Europa Star’s partner DLG recently took part in the Walpole Summit, held in London last week, where the topic of discussion was Luxury in Greater China. The Summit looked at the main developments of the luxury industry in China from the last twelve months and investigated prospects for 2012/13. DLG’s Head of Marketing, Tamar Koifman, was a guest speaker at the event, participating in a panel discussion on Digital Marketing & E-Commerce. In true digital fashion, Twitter (and more specifically the hashtag #WalpoleSummit), allowed for those not attending to follow along in almost real-time. Below are the highlights (in tweet format) from the day:

Chinese Luxury Consumers

• The average millionaire in #China is just 39 years old and the average billionaire is just 43 years old (@WalpoleUK)
• China’s millionaires travel overseas 2.4 times a year. France, US, Australia, Maldives, Japan top 5 dest. (Hurun Report)
• Chinese luxury consumers can often push back on price, esp if a ‘catalogue item’. But willing to pay for customised products (@wgsn)
• Sophisticated Chinese luxury consumers in discovery mode when abroad. Want to be early adopters in own peer group. (@wgsn)
• Traveling Chinese looking for deals, but when discount not possible, give them a *story* or experience to take back. (@DL_Group)

Luxury Brands in China

• Chinese gov are taking steps to lower import tariffs within next 6 months, says Hearst China’s Mier Ai
• Flagships stores in China remain important. Preferred place to purchase big ticket items among Chinese lux consumers. (KPMG)
• According to Altagamma head, a luxury brand needs a minimum of 3 locations in China: Shanghai, Beijing, Hong Kong. (@ DL_Group)
• Huge opp to focus on travelling Chinese, but internal brand issues (P&L) often prove challenging. Who does sale belong to? (@ DL_Group)
• Dunhill on Shanghai fashion show: use power of China’s voice not power of its money. You can resonate on a global stage (@wgsn)
• Museum exhibitions (Chanel, LV, Bulgari) has been a good way for brands to highlight heritage and culture of their brand (@ DL_Group)
• Telling a story of authenticity is key to marketing whiskey brand Johnnie Walker in China. – Jeremy Lindley of Diageo

Digital Aspects

• #China has 975m mobile users, 513m internet users (just 38% penetration). According to Mier Ai, Hearst Magazines China
• 90% of luxury brands in China have a Weibo account (?)
• Weibo is a key communication platform for consumers in #China according to our Marketing panel at the #WalpoleSummit
• Ok for a Western brand not to have a store in China. Digital, events, etc all ways to be top of mind. – @shanghaichloe
• Most magazine apps in China are free. Not paid market yet says Meir Ai Hearst China
• Close to 100% of Hearst China’s beauty advertisers bought digital/print in 2H11.

China Challenges

• Fashion = Change. China = Velocity. The two together can make it difficult for retail to keep up. (@ DL_Group)
• The next China is inner China.(@ DL_Group)

To see more tweets, check out the #WalpoleSummit hashtag on Twitter or contact DLG for more information about our participation in the summit at [email protected].