Do you think China will keep growing so fast next year? I get this question constantly from a wide variety of luxury brands—in this case, because the dealer has been astonished to receive “calls every day from Chinese customers, offering 30 percent over MSRP if we agree to ship their new Range Rover to Beijing,” which they are not permitted to do.
While this could be an enviable situation for luxury brands, it could also potentially wreak havoc on global inventory management and brand perception if they’re not careful.
Just as dealers of flashy SUVs that have attained blockbuster status in China are struggling to keep pace with assertive and dynamic customers, purveyors of products in all luxury segments around the world saw massive market disruptions in 2013, under indefatigable pressure from Chinese consumers.
Read the full article:
http://www.jingdaily.com/5-predictions-for-outbound-chinese-tourists-in-2014/41339/.
WHAT TO TAKE AWAY FROM THIS ARTICLE:
- I get this question constantly from a wide variety of luxury brands—in this case, because the dealer has been astonished to receive “calls every day from Chinese customers, offering 30 percent over MSRP if we agree to ship their new Range Rover to Beijing,” which they are not permitted to do.
- Just as dealers of flashy SUVs that have attained blockbuster status in China are struggling to keep pace with assertive and dynamic customers, purveyors of products in all luxury segments around the world saw massive market disruptions in 2013, under indefatigable pressure from Chinese consumers.
- While this could be an enviable situation for luxury brands, it could also potentially wreak havoc on global inventory management and brand perception if they're not careful.
