Late 2019, Group NAO was assigned to review how and why specific European retail concepts appeal to Chinese luxury shoppers travelling in Europe, today and tomorrow. To answer this, our team deep-dived into extensive statistical analysis, location analysis, desk research, interviews and expert consultations. In summary, the consumption of Chinese travelers has been a potent and ever-rising source of profits for much of the global luxury industry over the past decades.
However, our findings suggest that the ride may not be as smooth in the years to come. The face and character of China’s luxury shopping is changing fast along with the structure, regulatory conditions, geo-political disruption and behavioral patterns within the Chinese travel market. In conclusion, Europe’s retailers and retail real estate owners can foresee a more uncertain future with leveling demand, tougher competition, need for radical innovation, creative experience design as well as strategic partnerships with stakeholders in the entertainment and travel industries.
WHAT WE DID
Market data collection and mapping, statistical analysis, location assessment, desk research, case studies and benchmarking, expert consultation/interview, visuals and creative design
Client only, January 2020.