Why Has China'S Luxury Growth Rebounded Strongly?

"China

After three years of deceleration growth, it has ushered in a 20% growth spurt last year.

This is the information disclosed by the Chinese luxury market report released by Bain today.

In fact, this trend is from Shanghai high-end.

It can be seen from the performance that Shanghai shopping center, which mainly sells luxury goods, such as SHANG Jia center, Hang Lung Plaza, and national gold center, has achieved a substantial increase last year. Some of them even refreshed their historical sales records.

This round of luxury buyers pays more attention to personalization.

Bain survey shows that young consumers aged 20 to 34 become the main force in purchasing luxury goods. They not only understand luxury goods, but also have their own ideas.

Why did growth rebound strongly?

According to the world clothing and shoe net, the rebound of luxury growth appeared in the third quarter of 2016, and Bain believes that this is related to many factors.

On the one hand, the Chinese government has introduced relevant policies since the second half of 2015 to further encourage domestic consumption, strengthen control over purchasing agents, promote consumption to return from abroad, and on the other hand, luxury goods.

Actively adjusting the price gap between Chinese and foreign markets, Cartire and Chanel first took the lead in the Chinese market in 2016, leading a group of luxury brands to cut prices in the Chinese market.

Some economists believe that the more important reason behind the rebound is that China's economy will continue to improve.

Luxury consumption is the thermometer of the economy. After the government actively adjusts its economic structure, China's continuous economic growth gives consumers great consumer confidence.

Feel the changing trend of the market. Last year, many luxury brand stores have made adjustments to the Chinese market, adapting to bigger and better shops to meet the needs of consumers.

More than half of the top 20 luxury brands in the world have integrated their network in China last year, although they have reduced the number of stores, but have expanded their single store area. A few luxury brands continue to expand their store networks rapidly.

Bain suggested that for luxury goods, the next step is to reduce the global geographical gap, and on the other hand, to improve passenger flow and improve store experience.

China's major shopping malls will continue to create "shopping, entertainment, leisure one-stop comprehensive experience" and multi-functional shopping environment, brand can establish a broader cooperation with shopping malls, and through renovation or upgrading of stores, optimize the layout of physical stores, give consumers a better shopping experience.

Consumers pay attention to personalization

Nowadays, the buyers of luxury goods in China are quite different from before.

Bain found that young consumers, especially the millennial generation (20-34 years old, 1983-1997 years old), have become the driving force for the growth of luxury goods.

Bain's survey of 1170 Chinese luxury consumers shows that these consumers are familiar with digital technology and applications and have a deep understanding of luxury goods.

They are more interested in "fashion", "street leisure", "new fashion" and "season" products. They do not follow blindly, but hope to show their unique personality through a distinctive appearance.

The British observed this phenomenon two years ago.

The 2016 commentary said: "the new confidence of Chinese consumers has made them reluctant to listen to Western luxury brands.

In the past, buying luxury goods was a way of showing off, but now it has been turned to purchase according to personal interest and lifestyle. "

China is still the world's leading luxury brand market.

In 2017, Chinese consumers' luxury consumption remained the highest in the world, accounting for 32% of the global market share, followed by 22% of the US consumers, 18% of European consumers, 11% of the Asian countries other than China, and 7% of the rest of the world.

Bain is optimistic about the potential of the Chinese market and believes that more and more young, mature and professional Chinese luxury consumers are emerging.

As China's consumption upgrading continues to ferment and its purchasing power continues to rise, China's luxury consumption expenditure will also increase.

More interesting reports, please pay attention to the world clothing shoes and hats net.