International retailer opens new business model

Oriental Network March 23 News: According to today's "city leader" reported that in order to "gold" in the Chinese market luxury consumer market, international retailers in direct open shop outside, opened a new business model beaches.

Recently, the US luxury retailer Niman Margo Group announced a non-holding strategic investment in the charm of private e-commerce companies, amounting to $28 million trillion. Through the company, the Niman Margo group will launch an E-commerce site by the end of 2012. In fact, Niman Margo Group is not the first luxury retail company to try Chinese cake, in 2011, the international famous brand network retail partner Yoox opened the second Armani online shopping flagship store in China, Gucci, Coach, Burberry and other international luxury brands are also difficult to reach the lure of China's luxury market, have opened their own brand shop.

"Experience in the United States tells us that online sales are growing, and for young consumers who like online shopping, we see future developments in the direction of luxury E-commerce," said Karen Katz, president and chief executive of Niman Margo Group, saying that more cities in China, more storage and other pressure than traditional open shop , more willing to choose through e-commerce this new model to do the first attempt to enter the Chinese market.

According to a report previously released by Bain, China's mainland luxury consumption rose by 25% to 30% in 2011, and the market was the first to break 100 billion yuan. China's luxury goods trade and consumption is expected to surpass Japan in 2012 years to become the world's first. By 2020 China will be the world's largest luxury market. According to CLSA Asia-pacific CMC, the Investment research group CLSA, the world's luxury purchases will reach $547 billion trillion by 2020, and China is expected to occupy at least 20% of its share.

For international luxury brands, the demand of Chinese consumers and the understanding of China's e-commerce development is the biggest challenge. According to data, as of the end of June 2011, the size of China's online shopping users is 173 million, of which only 1% are luxury net buyers.

It is noteworthy that in the past two years, a variety of domestic luxury e-commerce sites also "everywhere." "Domestic including Jiapin net, gathers the net, walks the network, the Shang net, the only goods meeting and so on nearly 10 business website all has obtained at least one round of investment, the total amount exceeds 500 million." "Insiders told reporters that the core of these sites are luxury discounts, it is clear that international capital in the current volatile financial environment still has a strong confidence in China's luxury consumer market." Yang Yi/Wen