
Based: Business Bay, Dubai
Sector: Financial services
Size: Eight employees
Investors: Self-funded to date with $1m of personal savings
Yuki Means Happiness
Alison Jean Lester
John Murray
IF YOU GO
The flights
FlyDubai flies direct from Dubai to Skopje in five hours from Dh1,314 return including taxes. Hourly buses from Skopje to Ohrid take three hours.
The tours
English-speaking guided tours of Ohrid town and the surrounding area are organised by Cultura 365; these cost €90 (Dh386) for a one-day trip including driver and guide and €100 a day (Dh429) for two people.
The hotels
Villa St Sofija in the old town of Ohrid, twin room from $54 (Dh198) a night.
St Naum Monastery, on the lake 30km south of Ohrid town, has updated its pilgrims' quarters into a modern 3-star hotel, with rooms overlooking the monastery courtyard and lake. Double room from $60 (Dh 220) a night.
Brief scores:
Day 1
Toss: India, chose to bat
India (1st innings): 215-2 (89 ov)
Agarwal 76, Pujara 68 not out; Cummins 2-40
Quick facts on cancer
- Cancer is the second-leading cause of death worldwide, after cardiovascular diseases
- About one in five men and one in six women will develop cancer in their lifetime
- By 2040, global cancer cases are on track to reach 30 million
- 70 per cent of cancer deaths occur in low and middle-income countries
- This rate is expected to increase to 75 per cent by 2030
- At least one third of common cancers are preventable
- Genetic mutations play a role in 5 per cent to 10 per cent of cancers
- Up to 3.7 million lives could be saved annually by implementing the right health
strategies
- The total annual economic cost of cancer is $1.16 trillion
The biog
Favourite book: You Are the Placebo – Making your mind matter, by Dr Joe Dispenza
Hobby: Running and watching Welsh rugby
Travel destination: Cyprus in the summer
Life goals: To be an aspirational and passionate University educator, enjoy life, be healthy and be the best dad possible.
UAE currency: the story behind the money in your pockets
You may remember …
Robbie Keane (Atletico de Kolkata) The Irish striker is, along with his former Spurs teammate Dimitar Berbatov, the headline figure in this season’s ISL, having joined defending champions ATK. His grand entrance after arrival from Major League Soccer in the US will be delayed by three games, though, due to a knee injury.
Dimitar Berbatov (Kerala Blasters) Word has it that Rene Meulensteen, the Kerala manager, plans to deploy his Bulgarian star in central midfield. The idea of Berbatov as an all-action, box-to-box midfielder, might jar with Spurs and Manchester United supporters, who more likely recall an always-languid, often-lazy striker.
Wes Brown (Kerala Blasters) Revived his playing career last season to help out at Blackburn Rovers, where he was also a coach. Since then, the 23-cap England centre back, who is now 38, has been reunited with the former Manchester United assistant coach Meulensteen, after signing for Kerala.
Andre Bikey (Jamshedpur) The Cameroonian defender is onto the 17th club of a career has taken him to Spain, Portugal, Russia, the UK, Greece, and now India. He is still only 32, so there is plenty of time to add to that tally, too. Scored goals against Liverpool and Chelsea during his time with Reading in England.
Emiliano Alfaro (Pune City) The Uruguayan striker has played for Liverpool – the Montevideo one, rather than the better-known side in England – and Lazio in Italy. He was prolific for a season at Al Wasl in the Arabian Gulf League in 2012/13. He returned for one season with Fujairah, whom he left to join Pune.
Match info
Manchester City 3 (Jesus 22', 50', Sterling 69')
Everton 1 (Calvert-Lewin 65')
Padmaavat
Director: Sanjay Leela Bhansali
Starring: Ranveer Singh, Deepika Padukone, Shahid Kapoor, Jim Sarbh
3.5/5
Tips for SMEs to cope
- Adapt your business model. Make changes that are future-proof to the new normal
- Make sure you have an online presence
- Open communication with suppliers, especially if they are international. Look for local suppliers to avoid delivery delays
- Open communication with customers to see how they are coping and be flexible about extending terms, etc
Courtesy: Craig Moore, founder and CEO of Beehive, which provides term finance and working capital finance to SMEs. Only SMEs that have been trading for two years are eligible for funding from Beehive.
