Interpretation Of Luxury Prices, Closed Behind

While planning the electronic business mode, the major brands are also tightening up the offline stores.

The most representative is Coach, earnings data show that its first quarter sales in North America fell 21%, declining for the fourth consecutive quarter.

Under the unsightly earnings data,

We have to start the pformation plan, reorganize the global shop network, and announce that we will close 70 North American shops.

The Chinese government's "

"Overseas consumption growth and slowing economic growth and other factors led to the cold market in China's local luxury market.

In 2014, the year of luxury stores was the largest. Hugo Boss and Ferragamo closed 7 stores and 6 stores respectively, Zegna closed 6, and Burberry closed 4.

In mid March, Chanel implemented global price adjustment.

The price was cut by 20%, and the European counter price rose by 20% in April 8th, which brought the price gap between China and Europe to about 5%.

The price adjustment action launched by Chanel, a luxury luxury brand, aimed at narrowing the price gap of various markets, made many vertical electric providers feel a crisis, so they initiated the price reduction initiative.

In March 30th, Prada also released its 2014 fiscal year report.

Since its listing in Hongkong in 2011, Prada group's net profit has declined for the first time, and its annual net profit fell to 451 million euros, down 28% from the same period last year, due to the weak market in the Greater China region.

Following is the adjustment of Prada's marketing strategy. The two most direct decisions are:

Reduce the price of new products and open stores.

On the Prada side, there will be at most 28 new stores in 2015, including 6 existing stores, and there will not be more than 6 new stores a year from 2016.

Recently, the euro has weakened, and most luxury brands have suffered.

In addition to the impact of the exchange rate on profits, more and more Chinese consumers are flooding into the European market, leaving the Chinese market in the cold. Brands like Burberry and Cartier have to follow Chanel's way of reducing prices.

In the luxury industry, LV, Chanel and Herm s firmly occupy the quack position of Pyramid. Oteri J has not even allowed her to join in. It is difficult to raise prices, let alone discount sales, and defend the brand image.

In the face of changes in the environment of China and the whole world, behind the maintenance of a high profile, there is an embarrassing situation that can not be put to words.