Laopu Gold has been defying the surging gold price with its high performance in sales and profitability. Being listed on the Hong Kong Stock Exchange (HKEX) means it is often grouped with Mixue and POP MART as the “three sisters” of “new consumption” on HKEX. Its strong performance, especially against conventional gold shop-type jewellers like Luk Fook and Chow Tai Fook, as well as international luxury brands has often been discussed by pundits and netizens, but it seems that luxury brands from LVMH and Richemont are now acknowledging Laopu as competition.
Richemont, the parent group of high and fine jewellery maisons such as Cartier and Van Cleef & Arpels, first discussed Laopu Gold and its meteoric rise in a press event for its annual financial report for FY2025 (ending 31 March 2025). The group saw its revenue decrease 13% in FY2025 in Asia-Pacific markets due to the 23% drop in Mainland China, Hong Kong and Macau.
When asked, the Richemont chairman and former CEO, Johann Rupert, directly addressed the Laopu Gold phenomenon as he pointed out that jewellery is inherently a non-branded market with deep roots in local culture and traditions, and in this sense, Laopu’s success is indeed valid in branded jewellery. It is a positive sign that Laopu, which combines its roots in Chinese culture and the business models of global luxury brands, can succeed in a market previously dominated by traditional gold shops. This means other brands can also succeed. With its successful Cartier exhibition in Shanghai, Richemont brands have been able to connect with Chinese audiences. Rupert also confirmed that the group will continue to invest further in the Chinese market.
LVMH, owner of brands such as Tiffany & Co. and Bulgari, did not mention Laopu by name in its comment. But Stéphane Bianchi, the group managing director of LVMH, said in an event that the group has noticed that Chinese consumers are now increasingly interested in domestic brands and some jewellery companies have seen explosive growth. Chinese netizens dared him to name-drop Laopu with this veiled comment.