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    Luxury Industry Market Analysis: 80% Of Luxury Consumption

    2019/7/18 13:36:00 4

    Luxury Goods

    China's luxury consumption growth ranks first in the world, and the average consumption of luxury goods is two times higher than that of the global market each year. In the growing Chinese luxury consumer market, the post-80s consumers are at the peak stage of personal business and income. They have economic strength and spare time for luxury consumption. Luxury goods, as a significant sign of personal success, have become the main force of luxury consumption in China. "Post-90s" consumers have injected new vitality into the Chinese luxury market to shake off stagnation, and will become the main force of China's luxury consumption in the foreseeable future.

    China's luxury consumption accounts for 1/3 of the world's total.

    With the steady growth of China's economic growth, there is no weakness in the luxury consumer market, and China's luxury consumption continues to show a trend of growth. According to McKinsey's survey data, in 2018, Chinese luxury goods consumption reached 770 billion yuan, accounting for 1/3 of the total global luxury consumption. The average household spending on luxury goods consumed nearly 80 thousand yuan for luxury goods. Over the past 2012-2018 years, more than half of the global luxury market growth has come from China, and the prospects for China's luxury goods market are very broad.

    According to McKinsey's research data, China's "post-80s" group is becoming the main driving force for the development of China's luxury goods market. In 2018, about 10 million 200 thousand of the "post-80s" consumers bought luxury goods, accounting for 43% of the number of Chinese luxury sellers, and more than the total consumption of luxury goods in China. At present, the "post-80s" consumers are at the peak stage of personal career and income. They have economic strength and spare time for luxury consumption, and luxury goods as a prominent sign of personal success.

    The "post-90s" consumers have injected new vitality into the Chinese luxury market to shake off stagnation and will become the main force of luxury consumption in China in the foreseeable future. In 2018, "post-90s" consumers accounted for 28% of China's luxury consumption. The "post-90s" consumers have an open mind and a broader vision. They are open to new things and experiences, and the consumption concept is mostly "moonlight clan", and most of them are single children. They have more economic support from their families and have stronger consumption desire for luxury goods.

    80% preferred brand stores to buy, online sales future larger space

    In the luxury market, Chinese consumers are relatively new faces, accepting luxury related content through various channels and striving to become a senior player in the luxury market. According to McKinsey data, luxury buyers spend 3-5 hours per week receiving luxury related news, and each consumer regularly visits luxury goods consumption by about 16. In the new media era, consumers can collide with luxury goods through multiple contacts such as electricity suppliers, stores, official websites, social media, etc., and traditional advertisements alone can not arouse consumers' interest. At present, offline official channels, key opinion leaders and e-commerce platforms are the mainstream channels for consumers to get luxury information. In the survey population, the three channels accounted for 99%, 94% and 96% respectively.

    In the offline sales channel, luxury sales include brand stores, luxury shopping center counters, duty free shops and outlets outlets. After 65 and 70, there is more preference for high-end shopping centers. Because there are more luxury goods counters in advanced shopping centers, they can be more selective. The purchase of luxury shopping centers is the most convenient and convenient way. After 80 days, shoppers bought the brand as the main way to enjoy personalized shopping. After 80 years, they were easy to be captured by good shopping experience. After 90, they preferred duty-free shops and outlets.

    Compared with other industries, the online performance of Chinese luxury goods is lagging behind. The main reason is that online shopping for luxury goods can not enjoy the shopping experience. The satisfaction brought by online shopping luxury goods is not strong from offline purchase. Besides, the number of consumers, the impact of imitation and the authenticity of luxury products are also one of the main reasons why consumers are unwilling to buy online. According to McKinsey data, luxury consumption in China accounted for only about 8% of the total consumption of luxury goods in 2018. With the continuous penetration of the Internet and the entry of consumers in three or four line cities, the online luxury consumption regulation will increase to 2-3 times in 2025, accounting for 12% of the total consumption of luxury goods.

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