The changing luxury retailing market in China
Recently I sit down with Bertrand Pellegrin, president of b. on brand and author of the book “Branding the Man: Why Men Are the Next Frontier in Fashion Retail” for a conversation on global retailing trends. We had both just finished reading KPMG’s Luxury Experiences in China report and the Economist article on Retailing in China titled “Walmart v Wumart”.
We recorded the following short Q&A about the subject. Hope you enjoy our converation.
Key points made during our conversation include:
Chinese luxury consumers are in transition. They are constantly evolving and going online to learn about new brands faster than ever before.
China is the second largest apparel market in the world, by some estimates approaching 200 Billion dollars by 2014.
Up until recently, luxury brands is simply about the ownership and display of the big brand labels such as Loius Vuitton which was the first foreign luxury brand in China.
That is now changing as they are now more aware of the luxury experiences, and luxury stores are investing more in areas such as store design and associate training to accomodate the new expectations. Employee training is still a challenging area for the luxury brands in China.
According to Bertrand, the opportunities for brands is around education. Chinese luxury consumer are growing to be connisseurs of luxury. They wants to know about the history, the design and the details of products in order be able to discuss it in social surroundings. Areas such as wines and watches are key areas for luxury and it is a trend applicable to many parts of Asia.
Please feel free to post your comments. Bertrand can be reached at http://www.bonbrand.com