Gucci handbags still No 1 choice among affluent Chinese women, says survey
Gucci maintained its slight edge over Prada and Louis Vuitton as the handbag of choice for affluent Chinese womenas the Italian brand continues to roll out “iconic and exclusive” products, a recent survey showed.
About 50 per cent of female Chinese luxury product consumers with an annual income above 450,000 yuan aspired to purchase a Gucci handbag, followed by 49 per cent for Chanel and 46 per cent for Prada, according to a report released this week by RBC Capital Markets.
The news that Gucci is still the “darling” of the world’s largest group of luxury goods buyers bolstered prospects for its parent Kering which has seen a remarkable turnaround this year, with double-digit comparable revenue growth across all regions except Japan for the third quarter.
“Gucci was the hottest brand in the sector in 2016,” said RBC analysts led by Rogerio Fujimori, who raised its price target for Kering to €205 from €200 based on the findings.
The Toronto-based investment bank last month polled 411 affluent female Chinese who said they were interested in buying a luxury handbag costing over 5,000 yuan in the next 12 months.
Handbags are the most important sales segment for LV, Gucci, Hermes and Prada, and a key revenue driver for the likes of Burberry and Ferragamo. Chinese consumers account for about 30 per cent of the global luxury consumer goods market.
