Luxury Consumption To Bubble And Return To Reason

< p style= "text-align: center" > < img border= "0" align= "center" alt= "" src= "" /uploadimages/201402/27/20140227034017_sj.JPG "/" < > > "

< p > 2013, China's first a href= "http://www.91se91.com/news/index_c.asp" > luxury goods market < /a > felt the pressure for the first time: Jean-Jacques Guiony, chief financial officer of Louis Weedon, the world's first luxury group, recently released its 2013 group earnings report, saying that its performance in 2013 was greatly affected by China. In 2013, the consumption of Chinese consumers in Louis Weedon (Louis Vuitton) brand increased by 5% only at home and abroad, while double digit growth in previous years; the third largest luxury group in the world opened its cloud for the first time (Kering) when it announced the three quarter financial statements in 2013, and for the first time admitted that China's performance declined, and its core brand Gucci (Gucci) Asia Pacific region performed poorly.

< /p >

< p > in addition, according to the latest China luxury market research published in 2013 by Bain, the US consulting company, after the 7% increase in 2012, the growth rate of the luxury market in mainland China has slowed down further, and the annual growth rate is expected to be around 2%. This slow growth trend is expected to continue to 2014.

< /p >

< p > a common feature is that luxury goods less than a href= "http://www.91se91.com/news/index_c.asp" > brand < /a > and market research institutes have no doubt that one of the reasons is the Chinese government's policy of combating corrupt consumption.

< /p >

Under the pressure of P, has the luxury season really begun in China?

< /p >

< p > < strong > after foaming, < /strong > /p >

< p > 2013, luxury brands have been evacuated from the Bund, Shanghai, which has caused market concern: Armani (Giorgio Armani) flagship store and Du Gabbana (Dolce&Gabbana) flagship store are closed in Shanghai the Bund 3 and the Bund 6; Patek Philippe (PatekPhilippe) and Boucheron (Boucheron) also withdraw from the Bund 18.

< /p >

< p > > according to Bain's 2013 research on luxury goods market in China, the number of new stores in the Chinese market has decreased from about 150 last year to about 100 this year, with a decrease of about 1/3, compared with the 20 luxury brands in China.

Due to the decline in comparable sales of most luxury brands in 2013, they shifted their focus to renovation, relocation and operational improvement of stores.

< /p >

< p > besides the decrease of stores, sales of some kinds of products have also been greatly affected.

Louis Weedon, Hermes and other brands in the 2013 quarterly and annual reports that China's jewelry sales and watch sales have declined or slowed down.

According to the Swiss Federation of watch and clock industry, the export volume of Swiss watches to the mainland market in China decreased by 12.5%. in 2013. In addition, Hennessy, Remy Martin and Martell also indicated that the sharp decline in China's sales in 2013 would have a great impact on the operating profit of its group.

< /p >

< p > The Research Institute of wealth and quality, a domestic research institute focusing on luxury goods, offers the mystery to China's luxury goods report to the China Economic Times reporter: it is different from most consumers in Europe and the United States to buy and consume luxury goods for themselves. Business gifts are the obvious purpose of Chinese consumers to buy and consume luxury goods. 2013.

Cigarettes, wine, watches and jewelry are the most common gifts.

< /p >

< p > however, the above signs are only a glimpse of the fact that the performance of luxury brands in China in 2013 is still impressive.

Hermes increased its sales in Asia (except Japan) by 16% in 2013, 14% and 12% in the Americas and Europe respectively, and its sales in Japan increased by 7%. Its CEO indicated that the potential of Chinese consumers was huge.

Prada (Prada) Asia Pacific sales in 2013 increased by 11% over the same period, with sales of 826 million in the Greater China region, accounting for 23% in the Asia Pacific region, and an increase of 15%. over the same period. The performance of Coach (Coach) was the brightest in China. According to the first two quarterly reports of the 2013/2014 fiscal year, sales in July 2013 to September increased by 35%, while sales in October December increased by 25%, and the sales volume in the whole fiscal year is expected to reach 530 million US dollars.

< /p >

< p > according to the research by the Institute of wealth and quality, in 2013, although the global luxury market is under a lot of pressure, the global luxury market still achieves a record volume of $217 billion. The annual growth rate is 11%.. A particularly conspicuous bright spot is that China's luxury market consumption is 28 billion US dollars, an increase of 3%. Overseas consumption is further strengthened, reaching 74 billion US dollars, that is, the total consumption of luxury goods in China in 2013 is 102 billion US dollars, or about about 600000000000 yuan. This indicates that the Chinese have bought 47% of the world's luxury goods, which is the undisputed largest customer in the global luxury market.

< /p >

< p > < strong > market change > /strong > /p >

< p > "we believe that the real spring of luxury industry is just beginning."

Zhou Ting, President of the Institute of wealth and quality research, said that with the development of logistics and information flow, the pparency of information brought about by the gradual development of the information flow, the popularization and fashion brought by the expansion of consumer groups, and the change of business mode promoted by e-commerce, it is inevitable that retail upgrading is inevitable. The rise of the new consumption power of Chinese core in the global scope has broken through the management experience of many luxury brand executives, all of which have contributed to the structural adjustment in the luxury market.

The more prominent phenomenon is the increasing popularity of light luxury brands and luxury electric business.

The rapid development of light luxury brands is due to its noble quality, scarcity and relatively low price.

The luxury brand is entering the luxury camp, which is verifying the trend of popularization and fashion of luxury goods.

< /p >

"P >" our product layout does not purposely pursue the luxury brand, but seeks to improve the quality of life for Chinese consumers. It may be good, but the price is not high.

But on the other hand, sales of light luxury brands such as Coach, Michael Kors and Kate Spade are among the top sales of websites, and are very popular among Chinese consumers.

China's fashion and luxury e-commerce website responsible person told the China Economic Times reporters that their advantage lies in the rapid response.

For example, during the Spring Festival this year, our official micro-blog and WeChat received a lot of fans' private letters and messages, saying that they wanted to buy the "a target=" _blank "href=" http://www.91se91.com/ "clothes" /a from the Korean drama "you from the stars". After receiving it, we immediately established a buyer team to search for and introduce it to the fastest speed.

This is our approach and advantage. First, we need to know the needs of fans and satisfy the needs of fans for the first time.

< /p >

< p > the report of the Institute of wealth and quality thinks that e-commerce websites, because of their huge customer data basis, begin to enter the media field with the help of new media means, and even directly enter the traditional media market. "This kind of electricity supplier, whether it is the understanding of consumers, or the number of readers and sales correlation, has more advantages than traditional media. Therefore, the introduction of e-commerce into the media will cause a fatal blow to traditional media, especially fashion media."

< /p >

< p > in addition, the Research Institute of wealth quality also believes that the reason why Chinese consumers like to buy luxury goods overseas is the price difference at home and abroad. However, "traditional stores and duty free channels abroad will be greatly impacted by new modes of circulation such as electricity providers."

< /p >

"P >" we have also noticed that most of the consumption behavior occurs outside the country, which reflects the opportunity of the electricity supplier.

So we contacted strong international supplier resources and top buyer team to keep up with the new overseas.

The goods you buy in France will not be cheaper than websites.

Why?

We are buying at 50 percent off of the European retail price. After tax rebate plus tariff and logistics, the final selling price is in line with or even lower than the European retail price.

In order to help consumers to minimize the cost of freight, we set up our own warehouses in the US and Europe to integrate goods and bulk pportation and minimize freight charges.

< /p >