Niche brands stand out with original design for millennials

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Chinese consumers at home and abroad spent 770 billion yuan (about 113 billion U.S. dollars) on luxury items in 2018, accounting for a third of the world's total. Consulting firm McKinsey said Chinese spending is set to almost double by 2025.

The firm noted that the country's millennials are the driving force of its appetite for luxury.

A company that creates shopping outlets for international consumers, Value Retail owns the world famous outlet Bicester Village Shopping Collection. During the last five years, the group rolled out two shopping villages in China. Chinese consumers have fast adaptability for new ideas, says Desiree Bollier, chair of the company, adding that China discovers new brands with amazing speed and strong curiosity.

In luxury fashion, speed matters more than ever. While niche brands with unique designs easily attract the attention of millennials, well-known labels like Gucci, Burberry and Coach are adopting new strategies with focus on increased flexibility and faster-paced production windows, in order to adapt to increasingly fierce competition.

A Supreme store. / Photo via unsplash.com

Bollier cited that niche brands are not necessary for broad audiences, but they have stories to tell. She cited Supreme, a streetwear brand with a simple but eye-catching logo that has legions of fans. "Supreme (stores) at the time were not even distributed in China, but (when) you walk in the street, (you) could see many millennials with amazing Supreme sweaters," she said.

Millennials not only in China but also across the globe are extremely knowledgeable nowadays – they stay updated on the latest styles through the Internet. Bollier commented that many of the brands should keep innovating and constantly keep abreast of what is the next interesting thing.

Now luxury is viewed as a gateway to a shared social experience and lifestyle. Bollier said their platform does not attract international millennials via bargains, but a unique experience for consumers.

"We are really confident. Any brand is focused on its customers, robust digital strategy and robust China strategy… Our village in Shanghai today is referred to as a village of Asia. They [consumers] love the quality and fantasy environment. We are trying to constantly surprise and delight them."