Embarrassment Of Luxury Prices

According to the survey, at present, China

High and low price of luxury goods

Buyer Miss Chen has made a comparison: China's shopping malls are generally more than 50% of the international luxury brands.

Similarly, a famous brand bag buys 4500 yuan in Beijing and sells for only 200 dollars in Chicago. Even in Taobao store, the price is cheaper than 1/3 in the domestic market. The same brand tie is bought in Beijing for 1300 yuan, while in New York, it has been discounted for 50 dollars for sale. Compared with the same quality Cartire diamond ring, the price difference between overseas and domestic is 70 thousand yuan.

Stateside,

Similarly, taking clothes as an example, Miss Zhang, who studied in the United States, said with deep feeling that it would be more than 1000 yuan to buy clothes in the country at home. In the United States, unless you buy brands such as LV or ARMANI, it is not easy to spend $more than 1000 at a time, like CK and DKNY.

Moreover, foreign stores are keen on discounts, and at a discount of 40%, they are appalling.

In fact, the number of luxury brands in the country of origin is far less than the number of stores in China or other Asian countries. These luxury brands are closed by one after another in Europe, but in Asia, especially in China, there are one after another.

On the way of consumption, although the major brands are striving to narrow the price gap between the Chinese market and other markets, the overseas consumption of luxury goods still accounts for 56% of the total share price. The low price and the wider choice of products are still the two most important reasons for overseas purchase, and the most expensive ones are expensive watches, jewelry and fashion.

Luxury market will not shrink

The report from overseas authorities can not help us to be impressed by China's future luxury consumption market.

According to the analysis, there are six important trends in China's luxury market: domestic purchases continue to increase; two or three line cities become the "new" battleground of the luxury goods market; consumers expect to have a comprehensive differentiated service experience; the importance of online platforms has steadily increased; luxury marketing has increased Chinese elements; as a gift, it has increased and diversified.

Bruno Lanna, partner of world-renowned strategy consulting firms Bain, believes that the accelerated growth of China's domestic luxury market began in the second half of 2009, when the market size reached 68 billion 400 million yuan, while all kinds of luxury products in 2010 showed strong growth momentum, and the RMB market scale increased by 23%.

This seemingly small number has risen to the forefront of the world.

The report of France's Paris Peregrine pointed out that China has entered the initial stage of luxury consumption.

The agency estimates that China's middle-income families will reach 100 million in 6 years, and the average household assets will reach 620 thousand yuan.

Analysts believe that with the rise of the middle-income class, China's consumption rate will continue to rise, it is expected to rise from 58% in 2002 to 65% in 2010 and 71% in 2020, close to the level of developed countries.

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Addressing differences will face challenges.

Why do Chinese people show such strong consumption ability to international brands and luxury goods? This shows that China's economic strength is growing, people's consumption level is becoming more and more internationalized and high-end, but on the other hand, it shows that

Such a market price differential should be said to be normal in the international market, but it is not fair for China.

The reason is that the current tax system is divorced from international rules.

Yao Jian, spokesman of the Ministry of Commerce, recently responded to the question of "domestic luxury prices higher than overseas" at a press conference of the Ministry of Commerce.

One reason, he said, is that China has a higher rate of comprehensive import tax on some brands.

With the improvement of domestic consumption level, luxury consumer goods are now becoming the ordinary consumer goods of the middle class of the masses. Therefore, the formulation and system of policies are also facing challenges.

To solve these problems, we need to further create a good domestic distribution operation environment for foreign invested enterprises, especially foreign-funded operation enterprises.

At the same time, foreign brands should also give a fair and reasonable price positioning to the Chinese market.

The price of the Hermes counters in Paris is about 64 thousand yuan, which sells for 100 thousand yuan at home.

The price difference of 30 thousand yuan makes BIRKIN customers feel bad.