The Price Of Luxury Goods Can Be Described As "Several Joys And Worries".

Chen Kai, a senior manager of a famous Beijing watch and clock agent, told reporters that their management team is very anxious now: "some brands of watches are on sale, but the turnover rate of watches is slower. We still get goods at high prices. The new price is already lower than our price."

Beijing Dan Grier Trading Co., Ltd. is an overseas high-end high-end watch agent, many high-end department stores in Beijing high-end watch counters are operated by its "time table running". Yang Bo, the head of the Department, told reporters that until now, he has not "reduced the price of many watch brands, and the loss of the price is borne by the agent or the brand side."

Patek Philippe's responsible person said that the price adjustment behind this is that in addition to eliminating the factors of exchange rate changes, the company attaches great importance to the long-term cooperation with authorized dealers worldwide. "Take Hongkong, for example, there are so many watch dealers that may authorize dealers to block only one block with unauthorized dealers, but the price difference between" parallel imports "and authorized dealers sold by unauthorized dealers is not small. Under such circumstances, we must safeguard the interests of the distributors. Coupled with the appreciation of the Swiss franc, members of the family business decide that the family will bear the losses caused by this reduction in prices.

Chen Kai believes that the strategy of reducing the spread of luxury brands is not just to keep consumption in the original intention of the mainland, but also to recover the brand agency is another purpose. "Now the profits of agents are squeezed lower and lower. Some goods are sold after the buyout of the brands. The branding party will not consider this loss to us."

In the past, many famous watch brands were passed by agents. brand After entering the Chinese market and developing the channel, they began to introduce the brand to China and set up an independent flagship store. However, with the initial completion of the channel construction and the stability of the customer system, the brand decided to step back the agency right and make the market by itself.

Yang Bo believes that this time to recover the agent, the brand is obviously not rational. "Domestic sales import list, I think now when the ceiling, do not know how to go, it is very difficult to do. The sales volume and sales volume of many brands are shrinking rapidly.

Moreover, whether it's hard goods such as luggage, leather goods or watches and jewellery, the brand side is firmly convinced that China's vast two or three line market still has huge consumption potential, and channel sinking is another important work of the brand in China. But sinking does not seem so simple.

And many Agent In the two or three tier cities, resources, customers and experience are sometimes more familiar with brands than local brands. Yang Bo believes that many single brand flagship stores are brand image The promotion and the understanding of product history and culture will play a great role, but it is not necessary to open such flagship stores in all cities. "The future retail sales of the watches will return. As with foreign retailers, many brands only occupy one or two counters in the store, and set up a collection store of brands." It is reported that the European square, time table row, Hendry [3.60%] and so on are all similar to this model.

"Despite the shrinking sales of high-end watches in the past two years, the domestic consumer demand for imported watches is still higher from the global perspective," Yang Bo said. The tide of price adjustment will bring a portion of overseas consumption back to the mainland. Regardless of retail format or service, it will be a new challenge to China, and the role of agents will be greatly changed. This will bring a reshuffle of dealers.