Have you thought about bringing your Contemporary brand to Asia?
I am working closely with a well connected successful Chinese-American entrepreneur who has successfully launched American brands in handbags, belts, accessories and apparel in high end Chinese department stores and high end Japanese stores. I recently met up with her in Beijing and Tianjin to visit some of the stores has launched American brands in. (The smog in Beijing/Tianjin was horrific but that is another blog post) The American brands are successfully selling more per square foot in China than in USA department stores.
China is an incredible emerging luxury market. If you follow any fashion news such as businessoffashion or WWD I am sure you have read about this trend in the past few years.
“One of the most exciting findings is that by 2018, in the next five years, based on our predictions and based on how fast the region is growing, Asia Pacific will be the biggest region in the world for luxury goods,” Fflur Roberts, the head of luxury goods research at Euromonitor, told BoF. “This is predominantly due to China, but also the emerging Asian markets like Malaysia and Indonesia. India is also a major contributor.” - BOF.
|Depart store in Tianjin, China where we have brought USA brands.|
If you are looking to take your brand to overseas markets or just want to explore the ideas please do not hesitate to contact me. The way the business works in China and other parts of Asia is different than in the USA. Its more about who you know and a partnership with the department stores when it comes to successfully launching your brand in China and or Japan
Luxury goods cost more in China than in the USA because of high duties and import taxes. For example the retail price of a Coach bag in China is about double the cost in China as it is in the USA due to high value added taxes. (Yes, I visited several Coach and other stores in China) and did the math. However Chinese are willing to pay the high luxe prices as seen by the new Michael Kors and Coach stores popping up all over China. Young Chinese consumers are willing and able to pay high prices for luxury goods.
“Rising demand for affordable luxury in developed markets is also linked in part to the industry’s strategic obsession with China,” she added. “Retail prices of many European luxury brands have risen sharply over the past year as part of a deliberate plan to align more closely with China, where heavy import duties push prices up. The rationale is that higher prices in Europe will encourage Chinese consumers to do more of their luxury shopping at home rather than on foreign trips.” - BOF
|Inside department store in Tianjin, China|
There are more millionaires per capita in China than anywhere in the world. Young middle class Chinese professionals will spend half their monthly income on clothes and luxury brands more than Americans. How they look on the outside and brand names are much more important to them than in the USA. In Beijing and other major Chinese cities you will see women riding a rusty old bike while carrying a Prada bag. Its not like anything I have seen in the USA or even Italy! Chinese women spend more on their handbags and fashion brand than the inside of their homes! They love brand names and they love American brands.
|Chinese women shoppers in Beijing|
If you have a contemporary handbag, small leather goods, belts, fashion accessories or apparel line and are interested in getting your brand in high end Japan and China department stores, please contact us. We are looking for both contemporary men's and women's collections in moderate to better price points. For me info please us me at firstname.lastname@example.org or call 310-994-9624
Some of the stores we work with include, but not limited to: