BAIN&COMPANY聯系方式：bruno.lannes@.聯系方式：weiwei.xing@.聯系方式：emma.gu@.本次報告的研究基礎包含次級市場研究、針對貝恩獲取的財務信息的分析研究和一系列行業參與者訪談。貝恩公司沒有對所獲取的財務信息進行獨立驗證，因此無法以明示或暗示的方式保證此類信息的準確性或完整性。本次報告所含的市場和財務在貝恩公司看來，它們不應當被視為未來表現或結果的明確預測或保證。本次報告所包含的信息意圖。無論貝恩公司及其分公司、還是它們各自的主管、理事、股東、員工和代理機構都不必為后果承擔任何責任。本次報告的版權由貝恩公司所有。任何個人或組織不得在沒有貝恩公司明確BAIN&COMPANY120%，基本跌回2020年的水平。隨著出境游的重啟，2024年作為拐點，標志著奢侈品“疫情紅利期”BAIN&COMPANY220%中國內地個人奢侈品市場銷售額(億元人民幣)5,0004,0003,0002,0000(-18%/-20%)資料來源:2024年貝恩-意大利奢侈品協會全球奢侈品報告;貝恩分析BAIN&COMPANY3中國內地個人奢侈品市場同比增速,按品類劃分(%)5%–10%–(15)%–(25)%–(20)%–(20)%–(20)%–(30)%–(33)%2021–222022–232023–24E資料來源:2024年貝恩-意大利奢侈品協會全球奢侈品報告;公司財報;貝恩分析BAIN&COMPANY4中國內地個人奢侈品市場銷售額(億元人民幣)20181920海南離島免稅銷售額占整體市場比重:21–2222–2323–24E~(20)%~(19)%~(29)%資料來源:海口海關;文獻研究;公司財報;分析師報告;貝恩分析;財政部;商務部;文化和旅游部;海關總署;國家稅務總局BAIN&COMPANY5隨著出境游的復蘇，奢侈品消費外流加劇，2024年約60%的奢侈品消費發生在中國內地，約40%的消費則發的50%，而亞太地區則達到了約2019年水平的120%。中國消費者奢侈品銷售額分布(按購買地劃分,億歐元)4075720152019202120232024E40%注:1.境外指中國內地以外的市場,含中國港澳臺地區資料來源:2024年貝恩-意大利奢侈品協會全球奢侈品報告;GlobalBlue;貝恩分析BAIN&COMPANY62024年中國內地和日本奢侈品價格差異22024年中國內地和(退稅后價格,截至2024年12月;對應2024年匯率區間,從最低到最高)注:1.在各品類領先品牌中選擇銷量最高的3個SKU;日本退稅率8.45%,法國退稅率12%;2.中國內地/日本品牌官網價格截至2024年12月10日;日元對人民幣匯率取2024年最低和最高值,分別為1:0.045到1:0.050;3.中國內地/法國品牌官網價格截至2024年12月10日;歐元對人民幣匯率取2024年最低和最高值,分別為1:7.498到1:7.962資料來源:中國官網;法國官網;日本官網BAIN&COMPANY740%，導致銷售額相比2023年下滑3%，達到600億元人民幣左右（圖6）。韓國免稅店遇冷主要歸結于韓國離2019年存在著較大差距，無論是外國游客數量(2019-24E,萬人)(-80%)201920202021202220232024E赴韓外國游客貢獻的免稅店銷售額(2019-24E,億元人民幣)201920202021202220232024E資料來源:韓國免稅店協會;分析師報告;文獻研究;貝恩分析BAIN&COMPANY8例可以達到60%-70%甚至更多（圖7）。此外，根據Re-Hub的數據，2024年代購平臺上暢銷產品的價格與(根據Re-Hub追蹤的數據,僅限服飾和皮具箱包)注:1.部分追蹤品牌;2.GMV=商品成交額資料來源:Re-Hub60%–70%60%–70%>100%>100%BAIN&COMPANY9作，以發掘客戶的最大潛力。我們的戰略落地/變革管理?（ResultsDelivery?)流程協助客戶發展自身的能力，而我們的“真北”（TrueNorth）價值觀指導我們始終致力于為我們的客戶、員工和社會實現目標。20世紀90年代初，貝恩公司進入中國，是較早進入中國市場的全球咨詢公司之一。目前在北京、上海和香港設有三個分公司，大中華區員工人數近400人。多年來，憑借對中國本地市場的了解和在全球其他地區積累的豐富經驗，我們持續為不同行業的跨國公司和中國本土企業提供咨詢服務，度身訂制企業策略和阿姆斯特丹·亞特蘭大·曼谷·北京·班加羅爾·波士頓·布魯塞爾·布宜諾斯艾利斯·芝加哥·哥本哈根·達拉斯·迪拜·杜塞爾多夫·法蘭克福赫爾辛基·香港·休斯頓·伊斯坦布爾·雅加達·約翰內斯堡·吉隆坡·基輔·拉各斯·倫敦·洛杉磯·馬德里·墨爾本·墨西哥城·米蘭,莫斯科·孟買·慕尼黑·新德里·紐約·奧斯陸·帕洛阿爾托·巴黎·帕斯·里約熱內盧·羅馬·圣弗朗西斯科·圣地亞哥·圣保羅·首爾上海·新加坡·斯德哥爾摩·悉尼·東京·多倫多·華沙·華盛頓·蘇黎世·利雅得·多哈NavigatingTurbulentWateBAIN&COMPANYAuthorsandacknowledgmentsBrunoLannesisaseniorpartnerinBain&Company’sConsumerProductsandRetailpracticesforGreaterChina,locatedinShanghai.Hecanbecontactedatbruno.lannes@.WeiweiXingisapartnerinBain&Company’sConsumerProductsandRetailpracticesforGreaterChina,locatedinHongKong.Shecanbecontactedatweiwei.xing@.EmmaGuisanassociatepartnerinBain&Company’sConsumerProductsandRetailpracticesforGreaterChina,locatedinShanghai.Shecanbecontactedatemma.gu@.TheauthorswouldliketoexpresstheirgratitudetoSijieHuang,aconsultantinBain’sShanghaioffice.Thisworkisbasedonsecondarymarketresearch,analysisoffinancialinformationavailableorprovidedtoBain&Companyandarangeofinterviewswithindustryparticipants.Bain&CompanyhasnotindependentlyverifiedanysuchinformationprovidedoravailabletoBainandmakesnorepresentationorwarranty,expressorimplied,thatsuchinformationisaccurateorcomplete.Projectedmarketandfinancialinformation,analysesandconclusionscontainedhereinarebasedontheinformationdescribedaboveandonBain&Company’sjudgment,andshouldnotbeconstruedasdefinitiveforecastsorguaranteesoffutureperformanceorresults.Theinformationandanalysishereindoesnotconstituteadviceofanykind,isnotintendedtobeusedforinvestmentpurposes,andneitherBain&Companynoranyofitssubsidiariesortheirrespectiveofficers,directors,shareholders,employeesoragentsacceptanyresponsibilityorliabilitywithrespecttotheuseoforrelianceonanyinformationoranalysiscontainedinthisdocument.ThisworkiscopyrightBain&Companyandmaynotbepublished,transmitted,broadcast,copied,reproducedorreprintedinwholeorinpartwithouttheexplicitwrittenpermissionofBain&Company.Copyright?2025Bain&Company,Inc.Allrightsreserved.BAIN&COMPANY12024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersIn2024,theChinesemainlandluxurymarketexperiencedasignificantdeclineof18%–20%,revertingto2020levelsduetolowconsumerconfidenceandincreasedoverseasspending.Inmanyways,thisdownturnmarkstheendoftheCovid-19artificialboostontheChinaluxurygoodsmarketasglobaltourismcontinuestorecover.Inthiscontext,allluxurycategorieshaveunderperformed,withbeautydoingbetterandwatchesandjewelryperformingworse.Asaresult,onlyaverysmallnumberofbrandsenjoyedgrowthinChinain2024.bHainanhasseenanimportantdeclineinbothtrafficandsaleswhileoverseasspendinghasincreased,withJapanbeingthebigwinner.Inaddition,Daigousaleshavealsoincreased(forthefashionandleathergoodscategories).2025isexpectedtobeflatinthemainlandmarket,withachallengingfirsthalfandanimprovingsecondhalf,drivenbythepositiveimpactofeconomicstimulusmeasuresinChina.Inthelongerterm,themarketisexpectedtorecoveratamoderatepace,drivenbythesolidfundamentalsofChina’seconomyandthegrowthofitsmiddleclass.BAIN&COMPANY22024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersChina’sluxurymarketfacedasignificantslowdownin2024,withdeterioratinggrowthastheyearprogressed.Thedownturnwasprimarilydrivenbyreduceddomesticspending,whichstemmedfromlowconsumerconfidence,andincreasedtouristspendingabroad,particularlyinJapanandEurope.Asthemacroeconomiclandscapecontinuestoevolve,theChinesemainlandluxurymarketisgoingthroughaphaseofuncertainty.Theresurgenceofoverseastourismisexpectedtoexertfur-therpressureondomesticluxurysalesinthecomingyears.Lookingaheadto2025andbeyond,challengesareanticipatedtopersist.However,luxurybrandsthatleveragethisperiodforintrospection,strategicrefocusingandcreativeinnovations,andopera-tionalresetaremorelikelytonavigatethroughtheseturbulenttimessuccessfullyandultimatelyre-newtheirgrowthtrajectory.Despitecurrentdifficulties,theChinesemainlandremainsanattractivemarketforluxurybrands,suggestingthatopportunitiesforrecoveryandgrowthstillexist.AftertheliftingofCovid-19restrictionsinDecember2022,therewasaninitialrecoveryinthefirsthalfof2023.However,thiswasnotsustainedduetosluggishconsumerconfidence,especiallyfordiscretionaryitemssuchasluxury.Therewasalsoasurgeinoverseasspendinginnearbymarketsin2023andevenmorein2024,drivenbyinternationaltourismrecoveryandfavorableexchangerates.Furthermore,today’sChineseconsumersarebecomingmorerationalaboutluxuryspending,showingreluctancetopurchaseamidfrequentpriceincreaseswithlimitedproductinnovationandpreferringexperienced-basedconsumption,suchastravelandoutdoor.Asaresult,theChinesemainlandluxurymarketisundersignificantpressure,withanestimatedyear-on-yeardeclineof18%–20%(seeFigure1).Theslowdownintensifiedthroughouttheyear,withthethirdquartershowingtheworstperformanceandaslightimprovementinthefourthquarter,mostlydrivenbyannouncementsoftheforthcomingstimulusmeasuresandtheirexpectedimpactonconsumption.Allluxurycategorieshavefacedchallenges,thoughtheirimpactvariesbycategory.Thebeautysector—particularlyperfumes,colorcosmetics,andultra-premiumskincare—hasdemonstratedstrongerresilienceasconsumersseekemotionalandsensoryexperiences(seeFigure2).BAIN&COMPANY32024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersFigure1:MainlandChinapersonalluxurymarketdeclinedby18%–20%in2024,drivenbylowconsumerconfidenceandincreasingoverseasshoppingMainlandChinapersonalluxurymarket(RM5004003002000(-18%/-20%)Sources:Bain-Altagamma2024WorldwideLuxuryMarketMonitor;BainanalysisFigure2:Allluxurycategoriesarefacingwidespreadchallenges,withjewelryandwatchesexperi-encingthemostsignificantnegativeimpactMainlandChinapersonalluxurymarketyear-over-yeargrowthbycategory5%–10%–(15)%–(25)%–(15)%–(25)%–(20)%–(20)%(25)%–(25)%–(30)%(28)%–(33)%2021–222022–232023–24EBAIN&COMPANY42024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersThefashionsegmenthasexperiencedasmallerdeclinecomparedtoleathergoods,largelyduetoitsseasonalnatureandtheimportanceofitsVeryImportantCustomer(VIC)demographic.Incontrast,leathergoodshavesufferedfromover-relianceoniconicpiecesandcarry-overswithlimitedinvestmentintoseasonalitemsandhigherunitprices,leavingconsumerswithlittleincentivetomakeadditionalpurchases.Thejewelryandwatchessegmenthasfacedthemostsignificantchallengesasconsumersareshiftingtheirpreferencestowardothervalue-preservingassetsandexperiences.Jewelryhasperformedslightlybetterthanwatches,primarilyduetoitswiderangeofproductsandpricepointsfromhighjewelrytofinejewelry,whichhashigherexposuretoaspirationalconsumers.Meanwhile,thewatchmarkethasseenmorerationalbehaviorsfromChineseconsumers,compoundedbyanongoingdeclineinsecondarymarketpricesforluxurySwisswatches,whichnegativelyimpactedthevalueretentionofhigh-endtimepieces.Hainan’sduty-freesalesdeclinedbyapproximately29%in2024,reflectingthebroaderconsumptionslowdowninChina(seeFigure3).Anapproximately15%year-on-yearreductionintrafficandapproximately15%decreaseinbasketvalueinfluencedthisdrop.Therecoveryofglobaltourism,particularlytonearbydestinationslikeJapanandSoutheastAsia,whichoffercomparabletraveltimesandcostsbutsuperiorservicesandexperiences,primarilydrovethedeclineintraffic.Additionally,theconsumerprofileisshifting;affluentconsumerswhoweresignificantspendersduringtheCovid-19pandemicinHainanarenowtravelingabroad.Intensecompetitionfromdomestice-commerceplatforms,especiallyinthebeautycategory,hasalsomadeHainanalessattractiveduty-freedestination.Lookingahead,uncertaintiesremainregardingHainan’sduty-freemarket.TheimplementationofkeypoliciesforachievingtheHainanFreeTradePortisexpectedtocontinueuntil2025;atthesametime,Hainanwillcompetewithothernewdowntownduty-freeshopsinthemainlandandnearbydestinationsandneedstoimprovetheoverallluxuryexperienceforitstravelers.BAIN&COMPANY52024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersFigure3:Duty-freesalesinHainanexperiencedaroughly29%declinein2024,drivenbyreducedtrafficandsmallerbasketvalueMainlandChinapersonalluxurymarket(RM20181920Hainanduty-freesalesasshareoftotalmarket:duty-free21–2222–2323–24E~(20)%~(19)%~(29)%Sources:HaikouCustom;Financialreports;Analystreports;MinistryofFinance;MinistryofCommerce;MinistryofCultureandTourism;GeneralAdministrationofCustoms;StateAdministrationofTaxation;Literatureresearch;BainanalysisTosummarize,China’sluxurymarketfacedasignificantdeclinein2024,affectingthevastmajorityofbrands.Thisdownturnisprimarilyattributedtolowconsumerconfidence,drivenbyconsumers’cautiousattitudetowardconsumptiongiventheeconomicuncertaintiestheyface.Interestingly,whileVICshavedemonstratedgreaterresilience,theyhavealsobecomemoreconservativeintheirluxuryspending,optingtodiversifytheirwealthacrossabroaderrangeofassetsduringthiseconomicdownturn.Amidthiswidespreaddecline,onlyafewbrandshaveemergedaswinners;thesebrandsarecharacterizedbyhighdesirability,strongconnectionwithconsumers,builtovermanyyearsofinvestmentanddifferentiatedvaluepropositions.Theirsuccessisnotdrivenbyscale,asweseesmallandlargebrandsamongthewinners.Aswelooktothefuture,brandsneedtoshifttheirmindsetsfromgrabbingtheirshareofincrementalmarketgrowththroughexpansiontocompetingformarketshareinamorestableandnormalizedenvironment.Tosucceedinthisnewera,elevateddifferentiationinbranding,productinnovation,pricingstrategies,andclientexperiencewillbecrucial.BAIN&COMPANY62024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersIn2024,therewasanotablereboundinoverseasshopping,particularlyinJapan,accompaniedbysignificantgrowthinthegreymarketduetoincreasingpricedisparities.AsChineseoverseastourismgraduallyresumed,itisestimatedthatapproximately60%ofChinesemainlandluxuryspendingoccurredwithintheChinesemainlandin2024.TherecoveryofluxuryspendingbyChinesetouristsinEuropeandAsiahasbeensignificant.Specifically,spendingabroadin2024reachedabout50%of2019levelsinEuropeandwasaround120%ofits2019levelinAsia-Pacific.TheexchangeratebetweentheChineseyuanandtheJapaneseyenhasfurtherstimulatedluxuryconsumptioninJapan.However,theincreaseinoverseasshoppingdidnotoffsetthedeclineinonshoresales,resultinginanoveralldecreaseofabout7%intotalChineseluxurygoodsspending(seeFigure4).Lookingahead,overseastravelandconsumptionareexpectedtocontinuetogrow.ThetrendofChinesetravelersshiftingtheirpreferencesfromshopping-focusedtourstoniche,flexible,andexperience-basedtripsisalsoanticipatedtoincreaseinthefuture.Figure4:Theriseinoverseaspurchaseswasnotenoughtooffsetthedeclineinthemainland;overall2024Chineseluxuryspendingdecreasedbyaround7%GeographicbreakdownforChineseluxurygoodsspending(Eurobillion)4020152019202120232024EOverseas140%Note:1.OverseasreferstomarketsoutsidemainlandChina,includingtheHongKong,Macau,andTaiwanregionsofChinaSources:Bain-Altagamma2023WorldwideLuxuryMarketMonitor;GlobalBlue;BainanalysisBAIN&COMPANY72024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersThepricingdisparitiesbetweenluxurygoodsontheChinesemainlandandothermarkets,particularlyJapan,disruptedthemainlandmarketandplayedacrucialroleintheresurgenceofoverseasluxuryshoppingin2024.AsampleanalysisofkeyproductsacrosstheChinesemainland,France,andJapanrevealedsignificantpricedifferencesacrossvariouscategories,makingluxuryshoppingabroadevenmoreappealing,especiallyunderfavorableexchangerates(seeFigure5).Attheyen’slowestpointversustheRMB,thepricegapcomparedtodomesticpricesreachedasmuchas30%.Thesewidepricegapshavefurtherencouragedoverseasshopping,particularlyamongprice-sensitiveconsumers,whichhasnegativelyimpactedbrandloyaltyandrecruitmentontheChinesemainland.Historically,inresponsetothistrend,somebrandshaveimplementedaglobalpricingstrategytooffsetmostoftheexchangeratefluctuations.Thisyear,otherbrandsaddressedthesepricedisparitiesbyimplementingpurchaselimitsinstoresandaligningnewproductpricesglobally(inthefourthquarter).Ensuringmorecontrolledglobalpricedifferenceandswiftreactivityshouldbeatoppriorityforluxuryleadershipteamsinthisturbulentmacroenvironment.Figure5:PricegapsbetweenChinaandJapan/Europewereakeydriverofoverseasshoppingin2024Chinavs.Japan20242Chinavs.France20243(Aftertaxrefund,asofDecember2024prices;rangefrom2024lowesttohighestexchangerate)-40%-30%-20%-10%JewelryJewelryWatchesWatchesNotes:1)ComparedtopthreeSKUsselectedforleadingbrandsineachcategory;tax-refundrateinJapanis8.45%;tax-refundrateinFranceis12%;2)ListedpricefromChina/JapanofficialwebsiteasofDecember10,2024.JPYtoCNYrangedfrom0.045to0.050,basedon2024highestandlowestexchangerate;3)ListedpricefromChina/FranceofficialwebsiteasofDecember10,2024.EurotoCNYrangedfrom7.498to7.962,basedon2024highestandlowestexchangerateSources:Chinaofficialwebsite;Franceofficialwebsite;JapanofficialwebsiteBAIN&COMPANY82024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersFor2024,despiteasignificantrecoveryof60%ininternationaltravelers,SouthKoreanduty-freesalesareprojectedtodeclineby3%versus2023,reachingapproximately60billionyuan,withanaveragebasketdroppingbyaround40%(seeFigure6).ThisdeclinecanbeattributedtoongoinggovernmentandbrandactionsagainstDaigoutrading,aswellasashiftintourismflowstowardJapanduetofavorableexchangerates.TheperformanceofSouthKoreanduty-freesalesisstillapproximately50%of2019,bothintermsofspendingandintermsofnumberoftravelers.ThedepreciationoftheSouthKoreanwonmayfurtherencourageChineseconsumerstoshopabroad,addingtothelong-termuncertaintysurroundingChina’soffshoreluxuryconsumption.Highin-ventorypressureonduty-freeretailerscouldleadtoincreasedpromotionsanddiscountsin2025.Figure6:Despitearecoveryininternationaltravelers,SouthKoreanduty-freesalesdidnotincreaseasgovernmentandbrandstookactionsagainstDaigouNumberofinternationaltravelersshoppinginSouthKoreadutyfree201920202021202220232024ESouthKoreaduty-freesalestointernationaltravelers(2019–24E,RMBbillion)201920202021202220232024EBAIN&COMPANY92024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersDaigouactivitiessignificantlycontributetoChineseconsumerspending.AccordingtobrandstrackedbyRe-Hub,theoverallgreymarketgrewbyapproximately5%in2024.However,priceindexesforJapanandFranceindicatethatthesemarketsarenotlikelytobetheprimarysourcesfortopitemssoldinthegreymarket.Favorableexchangerates,pricingdiscounts,promotionmechanisms,andsoonhavereignitedthepotentialforsmall-scaleDaigouoperationstoblossom.However,themainsourceofsupplyislikelyfromlarge-scaleorprofessionalDaigouwhobenefitfromsubstantialpricingadvantagesthroughwholesaledistributionchannels.Forfashionandleathergoodsbrandswithlimitedortightlycontrolledwholesalechannels,salesontheseplatformscanaccountfor15%–25%oftheirofficialsalesontheChinesemainland.