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    Light Luxury Brand, Double 11, Fierce Competition, Low Discount Strategy For Chinese Market

    2019/11/8 9:49:00 0

    Double 11

    It is less than a week since the opening of Tmall's double 11, and there is little time left for Coach.

    Michael Kors, the us light luxury brand, is planning to launch a "war" against the "Coach" of the "seniors". "Attacker" MK has launched more than 1400 product participation activities before the Tmall double 11. The poster on the front page even has a "low to 80 percent off" poster. A package with an original price of 6200 yuan is only 1920 yuan after a series of discounts, even lower than the 2480 lowest historical price of the price parity website. In the face of cost provocation from MK, Coach is also not willing to be outdone. It also hits a "low to 80 percent off" advertising campaign.

    The two American brands with the same price, the same style and the same location belong to the "luxury" brand. They belong to two luxury goods groups. The rapid expansion of China's light luxury consumer market is becoming an interest growth point that can not be ignored in the luxury magnate's earnings report.

    The title of China's "light and luxurious brother" represents the annual revenue of tens of billions or even billions of dollars for the brand. Only two brands, MK and coach, occupy nearly half of the turnover in the Tmall luxury brand luggage market, which makes the competition among the two brands more intense.

    According to the announcement made by both sides, MK announced that Wu Lei and Song Zuer became spokesmen for Greater China, and Coach followed the signing of the popular model Liu Wen in China. Coach, who refused to be outdone, went through the "T-shirt incident" in August of this year, and the brand image in the Chinese market plummeted. Liu Wen unilaterally announced the termination of the contract. In September 11th, MK announced the official opening of Tmall's official flagship store. 10 days later, the Coach of low season also entered Tmall and began trial operation.

    A series of tit for tat moves show that the competition of light luxury brands to Chinese market is becoming more and more white hot.

    Competition has led to a gradual restructuring of the market. According to the global brand department's performance marketing agency forwardPMX, Michael Kors has become the highest proportion of luxury brands online market share this year, accounting for 16.1%, while Coach ranks fourth, behind the luxury brand Ralph Lauren and Louis Vuitton.

    After the Tmall double 11, maybe this "war" will come to an end. The winner will enjoy a short peace and occupy the most profitable and potential young Chinese consumers. The losers will continue to open up wasteland and explore the huge online market.

    Source: United Business Network

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