KPMG has launched its sixth annual report on China’s luxury market, conducting a survey of 1,200+ Chinese middle class consumers on their luxury spending patterns and additionally interviewed CEOs and other senior executives for their views on current opportunities and challenges for the luxury sector.
Some key findings are:
• A key highlight of this year’s survey is the increased impact of the travelling Chinese consumer. Our survey notes the number of Mainland Chinese respondents travelling overseas has increased to 71 percent in 2012, from 53 percent in 2008, a significant change.
• A majority of survey respondents (72 percent) said they purchase luxury items during overseas trips, with cosmetics, watches and bags winning the top spots.
• For purchases of cosmetics and perfumes, a majority (60 percent) of respondents said Hong Kong, Taiwan and Macau were their top locations; this is a significant increase from 43 percent in 2009. Mainland China was voted their second choice,whilst Europe also saw a marked increase due to the rising number of travelling Chinese, up from 3 percent in 2009, to 20 percent in 2012.
• Chinese consumers are increasingly engaging via online forums in discussions around luxury brands; our data shows that around 70 percent of potential consumers search for luxury brands on the internet at least once a month. Additionally, it also notes a surge in online shopping intentions, with 40 percent of respondents indicating they are interested in purchasing luxury goods on the internet, a substantial increase from 22 percent in 2011.
Via Jerome Goldberg (JMG-Research)