Engaging China’s Affluent Consumers

Chinese consumers account for about one-third of the world’s total spending on luxury, even though only 8% of such consumption takes place on China’s mainland. It is estimated that, by 2025, some 7.5 million affluent Chinese households will be spending Rmb1 trillion (US$147 billion) on luxury goods, this representing a year-on-year growth of 25% since 2016. It is little wonder that China is a top strategic priority for lifestyle and luxury brands.

Luxury consumption in China has been enjoying a rapid increase in the past few years. The parallel import luxury products are more popular in the market and therefore become a threat to local business of luxury brands. Find out more from the case study.