Hermès Entering Detroit Market as Retail Count in U.S. Grows

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The French luxury brand is opening stores in Troy, Mich., and East Rutherford, N.J., and expanding in South Coast Plaza.

The French luxury brand this week will open its first store in the Detroit market, a 5,000-square-foot boutique at the Somerset Collection mall in Troy, Mich., about 30 miles outside the city. The Michigan store is one of several the brand has planned for this year in the run-up to its major move: the consolidation of its two existing Madison Avenue stores into one massive flagship nearby in the fall of next year.

The Somerset Collection store, which will have 3,500 square feet of selling space, is the second one Hermès has opened in a Forbes Company center, following the Mall at Millenia in Orlando, Fla. Chavez said Hermès is impressed by how the high-end developer creates and maintains its centers and offers a “total luxury” experience.

One bright spot of the pandemic, he said, is experiencing how much the Hermès customer has embraced the opportunity to schedule personal shopping appointments. “Our customers are loving and appreciating the one-on-one service and the undivided attention they receive,” he said, adding that this also gives the associates the ability to “curate” an assortment for them before they arrive.

Overall, Chavez said Hermès is “very bullish and optimistic” about its retail stores. Although the brand had a small wholesale business several years ago, the decision was made to exit that channel of distribution to focus in on its own retail. The only products that continue to be wholesaled are fragrances, tableware and watches, he said. “But there are no other categories in wholesale distribution.

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