Welcome to Jing Daily’s China Luxury Brief: the day’s top news on the business of luxury and culture in China, all in one place. Look below for the top industry news from February 3, 2014.#
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Today’s stories:#
Fashion World's Love For 'Migrant-Worker Plaid' Draws Ridicule From China's Net Users#
“As millions of Chinese migrant workers head home to see their loved ones for Spring Festival this week, many of them are touting oversized plastic travel bags with a distinct plaid pattern that is typically considered anything but high-end fashion. However, the ubiquitous print has cropped up somewhere else this year—on the runways of top global fashion designers."
China’s Wealthy Open Minds To ‘Experiential’ Luxury#
"A new report called 'Shock of the New Chic: Dealing with New Complexity in the Business of Luxury,' takes a look at the rise of 'experiential' luxury among the world’s wealthy. Rather than buying handbags, watches, and jewels, a growing contingent is becoming more interested in things like 'exotic holidays, gourmet meals, and art auctions.' According to BCG, experiential luxury now accounts for 55 percent of all luxury spending worldwide, and is growing at 14 percent annually."
What we’re reading:#
Pulling Mercedes Out Of A Chinese Ditch#
“Daimler has much to repair in China. Until recently, it was selling cars through two distribution networks that competed against one another. Its after-sales service scored poorly in surveys by J.D. Power, while analysts say the cars were too richly priced and then had to be heavily discounted. On top of it all, Mercedes is often viewed as an old person's car, unlike the more fashionable BMW or Audi, says Macquarie's Janet Lewis."
[WSJ]
Watchmaker Bremont Takes Its Own Time With Move Into China Market#
"'Many mainland people come to Hong Kong and shop, and we make sure they go home and know Bremont,' English said. 'It is silly to miss China, a market so important that one has to do it correctly.'"
[SCMP]
Luxury E-Commerce Site Sees Education As Path To Mainland China#
"AHAlife, whose tastemakers include Wendi Deng and Lauren Bush, will expand to the mainland early this year, planning to launch a local business that offers niche brands of luxury products to tap into the rising affluence of Chinese consumers."
[SCMP]
Kate Spade Gears Up For Growth#
“China and Southeast Asia have been our most productive stores, yet there’s a small number of them. There’s big opportunity for expansion.”
[WWD]
‘Best Value’ In China: Sommelier Hans Qu On His Three-Month Wine Trip In Chile#
“Chilean wine has a very good reputation in China. It is the best value, and in the future Chilean wine has a very good market in Asia. If just one percent of the Chinese population drink wine every week, the whole of Chile would have to plant vines everywhere – on the rooftops even!”
Hotels In China Come Up With Creative Ideas To Boost Business#
"Hotels in China are not only providing accommodation to world travelers, but have upgraded their services to function as a social hub by providing various facilities and housing unique restaurants, bars and art galleries as part of their efforts to boost business, reports the Chinese-language Global Entrepreneur magazine.”