Week In Review: July 21-25, 2014

In case you missed them the first time around, here are some of Jing Daily’s top posts for the week of July 21-25, 2014. McKinsey's 2025 Luxury Forecast: China’s Cities Hold Key To Growth According to the consultancy’s recent paper called “The glittering power of cities for luxury growth,” six out of seven new cities that will be added to its list of the top urban centers for luxury growth between now and 2025 are located in China. These include not only Hong Kong and first-tier Beijing, Shanghai, Guangzhou, and Shenzhen on the mainland, but also the lower-tier Tianjin and Chongqing. Chinese Media Questions Luxury Brands' Sky-High 'China Prices' In 2013, Chinese consumers spent approximately 600 billion yuan (roughly US$96 billion) on goods overseas through Haitao.com, shopping agents, and shopping tourism. It is widely believed that the main reason for China’s outflow of domestic demand lies in the domestic-foreign price difference, and that sky-high tariffs are the culprit of steep luxury-goods prices. Recently, Chinese media decided to ask, “Why are China’s tariffs so high—or are they really?” 3 Reasons There’s ‘No Time To Waste’ In China’s Luxury E-Commerce Market Many luxury brands have been slow to jump on the e-commerce bandwagon, despite the fact that more than 50 percent of Chinese internet users shop online and online sales are expected to comprise 9 percent of total Chinese consumption in 2014. Some companies are concerned that e-commerce may dilute a brand’s high-end image, but a new paper on luxury e-commerce in China by Exane BNP Paribas called “China Reality Check: Luxury and the Online Boom” argues that this assumption needs to be set aside. China's Wealthy Flock To Australia For Bespoke Vacations After being named the most popular tourist destination for Chinese travelers on recent surveys by both Hotels.com and the Hurun Report, Australia has set itself apart as a bonafide hotspot in China’s booming outbound tourism industry. One company that has experienced this trend firsthand is Changyouaozhou (畅游澳洲, in English means “smooth travels in Australia”), an Australia-based tour operator that specializes in planning trips for Chinese high-net-worth individuals (HNWIs). In order to learn more about why Australia is so popular with China’s well-heeled travelers and what it takes to impress them, we talked to Changyouaozhou Founder and Director Miranda Lu via email. Tmall Goes Social With Brand-Tagging Mobile App The addition of “brand tags” onto users’ pictures on social networking isn’t exactly a new idea—apps such as Pinco and Nice were built around such features for users to place tags on what they’re wearing. Despite their popularity, neither of those apps were linked to any shopping platforms. Enter e-tailer giant Tmall, who rolled out its version of social networking replete with its own brand-tagging capabilities. Named “FUN” (fan’r, 范儿 in Chinese) it allows users to upload photos of themselves and place brand tags on them. Tapping on these tags brings users to a brand page, where the brand’s product page can be accessed.

Week In Review: July 21-25, 2014

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Published July 25, 2014

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Week In Review: July 21-25, 2014