Glory days over for luxury brands on mainland; analysts say innovation is key. A woman passes a Gucci store in Fuzhou, capital of East China' s Fujian Province, in June. Photo: CFP Graphics: GT International luxury brands are still at low ebb in China, experts noted on Tuesday, though some have managed to break through by means of innovation. Global luxury brands, including Italian fashion icon Gucci and UK-based Burberry, closed nearly 10 shops in the Chinese mainland in the first six months of 2016, the Shenzhen Special Zone Daily reported on July 26. While China's luxury market has warmed up a bit in 2016, it's still far from its glory days of several years ago, said a fashion industry commentator who also works for a French luxury jewel brand. The so-called classic fashion brands, which entered the Chinese market earlier and gained wider popularity, have been hit harder by the industry's downturn, Meng said.
It's very difficult for these labels to recapture their brilliant past, particularly their business peak, which was around 2010-12, according to Meng. What to Consider When Marketing a Luxury Brand. Starting a business provides plenty of challenges and headaches, but when you want to create a luxury brand these challenges become even more pronounced. Positioning your business as something that provides a high-end service or product raises considerations that you otherwise wouldn’t have had to deal with - but if you are successful the luxury market can be a very rewarding place to be.
Here’s some of the key things you need to consider when marketing a luxury brand. It’s Important to Create an Air of Exclusivity and Aspiration... The thing that really sets luxury brands apart is their aspirational nature, and the idea that they are far removed from the mundane and every day. This happened to Burberry when it’s distinctive check became hugely popular, and the brand was a victim of it’s own success. . … But Exclusive Doesn’t Mean Rude or Unfriendly. Abercrombie & Fitch is an example of how easy it is to overtip the balance when creating an luxury brand.
You Have to Justify Your Price. 7 Luxury Brands That Are Worth The Money *IMO | 7 Expensive Brands I Love. Untitled. Luxury Brands Must Develop Their Customer Experience To Survive. Luxury retailers must focus on providing a rounded customer experience, rather than simply flogging goods, if they are to survive the ongoing recession. According to a new report by The Future Laboratory, commissioned by the property company Grosvenor, has found there are five key areas luxury brands must improve to keep their customers happy. 1) Providing one-on-one experiences 2) Micro-events that are highly tailored to suit VIP shoppers, larger community moments that are shared via digital tools and clever event management.
These events are now about much more than pop-up and publicity; they will be highly tailored to suit VIP shoppers. Cocktail parties for 200 people are now old hat - something more intimate such as a sit-down dinner is now en vogue 3) The creation of luxury villages where familiarity and conviviality are key - providing a healthy mix of amenities such as coffee shops on retail streets Burberry Regent Street Store “A personalised experience is the ultimate in luxury. Luxury footwear brand Jimmy Choo boosted by weaker pound. Celebrity-favourite footwear brand Jimmy Choo has posted rising profits and said it expects a weaker pound in the wake of Brexit to further boost revenues and profits.
The luxury shoes and accessories firm, popular with the likes of Jennifer Lopez and Sandra Bullock, said that because only 9.5 per cent of its global revenues are in pounds compared to a larger 28 per cent of operating costs, a weaker sterling ‘will lead to a reported upside in business performance at a revenue and profit level’. The comment came as Jimmy Choo posted a 43 per cent rise in operating profits for the six months to the end of June to £25.3million boosted by a weak pound, as well as growth in China and in its men's coillection. Luxury appetite: Jimmy Choo said it saw ‘impressive’ growth in China, which has been a tough market for its competitors recently While being well-known for its skyscraper heels, Jimmy Choo's men’s line and handbags have also been doing well.