Why Louis Vuitton is Considered a “Brand for Secretaries” by Many Wealthy Chinese

The Chinese wealthy are no longer interested in mainstream brands. They now are looking to purchase items that has exclusivity attached and separate them from the norms of the rest of society. In addition, they want everyone to know they are wearing a luxury brand without the big letter on their shirt. They want subtlety and more nuanced items rather than something flashy with a big branded letter on the side of their new bag.

-By Nikki Main

Louis Vuitton

Louis Vuitton has been a household name since the brand began in 1854 and 150 years later was named one of the most elite international brands. Louis Vuitton has been increasing in sales amongst China’s middle class with the elite class finding themselves disappointed by this outcome. They believe the brand should not be marketed as widely as it is and considers themselves superior to the quality of Louis Vuitton.

China’s elite society is abandoning the luxury brand for higher end and bespoke items such as Bottega Veneta and Celine. One Chinese shopper might claim that they can’t buy Louis Vuitton as it’s seen too much everywhere, and then move on to higher end items.  In a book by Ewan Rambourg The Bling Dynasty: Why the Reign of Chinese Shoppers Has Only Just Begun he states that “Japanese people are buying the goods to fit in whereas Chinese are buying the goods to stand out.” This creates a problem when Louis Vuitton is becoming mainstream amongst China’s middle class, with the wealthy wanting to buy a product that is exclusive and separated from the masses.

Another major problem is that there are too many counterfeit Louis Vuitton bags being sold on the streets of China that make it seem like a less exclusive club. That, combined with the middle class buying these bags on the rise, high-end customers have disposed of their desire to invest in this brand. While the chain is booming but now they run the risk of having to win back their elite customers. In order to succeed in winning back their prime customers, Louis Vuitton may have to separate themselves from the heavily branded image and go for something a little more low-key for a luxury brand. The wealthy Chinese want to make a statement about what they wear, but they are getting a little more subtle, if Louis Vuitton wants to appease this group, they might have to tone it down just a little.

-N.M.