Mainland rich spend 15% less in 2009
By Pan Xiaoyi |
January 15, 2010, Friday
|
Print Edition
Print Edition
MILLIONAIRES on the Chinese mainland spent 15 percent less last year than in 2008 and this lower spending caused luxury brands to target second- and third-tier cities for further expansion, according to a latest survey by Hurun Report.
They spent an annual average of 1.7 million yuan (US$250,000), compared with 2 million yuan a year earlier, partly due to the fallout from the global financial turmoil, according to the report, which surveyed 383 mainland millionaires with assets of at least 10 million yuan each between April and November 2009.
There were 825,000 people with a net worth of more than 10 million yuan each on the mainland, a report said in April.
But awareness of luxury brands has risen twofold from a year ago, the survey said.
Luxury brands, such as Cartier, have tapped the increasing awareness as its sales grew nearly 50 percent last year, and the firm is expecting the same growth momentum this year.
"This year, luxury brands will focus on developing their market share in second- and third-tier cities," said Rupert Hoogewerf, founder and chief researcher of the Hurun Report, which is known for its China Rich List.
A report by consulting firm Bain & Company in November predicted the Chinese luxury market to grow 12 percent in 2009 from US$8.6 billion in 2008, mainly driven by new consumers in the second- and third-tier cities as more luxury brands extended their footprint to the inland markets.
"Cartier will focus more on lower-tier cities this year," Josephine Chien, managing director of Cartier China, told Shanghai Daily yesterday.
They spent an annual average of 1.7 million yuan (US$250,000), compared with 2 million yuan a year earlier, partly due to the fallout from the global financial turmoil, according to the report, which surveyed 383 mainland millionaires with assets of at least 10 million yuan each between April and November 2009.
There were 825,000 people with a net worth of more than 10 million yuan each on the mainland, a report said in April.
But awareness of luxury brands has risen twofold from a year ago, the survey said.
Luxury brands, such as Cartier, have tapped the increasing awareness as its sales grew nearly 50 percent last year, and the firm is expecting the same growth momentum this year.
"This year, luxury brands will focus on developing their market share in second- and third-tier cities," said Rupert Hoogewerf, founder and chief researcher of the Hurun Report, which is known for its China Rich List.
A report by consulting firm Bain & Company in November predicted the Chinese luxury market to grow 12 percent in 2009 from US$8.6 billion in 2008, mainly driven by new consumers in the second- and third-tier cities as more luxury brands extended their footprint to the inland markets.
"Cartier will focus more on lower-tier cities this year," Josephine Chien, managing director of Cartier China, told Shanghai Daily yesterday.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
