{"id":131685,"date":"2025-09-12T07:02:11","date_gmt":"2025-09-12T07:02:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/131685\/"},"modified":"2025-09-12T07:02:11","modified_gmt":"2025-09-12T07:02:11","slug":"chinas-cash-conscious-consumers-force-europes-luxury-giants-to-think-small","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/131685\/","title":{"rendered":"China\u2019s cash-conscious consumers force Europe\u2019s luxury giants to think small"},"content":{"rendered":"<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">In the Paris boutique of a Swiss luxury watchmaker, a Chinese customer anxiously discusses a credit card payment with her bank. After hours of back and forth, it finally goes through \u2013 to everyone\u2019s relief.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">\u201cThings like this rarely happened before,\u201d a salesperson at the store said, explaining how the card of the female customer was repeatedly declined as she tried to purchase a \u20ac25,000 (US$29,126) watch.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">The salesperson has also noticed a decline in spending by Chinese customers, ceding their throne to clients from the United States and the Middle East.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">\u201cNow, many Chinese clients tend to shop at more accessible brands nearby and come here only to have a look. Even if they do make a purchase, they are more likely to buy cheaper models at \u20ac30,000 (US$34,953) to \u20ac40,000 (US$46,606),\u201d the salesperson said.<\/p>\n<p><a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/opinion\/asia-opinion\/article\/3267774\/how-chinas-slowdown-shaking-asias-economic-calculus?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">China\u2019s economic slowdown<\/a> and changing consumer habits have pushed the European luxury goods industry into unfamiliar territory. The Chinese market has stopped growing while its consumers have become more selective, with many now turning to domestic brands.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">Faced with this new reality, European brands were attempting new strategies in the crucial market, according to industry insiders and analysts.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">\u201cA main challenge is to manage the macroeconomic and revenue effects of the smaller growth rate, although the current stabilisation at around five per cent remains appreciable compared to many other parts of the world,\u201d said Pascal Moran, executive president of the Federation de la Haute Couture et de la Mode (FHCM).<\/p>\n","protected":false},"excerpt":{"rendered":"In the Paris boutique of a Swiss luxury watchmaker, a Chinese customer anxiously discusses a credit card payment&hellip;\n","protected":false},"author":2,"featured_media":131686,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[18224,44663,5713,84,29611,891,62011,62009,62010,1294,62008,62012,62013,6875,35962,58740,13772,32668,5752,56,54,55],"class_list":{"0":"post-131685","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-asia-pacific-region","9":"tag-bain-company","10":"tag-beijing","11":"tag-business","12":"tag-chanel","13":"tag-china","14":"tag-chinese-brands","15":"tag-chinese-consumers","16":"tag-christian-dior","17":"tag-economy","18":"tag-essec","19":"tag-european-brands","20":"tag-hermes","21":"tag-hong-kong","22":"tag-louis-vuitton","23":"tag-lvmh","24":"tag-paris","25":"tag-prada","26":"tag-shanghai","27":"tag-uk","28":"tag-united-kingdom","29":"tag-unitedkingdom"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/131685","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=131685"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/131685\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/131686"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=131685"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=131685"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=131685"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}