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    LV: As Long As The Most Expensive, Do Not Be The Best.

    2010/12/31 16:35:00 122

    Luxury LV Hermes

    The performance of LV (Louis Weedon) will be hit by the economic crisis, but the price of LV will never be affected by the economic situation.

    To be sure, these luxuries will become more and more expensive in the future.


    Buying the most expensive and not buying the best is very suitable for the principle of luxury purchase.


    The performance of LV (Louis Weedon) will be hit by the economic crisis, but the price of LV will never be affected by the economic situation.

    To be sure, these luxuries will become more and more expensive in the future.

    Although LV, Chanel and other luxury goods in 2010 collective price rise, but by 2011, it will rise again.


    The official's statement is that considering the changes in raw materials and exchange rates, it is necessary to raise prices globally.


    When a luxury bag price rises by 10% to 30%, it means that consumers will have to pay tens of thousands of yuan money.


    Is cost the real reason for the rise in luxury goods? No.


    The pricing principle of luxury goods has never been identical with the pricing of ordinary consumer goods.


    Generally speaking, product price = production cost, R & D cost, marketing cost, sales cost management fee, exchange profit and loss, reasonable profit, brand premium.


    Luxury goods surpass traditional pricing thinking. His first task is to maintain the fundamental character of high price.

    This is the spiritual value of luxury goods.


    At the height of the economic crisis, reports of the failure of the luxury goods group were everywhere.

    I saw this scene at the Hermes store in Hongkong: a decent girl saw a bag that was out of stock, and used a pleading tone to say to the clerk, "please understand my feelings. My cousin is going to have a birthday soon, and I want to give her an unforgettable gift."

    The clerk almost replied to customers in diplomatic terms. "I understand your feelings.

    But I'm sorry, please wait. "


    Here, the role of consumers is not God, but is like asking for alms.

    Less expensive supply is the profit principle of luxury goods.

    The economic crisis will prevent consumers from spending money, but they will not eliminate the desire for luxury goods.


    Although luxury goods are regularly discounted, it is not a low price strategy, but a clean up of inventory.


    At present, the price rise of luxury goods is largely due to its international operation.


    Data from the World Luxury Association show that luxury brands earn 30% of their profits every year from Chinese consumption, while 60% to 70% consumption is generated by China's luxury purchases abroad.


    The first important thing for LV and other brands to operate internationally is to establish a sales system in China's strong consumption areas.

    Rising prices have left enough profit margins for emerging markets.

    It also made up for the global failure of luxury goods due to the economic crisis.


    In particular, LV controls all aspects of the value chain, both brand owners, producers, wholesalers, agents and retailers.

    The rise in price has earned rich multilayered profits.

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