Jing Daily and Carat Report Details Characteristics of Traveling Chinese Luxury Shoppers
China’s New Luxury Consumers: A Frontier Worth Planning For.
As China’s luxury market matures, Chinese consumers are becoming increasingly diverse in terms of their travel shopping, tastes, attitudes, lifestyles, spending habits, brand preferences, and consumption of media.
In “China’s New Luxury Consumers: A Frontier Worth Planning For,” a new report released in a cooperation between Carat and Jing Daily, Carat has defined five key Chinese luxury consumer segments through its survey of over 10,000 respondents between the ages of 18-50 and located in China’s leading urban centers. All respondents are in the top 15th percentile in terms of income.
The report features in-depth studies of the five segments, tracking their travel habits, use of social media, spending on luxury e-commerce, consumption of digital media, favorite brands, susceptibility to advertising, attitude toward luxury, and much more.
When it comes to travel spending, the five segments are highly differentiated in terms of whether they buy luxury abroad, with certain segments doing a much higher portion of their luxury spending overseas than others. Below are a few statistics on each segment’s travel spending:
The Aficionado: With high knowledge of luxury and an individual sense of taste and style, this segment represents China’s trend-setters. A total of 40 percent have bought luxury overseas, while 55 percent have purchased in Hong Kong, Macau, or Taiwan, making this group the most active segment of overseas traveling shoppers.
The Epicurean: Obsessed with luxury, the Epicurean segment is led by fads and always searching for the latest trends on social media. In contrast to the Aficionados, a total of 31 percent have bought luxury overseas, while 53 percent have purchased in Hong Kong, Macau, or Taiwan.
The Bling King: With low knowledge about luxury yet a high desire to impress, this segment is all about conspicuous consumption and sees luxury as a status symbol. This group is all about short-haul shopping trips, as 66 percent have purchased luxury in Hong Kong, Macau, or Taiwan, but only 26 percent have bought luxury overseas.
The Skeptic: Unlike the Bling King, the Skeptic sees luxury as overrated, yet puts high emphasis on quality and craftsmanship. Only 23 percent have shopped overseas, and 56 percent have shopped in Hong Kong, Taiwan, or Macau.
The Aspirant: The emerging segment of the group, aspirants love luxury but have little knowledge of brands, yet are eager for more information. These are local shoppers—only 6 percent have gone overseas to shop and 17 percent have done so in Greater China.
“When combined with details on each segment’s digital media consumption preferences, attitudes toward luxury, and more, Carat’s statistics on travel spending can help brands determine global retail strategies and reach their key customers in China at a time when the luxury market is becoming increasingly differentiated,” said Larry Warsh, Founder & Publisher of Jing Daily.
“Rising numbers of middle-class consumers are incorporating luxury products in their lifestyles. This young generation has an unprecedented level of disposable income, and their brand preferences are shaped through international travel and access to a diverse range of information sources,” says Derek Huang, Head of Business Sciences, Strategy & Innovation at Carat.