China luxury market

China Insights

Six key trends have been identified in the Chinese import market:
  • Continued trend of increased domestic shopping (vs overseas)

  • Tier 2 and tier 3 cities continue to be the new battleground

  • Consumers expect comprehensive and differentiated service experience

  • Continued importance of online platforms

  • Brand building efforts are more localized and are increasing

  • Gifting is increasing and is more diversified

Based on the market overview and the key trends, we identified main challenges for brands in China in terms of brand building, talent building, after-sales service and client relationship management. To succeed, the companies need to progressively shift focus from land grab/store openings to delivery of consistently great consumer experience.