The sales of personal luxury goods in China have increased by 36% to approx. $73.6% billion(471 billion RMB) in 2021. China is expected to be the world’s largest luxury by 2025 (Bain-Italy luxury institute global luxury report, 2021). With this growth rate, the Chinese domestic market accounts for a further increase in the total global luxury goods consumption proportion.
In China, the POST-90s generation has gradually become the main force of luxury goods, reaching 50% of the market consumer population. It will continue to maintain a consumption growth of 25-30% by next year (TMI X BCG 2021 Luxury consumer research).
Millennials and GenZ are more likely to be influenced by recommendations from surroundings such as relatives and friends, which stimulate their purchase desire. They pursue more CREATIVE and INTERACTIVE BRAND CONTENT while mainly relying on the ONLINE PURCHASE CHANNEL.
To cater to the digital-savvy young generations, leading luxury brands keep taking more engaging digital activities in China. LOUIS VUITTON recently has designed various inspired mini-program malls to interact with the local consumers in more customized online interesting ways. The diversified online mall design enables the brand to provide young customers with enhanced digital shopping experiences. During special occasions like the QiXi festival (Chinese’s Valentine’s Day), the British luxury brand Burberry launched the branded emoji within WeChat featuring its lovable virtual character. Prada has taken a further step on its WeChat mini-malls to Livestream its latest pop-up for Prada Mode Shanghai and generate social buzz.
The ever more digital engaging activities showcasing global luxury brands’ dedication to the Chinese market drastically rocket its brand engagement and expose them to the houses’ rich history in interactive ways.
