Sales of a Burberry poncho (modelled by Cara Delevigne) carrying a personal monogram and costing more than £1,000 have helped boost profits . The poncho originated as a rather humble garment worn by South American tribes and later featured on the back of Clint Eastwood in the Spaghetti westerns. However, sales of a designer-label version carrying a personal monogram and costing more than £1,000 have been central to a sales boom at the very British prestige brand Burberry. The ponchos - together with heritage trench coats and scarves - have boosted Burberry sales by 10 per cent over the winter. The wool-and-cashmere designs, which were first modelled on the catwalk by Cara Delevingne, were a huge success among celebrities before Christmas. Famous names including Victoria Beckham, Rosie Huntington-Whiteley, Sienna Miller and Sarah Jessica Parker were all seen sporting the ponchos, each monogrammed with their initials. And while the original inspiration for the designs may have been a rather modest attempt to keep out harsh weather, there was nothing modest about the Burberry version. The basic asking price was £895, while 70 per cent of sales went to customers who wanted their initials monogrammed on to the weave at the cost of an extra £200. The firm said its scarves and trench coats were a hit with customers and ‘investment and innovation in ponchos drove exceptional growth’. Chief financial officer, Carol Fairweather, described the impact of the ponchos as ‘phenomenal’ and suggested new variants are in the pipeline adding: ‘There’s lots more to come from the poncho story.’ The British brand has become a global success with sales up 10 per cent for the six months to the end of March compared to the year before, taking from up to £1.42 billion. Sales were particularly strong in the UK and Europe, not least because hordes of tourists from China flocked here to buy designer clothes and bags. Currency fluctuations meant its trademark coats and scarves were up to 50 per cent cheaper in European cities than Hong Kong, where the Chinese traditionally shop for luxury merchandise. Actresses Sarah Jessica Parker (pictured left) and Sienna Miller (right) both own the Burberry poncho . Model Suki Waterhouse (pictured left) and socialite Olivia Palermo (right) both have monogrammed versions . Such was the price gap that Chinese entrepreneurs have been snapping up huge quantities of luxury label merchandise in Europe and then shipping it back to China to sell at a profit on the grey market. Today bosses at Burberry suggested they plan to follow other luxury brands, such as Chanel and Cartier, and harmonise prices around the globe to stop this happening. This could mean some price increases in Europe and falls in the Far East. Burberry’s success has leaned heavily on a marketing campaign featuring celebrity British models. Cara Delvigne starred in commercials for its trench coats and also appeared alongside Kate Moss promoting the new My Burberry fragrance. Around 70 per cent of the My Burberry bottles were monogrammed, a service the brand offers for free, suggesting personalisation of luxury products is a huge draw for consumers. Twelve-year-old Romeo Beckham featured in a popular pre-Christmas campaign and Suki Waterhouse, the English model and actress, was the face of the brand’s beauty range. Burberry saw ‘double digit’ sales growth in the United States and Europe and trading was particularly buoyant in Britain, France and Italy, from both locals and tourists. Models led by Cara Delevigne wear the poncho on the Burberry catwalk (left) while British model Rosie Rosie Huntington-Whiteley wore hers on a recent shopping trip, specially monogrammed with her initials . Richard Hunter, of Hargreaves Lansdown Stockbrokers, said: ‘Burberry remains in fashion following a trading update which underscores its ability to capitalise on its chosen markets. ‘The overall picture is extremely healthy – the strength of the digital contribution, particular product growth in the likes of the iconic trench coats and scarves and pleasing performances from the Americas and most of Europe. ‘In addition, the company is well positioned for future, selective growth in terms of both stores and lines, such as beauty. ‘It seems that everything about Burberry is premium – its brand, its products and perhaps of late its share price – a 25 per cent increase over the last year compares to a 7.5 per cent rise for the wider FTSE100.’ Chief executive Christopher Bailey, who took over from Angela Ahrendts in May last year, said new products had helped to boost sales. ‘We are pleased to report a robust second half performance, despite an uncertain external environment,’ he said. ‘We anticipate external challenges will continue in the current year, but remain confident in our long-term strategy to build the Burberry brand and business globally.’ Chief executive Christopher Bailey (pictured) said new products have helped to boost Burberry's sales .
Sales of £1,100 poncho spotted on stars have boosted Burberry's profits.
Ponchos, coats and scarves boosted sales by 10 per cent over winter.
Victoria Beckham, Rosie Huntington-Whiteley and Sienna Miller were all spotted wearing the ponhos, each monogrammed with their initials.