Business Daily Media

The Times Real Estate

.

Luxury brands deploy diverse, innovative content strategies to accelerate online content platform businesses

HONG KONG SAR - Media OutReach - 26 September 2023 - Ocean Engine, Douyin E-commerce, and Ocean Insights, in collaboration with Deloitte China, released their inaugural white paper on China's luxury market.

Douyin Luxury Gravitational Center – 2023 Douyin Luxury Industry White Paper provides businesses with valuable industry insights, marketing inspiration, and e-commerce strategies through an in-depth examination of China's luxury market and Chinese consumer behavior, and analysis of Douyin's core strengths and successful case studies.

By summarizing luxury brands' success stories in the Douyin ecosystem, the white paper highlights their various stages of development in the Chinese market to help them achieve future sustainable growth on Douyin.

After a dip in 2022, Deloitte forecasts that China's luxury market will hit RMB580 billion this year, accounting for 25% of the global total. Furthermore, China's market share is expected to rise to 40% by 2030, surpassing Europe and the Americas to become the largest single market globally.

This will be driven by the continued consumption willingness of high-net-worth individuals, new incremental volume brought by the post-90s generation, extended reach through online channels, and the optimization of pricing, products, and marketing by brands. Jewelry, watches, and bags are the strongest-growing segments due to their investment potential and asset preservation, the rarity of their brand and design elements, and versatility.

Tianbing Zhang, Deloitte Asia Pacific Consumer Products & Retail Sector leader, says, "In 2023, China's luxury sector is on a trajectory for a robust recovery, solidifying its position as a critical market in the global brand landscape. Our analysis indicates a maturing Chinese consumer base, where luxury items are increasingly seen not merely as social capital, but as assets for personal enjoyment and long-term investment. On the channel front, the accelerated digital transformation of China's luxury marketplace has elevated online platforms into indispensable touchpoints along the consumer journey. Looking ahead, the future competitive advantage for brands will hinge on deploying diverse and innovative content strategies."

Multiple touchpoints, rich content, and a complete value chain in China's digital landscape are building a distinctive local luxury ecosystem. Chinese luxury consumers are shifting to more diverse online platforms, with 53% having purchased via online channels, including official brand websites (48%), official flagship e-commerce stores (43%), content platforms (39%), and luxury e-commerce platforms (26%).

Online content platforms have become integral to the luxury consumer journey, with 34% of consumers believing short video product descriptions are more detailed and 28% stating that short videos have richer content. Apart from product reviews and unboxing, Chinese consumers also want to understand the story behind a brand. Short videos and livestreams are the best carriers for this authentic content with stories, surprises, and fun. Thanks to its distinctive content creation and distribution system, Douyin has amplified the luxury industry's voice within its ecosystem.

Xueqin Wang, vice president of the Ocean Engine Consumer Goods Business Center, adds, "In recent years, the digitalization of the global luxury market has been transformative, fundamentally altering consumer behavior within an increasingly digital content ecosystem. Short-format video, a vital content medium, is progressively ingrained in consumer interest cultivation and purchase decision-making. Douyin, one of China's leading short-video platforms, is setting new standards in online marketing efficiency through data-driven insights, key performance metrics, and strategic optimization. In collaboration with Ocean Engine, a comprehensive data and content platform, and Deloitte, we offer a tailored approach enabling luxury brands to precisely identify their optimal business channels and consumer touchpoints. This strategic alignment serves to bolster market sustainability in China."

According to the white paper, Chinese consumers rank easy to wear every day (49%), self-rewarding (47%), and fashionably designed (35%) as the top three considerations when buying luxury. Douyin E-commerce achieved exponential growth in gross merchandize value (GMV) and paid users and merchants over the first half of 2023, with GMV surging even higher during festivals and shopping seasons like Qixi Festival and Valentine's Day, underlining the effectiveness of emotional marketing.

