China Luxury Brands Target the HENRYs
Published By : 16 Mar 2015 | Published By : QYRESEARCH
There are several luxury brands in China on an expansion drive that mostly target high earners, not rich yet (HENRYs) category of consumers, and not the overly wealthy class at a time of economic slowdown and an austerity drive by the Chinese government that considers if unfavorable to undertake excess spending at such a point of time. The government is in fact, laying greater emphasis on decreased showy expenditure.
The HENRYs category of consumers believes in the principle of less being more. Majority of the young consumers take pride in their individuality and frown upon the highly prices products in the market. Shopping trends and habits these days are mostly driven by multi brand shopping websites and of course the social media. Retail websites in China include eclectic boutiques, ShangPin.com, Yoox of Italy, and other high end stores such as Galeries Lafayette and Lane Crawford.
Customers in China between the age group of 25 years and 35 years are by far the largest spenders of Yoox. This was reported by Luca Martines who is the director of the International Markets. Martines also added that the consumers were willing to mix and match niche labels and brands with the highly established brands. According to Jing Daily, a web based luxury magazine, 3.1 Phillip Lim and Celine are few of the hottest brands and sectors. Labels such as Michael Kors, Longines, and Tory Burch are quite in demand since they are more or less affordable. However, the more expensive conventional ones such as Gucci, Louis Vuitton, and Cartier are at present witnessing “cold front” from consumers. An industry expert stated that most of the Chinese consumers these days are less conformist and more educated which shows in a way that they mostly opt for overdeveloped luxury brands.