"Original, it is forbidden to carry, and violators will be investigated. Before reading this article, I would like to click on the "Follow" in the upper right corner, which is not only convenient for you to discuss and share, but also can bring you a different sense of participation, thank you for your support!
** Financial gossip
Author of Financial Gossip
The "big name" craze is fading, and the days of luxury lying down to make money are coming to an end, at least judging by the earnings report.
Some time ago, LVMH Group released its financial report for the third quarter of 2023, with the group's operating income of 199600 million eurosThis was lower than the market had expected 211400 million euros, a year-on-year increase of 9%.
LVMH's main performance in the first three quarters |LVMH website if the impact of exchange rate fluctuations and acquisitions is deductedTotal revenue grew just 1% year-over-year.
Not only is it lower than the 19% growth rate in the same period last year, but even the 17% growth rate in the first two quarters cannot be compared, so to speakWorst level in two years.
In this regard, LVMH's CFO can only say euphemistically:After three years of stellar performance, our growth is approaching historical averages.
No exceptionGucci's parent company, Kering, also had a disappointing financial report.
In the third quarter ended Sept. 30, Kering's sales were year-on-yearto 44EUR 6.4 billion at constant exchange ratesThe decline was 9%.
Among them, Gucci, which accounts for half of Kering's performance, recorded revenue in the third quarter**7% to 221.7 billion euros, calculated at the current exchange rateThe decline was 14%.
In addition to Gucci, Kering's brands YSL, Bottega Veneta, and BalenciagaIt is even worse than the other, with more than 10%.
And Hermès, which stands at the top of the chain of luxury contempt and does not pit the poor, despite having 15 in the third quarter of this yearA double-digit growth rate of 6%.
Hermès' main performance data for the third quarter, however, compared to 275% and 32 in the same period last year5%，The revenue growth rate has been directly cut in half.
However, the vice president of Hermès is still very confident and said that he remains optimistic about the group's prospects.
After all, Hermes mainly serves customers, that isThe group of high-net-worth people who are not sensitive to ** even disdain the middle class.
However, there is no denying itThe enthusiasm of the middle class, who tiptoe to buy luxury goods, is gradually cooling down.
After all, the middle class is the "main force" of luxury shopping.
Therefore, when the economy is under pressure, this group of middle-class people will withdraw in time, so that the luxury giants will face the coming of the "cold winter".
Once upon a time, international luxury brands were the favorite of the domestic middle class, who used this luxury experience to show their identity and sense of belonging.
Even many people regard owning a Hermes bag as a stepping stone to cross classes, and even more people have to buy a brand-name bag when they are frugal.
Luxury consumption in China was at its most frenzied in those yearsA number of phenomena have emerged that "luxury before getting rich" has emerged.
Long queues, sweeping luxuriesThe domestic middle class has become a landscape for luxury brand stores, and this phenomenon is also reflected in the data.
According to the "2021 China Luxury Market Report", domestic luxury consumption in 2021 will reach471 billion yuan, year-on-yearThat's a 36% increase
In fact, the middle-class group of people needs to tiptoe to reach luxury goods, which belongs to luxury goodsNon-core consumersOr ratherAdmiring consumers
However, it is precisely this type of person that isThe huge increase in global luxury goods**, they have contributed to the prosperity of the performance.
But,The changes in the current macro environment have shaken the middle class's pursuit of luxury goods.
In May this year, the Boston Consulting Group conducted a survey of Chinese consumers, and the results showed that:
China's high-spending demographic will continue to expand, and as the middle- and upper-income groups become more sensitive to fashion and luxury, they will become "more picky". ”
In short, it isThe consumption of the rich has been upgraded, and the consumption of the middle class and below has been downgraded.
is also in the economic downturn, Liu Luanxiong can auction 77 Hermes for more than 25 million, and there are more than 1,000 Hermes handbags left at home.
WhileWe ordinary people have to face the helpless crisis of unemployment, salary cuts, and supply cuts.
In this changing environment,The insecurity of the middle class is infinitely magnified.
They began to lose confidence in the future, and countless times they counted their deposits in the middle of the night, repeatedly compared the interest rates of several banks, and began to learn how to manage money and learn different ways to save money.
The three years of the epidemic have made them realize the reality that no job can be guaranteed foreverAs for whether you can make more money than you have now, whether you can keep your current job, which is their biggest uncertainty at the moment.
In the face of the middle-class "budget-conscious" consumption trend,Luxury goods, which have always been arrogant, are also abandoning the middle class and only doing the business of the rich.
In recent years, the price of luxury goods has risen frequently, reaching an almost crazy level, so much so that it has been ridiculed by many netizens:"It's better to buy a bag than to buy ***".
The number of times Chanel has increased its price over the past three yearsUp to 8 times.
One of its classic CF handbags is available from RMB 6190,000 yuan rose to 7180,000 yuan, an increase of nearly 10,000 yuan, and the ** of the medium-sized classic flap bag has even exceeded 70,000 yuan.
Chanel has forced itself to live as a financial product that is sure to make money without losing money.