Qing Mu, vice president of Douyin E-Commerce, says, "Douyin E-commerce has been upgraded from interest e-commerce to omnichannel interest e-commerce. By skillfully merging compelling content that sparks shopping interest with a well-designed product shelf catering to active consumer needs. Douyin offers a holistic approach to the consumer journey, unlocking significant growth opportunities. Over the past two years, numerous brands have ventured into Douyin's ecosystem, rigorously testing and validating its business models. By utilizing a well-curated mix of high-quality content, superior service, and officially authenticated products, these brands effectively satisfy the diverse consumption patterns of Douyin's user base. This creates a streamlined, end-to-end consumer experience, from brand engagement to transaction conversion. The synergy between luxury brands and Douyin E-commerce promises a future filled with potential."

Webin Lin, head of Ocean Engine Business Analysis, adds, "As of the first half of 2023, Douyin stands as a pivotal channel in China's luxury narrative, captivating an impressive 150 million users with a keen interest in high-end products. Notably, 73% of China's luxury consumer base actively engages with Douyin, a statistic unmatched by any other platform regarding reach, brand engagement, and conversion rates. As we move forward, we are eager to collaborate with brands to effectively communicate the nuanced attributes of luxury – elegance, intelligence, and heritage – through the expansive reach of Douyin."

Crystal Wang, Deloitte China Consumer Products & Retail Sector Financial Advisory leader, concludes, "As Chinese luxury consumers' mindset and channel preferences continue to evolve, the key to success lies in delivering excellence at every touchpoint by understanding their deeper needs for products, content, and services."

Click here to read the white paper.

Hashtag: #DeloitteChina

The issuer is solely responsible for the content of this announcement.

About Deloitte China

Deloitte China provides integrated professional services, with our long-term commitment to be a leading contributor to China's reform, opening-up and economic development. We are a globally connected and deeply locally-rooted firm, owned by its partners in China. With over 20,000 professionals across 30 Chinese cities, we provide our clients with a one-stop shop offering world-leading audit & assurance, consulting, financial advisory, risk advisory, business advisory and tax services.

We serve with integrity, uphold quality and strive to innovate. With our professional excellence, insight across industries, and intelligent technology solutions, we help clients and partners from many sectors seize opportunities, tackle challenges and attain world-class, high-quality development goals.

The Deloitte brand originated in 1845, and its name in Chinese (德勤) denotes integrity, diligence and excellence. Deloitte's professional network of member firms now spans more than 150 countries and territories. Through our mission to make an impact that matters, we help reinforce public trust in capital markets, enable clients to transform and thrive, and lead the way toward a stronger economy, a more equitable society and a sustainable world.

About Deloitte

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited ("DTTL"), its global network of member firms, and their related entities (collectively, the "Deloitte organization"). DTTL (also referred to as "Deloitte Global") and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients.

Deloitte Asia Pacific Limited is a company limited by guarantee and a member firm of DTTL. Members of Deloitte Asia Pacific Limited and their related entities, each of which are separate and independent legal entities, provide services from more than 100 cities across the region.

Please see www.deloitte.com/about to learn more.

Disclaimer

This communication contains general information only, and none of Deloitte Touche Tohmatsu Limited ("DTTL"), its global network of member firms or their related entities (collectively, the "Deloitte organization") is, by means of this communication, rendering professional advice or services. Before making any decision or taking any action that may affect your finances or your business, you should consult a qualified professional adviser.

No representations, warranties or undertakings (express or implied) are given as to the accuracy or completeness of the information in this communication, and none of DTTL, its member firms, related entities, employees or agents shall be liable or responsible for any loss or damage whatsoever arising directly or indirectly in connection with any person relying on this communication. DTTL and each of its member firms, and their related entities, are legally separate and independent entities.

© 2023. For more information, please contact Deloitte China.

News from Asia

Championing European Culinary Heritage in Hong Kong

HONG KONG SAR - Media OutReach Newswire - 14 May 2025 - ​European culinary delicacies shine this May, as the "Enjoy the Authentic Joy from Europe" campaign celebrates four premium delicatessen mea...

LINE NEXT and Kaia Expand Web3 and Stablecoin Adoption Across Asia Following a Native Deployment of Tether’s USD₮ on Kaia Blockchain

ABU DHABI, UAE - Media OutReach Newswire - 14 May 2025 - Tether, the largest company in the digital assets industry announced it has created a native deployment of Tether's USD₮ on the Kaia bloc...

