Getting traction from Chinese consumers is increasingly becoming harder for brands. Prada has been investing in its relationship, but has a hard time to become relevant again for their key consumers, says retail analyst Ben Cavender to CNN. CNN: China is one of the world’s biggest markets for luxury goods,
Much of the speculation on China’s economic and also political future focuses on the emergence of a middle class. But whatever you call “middle class” in China, is very different from the middle class in the US, warns business analyst Shaun Rein in CNN. In China everybody wants to be rich.
Previous darlings of the luxury industry like Louis Vuitton, Gucci, Omega, Versace and Hugo Boss are out of grace, as the country’s really rich focus on high quality, the real stuff, in stead of those parvenu brands. Hurun founder Rupert Hoogewerf explains in the China Daily what has changed.
Chinese new year is nearing fast, a traditional gift-giving season. Most of those luxury gifts from China’s rich are foreign, European to be precise, says a study done by Hurun, the research company founded by Rupert Hoogewerf, reports the China Daily. Only Chinese liquor moutai makes it into the top-10.
Prada is not doing as well as Gucci and Louis Vuitton in branding themselves, and Shaun Rein tells at CNBC why he would buy their suits, but not their shares. China might be skipping import taxes on luxury goods for stimulate sales, so having a decent retail operation in China is crucial.