Are designer retailers losing millions due to Trump?

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17 November 2016

Eventough it's more than a week ago that the new president of the United States was chosen, it's still a very omnipresent topic. Clinton and Trump going for presidency caused a big divide between the population of the United States. This divide continues after the elections, as Trump still has many opponents. But there's something that no one of us saw coming: the result of the elections seems to have direct consequences for the retail in New York, especially for designer brands. 

Fatal consequences? 
The area around the Trump tower on the 7th Avenue is packed with security and barricades, to prevent ongoing protest from getting out of hand and also to reduce the risk of terrorism. Yet this is also the place where many designer boutiques are located. The barricades make it impossible to shop, and the timing couldn't be worse, as Christmas is around the corner. Gucci, Louis Vuitton, Prada and Tiffany & Co. all experience economical losses because of the protests. It's said that it has cost the retailers millions already. If the area will remain obstructed, the consequences will be fatal. But even though we regret that these fashion houses experience negative consequenes due to the election, we can't help but feel that these protests are neccessary. And perhaps even more importantly, we believe in the freedom to demonstrate. Hopefully customers can rejoice in the online shops of the luxury brands.

Festive celebrations are cancelled
Tiffany & Co. is located right next to the Trump tower, so they experience the most severe obstructions. The main entrance is shut down by the police and the only way to get in store is by entering via 57th Street, yet most people don't know. Tiffany tries to let everyone know that they're still open, but this is not an easy task. The big reveal of the Christmas-windows had to be cancelled, because of the barricades and eventually the store opened without it's big, annual celebration. Due to all these events, the sales at Tiffany & Co. have dropped with 10%, which is 0,8% worldwide.