Chanel's Official Entry To Tmall Is The Choice Of China.

Another top brand is cat shop.

In July 5th, Chanel's landing on Tmall officially launched the pre-sale, offering a full range of perfume and beauty products including the classic Chanel five perfume, soft foundation and velvet lipstick. It will officially launch the official flagship store of Chanel perfume and beauty products Tmall in August 2nd and enter the luxury luxury platform Luxury Pavilion, which will be the second official online store of perfume and beauty products in China.

Chanel said Tmall is Chanel's only officially recognized third party e-commerce channel, will provide a convenient and comprehensive shopping experience for consumers through the unique brand aesthetic design style.

It is reported that every order of Chanel Tmall official flagship store adopts the exquisite gift box packaging of environmental protection material, and with the luxury experience suit, consumers can also customize the exclusive gift card online and enjoy efficient delivery service. Meanwhile, members of Chanel Tmall flagship store will enjoy concurrent interests with offline members, and have the opportunity to apply for their latest products and participate in offline activities.

In the past two years, the luxury beauty brand has entered the trend of the electronic business platform. Givenchy, Armani, YSL and Tomford have already set up shop in Tmall and have achieved good results. Taking Givenchy as an example, the fans just broke through 700 thousand, the flagship store opened 11.5 hours, the sales volume broke through the Tmall's beauty practice record, and the explosive lipstick sold 58 thousand more, which reflected the transformation of the whole luxury market.

The Chinese market has become the main growth point of the luxury market.

From the perspective of Chanel's single brand, Chanel sales in fiscal year 2015 amounted to US $6 billion 240 million, down 17% compared with the same period last year. Operating profit was 1 billion 600 million US dollars, down 23% from the same period last year. In the 2016 fiscal year, Chanel group's sales volume was 5 billion 670 million US dollars, down 9% over the same period, and net profit was 874 million US dollars, down by 35% compared to the same period. During this period, the news of Chanel brand spread rapidly until 2017, and the first detailed financial report was established in 2018 for more than 100 years.

The development of Chanel has been blocked. It is not a case. Since 2015, luxury brands have seen a negative growth worldwide. The two major luxury goods markets in the United States and Britain are much worse off than before. According to the fashion business express data, as of the beginning of April 2019, the US retailers have announced the closing of 5994 stores this year, which has exceeded the total sum of 2018. In its report, UBS also pointed out that Skechers, DKNY parent G-III Apparel, CK parent PVH and Ralph Lauren will be severely hit by China based apparel group.

At the same time, the Chinese market has become the main growth point of the luxury market. According to a report by Bain earlier this year, China's consumers account for 33% of the total global luxury goods sales, benefiting from the millennial generation and female consumers, and will reach 46% in 2025. According to the first quarter report of LVMH, Kai Yun and Hermes and other major luxury goods groups, thanks to the effective layout of Louis Vuitton and DIOR brands in the Chinese market, LVMH sales rose 16% to 12 billion 500 million euros over the same period, exceeding the analysts' expectations of 12 billion 200 million euros, an organic increase of 11%. To win the Chinese market has become the rule of luxury brand.

For luxury brands, they must lay down their roles, reduce scarcity, and provide a positive online and offline experience through all channels, which in a way is contrary to the tonality of luxury brands.

Choose the electronic business platform, because it has more advantages.

For luxury brands, brand value is the most important embodiment of their value. This also makes the luxury brand always lack the good impression of the e-commerce platform, because the electricity supplier can easily magnify the adverse effects of fake products instantly, thereby damaging the brand value. At the same time, the electricity supplier also lets the brand lose its unique sense of experience and scarcity. The key to luxury consumption lies in communication. Consumers can book a book on Amazon and request it to be delivered within 24 hours or to buy a pair of Nike shoes with my name, but this is completely different from the mentality of buying luxury handbags.

But today, these luxury brands have to make changes to cater to consumers' preferences, especially the source of their growth power, the Chinese Millennial consumers.

Unlike European and American consumers, Chinese young consumers have not been trained to shop on the brand official website. They are more willing to use mobile devices for shopping on e-commerce platforms. For the generation of digital aborigines of the millennial generation, the smooth and comfortable e-commerce platform shopping experience is more attractive and time-saving and more competitive and advantageous than physical shop shopping.

Insiders said that in a highly socialized era, owning an electronic business platform is more cost efficient and more efficient than opening stores in every potential market. This is the main reason for the changing attitude of luxury brands and the constant entry into shopping platforms such as Jingdong and Tmall.

"Electricity providers do have a certain impact on the scarcity and uniqueness of luxury brands, but if this is where consumers will be shopping, the brand needs to occupy." Ralph Lauren CEO Pateice Louvet said earlier in an interview. Altagamma-McKinsey luxury digital marketing agency has also predicted that the luxury online sales market share will double to 12% in 2020 and three times to 18% in 2025, and the electricity supplier will become the third largest luxury market in the world after China and the United States. "Even Prada, even Ai Ma Shi, can not ignore the potential value of China's electricity supplier domain."

Linking consumers to enhance added value

At the same time, luxury brands are building links with consumers in more ways.

Take Louis Vuitton as an example. In 2018, Wu Yifan, the popular actor and singer, was appointed as spokesperson. At the end of the year, he held a limited exhibition of flight, VOLEZ, VOGUEZ (VOYAGEZ) in Shanghai, and worked with fashion blogger gogoboi to better touch the new generation of consumers in China through H5 interactive games. In the 78 days, she received a total of 270 thousand people.

The protagonist of this article, Chanel, is also spared no effort to grow young consumers. Not only did it show in Chengdu, but also held the beauty store in the flash shop. From April to June, Mademoiselle Priv e was introduced to the Chanel exhibition in Shanghai West Bank Art Center, which created an extremely immersive experience for visitors through a highly similar device and layout with Paris headquarters in France.

Whether it is exhibition or social media and consumers in-depth exchanges, these ways are the media of brand to consumer communication, to help young consumers to contact brand culture, convey brand value and resonate with consumers, and enhance the added value of products.

The transformation of luxury brands, including Chanel, is just like the old Chinese cosmetics brand. In the face of changes in market demand, the transformation of brand is becoming younger. These changes are bound to cause pains, but will bring a better future. On the other hand, China's cosmetics industry is committed to high-end brands while focusing on the three or four line sinking market with huge volume. It hopes to get a slice of the cake to help brand growth. There is a similarity between this operation and the change of luxury brands. The domestic cosmetics brands want to "low level consumers" and do not want to lower the brand tonality. These domestic luxury brand development operations may bring some inspiration to the domestic cosmetics brand.