Does A Big Brand Follow Suit Or Continue To Follow Chanel?

Reporters learned that Chanel is not the only price adjustment brand.

In 2014, LVMH's high-end watch brand, Yu Bo, Zhen Li Shi and Hoya, launched the banner of Hongkong and the mainland.

Activate the consumer market in the mainland.

Previously, the price difference between mainland watches and Hongkong was between 10%~20%.

This seems to be out of line with the way in which luxury goods consistently play. Previous news has been that some luxury brand manufacturers would rather destroy some damaged products than sell them at a low price, so as to maintain the high-end image of luxury goods.

In the reporter's visit, a number of boutique staff also told reporters: "we never discount."

According to the scholar of consumer psychology at the school of economics and management, Shandong University, the price tag is not important for many luxury goods consumers, because the discount will be given.

A hint of quality, thereby reducing its brand image and affecting consumers' desire to buy.

The reason why Chanel has adopted different price adjustment strategies in Europe and the Chinese market is that the continued depreciation of the euro is on the one hand, and on the other hand, the sales in the mainland of China continue to decline, while most Chinese consumers spend overseas.

According to wealth quality statistics, in 2014, Chinese consumers' luxury at home.

It was $25 billion, down 11% from the same period last year, and China's luxury market accounted for 13% of the global luxury market from 13% in 2013 to 11%.

"Chanel Chanel has always been the vane brand of the luxury goods industry. Its move is also releasing a signal: Chinese people can buy reasonably priced luxuries without going abroad."

Zhou Ting, Dean of the Institute of wealth and quality, told the media.

Zhou Ting said, first of all, we should change the mentality of irrational consumption of Chinese people.

According to the data of University of International Business and Economics's Cheung Kee luxury Research Center, the proportion of luxury consumption expenditure in the mainland is too large, and the proportion of Western luxury goods consumption accounts for no more than 4%, while China's one hundred share is about 20%.

China is still in the initial stage of luxury consumption, and is a show off consumer.

This has prompted foreign luxury companies to "discriminate pricing", thereby pushing up the price of luxury goods in China.

In addition, the domestic sales policy is not perfect.

Although China has a large number of processing trade made in the mainland, such as some high-end clothing, but according to the current policy, these products must be exported after processing in China, and can not be sold in the Chinese market.

The so-called discriminatory pricing is essentially a price difference, usually referring to the different selling price or charging standard between the recipient and the provider when providing different grades of goods or services of the same quality to different recipients.

In western economics, price discrimination is defined as: at the same time, different prices are demanded for the same commodity to different buyers.