Cnnic Gao: The price of luxury electricity dealers and the pain of channel

Beijing Time October 10, the only goods will be in the last trading day the contrarian rise 4.42%, each share of 7.79 U.S. dollars, a new stock market since the new high, the market value of 394 million U.S. dollars, beyond Dangdang. Coincidentally, Dangdang CEO Guoqing in the only product will be the market capitalisation of the recent statement, the development of luxury goods electric business prospects do not hope.

This year, online luxury retailing experienced a serious crisis of trust. June, CCTV broke out Dangdang to sell fake Casio watches, and last year, when it was due to brand licensing issues, resulting in its sale of Casio watches, day shuttle watches are illegal. Earlier, Swarovski officials had openly stated that they did not authorize any one of the domestic electric dealers to sell their products, while in the Jingdong, excellent Amazon search, you can still see a dazzling array of Swarovski crystal jewelry.

China Internet Network Information Center analyst Gao that, in addition to the issue of luxury brand licensing, the purchase of electricity dealers doubt, the domestic luxury consumption awareness may have a more profound impact on the development of luxury goods. From the consumer point of view, at present, the domestic popular electric network, no one is relying on low-cost strategy to attract consumers, and as a vertical type of electric business luxury retail website, itself in quality, price there is an irreconcilable contradiction: high prices, although the price of a very good, but also means that the market is small, low price, means lower quality, such as fakes, or outdated products. And from the luxury point of view, these world-famous brands, to enter the electricity market, and how much to maintain a positive attitude? From foreign viewpoint, may bring us some enlightenment.

At the moment, Amazon has been aggressively moving into the market for luxury goods and hiring experts to build its luxury sites, such as Kate (Kate spade), Rebecca Rebecca Minkoff, and other premium luxury brands. But according to Ft Barney Jopson's article, more heavyweight luxury brands are at a respectful distance from Amazon. Jopson has interviewed a number of luxury brands, although online retailing is becoming an increasingly important channel in the retail sector, but these big brands are still hesitant about whether to launch online retailing.

Hugo Boss, the men's top brand, also made clear to FT reporters that any of the branded products sold on Amazon were unauthorized and that they were tightening control over the sales channels. In contrast, McQueen Alexander McQueen's CEO is considering future cooperation with Amazon, but also said that online sales, how to protect the rights of the brand, and ensure the quality of products, will also become an important issue.

The most powerful opposition to luxury online sales comes from Louise Widden (Louis Vuitton). "Amazon will never sell Louise Wei products, because only we can sell!" Louise Widden's chief executive, Yves Carvelle, said, "This kind of direct selling is created by us and I believe it will be adopted by most luxury brands in the future." ”

Amazon is famous for its cheapness, which is contradictory to the sale of luxury goods. Still, these big-name players cannot ignore the partnership with Amazon, which will bring a huge gain to the brand.