Is Orris Easy-Going Enough To Be Luxuries?

The price war of luxury goods has been launched in various markets. Luxury goods continue to grow rapidly this year.

It's not a panacea.

China's economic slowdown, the depreciation of the renminbi and the appreciation of the US dollar have been psychologically ready to meet all kinds of challenges after encountering these difficulties.

Bain management consulting firm predicts that the sales of luxury goods will rise again this year, and the Chinese market will not escape negative growth, which may be between 2-4%.

From 2009 to 2012, luxury days have passed, but the discount and second-hand market will keep rising.

In September 11th, the US second-hand clothing trading website thredUp completed the E round of financing, amounting to 81 million US dollars (about 510 million yuan), and the leader was Goldman Sachs Group.

Just two months ago, RealReal luxury trustee announced that it would cooperate with the boutique department Neiman Marcus to provide personal identification services and promote the gift cards of Neiman Marcus to every customer in the form of rebates.

Meanwhile, Nordstrom, a high-end retailer, continues to expand its discount stores. At present, there are 183 Nordstrom stores across the country.

Edward Hertzman, the founder of retail magazine, said that discount stores are an important source of cash for Nordstrom, and that discount stores overlap with only 10%-20% customers of the company's main high-end department stores, which not only did not affect the main business, but also expanded more consumer groups. Edward Holzman,

Bain expects the discount market to account for 30% of the total revenue of luxury goods.

It is a fact that consumers turn to discount products.

Bain's "China Luxury Market Research Report" released by the end of last year said that buying and purchasing overseas has increasingly become a new luxury consumption choice for mainland consumers in China, and discount villages are almost the necessary journeys for every outbound travel.

However, this method of discount stores does not necessarily apply to all high-end brands and retailers.

Pam Danziger, founder of Unity Marketing, a luxury market analyst, cautioned, "look at the example of Coach."

In order to get out of the haze of the 2008 financial crisis as soon as possible, Coach launched Oteri J (or a more familiar name "factory store").

As of June 2013, there were 351 stores and 193 discount stores in North America.

Brand expectations are the same as department stores: attract consumers who do not buy the stores.

However, the subsequent problem is the dilution of brand value.

Since 2014, Coach has set off to solve the problem of too many discount stores and Logo bags.

Image decline has opened the pformation mode.

In the Coach stronghold, North America, the company shut down a large number of poorly performing full price stores and discount stores. Since the beginning of 2015, 69 shops have been closed.

In the view of Claudia D'Arpizio, Bain luxury analysis director, it is very important for a brand to lay down its body and take the form of discount sales. For example, Chinese consumers are very resistant to the brand of seasonal merchandise promotion.

Gucci, Prada, Burberry launched the crazy discount season in China in May this year, attracting consumers' long queues.

After many people swept the goods and returned, a problem was discovered in the brain: is it so easy and approachable that they can still get luxuries?

Although the products at a discount price are more popular, the economic benefits can not be underestimated.

The opposite can not be ignored.

Columnist Daren Heller wrote: "those (Oteri J, Outlet) costumes are reduced, sorted, and repeated over and over again, which are completely opposite to the way they were shown before, and their attractive power is fading, even at a price of three stream products."