Big Luxury Goods Make More Profits In China

"Many luxury goods are to earn more profits in the Chinese market." This person told the Beiqing Bao reporter that for most luxury brands still regard China as an emerging market, businesses who want to get more profits in emerging markets are in line with business principles, and can not simply be said to discriminate against China. The cost of operation is not lower than that of foreign countries, and at the same time, it needs more profits. The only way is to raise prices artificially.

Some business experts told reporters that such behavior is Business field Known as "discriminatory pricing", it refers to asking different prices for the same commodity to different buyers at the same time. In essence, the price difference is caused by human beings.

and Luxury goods The successful implementation of brand Discriminatory pricing The key is that luxury brands are also scarce resources in the Chinese market. "Making more money from rich people is a simple business strategy."

These brands are able to manipulate prices, which are closely related to their sales in China through hierarchical layers of agents. The multi-level agency system makes the bargaining power of the agents dispersed. Finally, the bargaining power of agents at all levels is very weak. Basically, what price can only be accepted at any price above, which provides a convenient condition for luxury brands to manipulate Chinese market prices.

When a dealer describes the price manipulation of some luxury brands, he said, "even if the Chinese government reduces taxes, foreign suppliers will also fill in the price reduction space brought by the tax reduction by increasing the price of the goods, so as to maintain the high price in the market."

It is the scarcity of these luxury brands that make them capable of artificially creating a big price difference between China and overseas markets. Some of the top luxury brands are making use of their unique position to achieve super profits in the Chinese market. At this point, it is somewhat similar to the high price sale of imported cars before China.

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All along, the relationship between shopping malls and merchants is mostly the relationship between management and management. In addition to providing hardware and equipment for brand businesses, shopping malls also supervise the day-to-day operation of merchants, while the building managers of each shopping mall will basically supervise the process of shop visits, store switches and so on. As for brand merchants' marketing activities, service innovation and so on, business owners usually fight alone, and shopping malls can not provide effective consultancy marketing services for merchants.

Admittedly, in the past, department stores mainly sell clothing and products, and these brands basically have their own development ideas, so there may not be much need for shopping malls to make suggestions for them. However, with the transformation of department store entertainment, the management of shopping malls to merchants is no longer a simple supervision, but must be actively involved in the marketing planning of merchants. For example, in the setting of functional areas, first of all, shopping malls should be positioned and planned for different functional areas, and then the corresponding merchants will be recruited according to their location. After shopping, shopping malls also need to work together with merchants to actively help them to think and create publicity.

That is to say, the future shopping mall should be transformed from the role of the former "real estate developer" into an entertainment project developer, and the floor management personnel of each floor should participate in the service of the merchants to the customers, and provide service to the customers with the service staff of the businesses, instead of managing the merchants as before.

In fact, all of the above goes to the point that nowadays customers go to shopping malls not to buy products, but to buy services and buy experience. Therefore, the future transformation of shopping malls is to create suitable venues for customers of different identities and relationships, and provide convenient and intimate services for consumers to feel happy, thus becoming the preferred place for people to relax and relax during holidays.