VELVET Group Founder and CEO Patrice Nordey recently spoke at the Cashmere World Forum which took place from October 5 to 7 at the Hong Kong Convention & Exhibition Centre. China is home to one of the biggest luxury markets, as well as 95 percent of the world’s supply of pure cashmere.
Nordey presented on how to reach China’s new generation of luxury consumers through digital marketing and e-commerce. Below are excerpts of the talk, as featured in a Jing Daily article on the forum:
“Digital is here to communicate but also to sell products,” said Nordey, who discussed the importance for luxury brands of “designing the consumer journey” through various touch points that include a mix of online and offline platforms. O2O strategies are especially important for luxury brands, he said, as “omnichannel is really becoming the new normal.” He outlined three key goals for an O2O strategy: increasing store foot traffic, enhancing point-of-sale experience, and sales conversion. A key way to enhance O2O campaigns for luxury brands is through WeChat, which “is really changing the digital landscape in China,” he said. The multitude of functions being added to WeChat, including payment systems, means the platform is “really starting to be a Swiss army knife.”
In addition to social marketing, e-commerce is also crucial for reaching Chinese consumers. According to Nordey, Chinese consumers’ above-average interest in buying fashion online means that the cashmere industry should be especially focused on e-commerce. “If you look at every market, the first category is consumer electronics,” he said. “In China, the first category is accessories, fashion, clothing—this is the first category. This is what people are buying online.”
(Read the full article here.)