中国的奢侈品降价促销

By narrowing the price gap between the Chinese and European market, the rebalanced price strategy aims to lure more prospective buyers back to Chinese markets, and fight against rampant fake products that have flooded the Chinese e-commerce market.

Chanel, for example, has cut prices on its iconic products including handbags and watches by as much as 23 percent since mid-March.

Other global luxury brands have announced to follow the price cut as well, including Chinese consumer favorites of Gucci, Prada, Dior and Versace.

The spokesman of Chinese Ministry of Commerce Shen Danyang has since issued a comment.

"Chanel is welcome to take the initiative to lower the prices of its products on the Chinese mainland to narrow the price differentials with Europe. We believe or hope that the move would be favorable for the back flow of overseas spending by Chinese tourists."

In the past few decades, Chanel has earned great profits from the Chinese market with some of its products twice as expensive as in European markets.

But in recent years, the situation has changed.

Zhou Ting is Deputy Director of International Brands Management Center at the Chinese Ministry of Commerce.

"The rapid growth of Internet and mobile internet has made Chinese consumers smarter. They are now comparing prices not among a few different sellers but in the globe as a whole so that they can quickly discover the lowest price. If the big luxury brands still hold on to their high-pricing strategy, it would mean driving away potential buyers".

As Chinese consumers are increasingly conscious of the pricing of luxury goods, the huge price gap has started to show its influence on sales.

This year, as prices of high-end products have gone up in euro zone and jumped down in China, and many say they may now consider purchasing luxury brands at home.

"I think it's no longer necessary to travel so far to buy these products since it's more convenient to buy them in China," said one Chinese consumer in Paris.

"I will consider buying luxury brands at home, since they are becoming cheaper in China than in France."

Statistics show Chinese consumers' spending on luxury goods in 2014 dropped for the first time in a decade, with 11 percent less than in 2013. Among the sales figures, 76 percent of transactions were carried out overseas.

For CRI, I am Huang Shan.