The Next Big Spend... or Maybe Not

What happens when one of the world’s most powerful consumer groups begins to shift course? Group NAO was tasked with uncovering what’s next for Chinese luxury shoppers in Europe, revealing insights that challenge long-held assumptions about Chinese travellers as an ever-rising source of profits for the global luxury industry.

Shopping for Luxury zoomed in on what drives Chinese luxury shoppers to specific European retail concepts – and how that behaviour is evolving. The research aimed to help stakeholders in the luxury and retail sectors understand the changing dynamics of the Chinese travel market and anticipate future trends that could reshape demand and experience expectations, qualifying a vision for a new designer outlet destination in the heart of Europe.

The study revealed a changing landscape: while Chinese travellers have long powered the luxury industry in Europe, future growth is no longer guaranteed. Geopolitical shifts, regulatory changes, and changing consumer behaviours point towards increased competition and a need for radical innovation in retail experiences. The findings highlight an urgent opportunity for European retailers and real estate owners to rethink their strategies – emphasising creative experience design, cross-sector partnerships and adaptability to a more volatile global market.