Luxury Brands Compete For The Development Of The Korean Market, Taking Into Account Their Brand Effect.

Luxury brands are looking at what the Korean brands are competing for to develop the market.

Dior, which was not affected by the MERS epidemic, announced recently this weekend that it will open the largest flagship store in Asia in South Korea. (Dior)

Just last month, Lord Buddha brought the 2016 Chanel (Chanel) early spring show to South Korea.

This is also after Japan, South Korea has become the major luxury brands competing for the development of the market.

Be among Asia

What are the luxury brands in front of Korea?

The newly opened "Dior house" is located in the famous high-end shopping district in Seoul.

In order to layout China market

At present, Chinese consumers are right.

Consumption accounts for 46% of the total global luxury consumption, of which 76% of purchases are produced outside China.

Due to a series of reasons such as China's anti-corruption and luxury brand price cuts, it has led to Chanel's half closed in China, with only 11 stores left, and Prada (Prada) and Armani (Armani) also shut down many shops.

Interestingly, many luxury brand stores in China are just pavilions and fitting rooms for consumers.

There is a view that the intention of the luxury brand giants to attack the Korean market is also the Chinese market, and the choice of Korea is also for the layout of the Chinese market.

According to the latest data, South Korea and Hongkong are still the ideal shopping places for luxury consumers, and South Korea is also one of the most popular tourist destinations for Chinese consumers.

In the first 11 months of 2014, the number of Chinese consumers who went shopping in Korea increased by 40% to 5 million 700 thousand.

These data undoubtedly raise the potential purchasing power of Chinese consumers who travel to South Korea for luxury brands.

Like Chanel, there are 15 stores in Korea, 6 duty-free shops, and a large part of it is Chinese money.

Korea has the biggest brand effect.

Whether it is

Output or sales volume and reliable consumption data show that Korea is also lagging behind and is hard to catch up with Japan and China.

Even if the recent downturn has been affected by the downturn, the Korean wave has swept the fashion industry and is among the best in the Asian market.

Why is this? Apart from those data and tangible assets, Korea's own brand effect undoubtedly plays the biggest role in intangible assets and can enhance market value.

Lord of Buddha and Korean wave star Choi Siwon, Lim Yoona, Big Bang

The "Futurebrand" 2014-2015 national brand index shows that Korea ranks third among all Asian countries, second only to Japan and Singapore.

To our surprise, South Korea ranks the top three in the world's future potential.

In the past 10 years, Korea has been a gathering place for fashion, music, entertainment and celebrities. This has made Korea a lot of benefits.

For example, last year, LVMH's private equity fund L Capital investment portfolio Big Bang belongs to the brokerage company Korea YG entertainment.

"China is the promoter of the global high-end market, and we can greatly affect the Chinese market," said Lee Choong-Keol, editor in chief of the Korean version of GQ magazine.

Many brands like to speak with Korean actors and singers, hoping to attract Chinese consumers.

So many fashionable brands based in France or Milan now have Korea.

As the main entry point.

South Korea may not be the strongest in itself, but because of the brand effect of the country, coupled with the collection of fashion products and popular culture, Korea has become a market for luxury brands to compete.

{page_break}

Chanel early spring show opens in Seoul South Korea DDP East Gate Design Square.

Consumers are good at using technology and social media.

According to the data of Ou Rui consulting, the clothing and footwear market in Korea is still in full swing, and the trend of price polarization is becoming more and more intense.

On the other hand, although the price of luxury goods continues to rise, it remains strong.

Korean consumers make good use of technology, and often browse many social networking sites such as Instagram and Pinterest to get a lot of fashion information and grasp the latest fashion trend.

Korean fashion industry also has an increasing influence on Asian fans who are closely following the fashion trend. For example, Korean models Lee Sung-Kyung, Zhang Yunzhu (Jang Yoon-Ju) and Irene Kim have 500 thousand Instagram fans, Pro Fashional Man and Hong Hong and other blogs also show the thriving men's wear market in Korea.

Luxury consumption in the capital circle

The Korean capital circle, known as the "udogwon" by Koreans, is the second largest city group in the world.

The capital circle consists of Seoul, Inchon and Gyeonggi Do, with a total population of over 25 million, accounting for about half of the total population of Korea.

This is also the largest in Korea.

Market.

According to the new fortune world report, Seoul's multimillionaire (more than 10 million of net assets) has increased from 2410 people 10 years ago to 4410 today.

So Chanel decided to hold the 2016 early spring fashion show in the metropolis of Seoul.

Chanel has six franchised stores in Seoul, covering many department stores.

In addition, Chanel has three stores in Busan and Daegu.

Among them, the fashion industry in southern Jeju Island is developing faster. As a result of visa free access, a large number of foreign tourists and people who go shopping at duty-free shops have attracted a lot of attention.

Last year, sales of duty free shops at Seoul Incheon International Airport reached US $2 billion. According to Moodie report, this set a world record for 67 years of airport tax exemption industry.