Luxury Report Analysis Five Characteristics Of Luxury Consumption In China

The 2011 China luxury report is based on the development of China in the luxury industry.

In depth contact with China's high asset consumer groups (assets of more than 10 million yuan of luxury consumers) and ultra high

Consumption is shifted from self consumption to business gifts and investment.

Self consumption, business gifts and investment collections constitute the three main uses of luxury consumption in China.

From the absolute amount and amount of consumption, super high asset consumers undoubtedly get the top priority in all kinds of consumption, but from the relative quantity and amount of consumption, they prefer to invest in luxury collections.

In terms of the consumption of business gifts, high asset consumers who are in the rising stage of their business attach the greatest importance to the demand for business gifts.

In contrast, most of the super high asset consumers have achieved success. The proportion of collection and investment in luxury consumption has jumped with the growth of personal assets holdings. The most abundant super wealthy with assets above 500 million is the largest, and the investment collection category accounts for 35% of the total consumption expenditure of luxury goods.

The concept of consumption is shifted from face consumption to social consumption and personality consumption.

Data show that the higher the asset class is, the less brand concept of luxury goods is, the more emphasis is placed on the personal and service quality of luxury goods.

Ordinary assets consumers pay attention to the wealth display function of luxury goods, emphasize that the products consumed must have an ultra-high brand awareness (24%), namely face consumption; high asset consumers, besides the importance of luxury brand recognition (23%), are also very much in favor of the luxury brand's identity role. The luxury items they hope to purchase are in line with their social group's collective preferences, that is, social consumption (21%); while ultra high asset consumers pay more attention to the personalization of luxury goods (24%) and hedonic (20%), and especially emphasize the excellent quality of luxury goods and five star service (18%), while the popularity of luxury brands (14%) and the role of identification (16%) do not attach much importance to it.

It is worth mentioning that the current designer brand has become the focus of super high asset groups (20%).

Low brand loyalty and strong impression consumption view.

According to the survey data, the brand loyalty of Chinese luxury consumers is relatively mature, the European and American luxury goods market is low, and the repeat purchase rate is only between 10%-20%, but the frequency of brand replacement is as high as 80%-85%.

The average brand loyalty of ordinary asset luxury consumers whose assets are less than 50 million yuan is only 15%, while those of ultra high asset luxury consumers have slightly higher brand loyalty. But even those who are over 500 million of the super rich, their loyalty to luxury brands is only 20%.

The survey shows that the most easily repurchased luxury brands of Chinese high-end consumers are TOP5 (Louis Vuitton), Chanel (Chanel), Gucci (Gucci), Hermes s (Louis Weedon) and Rolex (Rolex).

Through in-depth interviews with the rich, it is also found that ultra high asset consumers do not understand the cultural connotation of luxury brands. They emphasize more on the private and service characteristics of luxury goods, and the brand loyalty is lower than that of similar consumers in Europe and America. On the other hand, they are easily influenced by advertising in the choice of real luxury brands, and tend to buy well-known well-known brands. We call this consumer Chinese characteristic phenomenon of luxury brands "impression consumption paradox".

Customized and limited consumption preferences highlight

Chinese luxury consumers are mainly affected by the four main driving forces of product design, customization and limitation, discount or discount and salesmen.

For high asset consumers, the higher the level of asset holding is, the stronger the driving force for the purchase decision is.

According to the survey, nearly 30% of ultra high asset consumers said that the limited products and fixed products had a decisive impact on the final choice of their products (limited products 16%, customized products 14%).

Taking fixed products as an example, only 5% of ordinary assets consumers believe that customized luxury goods have an impact on their purchase decisions. With the increase of asset holdings, 11% of high asset consumers are in favor of customized luxury goods, and 14% of consumers of ultra high assets are willing to pay high prices for them.

Currently, in China's top luxury market, customization has become an internal demand driving force for the new trend of the industry.

The "1+1+1" consumption rule in mainland China + Hong Kong and Macao + Europe and the United States

The survey results show that China's high asset consumption groups usually implement the "1+1+1" consumption rule in the choice of luxury purchase locations, that is, domestic purchases account for 1/3, while Hong Kong and Macau accounts for 1/3, while foreign countries purchase other regions for 1/3.

Europe is the preferred place for luxury shopping abroad (58%), while the United States ranks second (28%) and Japan ranks third (8%).

When buying luxury goods in China, ordinary asset luxury consumers are sensitive to the price of luxury goods, even though people like to buy luxury goods through friends overseas, while high asset luxury consumers value shopping experience, and prefer luxury goods in luxury department stores and shopping centers (53%).

Among overseas buyers, ultra high asset luxury consumers buy luxury goods more than foreign business activities rather than tourism. Most of them think that the ideal place for luxury shopping abroad is Europe (58%).

Brief introduction of "2011 China luxury report"

The selected professional research team of "2011 China luxury report" has formed an expert team with the tremendous influence of the International Luxury Association, the luxury research center of University of International Business and Economics and the "wealth quality" in the Chinese luxury industry. With a combination of one to one in-depth interviews and extensive questionnaires, we conducted in-depth interviews with 2005 Chinese high-end luxury consumers, 137 leaders in China luxury brands and 121 Chinese high-end media and advertising companies.

The survey of high-end consumers, luxury brand operators, luxury brands and distributors, and luxury brand marketing partners -- Chinese high-end media, advertising companies and public relations companies took eight months to analyze the luxury consumption concept of China's high asset groups for the first time in China in the broadest scope, the largest research volume and the most professional perspective, and to reveal the differences and similarities of the luxury goods market in China's two or three line cities. It summed up the success and failure of international luxury brands in China in the past 20 years, and rationally examined the social role and green footprint of luxury brands in China, and actively explored new growth points in China's luxury market. The "2011 China luxury report" takes the Chinese luxury market as the research object, through the demand side of luxury goods -- China.