Harvey Nichols chief executive Joseph Wan believes a “substantial shift” has occurred in the luxury retail landscape since the banking meltdown from which it will not recover for at least five years.
Wan said that luxury retailers should be prepared for the total pool of consumption in the sector to shrink and adapt accordingly to survive.
He said: “We do not talk about economic recovery at all – forget about it. We are focused on recognising and understanding that there has been a change of the total landscape in luxury retailing.”
However, Harrods managing director Michael Ward said he had seen “no resistance” or changes to wealthy shoppers’ spending habits.