Luxury Brands Beware – Chinese Consumers want Distinctive Alternatives

Here’s news on luxury goods being sold in China and how Chinese consumers are impacting Louis Vuitton and Gucci:

As more Louis Vuitton (MC) bags, Gucci wallets, and Omega watches flood cities like Beijing and Shanghai, consumers are eschewing readily available logoed products in favor of more distinctive alternatives. 

“As the luxury industry matures, the Chinese are becoming much more sophisticated about the products that they buy,” said Fflur Roberts, global head of luxury goods research at Euromonitor in London. “It’s not just about the bling aspect.” 

The shift to less conspicuous and often more expensive goods, which happened in Europe and the U.S. after the 2008 collapse of Lehman Brothers Holdings Inc., may dent growth at Vuitton and Gucci, which until recently sold more than half the luxury handbags in the world’s second-largest economy, HSBC estimates. 

Read theentire article on Business Week.