Chanel in China is one example of success in the luxury market. The iconic brand arrived in China in 1999 with its first official store in Beijing and has since become successful in the 110 billion Euro Chinese luxury goods market. The brand also has a flagship store in Shanghai, 430 square meters inside the Peninsula hotel, opened in December 2009. Chanel now has vital interest in China and still needs to continue developing. In 2019, Pacific Asia was the first selling region with an annual benefit of 4.2 billion euros. An increasing of 19.9% compared with 2018. Chinese luxury demands continue to grow and luxury brands in China are competing to be the leader. 

  • What is the strategy of Chanel in China?

First, Chanel China hosts events to continue to gain admiration on the Chinese luxury  market. In 2011, There was an exposition of the brand in the National Art Museum of China of Beijing. The exposition of Chanel in China was a good strategy to improve their Chinese brand image because not only Chinese luxury consumers went there to visit the exposition but also arts students. It highlights the history of the brand and their spirit. It is more like an historic exposition than just a fashion one. Second, Chanel decreased the price of their products in China. Consumers reacted positively to this unique China pricing strategy. This is a questionable strategy because it is abnormal for luxury brands to decrease prices in China. Most brands  tend to increase prices to make luxury goods more exclusive. 

  • Chanel China’s digital strategies

Chanel is developing on the Chinese digital market; it is an important segment of the Chinese luxury market. They have their official Chinese website. In 2019, The brand also made a deal with T-mall to sell on their website. Most of the time, Chinese luxury consumers go through the luxury brand website to see what they want to buy and then go to real stores to purchase.

The brand also opened a WeChat official account where the consumers can read the news regarding the latest products launched by the brand and the various activities related to it. In 2022, Chanel’s official WeChat account was the most active luxury account among the hottest luxury brands in China. According to the statistical report released by itypesetting, among the six WeChat service accounts of FENDI, Prada, HERMES, Chanel, Louis Vuitton and Burberry, Chanel will have the most mass-posted articles in 2022, with a total of 72 articles, and Louis Vuitton will have the least mass-posted articles. While Louis Vuitton scheduled the least amount of content which accounted for only half of Chanel’s, and each piece being read by over 100,000 followers. 


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