China'S Domestic Luxury Market Will Rise Again This Year.

China's luxury market research released by Bain on Tuesday released by the global advisory body showed that the domestic luxury market had a negative growth last year, the first time Bain issued the report in eight consecutive years. The reason is that the impact of China's fight against corruption continues and Chinese consumers choose more overseas shopping and purchasing. But this report predicts that China's luxury market will return to positive growth this year.

Bain estimated that the total consumption of China's luxury goods market in 2014 was about 115 billion yuan, down 1% from the same period last year, an increase of 2% over the previous year. However, Chinese consumers still have strong purchasing power in the global luxury market, including mainland sales, purchasing and outbound purchases. Their total consumption is about 380 billion yuan, an increase of 9% over the same period last year. It is still the world's largest luxury buyer.

Bain Bruno, a global partner and author of the report, pointed out that in China's luxury market last year, Men's Wear The sales of watches and watches and bags were reduced, while women's clothing and footwear continued to grow strongly. China's anti-corruption campaign continues to advance, making the demand for luxury gifts continue to shrink.

Another obvious change in the domestic market is that consumer preferences are more diversified, and consumers no longer insist on the more expensive and better brand concept. High cost performance ratio And no obvious trademarks and other elements become increasingly important.

Bain recently conducted a survey of 1400 luxury consumers in China and found that 70% of respondents claimed they liked to try different brands and styles. Consumers' preferences for luxury brands such as Louis Weedon, Hermes, Gucci, Dior and so on are declining. Some of the original brands such as Versace, Tiffany and new luxury brands such as Paris family are rising in popularity.

In the 2013 survey, Consumer More attention was paid to key words such as overseas shopping, discount stores and brand logo. Among the key words in 2014, style, fashion and specificity ranked the top. Nearly half of consumers think this is too flaunt, obsolete and vulgar, and the proportion is obviously higher than that of 2013.

Last year, most traditional luxury brands sold in China alone, but only a few brands, such as Chanel, Hermes, Tiffany, still maintained a positive growth. Most brands slowed down the pace of new store expansion in China, and some brands such as Dunhill and Zegna also closed some of China's stores. Bruno pointed out that luxury brands, which focus on fashion or pay more attention to design elements, experienced an upward trend last year.

In addition, the proportion of buying and sending by relatives and friends or buying and buying by overseas buyers is also increasing. In 2014, the scale of China's overseas purchasing market reached 550-750 billion yuan, mainly concentrated on cosmetics purchasing, followed by leather luggage, watches and jewelry. This is mainly due to the increasing number of consumers who are pursuing price realistically and realizing the price difference, as well as the rapid development of professional purchasing agencies and cross-border logistics companies.

Bruno expects China's domestic luxury market to return to positive growth this year, as the purchasing power of consumers is steadily stabilizing, and luxury brands are reinvigorating their sales network and changing strategies to cater to the needs of Chinese consumers.