A big show can also directly drive sales. Michael Burke, former CEO of Louis Vuitton, once revealed that one repeat show in China had the power to prompt consumers to spend ten-times more.
VICs and the role of service
Sales are typically driven by VICs (very important clients). Their concentration in China’s luxury market is very high, according to a Bain report titled ‘China Luxury Market in 2022’. They are among the first on the guest list of global luxury brands for large-scale fashion shows in China, with the invitees also including VICs from the broader Asia-Pacific region.
For the Gucci Cosmos exhibition in Shanghai, which ran from April to June, the brand invited VICs from across Southeast Asia. Louis Vuitton has also staged small-scale womenswear shows in Beijing, Hangzhou, Chengdu, Guangzhou and Dalian targeting local VICs.
Piachaud of Re-Hub applauds the local focus. “Especially [since the pandemic], the strategy is more and more inclined to the development of the local market, which also leads to events such as local shows that can bring the most direct benefits. Such activities enhance brand loyalty and attention — especially [important] in such a turbulent economic environment.”
Pooky Lee, co-founder of Poptag, a creative brand agency, adds, “Whether it’s a catwalk show or an exhibition, the purpose of offline activities is to create a more comprehensive personal sensory experience, further interact with the local market and give respect to local consumers. It’s also to please them. The repeat show… gives a brand the opportunity to show its unique narrative style and creative ability.”
For Shenzhen this month, Dior created an art installation by Portuguese artist Joana Vasconcelos in Shenzhen Sea World. Bottega Veneta’s Beijing show highlighted creative director Matthieu Blazy’s previous connection with the city of Beijing and will include new looks and China-only handbags especially for the show. Bottega Veneta has engaged heavily with Chinese culture: last year, it launched a project to support the daily maintenance and renovation of the Great Wall of China at Jiaoshan, and released several promotional videos marking festivals such as Chinese New Year and Qixi Festival, the Chinese equivalent of Valentine’s Day.
Chinese consumers appreciate the effort. Actor Jin Tiang, a VIC who attended the Dior show, says the invitation increased her goodwill towards the brand and made her feel more connected to it.
Chinese consumers want to feel valued. The level of service and personal connection becomes as important as the products. “A big show is accompanied by brand dinners, performances, customised services and personal shopping guides — all of which are designed to comprehensively engage the core customers,” says Poptag’s Lee. In China, everything is connected — a holistic approach reaps its rewards.
Comments, questions or feedback? Email us at feedback@voguebusiness.com.
More from this author:
What impact will Hainan’s ‘closed customs’ have on luxury trade?
