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    The Luxury Market Is On The Brakes In 2013 Or Winter.

    2013/6/3 20:22:00 35

    Luxury MarketLuxuryMarket

    < p > "five years of growth of Chinese luxury consumers catch up with the precipitation and change of half a generation abroad."

    Lin Hong, chairman of MaxMara, Kiton and other luxury brands in China's joint-venture GEIL Company Limited (GoldBond), summarized this in an interview with reporters.

    < /p >


    < p > indeed, with the rapid development of China's economy, the Chinese luxury market driven by the rich and middle class has burst from the original virgin market to a leading country, and its growth has been very rapid.

    < /p >


    < p > < strong > > gold price quotation tool > /strong > < /p >


    < p > today, the brake of this leading power is too urgent to be caught off guard.

    From the past year's compound annual growth of about 30% per year to about 7% in 2012, Lu Xiaoming, the former managing director of MontBlanc China, will say, "the Chinese luxury market will enter a severe winter in 2013, and this severe winter will continue for a period".

    < /p >


    < p > is it a good day for luxury brands in the Chinese market? Is it true that Chinese consumers with the most luxury consumption will lose their local market? Where should the luxury brands go in the Chinese market? Perhaps we can see clearly that the development curve of China's luxury market has the answers to these questions.

    < /p >


    P > < strong > brakes < /strong > /p >


    After five years of explosive development, the luxury market in China has not gone on like the luxury brand, and the brakes of the consumer car have really lurched P.

    < /p >


    In the first half of 2012, sales of all categories of luxury goods giant Louis Weedon (LVMH) group increased steadily, but sales in the Chinese market declined slightly in the first half of P.

    < /p >


    < p > "from Asia to Europe, the performance of the company has changed," Jean-JacquesGuiony, chief financial officer of LVMH, said in a conference call. "The growth in mainland China has slowed down."

    In 2012, Burberry, the UK's leading luxury brand, announced that its sales growth in Asia Pacific region, which dominated by China in the first quarter of 2012, dropped from 67% in the same period last year to 16%, which has cast a shadow over the Chinese luxury market.

    < /p >


    < p > the latest 2012 earnings report from PPR shows that the sales of all brands of the group declined from the first half of 2012 to the second half of the year, and the sales growth rate of the same year has declined, as is GUCCI (Gucci), BottegaVeneta and YvesSaintLaurent.

    < /p >


    < p > "mainly overseas purchases are increasing."

    FrancisGouten, the chief executive of the Asia Pacific region and the founder of Gu Teng consulting company, analyzed the interview with the first financial daily.

    Whether it is the "hot news" of the Chinese consumer fever coming from the Spring Festival Golden Week, it is also a phenomenon of consulting companies: the Chinese have become the largest group of luxury goods consumers in the world, but the local luxury market is slowing down, or the growth of the European and American markets in the major luxury brands' earnings exceeds China's data. These facts make one worry worse: the luxury industry is facing challenges in its most powerful Chinese market.

    < /p >


    < p > data statistics show that 60% of China's luxury consumption takes place overseas, and overseas consumption expenditure is increasing rapidly, especially in Europe.

    In 2011, the consumption of Chinese luxury goods increased by 42% over the same period last year, and increased by about 31% in 2012.

    On the contrary, in 2011, China's local luxury consumption grew by 30% over the same period last year, but it dropped to around 7% in 2012.

    < /p >


    "P," "of course, China's economic slowdown has some impact on the market, but in addition, the consumption of gift giving in 2012 has been greatly reduced. Officials wearing luxury goods has affected the image. The new policy introduced by the government in October 2012 restricted the government's spending on luxury goods, which has great impact on China's luxury market, because most of these consumption occurs in China."

    Bain global partners, Greater China consumer goods, retail and luxury business chairman Bruno Lannabruno analysis.

    The high-end watches with the increase in overseas spreads and the proportion of gifts and consumption up to 50%~60% are undoubtedly the biggest luxury items ever created.

    < /p >


    < p > < strong > good days are over? < /strong > /p >


    < p > although many luxury brand presidents in the past interviewed this reporter, they emphasized that luxury brands pay attention to the balanced development of the global market. But in the past, the Chinese market was thriving, and the resources of the global layout of these brands were inevitably tilted to the emerging market.

    < /p >


    < p > but nowadays Chinese money can not stay in the local market. This makes the luxury brands that didn't seem to care about where the consumer really was in the future. What's the matter of increasing the number of stores in the Chinese market? What about the high inventory caused by the high budget of the Chinese market? Is the Chinese market just a showroom for luxury brands? < /p >


    In 2012, the third quarter sales of Burberry stores in the first quarter of 2012 increased by zero in the 10 weeks ending September 8th, much lower than the same store sales growth of 6% in the second quarter ended June 30th.

    < /p >


    < p > Bruno said: "the Chinese overseas consumption boom will continue, as overseas travel continues to heat up, and the RMB exchange rate for the euro and the US dollar is expected to continue to rise, which means that the price difference between luxury goods at home and abroad will remain in a certain range."

    < /p >


    < p > in Lu Xiaoming's view, if the Chinese luxury market in 2012 is a cold winter, then the Chinese luxury market in 2013 will enter a severe winter stage, and the severe winter will continue to a stage, and then return to the normal and mature consumer market.

    < /p >


    < p > the reasons for Lu Xiaoming's judgement are as follows: "the Chinese luxury market is developing very hard under immature conditions. Once the economy is bad, the consumers here will mature at once, so in 2013 and 2014, too much nothingness and power consumption will be reduced, and the government's attack on corruption will make the consumption of public funds and gifts less and less."

    < /p >

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