The Sharp Decline In The Number Of Big Stores Is Greatly Affected By Corruption.

Once upon a time, we saw that all kinds of international luxury goods were so high in China. But now, if we look at the current trend of gift giving and the new consumption concept, it seems that the road ahead will be even more difficult.

Over the past ten years, China, with its huge purchasing power, has been the focus of major international luxury brands. Despite the international economic downturn, the Chinese market has maintained rapid growth. In 2012, Bain statistics showed that Chinese consumers became the world's largest luxury consumer group, accounting for 25% of global purchases, while European consumers fell to second, accounting for 24%, while American consumers accounted for 20% and Japanese consumers accounted for 14%.

But at the beginning of this year, a research report on China's luxury goods market released by Bain, a world-renowned consulting firm, showed that in 2014, the luxury market in mainland China dropped by 1% compared with 2013, which is the first negative growth in the company's statistics for the first time in 8 years in 2014.

In the same year, HUGO BOSS, a well-known high-end brand for the public, closed 7 stores in China, closed 6 in Zegna, and closed 4 in Burberry.

An international brand channel trader sighed, "before 2013, I don't need to smile to customers. Because I don't smile, he has to smile to buy my products; but in 2014, I couldn't do it. In 2014, I laughed all over my face, and customers didn't come to buy my product."

The new anti-corruption policy of the Chinese government has stopped the long-standing "gift wave" of government merchants, which has caused a great impact on the domestic luxury market. In 2014, the price of liquor, which was once high, was defeated, and the price cut off the whole industry. It is also a luxury that gives high frequency words.

Among all luxuries, men's wear, men's watches and bags fell the most: in 2014, men's wear fell 10%, up from 2013, and the wrist watch category, which accounted for more than 1/5 of domestic luxury goods consumption, dropped by 13% - its sales dropped 11% in 2013, and slipped 13% again in 2014.

Bruno LAN, a global partner of Bain, said that the number of Chinese officials was mostly male, and their luxury consumption and gifts were greatly reduced due to anti-corruption. This is one of the main reasons why luxury goods are cold in the Chinese market.

With the implementation of the Chinese government's anti-corruption efforts, " Luxury goods How to make China's luxury market development strategy after the "gift wave" is a big problem for the president of the high-end luxury group and the Chinese market participants. But what they need to worry about is not only how to deal with the industrial impact caused by anti-corruption, but also the new consumption view of the rising generation of consumers, the "Henry family".

The "Henry family" (HENRYs) refers to the high income but not wealthy people. The Henry family is in good economic condition and has a large amount of idle money to dominate and has great purchasing power. The Henry family will not be able to buy large luxury goods for several months' wages. It is their favorite to make a little effort to buy and highlight the luxury of life. This "ornamental consumption" is their unique consumption concept. Senior industry insiders believe that the ability of the middle class to buy goods will be severely limited in the future, and the consumers of this group will be the main target of marketing and brand competition.

For the Henry family, the traditional luxury brand is not so popular. Middle-aged consumers may think that buying big brands like LV is a symbol of identity and financial resources. This is also the image of the luxury brand that they love and shape and position. But in the view of Henry's family, this kind of big brand is much older and less close to its own style.

They are following Internet The generation that grew up is sensitive to information updating and has its own unique understanding of fashion and fashion. It is not blindly pursuing big cards, pursuing "iStyle" and "light extravagance". Rather than carrying a popular luxury handbag, in the senior business district and another homosexual "crash", it is better to have a unique niche brand and enjoy the whole audience's attention.

The combination of "individuality", "unique style", "small beauty" and "fashion" and "luxury" is what they pursue. They may wear the British Light scarves and wear small American brands. T-shirt On the French high heels, he sneered at middle-aged consumers who wore LV from head to toe and with a large diamond ring.

According to the research report, more than 80% consumers think that they will buy more designer brands such as Balenciaga, Alexander Mqueen, Roger Vivier, Jimmy Choo and so on over the next 3 years compared with the traditional big names such as LV, GUCCI and Prada. The right to speak for fashion luxury goods is gradually shifting from the middle aged affluent class to the new generation of consumers. The Henry family growing up under the Internet environment is slowly running into middle-aged consumer groups with the right to speak and the new consumption concept.

On the other hand, the Henry family is also keen on all kinds of sea fishing and purchasing. Even buying expensive luxury goods is much more popular than the expensive products of special counters. The mode of "buying and sending to overseas Chinese buyers" has grown rapidly in recent years. In 2014, the scale of overseas luxury purchase market was estimated at 550-750 billion yuan, mainly in cosmetics purchasing, followed by leather luggage, watches and jewelry.

The new anti-corruption policy of the Chinese government has stopped the long-standing "gift wave" of government merchants, which has caused a great impact on the domestic luxury market. "The majority of Chinese officials are male, and their luxury consumption and gifts are greatly reduced due to anti-corruption, which is one of the main reasons for the cold of luxury goods in the Chinese market."