The Difference Is Three Times! Why Are Luxury Goods So Expensive?

"Ferragamo's classic bow"

High spreads have become an important driver for high-end consumers to flow out of the mainland market, pushing many local high-end consumers to overseas markets.

Ms. Wu said that after 2009, all her clothes were purchased overseas.

Statistics show that China's annual high-end consumption is basically 50% overseas.

From March 2010 to March 2011, the World Luxury Association surveyed the consumption data of luxury goods in France, Italy and the UK, and found that the total consumption of Chinese people was nearly $50 billion, which is 4 times that of the mainland market. Chinese luxury goods consumption abroad has ranked first in the world.

Luxury prices in the mainland are still rising.

"In the near future, the sound of luxury tariffs will soon be lowered, so that foreign brands must raise their prices.

In this way, even if the state does not impose tariffs, the price of luxury goods in the mainland will still be higher than the current market price, because luxury brands must raise their prices every year to maintain their own high-end character, so as to achieve market synchronization and brand respecting.

Cai Sujian, chief executive officer of China Luxury Goods Association, said that the price of the tariff dropped and the price of luxury goods rose immediately in the mainland.

In the end, who is consuming luxury goods? How much luxury consumption is flowing out of the Chinese market? Is luxury price "upside down" caused by high tariffs? It is worth noting that the world's 80% luxury brands have entered China.

As a leading industry in Pyramid, luxury related industries have also sprung up in the Chinese market.

Reporters in Tianjin city survey found that in many categories of luxury goods, the difference between the domestic and international watches is the most extreme.

Take the OMEGA Olympic Collection Timeless watch as an example. Its official website sells for $2900 (about 18560 yuan). The price of Tianjin shopping malls is as high as 51200 yuan, with a difference of 176%.

And a Burberry classic lattice lady long wallet is priced at 142 pounds (1462 yuan) in its UK official website, while the price in Tianjin Burberry store is 3200 yuan, the difference is 1738 yuan, the price in Tianjin is high, the price is 119% outside the exit, Gucci is a "sukey" antique texture Satchel, the official website of the United States sells for 795 yuan (about 5088 yuan), the Tianjin store sells 9010 yuan, and the difference is 77%.

In recent years, Mr. Han, who does business, organizes his friends to Europe every year. Each person spends less than a few hundred thousand, or more than a million.

Recently, a brand T-shirt bought by Mr. Han, who has just returned from a business trip to Dubai, only needs more than 1000 yuan per piece. The discount of Gucci men's shoes is only 2000 yuan.

Recently, the luxury research center of University of International Business and Economics completed the first dynamic monitoring report of domestic and foreign market prices of luxury goods.

The report covers seven categories of jewellery, watches, bags, leather shoes, high-end wine, perfume and cosmetics, 65 international luxury brands and 115 products.

The monitoring covers mainland China, Hongkong, Macao, and France, Italy and other European regions, as well as the US market, which covers the tax selling market and the duty free market of luxury goods.

The report shows that among the seven categories of commodities, the difference is the largest, with the highest percentage reaching 348.72%, averaging 160.68%.

High price differentials give birth to purchasing industry.

Because of the existence of such a price difference, many people act as "porters" of overseas luxury goods.

Coach is in the same half of the Kristen series OPPLE pattern dye printing half moon bag, the official website of China sells for 3800 yuan, while the US official website sells for only 298 dollars (1928 yuan), and the price is nearly doubled.

A shopkeeper of a purchasing website said that a domestic brand package with a price tag of 4000 yuan could be sold by the United States for 2000 yuan. The purchase price was $200, plus 10% of international postage and domestic postage, and the total price would be less than 2500 yuan.

Many years ago, the owner of the online shopping mall "Xiang Xiang" believes that even if tariffs are lowered, overseas purchasing can still have room for survival.

For example, she said, a classic Cartire blue balloon W69010Z4 watch was priced at 31800 yuan at home, assuming that tariffs account for 20% of the selling price, and the tariff is totally waived, with a price of 25400 yuan.

The price of overseas purchasing, including purchasing agent fees and all postage, is only 23800 yuan, which is still cheaper than domestic counters.

"In addition to tariff postage, the profit of online purchasing agents is around 18%-20%."

A businessman said.

Luxury consumption in first tier cities is maturing

"Both luxury consumption and conspicuous consumption are the inevitable stages of luxury consumption. European countries, as well as developed countries such as the United States and Japan, have experienced such a stage."

Zhou Ting, deputy director of the luxury research center of University of International Business and Economics, said that luxury brand symbols and exquisite design, material selection and other aspects can give consumers satisfaction.

Zhou Ting believes that luxury itself is not special, represents a market level, is a leading technology, leading design, leading management, consumption of a leading body.

Luxury industry has the role of weathervane for the whole industry, though luxurious, it is also an improvement.

At present, luxury goods consumption has gradually entered the mature stage in some of the first tier cities in China. That is, from the initial display of luxury consumption to the taste of consumption.

However, it is undeniable that excessive pursuit of luxury goods, especially in the case of excessive consumption of income and consumption capacity, is a kind of irrational behavior.

"Some white-collar workers eat only instant noodles for a few months. This is mainly due to conspicuous consumption and face consumption, and this part of consumers are irrational. Their pursuit of luxury lies largely in their social identity."

Zhou Ting thinks.

Insiders pointed out that only when the middle class is formed in China, can luxury consumption develop steadily.

As a brand consumer, we should understand the historical culture and the life philosophy behind the consumer brand, so that we can find the most suitable luxury brand, cultivate the taste of consumption and have the taste to consume, which is the rational luxury brand consumption.