What Happened: French luxury brand Louis Vuitton has been shattering sales marks in China after a strong rebound from the COVID-19 pandemic. Shanghai Plaza 66 is home to the brand’s largest flagship store in China, and according to the local financial information platform Xueqiu, the store will reportedly make $21.7 million (150 million RMB) over August, which is double the store’s typical monthly sales. Louis Vuitton declined to verify the amount, but it’s believed to be a recording-breaking monthly sales number for the China market.
Jing Take: Louis Vuitton’s probable sales record was driven by three main factors. First, the brand hosted its men’s spring 2021 show, which featured a live touring runway show inside a moving cargo container, in China at the beginning of August. Thanks to its new online/offline runway concept, the show generated over 100 million views across various platforms. Second, August 25 marks the Qixi Festival, which is China’s version of Valentine’s day and a nationwide gift-giving holiday. This year, the local press reported shoppers lining up outside the luxury store to purchase gifts for their loved ones. And finally, while China’s economy was rebounding, Chinese consumers voraciously bought domestic goods these past few months, partially due to significant travel disruptions from COVID-19.
The Jing Take reports on a piece of the leading news and presents our editorial team’s analysis of the key implications for the luxury industry. In the recurring column, we analyze everything from product drops and mergers to heated debate sprouting on Chinese social media.