Chinese new luxury buyers have gain favor with luxury goods sales in digital platform in China recent years. China now is not just only the biggest luxury goods buyers in domestic market but also the worldwide Luxury goods spenders. There are two main platforms that Chinese luxury goods buyers buying for their favorite brand—internet (mobile devices is particularly becoming the most popular method for buying goods online in China) and overseas and with 2% super rich Chinese consumed 1/3 luxury goods globally.
Why digital is important to many luxury brands lovers in China
Many sophisticated luxury brands have been forced to go with digital marketing plan in China. However, instead of by saying ‘force’ I prefer to say that is the trend for luxury goods development in developing countries. Besides China, other developing countries like Brazil, India and Southeast Asia has also huge Luxury goods lovers nowadays according to Times.
Because of Chinese anti-corruption of new customer, recently, more than 70% of luxury goods purchased by Chinese flew into overseas, small amount of luxury goods spending on retail stores in China domestic market. It has even decreased 2% compare in 2018. Although China will open Tax-free zone in Hainan city, however, this will not satisfy for luxury buyers in China.
This is main reason that Luxury brands have to develop their online market in China. With online digital marketing strategy, it allows brands to avoid a lot complicated policies from Chinese government. Besides, online digital is the perfect business strategy breaks the barriers of geographically and demographically.
Secondly, another prominent trend is that Chinese online shoppers are rapidly increasing. E –commerce is the most business platform in China. And with mobile device users for shopping online, which accounts the 55% of total online shopping netizens (KPMG) This number clearly demonstrates that brands need to focus on their online marketing for Chinese strategy.
Young Chinese luxury buyers are enjoying the digital world in China
Chinese luxury buyers are increasing fast from a class that is having wealth at younger age (age at 20-30); this group of people is familiar with everything about the digital, they like to check luxury brands online, especially the interactive luxury campaign will have more attention from the netizens.
On the other hand, buying luxury goods online from domestic to overseas and this is no longer berries for them! Instead, they are more likely to buying things online, because the latest fashion garments will have online shop than retail stores, especially for those overseas brands which doesn’t have a big flagship store in China.
Luxury brands can gain benefits by accessing big data from internet and it is easy to capture their target group from many digital platforms. In addition, it is reducing the gaps between brands and customers in terms of the education of customers and luxury brand’s information illustration. And also, digital makes luxury brands connect luxury goods lovers deeply so that the purchasing behavior comes more emotional rather than rational.
Digital enlarge the opportunities for luxury brands to reach luxury buyers
As we know some of luxury brand like Burberry has continually adopt its digital strategy season by season, and what’s on for their digital promotion at Christmas time? In Paris, Burberry puts digital twist into the window display which allows customers to use their mobile to do interactivity. Meanwhile, the campaign embedded Burberry “postcard“ into the mobile camera for campaign promotion in a creative way.
The Luxury goods business has rapidly changed recently years and it has already adapted in expectations of brands that offers dynamic marketing strategy, especially digital and social media strategy. Besides the case above, some of big luxury brands like YOOX and Hermes that also had great digital campaign in terms of the digital trend.
Digital also steps into luxury and high fashion worlds to attract potential customers
Did you know in China, Even Apple also wants to execute itself into a luxury brand image, they have been working with Vogue China to promote its upcoming season’s product Apple Watch so the watch can be recognized as a high fashion accessory to attract Chinese luxury buyers. The campaign is seeking a symbol of luxury Louis Vuitton and Coach for Chinese customers
Even though the digital helps luxury brands to reach the most of Chinese luxury buyers, however it still have a long way to go in regards to reaching Chinese luxury buyers in both shopping experience and integrating the online activities to physical offers. But it is no doubt that you will see more significant luxury brand engagement in digital word and increasing number of luxury customers buying luxury goods in digital word.
Contact our agency to build your fashion & luxury brand strategy
To see more sight of Chinese marketing, please see our marketing experts in Gentlemen Marketing Agency for your digital marketing fashion business. Our team has exeprience and is passionated about China, fashion and marketing. Contact us here on our website; if you just want to know more about fashion brands in China, if you are a fashion brand or a distributor looking for new customers. We can help you set a proper strategy for fashion brands on the Chinese market.
Our services for fashion & luxury brands in China:
- Visibility & E-Reputation
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Very nice post! Feel like digital and luxury are endless subjects, the way it evolves each year is impressive.
Every year? Did you mean every 3 months 😂?
Keeping up with the evolution of digital marketing in China requires to adapt and change your strategy/plan constantly.
It can be frustrating at times, but this dynamic is also what makes China so vibrant and interesting.
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Thanks and best of luck.
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