Even Hermes, which has always had a relatively modest price increase, will also have some products in the second half of 2022It's up nearly 30%.
And LV is even more recentThe price has increased more than 10 times in 3 years!
Dior and Gucci, which were the first to settle in the Douyin live broadcast room, are no longer sellingIt's just a channel.
Through the strategy of price increases, luxury brands can not only further strengthen the value of the brand, but alsoScreening out the middle class and mass consumers who are sensitive to **, and maintaining and consolidating the real high-income group.
Since luxury goods take the initiative to dissuade the middle class, the middle class will naturally hold their wallets tightly and are not used to it.
Figure "I'm good in another country" Today's middle class doesn't worship luxury goods so muchThey are starting to pay more attention to the life experience.
From frisbee and camping to cycling, hiking and citywalkThey are always active in different outdoor sports and renovate the tricks of life.
In terms of consumption concepts, they are also more inclined to brands that can bring them emotional or value recognition.
And more pursuit"Practicality".with"Value for money".and began to pursue a stable and sustainable lifestyle.
As a result, there was an embarrassing scene where there were more people in outlet stores than full-priced luxury stores, and a large number of new middle class began to pour inPinduoduo and Vipshop are platforms for discount formats.
Even when they buy products, their first reaction is "go to Pinduoduo, Vipshop will be Tao".After all, the same quality, why not choose a cheaper one?
Wu Xiaobo's channel released "2022 New Middle Class *** mentions,In 2022, the active penetration rate of the new middle class on Pinduoduo reached 584%, compared to the same period last yearThat's an increase of 85%, the increase is significantly higher than that of other mobile shopping apps.
No one wants to be wrongedIt's not that you can't afford it at regular price, but it's more cost-effective to get a discount.
For the middle class, the quality of life cannot be reduced, but the cost of living is required to be reduced, so the answer to this optimal solution lies in the discount store.
The middle class of "blood awakening" began to consume for the most cost-effective comfortable quality of life.
After losing their enthusiasm for luxury, this year's middle class fell in love with the outdoors.
Outdoor sports brands related to it are also quietly popular in this crazeAll kinds of sports equipment are precisely sniping at the aesthetic orientation of the new middle class.
As a result, the middle class has thrown themselves into the arms of brands such as Arc'teryx, North, Salomon, and lululemon.
They turned to another way of "burning money".
After all,The middle class with money and leisure will never invest softly in a healthy life and quality of life.
Take cycling as an example, if you want to join the ranks of cycling, a bicycle starting from 10,000 yuan is standard.
After this sport became a hobby for the middle classThe whole track was rolled upInstead of just a bike, you now need a helmet, gloves, lock shoes, skinny jerseys, a professional computer and an expensive carbon frame.
These ** are not cheap, even the smallest decorative lights on the bicycle are basically 90 yuan to buy in regular brand stores.
Another example is hiking, oh, it's not called hiking, it's called citywalk, so it's more western.
The route they take has to be niche, but also unique, andIt is indispensable to wear one of the "three treasures of the middle class", and the unit price of an Archaeopteryx is tens of thousands of yuan.
Some netizens shared that they went hiking in Yubeng and met people who were hiking in the same way, almost everyone had a certain brand of jacket"In short, there is no 10,000 yuan that everyone can't buy."
This "luxury experience" is the consumption method used by the new middle class to mark the class to which it belongs.
Behind a brand's jacket and a way of life is a metaphor for class and identity.
Compared to tens of thousands of dollars to buy a luxury bag,The middle class is more willing to pay for this healthy quality of life.
As this netizen said, "The once beautiful country has become the tears of the times", luxury bags will become outdated, and they are not often carried.
But this healthy life and experience is within reach, even if you buy tens of thousands of jackets, they will not be placed in the wardrobe to press the bottom of the box, and they can be worn for several years.
Looking away from the middle class, in fact, in the matter of consumption downgrade, we have truly achieved equality.
Ice Cream Assassin, Malatang Assassin, Snack Assassin, Down Jacket Assassin. Assassins continue to erode everyone's quality of life, turning ordinary things into luxury goods, taking the high-end route.
So, this generation of young people came out to rectify the market, and they were angry at the "sky-high down jacket".
The army green cotton coat and flower cotton jacket have become the "new top stream" for young people to keep out the cold.
They dare to smash the consumption trap and the unreasonable concept of consumption, and never jump down.
In fact, behind this, it's justWith the change of consumption concept, everyone is no longer willing to be the culprit.
Whether it is the middle class or young people, or everyone here, after experiencing the epidemic, at the moment of consumption downgrading** has become a key word for everyone's consumption.
Buying things no longer pursues "expensive is good", nor does it pursue "face consumption", but pursues more cost-effective and pays more attention to the practical value of goods.
After experiencing the "assassin" experience, I also realized a truth:What high-end, luxury is virtual, and the actual needs and quality of life will not lie to you.
Luxury goods can't be sold, and the middle class is turning to outdoor sports to "burn money", what do you think about this?Welcome to leave a message in the comment area to discuss and express your opinions or opinions, thank you.