Luxury Market In China Last Year Luxury Consumption 115 Billion

This is also true at different prices.

High end women

The decline is less than that of men at similar prices.

Analysts believe that this is the impact of anti-corruption.

Because officials are mostly male, their consumption and gifts of luxury goods are greatly reduced, while women's luxury goods are mainly free and less affected.

Research has found that the more expensive it used to be,

The higher the desire, the more comfortable the luxury brand that people are looking for now.

Last year, purchasing became a mainstream in China.

Last year, half of China's luxury market share was contributed by purchasing.

If many people go shopping in Korea and Japan, the amount of luxury brought back to shopping increases by 6.

In China's consumer goods, over 5 of luxury consumption is bought abroad, 15% of which are bought and sold by relatives and friends, and 3 of them are purchased in stores in the mainland.

This year, the total number of cosmetics purchased by Chinese consumers has reached 300 to 35 billion, while the total volume of luxury shopping market is about 500 to 75 billion. The price advantage of the future free trade zone will have a great impact on the luxury goods industry.

On the brand strategy, a very prominent change is in publicity. Last year, 40% of the promotional expenses of luxury brands went to digital media, and other brands ranged from 20% to 40%.

The budget of luxury brands investing in traditional media and digital media may increase, and the growth of digital media will become faster.

China's luxury market is shrinking. Buyers no longer insist on the more expensive the better.

China's luxury market research report released by Bain 20, the global advisory body, showed that the domestic luxury market had a negative growth last year, which is the first time Bain issued the report in eight consecutive years.

The reason is that the impact of China's combating corruption continues and Chinese consumers choose to buy and buy more from overseas.

But this report predicts that China's luxury market will return to positive growth this year.

According to the Reuters website January 20th, Bain estimated that the total consumption of China's luxury goods market in 2014 was about 115 billion yuan, down 1% compared with the same period last year, an increase of 2% over the previous year.

However, Chinese consumers still have strong purchasing power in the global luxury market, including mainland sales, purchasing and outbound purchases. Their total consumption is about 380 billion yuan, an increase of 9% over the same period last year. It is still the world's largest luxury buyer.

Bruno Lenna, Bain's global partner and author of the report, pointed out that in 2014, sales of men's clothing, watches and some luggage products declined significantly in the Chinese luxury market, while women's clothing and footwear continued to grow strongly before.

China's anti-corruption campaign continues to advance, making the demand for luxury gifts continue to shrink.

According to the report, another obvious change in the domestic market is that consumers prefer more diversified brands. Consumers no longer insist on the more expensive and better brand concept, and so on. The factors such as exclusive, high quality, cost-effective, and no obvious trademark become more and more important.

Bain recently conducted a survey of 1400 luxury consumers in China and found that 70% of respondents claimed they liked to try different brands and styles.

Consumers' preferences for luxury brands such as Louis Weedon, Hermes, Gucci, Dior and so on are declining. Some of the original brands such as Versace, Tiffany and new luxury brands such as Paris family are rising in popularity.

In the 2013 survey, consumers paid more attention to key words such as overseas shopping, discount stores and brand labels, while the key words in 2014 were style, fashion and specificity.

Nearly half of consumers think this is too flaunt, obsolete and vulgar, and the proportion is obviously higher than that of 2013.

In 2014, most traditional luxury brand sales in China showed a negative growth. Only a few brands such as Chanel, Hermes and Tiffany still maintained positive growth. Most brands slowed down the expansion of new stores in China, and some brands such as Dunhill and Zegna also closed some stores in China.

Bruno pointed out that luxury brands, which focus on fashion or pay more attention to design elements, experienced an upward trend last year.

In addition, the proportion of buying and sending by relatives and friends or buying and buying by overseas buyers is also increasing. In 2014, the scale of China's overseas purchasing market reached 550-750 billion yuan, mainly concentrated on cosmetics purchasing, followed by leather luggage, watches and jewelry.

This is mainly due to the increasing number of consumers who are pursuing price realistically and realizing the price difference, as well as the rapid development of professional purchasing agencies and cross-border logistics companies.

Bruno predicts that China's domestic luxury market will return to positive growth in 2015, because the purchasing power of consumers is steadily stabilizing, and luxury brands will reinvigorate their sales network and change strategies to meet the needs of Chinese consumers.