Hang Lung’s NET•WORK Captures New Office Demand Wave: Landlord-Managed Space Hits 70% Occupancy

HONG KONG SAR - Media OutReach Newswire - 14 May 2025 - Hang Lung Properties Limited (SEHK Stock Code: 00101) (the "Company" or "Hang Lung") is pleased to announce the launch of NET•WORK, a premie...

Bora Pharmaceuticals Exits Integration Phase with Sequentially-Improved Gross and Operating Margins

Positioned to Unlock M&A Value through U.S. Manufacturing Amidst Geopolitical Complexities and Specialty Portfolio HONG KONG SAR - Media OutReach Newswire - 14 May 2025 - Bora Pharmaceuticals ...

Johnson Electric Hosts 2025 Humanoid Roundtable to Explore Hardware Standards in Next-Generation Humanoid Robotics

Leaders from seven humanoid manufacturers convene with hardware experts to discuss the future of humanoid hardware standardization VANDALIA, OHIO - Media OutReach Newswire - 14 May 2025 - Johnson...

The Chinese and French children's choirs have another musical rendezvous in Paris

WUZHISHAN, CHINA - Media OutReach Newswire - 14 May 2025 - May is a great season to experience the French romance. Nearly 20 members of the Wuzhishan Li & Miao Children's Choir once again set ...

Prof Dr Klemens Joos back as CEO of the EUTOP Group

BRUSSELS, BELGIUM - Newsaktuell - 14 May 2025 - Prof Dr Klemens Joos (56) has been back at the helm of the EUTOP Group as CEO since 13 May 2025.

Intermittent Hypoxia-Hyperoxia Therapy (IHHT) Launched: Breakthrough Breathing Therapy for Heart, Brain, and Healthy Aging

KUALA LUMPUR, MALAYSIA - Media OutReach Newswire - 14 May 2025 - Ai Mediq SA today officially launched Intermittent Hypoxia-Hyperoxia Therapy (IHHT), a science-backed, non-invasive breathing thera...

Cyberport Hosts "AI x Cybersecurity Forum"

Exploring the Risks and Opportunities of AI Applications in Cybersecurity HONG KONG SAR - Media OutReach Newswire - 14 May 2025 - Co-organised by Cyberport and the Hong Kong Cybersecurity Professi...

CGTN: Peng Liyuan and Brazil's first lady visit NCPA in Beijing, vow to deepen cultural exchange

BEIJING, CHINA - Media OutReach Newswire - 14 May 2025 - The National Centre for the Performing Arts (NCPA) in Beijing on Tuesday welcomed Peng Liyuan, wife of Chinese President Xi Jinping, and Ro...

Deputy Unveils Enterprise-Grade Analytics+ to Power Smarter Workforce Decisions for Shift-Based Businesses

Deputy, the world’s leading workforce management platform for shift work, today announced the global launch of Deputy Analytics+, a next-generatio...

UNSW startup accelerator offers $200K to the next generation of Australian deeptech unicorns

UNSW Founders, Australia’s most recommended startup accelerator, has partnered with fund manager Luminary Partners to invest $200,000 each into 18...

The Future Is Now: AI Modernization Is Reshaping How Business Gets Done

The present business environment imposes stronger requirements on Australian organizations to match the fast-paced digital-first economy requireme...

Businesses losing an average of $493k from data integrity flaws

Managing data responsibly and effectively for the AI age can give organisations a strong competitive advantage, but many are failing to harness th...

AI shopping disruptor Zyft raises $7.5M to lead the next gen of retail tech

Zyft appoints new CEO, Richard Stevens, to lead the latest Waller Group success story, valued at $30 million SYDNEY, 28 April 2025: Zyft, the lea...

Little known law offers savvy Kiwis the opportunity to supercharge their retirement savings

A little-known legal amendment is being leveraged by savvy New Zealanders and expat Brits to supercharge their retirement savings. Not many peop...

Sell by LayBy