CHENGDU, China -- The world's biggest luxury brands are digging deeper into the Chinese market, courting influencers in cities beyond Beijing and Shanghai with new restaurants, cafes and bars.
Louis Vuitton this month opened its first restaurant in China in the southwestern city of Chengdu, at a historic building used as a meeting place for merchants over a century ago.
Located at Sino-Ocean Taikoo Li Chengdu, a commercial complex at the heart of the city, The Hall restaurant collaborates with Michelin-star chefs to serve dishes inspired by local Sichuan cuisine.
"There's Sichuan pepper in the chocolate," a diner exclaimed during a recent meal there, taking photos of one of the desserts to post on social media.
"Social media influencers drive new trends in China," a fashion industry analyst said, explaining the motivation behind such operations. "Top brands run establishments that serve food and drink to get influencers to post about them."
The Hall restaurant by Louis Vuitton incorporates flavors from local Sichuan province. (Photo by Shunsuke Tabeta)
Louis Vuitton is just one of many doing so at Taikoo Li.
Ralph Lauren opened a cocktail bar there this summer -- its first in Asia, according to local reports. Hermes drew young crowds during an event this month, when it served tea and coffee for customers to enjoy while perusing magazines about the brand. French fashion house Maison Margiela opened a cafe there as well.
Western luxury brands until recently focused on Shanghai and Beijing in China. Tiffany operates cafes in both cities, as does Ralph Lauren. But more are turning their sights to regional cities, where young consumers increasingly have more money to spend.
A Hermes event in November featured decor in the brand's signature orange. (Photo by Shunsuke Tabeta)
Fendi this month opened a pop-up cafe in the city of Nanjing. Burberry runs a cafe in Shenzhen.
China is a critical market for these brands, especially as wealthier consumers -- unable to travel abroad due to the country's "zero-COVID" restrictions -- spend more heavily on high-end products. The Chinese luxury market including clothing, jewelry and cosmetics nearly doubled between 2019 and 2021 to around 471 billion yuan ($65.9 billion), according to Bain & Co.
China is seen as capable of overtaking the U.S. luxury market in 2025. But zero-COVID has cooled China's economy as a whole, spurring doubts about the market's growth.
Source: Nikkei Asia
Louis Vuitton, Hermes chase Chinese influencers beyond biggest cities
Luxury brands use food and drink to win over younger consumers
Louis Vuitton, Hermes chase Chinese influencers beyond biggest cities
Luxury brands use food and drink to win over younger consumers