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Consumption characteristics
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High-end consumption in auto industry
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Patterns of high-end consumers
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Conclusion and advice
High-end consumers
• Who are the high-end consumers??
The effect of public praise is more useful than the mass media.
Consumption characteristics
Showing off their wealth and luxury gifts is a major feature to the Chinese people, a lot of the media have guided the public to such direction. But the survey shows that the pursuit of high quality of life and self-confidence is the main motivation to buy luxury goods for the high-end consumers. Only a few people will buy the luxury goods to show off their wealth and gifts.
Consumption characteristics
• In addition to other fashion magazines and stores, a friend’s recommendation is the main channel to get information for high-end consumer. From a survey, nearly half of the respondents said that they got the relevant information from the mouth. This ratio exceeded television, radio and other mass media.
Chinese consumers do not focus on luxury good’s soft power.
Young people in the high-end consumers spend more rational, while the older are more impulsive.
▪ So ,today, we take the automobiles consumption for example ,first we will compare the figures between the own-brand and the imported automobiles. Then we will focus on BMW, Audi and Mercedes-Benz these three name-brand , for the purpose of illustrating the high-end consumers preferences, detailing their consuming patterns at last.
Consumption characteristics
Quality and confidence, then showing off their wealth and gifts.
The domestic luxury market develops with international market synchronously.
Consumption characteristics
China
Europe
The survey found that brand recognition, price, style, material are the main factors to decide whether they will buy.
250 200 150 100
50
169 250
0 million people
2008 2015
High-end consumers
2008 1tion in the total global luxury consumption
A Goldman Sachs report said that in 2008, the annual luxury goods consumption in China is about 17% of the total global consumption, and predicted in 2015, its annual growth rate will be approximately 10%, when the total amount of luxury goods in China expects to exceed 11.5 billion, rank first in world's luxury consumption field, accounting for about 29% of the total global consumption.
High-end Consumption in Auto Industry
Market Shares
While, it is also worth noting that Japan 、 German 、 America 、 Korea and French also have splendid performance. Accounting for 21.26%、19.92%、15.05%、 8.41%and 3.90%of the total market share respectively in the first three quarters in 2010, which, of course, be loved by the high-end groups.
High-end Consumption in Auto Industry
▪ As a type of important luxury products, automobile is indispensable for the high-end consumers and it is also a key area of intensive competition for the automakers.
Most wealth of the young people in the highend consumers is the result of their struggle. They are more rational for the expenditure of wealth.
The old High-end consumers pay less than young people for their families. They are more willing to spend more and show their wealth to others.
In contrast, consumers in Europe pay more attention to brand personality, service and shopping environment which reflect the brand strength.
Purchasing of luxury goods is to purchase a pleasure.
High-end Consumption in Auto Industry
Own-brand Vehicles
From January to September in2010, own-brand vehicles were sold 3.0736 million, accounting for 31.47% of total car sales, whereas ,it fell 0.73% when compared with the same period of time last year.
Team members:
Preface
As the economy of China develops rapidly, the Chinese residents’ income has expanded substantially. High-end consumers emerged rapidly and China is becoming a major player in the luxury goods consumption market.
In this presentation, we want to find out the consumption patterns of China’s high-end consumers and the consumer behavior.
Contents
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High-end consumers
Consumption characteristics
Study found that the high-end consumers are totally different from ordinary consumers at one side. It is that the young consume extremely reasonable, and the elder are vulnerable to be lured by advertising and promotion.
The World Luxury Association predicted that, five years later, the amount of consumption in China’s luxury goods market may top the luxury goods markets around the world.
High-end consumers
research report of China Brand Strategy Association
About 13% of the total population in China has ability to buy international brand-name products in 2010. And it will reach 250 million people in 2015.
– There always will be a segment that can afford the product or service no matter what the price is. The segment with high income, stable career life, can and wants to buy luxurious and healthy product.
While luxury goods is popular in China for a short time but within the wave of information technology and an increasingly flat world, Chinese consumers can touch the luxury trends timely .