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    Global Luxury Ensemble Price Raising Symphony: To Stimulate Consumption?

    2011/6/17 15:27:00 51

    Global Luxury Consumption

    From March to now, including Chanel, Dior, Burberry, LV, Celine, Loewe, etc.

    Luxury goods

    The brand has set off a new round of price surges.

    Price increase

    The range is different from 5%-30%, and a 30 thousand yuan package price increase of more than 10 thousand is a very common phenomenon.


    A grand ensemble, a price raising symphony.


    Since June 1st just now

    Modify price

    Amazona, a $18 thousand bag rose to 22 thousand yuan, a classic crocodile.

    A leather bag

    It also rose from 140 thousand yuan to 190 thousand yuan.

    It is understood that "price song" is not just a solo by LOEWE, but a song.

    Major suit

    Our symphony.


    Since March 1st this year, LV has increased its price by an average of 5%.

    Since April 28th, the classic items in Chanel shop have also been adjusted, or 20%-30%.

    In recent years, Dior, Burberry, Celine and so on also joined the ranks of price increases, some commodities rose to 5%-15%.

    In March 17th, Cartire, the jeweller's emperor and the jeweler of the jewellery, raised the price of 5%-10%. The most basic Love series was pferred from 6100 yuan to 6800 yuan. Recently, there was a rumor that the price could rise by two degrees in July, which made many fans panic.

    Some people have analyzed, in just two months, the average price of the big players has increased by about 15%.


    Excuses rising costs and inflation are the main reasons.


    In the face of criticism, some brands also came up with the reasons for the rising cost of raw materials, and some even talked about the cost of a piece of leather.

    What is even more surprising is that many people are not satisfied with this untenable explanation while they are obediently following their pockets.


    Data show that leather prices rose by 5%-10% last year, mainly due to the shortage of sheepskin supplies.

    According to insiders, the rise in crude oil prices will drive prices up in all industries, and the leather industry will increase faster than other industries.

    Experts also pointed out that many tanning enterprises are in the state of small profits or zero profits. On the surface, orders are coming, and profits have been compressed to the lowest level.

    According to Chanel insiders, the global price increase is taking account of the changes in raw materials and exchange rates. France has raised 40% and Mainland China has increased 10%-15%.

    The average price of a leather bag is 3000 yuan -5000 yuan in Chinese mainland stores.


    When more and more international luxury brands are pferring their production lines to China, they are faced with problems such as labor shortage and labor price rise. This has also become one of the reasons for the rise of luxury goods.

    This rise is not only affected by rising prices of food, energy, cotton and other kinds of global raw materials, but also by the rapid economic growth of emerging market countries such as China.


    Luxury goods stimulate consumption with price increases


    "Ordinary commodities stimulate demand by price cuts, while luxury goods stimulate demand by increasing prices.

    The luxury brand hopes to maintain its "unreachable" attitude in the consumer's mind by raising the price, and then promote its desire to buy. "

    Insiders said.

    Many fans heard the price increase, the first reaction was "I bought something added value", "I knew I should buy a few more items".

    Is the price of luxury goods a bit puzzling? Supply and demand determine the market.

    According to the analysis of the industry, Chinese people are too enthusiastic about luxury goods, and the enthusiasm of Chinese people also makes foreigners sigh.

    While talking about expensive, you still tighten your belt and catch up.

    The good thing that the price can maintain brand image and increase profits is probably only in the Chinese market.


    China is in a period of rapid development. "Showing off wealth" is becoming a true portrayal of Chinese consumption of luxury goods.

    "What is a successful person, only to buy expensive, do not buy the right."

    The person sighed.


    A survey report from the global tax rebate company showed that in 2010, Chinese tourists purchased duty-free goods in France totaling 650 million euros, leading to second leading Russian tourists and continuing to enjoy the title of the French shopping king.

    The number of Chinese people spending abroad increased from 650 euros in 2005 to 1300 euros.

    It is said that the Love and Trinity series of Cartire boutique are often bought by Chinese people, and even their employees are hard to get the share of the original purchase which is originally welfare.

    This is probably a good explanation of how confident the big players are behind the price increase.

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