Luxury China report highlights e-commerce trend
Luxury brands have started embracing e-commerce in China, says the Luxury China report released by digital marketing company L2.
It says 91 per cent of luxury brands in China had gone online by June last year, more than double the 43 per cent using e-commerce 12 months earlier.
This comes as Chinese millennials and generation Z are set to become the dominant driver of luxury consumption over the next decade, according to the 2017 Chinese Luxury E-Commerce Whitebookreport from high-end e-commerce platform Secoo and data company Tencent.
The average age of the online shopper of luxury goods in China is now 25, 15 years younger than the average age of European luxury consumers, and 20 years younger than those in the US. These young consumers are stepping up their buying of minority brands – as opposed to high-profile labels – in a quest for more personalised and less mainstream experiences. For example, the streetwear trend has gradually become more mainstream, leading to more young people embracing such brands as Supreme and Vetements.
“Consumers are no longer too loyal to one specific brand, but want luxury brands that speak for themselves,” says a Deloitte global luxury consumption survey about millennium consumers. “They are more willing to pay attention to trendy brands with stories.”
Secoo has announced partnerships with niche brands including Corto Moltedo, Maison Kistune and Mr&Mrs Italy, which has been popularised by a South Korean TV series. Corto Moltedo is known for its entirely handmade bags.
Corto Moltedo and Mr&Mrs Italy have signed exclusive co-operation agreements with Secoo, and all their collections are sold simultaneously across the world at the same prices.