Quintessentially has followed the example of banks and asset managers by relocating its global chief executive to Asia.

Ask any global firm catering to the wealthy
where their prospects for growth lies, and almost certainly they will say Asia
Pacific.

With wealth in Asia ex-Japan expected to hit
nearly 12 per cent annually over the next five years - double the global
average, according to the Boston Consulting Group – it is no surprise that many
Western private banks and asset managers are relocating their head honchos to
Asia.

Late last year HSBC Private Bank moved its
chief executive Chris Meares from London to Hong Kong. Swiss bank UBS relocated
13-year veteran Alex Wilmot-Sitwell from London to Hong Kong, from his role as
co-head of global investment banking to co-head of Asia Pacific.

Last month asset manager RBC Dexia Investor Services relocated Alessandro Silvestro as director of business
development for Asia from the Luxembourg branch of the company, where he
oversaw the Italian and Swiss markets. 

And now Quintessentially, the concierge
company where memberships range up to £150,000 annually, has become one of the
first luxury firms to follow in the footsteps of the corporates and relocate
its chief executive to Asia.

This year Emma Sherrard Matthews, the Hong Kong based Asia-Pacific head, was promoted to chief executive of Quintessentially. The
firm’s fastest growing membership base is Asian and Sherrard Matthews believes
this trend will only continue. She said that although the relocation has not
been without challenges, there have been many positive experiences. 

“The support from the Hong Kong community is
incredible. As a small city, people are very willing to come together and pool
resources to make things happen. For example, the Quintessentially Foundation
recently held a fundraiser for the victims of the earthquake in Japan and the
involvement from the local community was overwhelming – we raised almost HKD
800,000 in one night.”

Here she talks to WealthBriefingAsia exclusively about the firm’s plans to expand in
rapidly-growing wealth market.

WBA: Why did Quintessentially decide to
relocate you to Hong Kong? 

ESM: It’s a strategic decision as we’re seeing our
fastest growth in Asia and the Middle East. With the founders in Europe and the
CEO based in Hong Kong, we’ve created a truly global management team who can
showcase the service, make introductions and form new partnerships around the
world.

WBA: How is the wealthy mindset and attitudes
to conspicuous consumption in HK changing?

ESM: In Hong Kong, there’s a real mix of old
and new money. In recent years, we’ve witnessed an influx of new money largely
coming in from the Mainland. Mainland Chinese are often more ostentatious in
terms of luxury expenditure with local Hong Kongers generally inconspicuous and
more sophisticated with their spending habits.

WBA: How is the concierge model viewed out
there?

ESM: Concierge is well received in Hong Kong
as people are used to outsourcing parts of their life – from nannies and
chauffeurs to personal chefs and home tutors. In China, we have ridden a wave
of growing awareness as people warm up to the idea of spending their disposable
income on lifestyle services as well expensive designer goods.

WBA: How are wealthy Asian customers
different to other nationalities? What sort of things do they ask for that
others don't?

ESM: Within China, we’re noticing members
buying items in sets of four: four houses, four cars and four watches, for
example. It goes without saying that a member of China’s uppermost class must
have a Rolex or an Omega, but to wear just one all the time suggests he had to
save to buy it, resulting in loss of face. As a result, he must also have a
Breitling and a Tag Heuer for good measure. A similar line of thought applies
to houses and cars. The importance of saving face can’t be underestimated in
China.

WBA: What has been the biggest challenge
setting up in HK?

ESM: In Hong Kong, as well as China, saving
face is everything – a Member cannot be seen to fail. If a Member was to lose
face over a late or lost restaurant booking there is no second chance.
Generally, expected levels of service are ultra-high in Asia (which is one of
the reasons we cap our membership at 2,000 in Asian cities compared to 5,000 in
Europe) and it is up to us to deliver 24/7, 365.

WBA: How concerned are you about the
increasingly restrictive regulatory and fiscal environment in China? 

ESM: We’re well aware of the difficulties
that may arise out of China’s regulatory climate however we’re also confident
that medium-sized enterprises like Quintessentially are crucial to competition
and growth. With a strong connection between our Hong Kong office and a team of
well-connected and highly trained employees on the ground we’re looking forward
with positivity and even have plans to expand further on the Mainland.

WBA: How is Quintessentially placed to
benefit from the uncertainty in the Chinese stock/property markets? 

ESM: We’ll be focusing on our core business –
saving time, saving money and supporting those who could potentially bear the
brunt of the uncertainty.

WBA: Who are your competitors out
there? 

ESM: We’re often compared to top-tier credit
cards which also offer a concierge service, but in our opinion, we’re much
better! Our passion and core business is concierge and I believe this level of
expertise is not bested in the market.

WBA: Could you discuss your plans for the
region, including hires and new regions you will move into.

ESM: We’re expanding in China and planning to open
offices in Shenzhen and Guangzhou. We’re aware that this will take time and
patience but we believe that this is a market with great returns. In addition,
our New Zealand office will be opening in the second quarter of 2011. We’ll
also be working on growing our portfolio of sister businesses, with a
particular focus on Quintessentially Travel and Quintessentially Gifts in Hong
Kong. We cap our membership numbers at 2,000 in small cities like Singapore and
Hong Kong but have a 5,000 person cap in larger cities like Beijing and 
Shanghai
and Tokyo.