China's population of millionaires keeps growing. According to the latest Hurun Wealth Report, the country now has nearly a million millionaires.
Little wonder, luxury fashion retailers are making a beeline for Hong Kong.
According to a new report by CB Richard Ellis, 84 percent of luxury fashion retailers have opened at least one store in the city.
The company surveyed 323 global retailers to find the top destinations for luxury retailers across the world.
Click on to find out which cities, other than Hong Kong, made the top 10.
By Rajeshni Naidu-Ghelani
Posted 19 April 2011
China's capital has the biggest concentration of millionaires in the country and a booming property market.
That's why 67 percent of all luxury fashion retailers have a store in the city.
Beijing was also on the list with Singapore, Shanghai and Hong Kong for attracting over a third of European retailers.
The land of movie stars is another top destination for luxury shopping and ties with Beijing for the percentage of luxury retailers who have a store in the city.
Higher end retailers have performed better in the U.S. this year, with Saks reporting an 11.1 percent increase in same-store sales in March over the previous year.
Being close to the booming Chinese economy has been beneficial for Japan.
Japan received 1.4 million visitors from China in 2010, and their appetite for luxury shopping has boosted Tokyo as a top destination.
Italian jeweler Bulgari has announced its reopening 39 stores in the country. But a cutback in spending after the tsunami could hurt luxury retailers' plans.
It's been called the Switzerland of Asia; Singapore's low tax rates have made it a haven for the private banking industry and Asia's wealthy. It’s no surprise, therefore, that Singapore takes the seventh spot with a score of 69 percent.
Locals, expatriates, and tourists continue to pack the numerous high-end malls full of luxury brands.
Singapore is also the sixth most popular market for American retailers attracting 40 percent.
Beating out old favorites such as Rome, Moscow holds the number six spot.
The city is on par with Singapore and Tokyo with 69 percent of all luxury retailers owning a store in the city, but it has more global retailers than the others.
Moscow’s luxury market was slashed in half during the financial crisis, forcing designers such as Alexander McQueen and Vivienne Westwood to close stores. But, it seems the taste for fine things is making a comeback with new stores once again opening.
The birthplace of many major fashion houses, Paris has always been known as the mecca of haute couture.
Rounding out the top five at 71 percent, it’s on par with New York in the luxury retail landscape.
Yet, in recent times many luxury French fashion houses such as Lacroix have fallen to financial debt. Others, such as Givenchy have pushed towards major expansion in Asia.
Once the leader of the pack, the city that never sleeps, came in at fourth place. About 71 percent of all luxury retailers and 41 percent of all international retailers have a store in New York.
The city is home to icons such as Saks Fifth Avenue, Tiffany's and Bergdorf.
An old favorite — London — is third on the list at 80 percent, despite facing the head-on challenges of the global economic crisis.
The city's financial industry has been hit with high taxes and tougher regulation.
But London relies on heavy spending by Russian and Middle Eastern expatriates.
Dubai is at a close number two with 82 percent of all luxury fashion businesses.
In 2006 alone, 1.2 million square meters of retail space was opened, making it a key destination for international retailers to set up shop.
The city now equals London as the most popular retail city in the world with more than half of all international brands owning at least one outlet.
All you have to do is get off a plane in Hong Kong airport to see how much the city loves luxury goods.
With a growing number of visitors from mainland China plus the heavy shopping habits of local residents, it’s number one ranking is no coincidence.
About 84 percent of all luxury retailers own a store in the city.