Pao Principle Study Shows That Luxury Market Has Less To Fear In The Next Year Than Expected
"Tiffany is King" in mainland China, according to Pao Principle. Tiffany opened boutiques in Beijing & Shanghai in 2006
With luxury retailers looking for any good news in a still-tough market, studies by several organizations in recent months have shown that things are a little less ghastly than expected, particularly in Asian and other emerging markets. The newest of these studies, carried out by business consulting firm Pao Principle, indicates that recent spending trends in mainland China should please luxury handbag, watch, and jewelry producers.
From Travel Agent Central:
According to…Pao Principle, almost 90 percent of individuals surveyed had bought a designer handbag in the past 12 months. Unsurprisingly, men accounted for luxury watch purchases at a ratio of almost two to one over women.
Out of those surveyed who had purchased fine jewelry, Tiffany was king, with almost a third of Mainland Chinese who had purchased fine jewelry in the past 12 month turning to the store for their wares. Necklaces were the accessories of choice, with “white gold” reigning supreme in overall jewelry purchases.
Posted in Business, China, Culture, Luxury
Tagged affluence, China, chinese, jewelry, Luxury, luxury market, pao principle, study, survey, tiffany, tiffany & co, wealth
Spanish Luxury Exporters Look To China As New Market For Rare And Expensive Ham, Jewelry
Spanish ham producers are hoping to get their products associated with wealth and sophistication in China
When people think of China — or the eating habits of urban Chinese — they probably don’t think of Spanish ham. But if Spanish ham producers have their way, China will be one of their top markets in coming years. Recently, after years of trade negotiations, Spanish ham was given the greenlight in China, after which they began a marketing blitz designed to get their products associated with wealth, luxury, and distinction among wealthy Chinese. To start off this marketing effort, a Spanish ham tasting event was held recently at Beijing’s LAN Club, one of the city’s most exclusive restuarant/nightclubs, along with a Spanish jewelry modeling show. Additionally, ham producers began a simultaneous effort to woo Japanese residents in China’s major cities, as these consumers — some of the world’s most seasoned luxury buyers — are already familiar with Spanish hams and require less dedicated marketing efforts.
As the Latin American Herald Tribune writes, as for every industry the Chinese market has great potential as a destination for ham producers, but it won’t be easy to convince Chinese buyers to spend top dollar on a culinary product with which they’re not that familiar — particularly in the age of swine flu:
The ham, produced in Extremadura by the Montesano company and distributed in China by the Olivarero Chinese Spanish Consortium, or COCE, was the star of a luxurious and glitzy evening at the distinguished club, although the jewelry of Madrid designer Paloma Sanchez, who has a store in Beijing, was also prominently featured.
“This is an event to launch the ham in Beijing, to see if there’s any demand and position (it) as an exclusive luxury product, for the upper class. Therefore, we’ve accompanied it with the jewelry show,” said Daniel Martin, COCE’s general director and the organizer of the event.
Posted in Business, China, Investment, Luxury
Tagged beijing, branding, China, COCE, extremadura, food, ham, japanese, jewelry, Luxury, marketing, montesano, olivarero, paloma sanchez, spain, spanish, trade, wealthy
Watchmaking Iconoclast’s New Location At Jin Bao Street’s Legendale Hotel Features Decor And Accents Shipped From Paris
Richard Mille's flagship store in Beijing brings an air of bygone Europe to Beijing's Jin Bao Street
Richard Mille, the French luxury watch brand,has just opened a flagship store in Beijing’s five-star Legendale Hotel, according to a company press release. Mille’s fixation with high-tech materials and unique alloys inspired by F-1 motorsport and the aerospace industry, has made him one of the most unusual — and fastest-rising — luxury watch forces in the world, and with the flood of spending we’ve seen in China on luxury goods like watches, cars, wine, jewelry and contemporary art, Beijing’s flagship Mille store should attract the city’s free-spending elite in no time.
[T]he flagship occupies 260 square meters of space at this platinum 5-star hotel that represents European elegance and luxury in the heart of this capital of the People’s Republic of China. With such a prime address and grand interiors, Sparkle Roll Group Limited, the exclusive dealer of Richard Mille in PRC, invested HK$45 million in building this flagship in Beijing.
Posted in Art, Business, China, Fashion, Investment, Luxury
Tagged Art, beijing, China, china market, contemporary art, contemporary chinese art, elite, Fashion, flagship, foreign direct investment, france, french, Investment, jewelry, jin bao street, Luxury, luxury watches, mainland china, mille, richard mille, sino-french, watch, wealth, wine
Strong Demand And Growth In Chinese, East Asian Markets Helps Luxury Jewelry Brands Find New Global Markets
Gold has been a traditional "hedge" in China for centuries
We have written before about the popularity of gold, jewelry and watches in China, and as the figures released today show that the Chinese economy seems to have positive momentum, it is likely that domestic demand will continue to grow for these luxury items. Government efforts to spur increased consumption and lower savings rates look to be at least partially successful, and as a result many global jewelry companies are now putting extra effort into their China outreach and expansion programs.
Today, Diamond Worldlooks into the growing influence of Asian jewelry brands as they become an increasing part of the global market, profiling three up-and-coming Asian jewelers who you might see at a mall near you in a few years: Luk Fook Jewelry, Kin Hung Lee Jewelry and Qeelin Jewelry.
Posted in Business, China, Culture, Fashion, Luxury
Tagged China, diamonds, gold, hong kong, jewelry, luk fook, Luxury, maggie cheung
Buying Trends Indicate Wealthy Chinese Looking For Long-Term Value, Asset Classes That Outpace Inflation
China is a huge and growing market for Sotheby's and other auction houses
JCK looks back at the recent Sotheby’s jewelry auction that took place in Hong Kong, reflecting that the runaway success of luxury goods classes like jewelry/diamonds at that auction shows that Chinese buyers — who were the overwhelming majority in this instance — are continuing to invest in assets that will hold sustainable value. Seeing how these same buyers were more interested in diamonds than Chinese jadeite — which does not have as sophisticated resale markets — it seems pretty obvious that wealthy Mainland Chinese are supplanting the historical role of Hong Kong Chinese as mass buyers of luxury asset classes. This carries over in all classes, recently, from fine wines and watches to automobiles and contemporary Chinese artwork.
Posted in Art, Business, China, Chinese Art, Culture, Economy, Investment, Luxury
Tagged Art, auction, China, chinese, Chinese Art, contemporary art, diamond, diamonds, gold, hedge, hedges, hong kong, Investment, jadeite, jewelry, Luxury, sotheby's, wealth
New Collector Base Starts to Emerge
The Star of the Show -- Patek Philippe Watch Sold for HK$2.8 million (ⓒ Sotheby's)
As the Sotheby’s sale in Hong Kong that I’ve been watching so intently winds down, I was struck today by the strong showing at the watch and jewelry sale, where many of the top bidders were from mainland China. From the frenzied bidding we’ve seen throughout this Sotheby’s series, it looks as though a trend is emerging in which affluent mainland Chinese are — like many non-Chinese — hedging their bets with luxury and art purchases.
Posted in Art, Business, China, Chinese Art, Economy, Investment, Luxury
Tagged auction, China, hedges, hong kong, inflation, Investment, jewelry, mainland, sotheby's, watches