AUSTRALIA SQUAD
Aaron Finch, Matt Renshaw, Brendan Doggett, Michael Neser, Usman Khawaja, Shaun Marsh, Mitchell Marsh, Tim Paine (captain), Travis Head, Marnus Labuschagne, Nathan Lyon, Jon Holland, Ashton Agar, Mitchell Starc, Peter Siddle
SPECS
Nissan 370z Nismo
Engine: 3.7-litre V6
Transmission: seven-speed automatic
Power: 363hp
Torque: 560Nm
Price: Dh184,500
Sholto Byrnes on Myanmar politics
if you go
The flights
Direct flights from the UAE to the Nepalese capital, Kathmandu, are available with Air Arabia, (www.airarabia.com) Fly Dubai (www.flydubai.com) or Etihad (www.etihad.com) from Dh1,200 return including taxes. The trek described here started from Jomson, but there are many other start and end point variations depending on how you tailor your trek. To get to Jomson from Kathmandu you must first fly to the lake-side resort town of Pokhara with either Buddha Air (www.buddhaair.com) or Yeti Airlines (www.yetiairlines.com). Both charge around US$240 (Dh880) return. From Pokhara there are early morning flights to Jomson with Yeti Airlines or Simrik Airlines (www.simrikairlines.com) for around US$220 (Dh800) return.
The trek
Restricted area permits (US$500 per person) are required for trekking in the Upper Mustang area. The challenging Meso Kanto pass between Tilcho Lake and Jomson should not be attempted by those without a lot of mountain experience and a good support team. An excellent trekking company with good knowledge of Upper Mustang, the Annaurpuna Circuit and Tilcho Lake area and who can help organise a version of the trek described here is the Nepal-UK run Snow Cat Travel (www.snowcattravel.com). Prices vary widely depending on accommodation types and the level of assistance required.
Abu Dhabi Grand Slam Jiu-Jitsu World Tour Calendar 2018/19
July 29: OTA Gymnasium in Tokyo, Japan
Sep 22-23: LA Convention Centre in Los Angeles, US
Nov 16-18: Carioca Arena Centre in Rio de Janeiro, Brazil
Feb 7-9: Mubadala Arena in Abu Dhabi, UAE
Mar 9-10: Copper Box Arena in London, UK
Tips for avoiding trouble online
- Do not post incorrect information and beware of fake news
- Do not publish or repost racist or hate speech, yours or anyone else’s
- Do not incite violence and be careful how to phrase what you want to say
- Do not defame anyone. Have a difference of opinion with someone? Don’t attack them on social media
- Do not forget your children and monitor their online activities
Jeff Buckley: From Hallelujah To The Last Goodbye
By Dave Lory with Jim Irvin
2025 Fifa Club World Cup groups
Group A: Palmeiras, Porto, Al Ahly, Inter Miami.
Group B: Paris Saint-Germain, Atletico Madrid, Botafogo, Seattle.
Group C: Bayern Munich, Auckland City, Boca Juniors, Benfica.
Group D: Flamengo, ES Tunis, Chelsea, Leon.
Group E: River Plate, Urawa, Monterrey, Inter Milan.
Group F: Fluminense, Borussia Dortmund, Ulsan, Mamelodi Sundowns.
Group G: Manchester City, Wydad, Al Ain, Juventus.
Group H: Real Madrid, Al Hilal, Pachuca, Salzburg.
Sri Lanka squad
Dinesh Chandimal, Dimuth Karunaratne, Kaushal Silva, Kusal Mendis, Angelo Mathews, Lahiru Thirimanne, Niroshan Dickwella, Sadeera Samarawickrama, Rangana Herath, Suranga Lakmal, Nuwan Pradeep, Lakshan Sandakan, Vishwa Fernando, Lahiru Kumara, Jeffrey Vandersay, Milinda Siriwardana, Roshen Silva, Akila Dananjaya, Charith Asalanka, Shaminda Eranga and Dhammika Prasad.
SCORES
Multiply Titans 81-2 in 12.1 overs
(Tony de Zorzi, 34)
bt Auckland Aces 80 all out in 16 overs
(Shawn von Borg 4-15, Alfred Mothoa 2-11, Tshepo Moreki 2-16).
Related
COMPANY PROFILE
Name: Kumulus Water
Started: 2021
Founders: Iheb Triki and Mohamed Ali Abid
Based: Tunisia
Sector: Water technology
Number of staff: 22
Investment raised: $4 million
Specs
Engine: Dual-motor all-wheel-drive electric
Range: Up to 610km
Power: 905hp
Torque: 985Nm
Price: From Dh439,000
Available: Now
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory
Match info
Uefa Champions League Group B
Barcelona v Tottenham Hotspur, midnight
Know your Camel lingo
The bairaq is a competition for the best herd of 50 camels, named for the banner its winner takes home
Namoos - a word of congratulations reserved for falconry competitions, camel races and camel pageants. It best translates as 'the pride of victory' - and for competitors, it is priceless
Asayel camels - sleek, short-haired hound-like racers
Majahim - chocolate-brown camels that can grow to weigh two tonnes. They were only valued for milk until camel pageantry took off in the 1990s
Millions Street - the thoroughfare where camels are led and where white 4x4s throng throughout the festival
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