Prada Hand Bag to promote luxury consumption market

Like Prada and other luxury brands competing to consider listing in Hong Kong is not surprising. Second-hand designer handbag retailer Milan Station’s public offering of up to $ 35 million, a record 2,000 times oversubscribed in Hong Kong.

The high-end luxury industry has become a hot investment theme. Hong Kong residents, the average brand spending in the past five years, annual growth of up to 18%. Mainly from the Chinese mainland visitors to Hong Kong in 2009 for $ 35 billion of spending.

Milan Station is only a beginning. Prada, Jimmy Choo and Samsonite companies plan to increase brand awareness in China listed in Hong Kong.

Experts predict that China will become the world’s largest luxury goods market in 2015. But to make a profit still need to face the challenges. Mainland China’s tariffs are still high, so that Hong Kong’s brand-name prices to 20% cheaper than the mainland. The industry is expected to only 40 percent of China’s luxury consumption in mainland China.

The other big risk is that Chinese consumers are more and more money, they will taste more self-confident, the possibility of carried away by the big brands will be greatly reduced.

In addition, today’s winner will not necessarily be tomorrow’s winners. Chinese brands dominate the high-end liquor market, but also most likely to enter the jewelry and other industries. Consumer tastes change, the Western luxury brands dominate the world situation is not necessarily static.