Incontrast,forbrandswithlargerandlessregulatedwholesalechannels,platformsalescanrepresent60%–70%orevenmoreoftheirtotalsalesontheChinesemainland(seeFigure7).Notably,discountsforthetopproductstrackedbyRe-HubonDaigouplatformsdeepenedbyapproximatelyeightpercentagepointsin2024.ThistrendraisesconcernsthatthegreymarketwillcontinuetounderminerevenuepotentialandbrandequityontheChinesemainland.Tocounteractthistrend,brandsshouldprioritizeaddressingDaigouoperationsstrategicallyin2025andbeyond.TheChinesemainlandbusinessshouldnotbeviewedasanisolatedoperation;instead,itshouldcollaboratecloselywiththeglobalnetworktoactivelymanagerisksassociatedwithDaigou.Thiscanbeachievedbyoptimizingwholesaleoperationsworldwide;harmonizingpricegaps;andfocusingonenhancingcustomerrelationshipmanagement,aftersalesservices,andoverallclientexperienceontheChinesemainland.Figure7:InFashionandLeathergoodscategories,DaigousalesasashareofmainlandChinasaleshaveincreasedDaigouGMV1generatedasshareofbrands2officialrevenueinmainlandChinaonplatformstrackedbyRe-Hub(fashionandleathergoodsonly)60%–70%60%–70%>100%Notes:1)GMV=grossmerchaBAIN&COMPANY2024ChinaLuxuryGoodsMarket:NavigatingTurbulentWatersIn2024,China’sluxurymarketfailedtomaintainitspreviousgrowthtrajectory,experiencinganunexpectedandsharpdecelerationthatworsenedthroughouttheyear.Thedownturnwasprimarilydrivenbyalukewarmconsumerconfidencedrivenbyeconomicuncertaintyandadeclineinrealestatevalue,ashiftinspendingtowardoverseasmarkets,andcontinuouspriceincreasesbybrandswithoutwell-justifiedvaluepropositions.Themarketisexpectedtocontinueitsdownwardtrendthroughthefirsthalfof2025,withacautiouslyoptimisticoutlookemerginginthelatterhalfoftheyear,resultinginanoverallflattishperformanceforthewholeyear.Keyfactorsinfluencingtheoutlookincludestrongergovernmentstimuluspolicies,whichcouldprovidepositivesupport,andtheimpactofthenewUSadministrationtakingofficeinJanuary,potentiallyaffectingtheChineseeconomyandexports.Meanwhile,overseastravelandconsumptionareexpectedtogrowin2025.Asaresult,themarketisgoingthroughaneraofturbulenceanduncertaintywherewidespreadunderperformancemaybecomethenorm,withonlyafewbrandsemergingaswinners.Mostbrandswilllikelyneedtofocusonconsolidationandperformanceimprovementmeasuresinsteadofexpansionandpriceincreases.Inthischallengingenvironment,brandsshouldprioritizeenhancingbranddesirabilityanddeliveringgenuinevaluethroughinitiativessuchasbrand-buildingevents,creativity,productinnovation,andimprovedclientexperiencestoretainconsumersdomesticallyandcapturemarketsharefromcompetitors.Additionally,Chinashouldnotoperateinisolation;itshouldseekglobalcollaborationonpricingandDaigousourcing,especiallyonglobalwholesaleoperations.Lookingahead,China’smacroeconomicconditionsandstructuraldemographicshiftspresentbothchallengesandopportunitiesforbrandsoperatinginthecountry.Thegrowthoffutureluxurybuyers,particularlyamongGenZandyoungergenerations,isdeceleratingcomparedtopreviousyearsduetoreducedpurchasingpowerexacerbatedbyhighunemploymentrates.Thosewithpurchasingpowerarediversifyingtheirbrandpreferences,increasingtheirrepertoireofluxurybrands.VICs,whocontributesignificantlytoluxuryspending,remainresilient;however,theirpreferenceistrendingtowardsmoresubtleandunderstatedproductsduetoa