【Shanghai, Ch】On-Site Report: Why Are Multiple Luxury Brands Actively Participating in This Luxe.co Closed-Door Meeting?

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Editor’s Note

This article reports on the recent closed-door session in Shanghai for the Luxe.co Luxury Brands China Power Ranking. The event brought together key industry players to discuss this unique, data-driven ranking system.

Event Overview

On February 28, 2025, the Luxe.co Luxury Brands China Power Ranking Closed-Door Interpretation Session was successfully held at the Shangri-La Hotel in Jing’an, Shanghai. Representatives from 25 luxury and high-end lifestyle brands, along with 5 high-end commercial real estate and internet platforms, attended the event and gave enthusiastic affirmation to its content.
The “Luxe.co Luxury Brands China Power Ranking” is a globally unique, data-driven ranking system that systematically evaluates luxury brands based on their investment intensity and activity in the Chinese market. It highly objectively reflects the latest strategies and execution of luxury brands in China.

Insights from the Closed-Door Session

Wang Qiong, Senior Vice President of Luxe.co and Director of Luxe.co Think Tank, was able to engage in face-to-face communication with industry peers through this professional and private “closed-door” event. She provided detailed analysis and interpretation of the key data, representative cases, and industry insights from the 2024 “Luxe.co Luxury Brands China Power Ranking” and the “Luxury Jewelry & Watch Brands China Power Ranking.”
For this occasion, Luca Solca, a senior luxury goods industry analyst from Bernstein, was specially invited to share his unique perspectives on the Chinese luxury market.

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Key Trends and Brand Strategies

Luxe.co has been releasing the “Luxury Brands China Power Ranking” for four consecutive years since 2021. At this closed-door meeting, Wang Qiong presented the ranking changes from 2022, 2023, and 2024, visually demonstrating the subtle evolution of luxury brands’ strategic focus in the Chinese market.
Facing a challenging market environment over the past year, some luxury brands have maintained continuous investment in stores and events, which has also allowed them to stand out in the Power Ranking.
It is worth noting that luxury brands in China are entering an era of accelerated store upgrades and renovations. The number of luxury brands that completed store renovations increased by 36% compared to 2023, with luxury jewelry and watch brands seeing a 62% increase. This trend is expected to continue this year.
From the TOP 20 list, it can be observed that many luxury brands are abandoning traditional event strategies aimed at generating buzz and grabbing attention. Instead, they are shifting towards more long-term content building that genuinely showcases the brand’s core. In the long run, this approach will have a positive effect on stabilizing market share and solidifying user perception.

Expert Analysis: Luca Solca on the Chinese Luxury Market
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“We are seeing China’s GDP and macroeconomy accelerating in recovery. Therefore, I would say we are moderately optimistic and constructive in the short term, and more constructive in the long term, because the Chinese economy remains vibrant, with many new middle-class consumers emerging who will enter the market to spend, including on luxury goods.”
“The luxury brands that have raised prices the most now have to work harder to become ‘value for money’ in the eyes of consumers. They have to renew their product portfolio, they have to be as creative as possible. Nobody wants to buy exactly the same thing they could have bought a few years ago for a third or half the price.”
“The development of the luxury industry needs to strike a good balance between innovation and respect for brand DNA… If you stand still at one point, just offering more of the same, consumers will go elsewhere, they will get bored, and they will simply stop spending money on you because they are bored. I think continuous innovation is a very important factor for growth, an indispensable element.”
“If you are smaller, I think the best strategy for growth is to be different, to carve out a very unique market positioning for your brand, to show in the eyes of the consumer what is unique about your brand and the unique value you can provide.”
“I think cultivating an executive team that can align with China’s national conditions, its cultural connotations, keep pace with the rapid development of public opinion, and understand consumer concerns and public needs has always been one of the most important challenges facing luxury brands.”
“These luxury brands come from far away. They mostly come from Europe, from France, Italy, Switzerland, some from the US or the UK. Therefore, I think it is crucial to integrate talent with a strong Chinese background, who understand the relevant situation in China today, at the senior management level. I think a lot of progress has been made in this regard, but I think we are not yet where we should be.”
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⏰ Published on: March 06, 2025