This document proposes a new business that will act as a portal between China and the UK luxury market. The business will be an omni-channel retailer and e-tailer selling British luxury brands. It aims to attract young Chinese luxury consumers by providing an authentic luxury experience and eliminating the need for daigou agents. The business will use eCommerce, mobile commerce, social media, and a retail store to interact with customers. Products will focus on British womenswear, menswear, shoes, and accessories to highlight British heritage and craftsmanship.

1. 54
A new multi-branded luxury concept store and
e-tailer, the concept behind this business will
be to attract and maintain a loyal following of
young Chinese luxury consumers globally. This
will be achieved through providing a highly
valued luxury experience and unique product
offering. By acting as a portal between China
and the UK luxury market, this eliminates the
need for daigou agents, and resultantly will
bridge the gap between grey market channels
to provide authenticity and trust.
This business will adopt an integrated
omni-channel approach through eCommerce,
mCommerce, social media and a retail store.
Online strategy will enable this new business
to keep in contact and maintain this consumer
base while the concept store will act as a hub
for the community of travelling loyal luxury
shoppers.
As authenticity is a key driver for the Chinese
to travel for luxury products (see chapter 3.2)
and culture is intrinsically important (primary
research findings have shown that the young
Chinese luxury consumer is primarily attracted
to London for the culture (see Appendix 12),
the brands stocked will be British. This will also
be the unique selling point as currently there
are no other retailers with this model targeting
predominantly the Chinese consumer base.
Commission will be earned as a platform for the
British brands; this will eliminate distribution
and sales costs, allowing more time and mon-
ey to be focused on marketing, and selling this
concept through an effective online strategy.
Product selection will include womenswear,
menswear, shoes and accessories.
“FOR BRITISH BRANDS LARGE AND SMALL,
HIGHLIGHTING HISTORY, HERITAGE,AND “
BRITISHNESS” HELPS THEM STAND APART FROM THE FRENCH OR ITALIAN BRANDS
THAT HAVE FLOODED THE CHINESE MARKET IN RECENTYEARS.
MORE SOPHISTICATED CHINESE TOURIST-
SHOPPERS ARE NOW LOOKING FOR DIFFERENT BRANDS WITHOUTA LARGE FOOT-
PRINT BACK HOME,WITH A PARTICULAR FOCUS ON QUALITYAND CRAFTSMANSHIP.
THIS IS PARTICULARLY BENEFICIAL FOR BRITISH BRANDS, MANY OF WHICH ARE LESS
WELL-KNOWN IN CHINA AND THUS LESS LIKELYTO BE CAUGHT UP IN THE
ONGOING ANTI-CORRUPTION CRACKDOWN THAN THE LIKES OF GUCCI OR LOUIS
VUITTON”
(Booker, 2015b).
5.2 Business Model
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Fig28
103
SHOP STYLE TRAVEL ICON CULTURE
AVANT
G A R
D I A N
AVANT
G A R
D I A N
SHOP STYLE TRAVEL ICON CULTURE
新奢侈
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新奢侈
8.4 mCommerce
SHOP
Menswear
Womenswear
Shoes & Accessories
STYLE
Tips from brand ambassadors
TRAVEL
Education on new places to travel, information
about Covent Garden
ICON
Micro influencers
CULTURE
British culture today, an insight into
London’s fashion scene
Fig62 Fig63
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12.0 Future Opportunities
In the future there is an opportunity to operate through one of
China’s well-known retail platforms such as Shangpin, Koudai or
Tmall Global. However without built presence in China, this will
only be possible once established (see Appendix 25).
Store expansion globally is also a viable proposition for the
future,locationsinluxurymarketssuchasParisandNewYorkwould
present the traveller more touch points with the brand, which will
raise additional awareness.
12.1 Stage 1 Aim
TO UNDERSTAND WHETHER THE LUXURY CONSUMER WILL
EVOLVE IN THE FUTURE AND TO RECOGNISE ANY POTENTIAL
OPPORTUNITIES THIS WILL HAVE ON THE GLOBAL
LUXURY MARKET
12.2 Stage 2 Conclusion
Through thorough research into Chinese consumer behaviour,
it can be concluded that this consumer market presents large
opportunities on a global scale and therefore luxury companies
mustconnectwiththisconsumerateverytouchpointontheglobe.
The younger consumer is now becoming highly sophisticated
through experiencing different cultures while studying abroad
and/or travelling to new places. As a consumer group that is
maturingatsucharapidpace,luxurybrandcompanieswillneedto
acknowledge that localisation and personalisation will be key in
attracting and maintaining this highly nuanced consumer for the
long term.
Conclusively, this business venture is original, where the majority
of luxury brands focus their strategies on geography,this approach
is cross border and therefore global.
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Fig72