Chinese shoppers have been lured away from Hong Kong, leaving retailers there reeling from  plummeting sales while luxury brands boom in the UK.
As growing numbers of Chinese tourists reach the shores of the UK, they are showing a marked preference for in-store luxury shopping experiences, according to VisitBritain.
Tourism numbers soared 37 per cent in the first nine months of last year, making China one of the UK’s fastest-growing tourism markets. And this year, the UK relaxed its visa policy for the Chinese – in time for the Chinese New Year holiday.
Shopping is a major attraction for the tourists, notes VisitBritain, with many Chinese seeking out iconic European brands.
“Chinese shoppers in the UK have a predisposition for luxury European and British heritage brands such as Barbour, Burberry and Mulberry,” says Elizabetta Camilleri, an MBA graduate from London Business School who set up SalesGossip, an online mobile service curating fashion and beauty promotions. “The major reasons behind this include the lower price and tax of branded items in the UK relative to Asia.”
An in-store experience is pivotal for Chinese consumers shopping abroad. “Chinese shoppers don’t travel all the way to Europe for street items,” says Camilleri. “They value the VIP luxury experience, such as personal shoppers and premium delivery services.”  
Nevertheless, Chinese consumers are price-sensitive and savvy, she says. Bicester Village, a retail outlet near London, has become second to Buckingham Palace as an attraction for tourists from China.
“Unlike many consumers in the UK who treat shopping as a regular hobby, Chinese shoppers have great incentives to buy if there is a discount, explaining the popularity of outlets. The price range at the village satisfies their desire for designer brands at an affordable price.”
Mall-based shopping also allows Chinese visitors to access many brands in one place. Camilleri notes that Chinese tourists often take group tours that include a visit to a “convenient, large, premium-shopping district”.