From November 7 to 17, Beijing SKP launched an 11-day anniversary celebration. During this annual peak shopping period, Luxe.CO conducted on-site visits to understand how Beijing SKP, as one of the most iconic high-end malls in the Chinese Mainland, has performed this year amidst a generally weakened fashion and luxury market. Has the anniversary celebration sparked a shopping frenzy? What changes have occurred in brand popularity and consumer preferences?
Are Luxury Brands Still Drawing Long Queues?
The on-site visits were conducted on November 7, the first day of the anniversary celebration, as well as on the afternoon and evening of Saturday, November 9.
Although foot traffic on the first day was not as dense as expected, several store employees revealed to Luxe.CO that customer numbers and sales were higher than those on regular weekdays. A salesperson from a well-known domestic women’s clothing brand commented, “Many customers specifically choose to shop during the anniversary celebration because they can redeem gift vouchers. Today is also a brand day, which means customers can earn tenfold loyalty points, making purchases much more cost-effective.”
This sentiment was echoed by a parking lot staff member, who remarked when asked about the foot traffic on the first day, “Cars haven’t stopped coming today.”
By the weekend, foot traffic had significantly increased. While the large crowds of past anniversary celebrations were absent, the number of shopping bags carried by visitors had noticeably risen, showcasing the celebration’s appeal.
Inside the mall, the number of sales staff at various brand stores and counters had visibly increased, with nearly all available personnel mobilized. The anniversary celebration is evidently a critical period for brands and staff to meet their annual sales targets, with everyone working at full capacity.
Stores of luxury brands such as Louis Vuitton, Dior, Hermès, Chanel, and Miu Miu were bustling with customers. However, the long queues outside luxury brand stores, which were a common sight during past anniversary events, were absent this year.
In the luxury watch section, Rolex stood out with the highest popularity, drawing a queue of customers. A passing young shopper joked, “Is this the Zheng Qinwen effect?” (Note: Zheng Qinwen, an Olympic tennis champion, is a Rolex brand ambassador.)
The beauty section on the same floor as the luxury brands was the liveliest. Beauty and skincare products remain relatively affordable for most consumers. Additionally, almost all beauty brands fully participated in the anniversary celebration, unlike Chanel Beauty, which did not accept gift vouchers. As a result, redeeming products in the beauty section was a more cost-effective option for customers.
However, a salesperson from a skincare brand revealed that during peak anniversary sales periods in the past, extra cash registers would be added around the beauty section to handle the increased customer flow. This year, no additional registers were added.
Demand for Winter Clothing and Gold Jewelry Remains Strong
During the visits, two categories stood out: brands benefiting from the growing demand for winter clothing and high-end gold jewelry brands that have maintained strong appeal in recent years.
Winter clothing saw increased demand as consumers sought warm yet fashionable apparel. Brands such as Moncler, Canada Goose, UGG, and Arc’teryx drew significantly higher foot traffic than others. During peak hours, Moncler, Arc’teryx, and Canada Goose even had queues outside their stores.
A salesperson from Moncler revealed that the brand’s classic Maire style was sold out and required pre-ordering. Canada Goose also experienced shortages across several sizes in its products.
In conversations with sales staff, it was revealed that Moncler’s classic Maire style has sold out and now requires pre-ordering, while several styles from Canada Goose are also experiencing size shortages.
Notably, Moncler staff confirmed that as of this year, the annual sales of Moncler’s Beijing SKP store have exceeded RMB 100 million (approximately $13.7 million), equating to around 6,000 down jackets sold.
For UGG, a footwear brand specializing in snow boots, certain styles have already sold out. Staff were busy attending to an endless stream of customers, barely able to exchange pleasantries. They rushed to complete transactions and immediately moved on to the next customer.
Another category that has maintained high popularity in recent years is high-end gold jewelry.
With the continuous rise in gold prices and improvements in product design, more young consumers are choosing gold jewelry either as a reward for themselves or as gifts for holidays and special occasions. This trend also reflects a mindset of value preservation and risk aversion.
In the jewelry section of Beijing SKP, the most prominent presence is the Chinese domestic brand Lao Pu Gold.
Lao Pu Gold has both a counter and a boutique on the first floor and basement floor, located near brands such as Chow Tai Fook and Buccellati.
Long queues were often seen outside Lao Pu Gold’s two locations. Some customers even shared on social media that they waited for half an hour just to view the products.
Unlike traditional domestic gold jewelry brands that price their products based on fluctuating gold material costs, Lao Pu Gold adopts a “fixed price” model unaffected by raw material price changes. However, the brand commands a high premium, comparable to international luxury brands.
According to data from Frost & Sullivan, Lao Pu Gold’s two Beijing SKP stores achieved a total revenue of RMB 336 million (approximately $46 million) in 2023, with monthly sales per square meter averaging RMB 440,000 (approximately $60,000).
Anniversary Benefits Remain Attractive, But LV, Dior, and Arc’teryx Do Not Participate
The anniversary point-based promotions at Beijing SKP remain enticing this year. Many brands, including Tiffany & Co., De Beers, and Loewe, participated, and social media was abuzz with users sharing tips and tricks for maximizing savings.
To amplify the promotion of its anniversary event, Beijing SKP began generating buzz on its official social media platforms as early as late October.
During the anniversary celebration, Beijing SKP offered some of the most attractive discounts of the year. Customers could enjoy exclusive membership benefits, such as electronic gift vouchers equivalent to 10%-20% of their spending, tenfold points on brand-specific days, and other perks. Points could be redeemed for gift vouchers, which could then be used as direct cash discounts, effectively translating to an overall 20%-30% discount. For consumers purchasing luxury goods, this meant significant savings.
TAG Heuer, a luxury watch brand under LVMH, stood out as one of the few high-end watch brands that accepted and returned gift vouchers while also offering tenfold points. A store employee revealed that this is the brand’s biggest annual event, and popular items, such as collaborations with Porsche, performed exceptionally well in sales.
However, some brands opted not to participate in Beijing SKP’s anniversary promotions. These included Louis Vuitton, Dior, Loro Piana, Hermès, Chanel, Arc’teryx, Van Cleef & Arpels, Rolex, Buccellati, and Cartier.
Despite not joining the anniversary promotions, these brands implemented other strategies to attract customers and boost sales. For instance, Loro Piana offered tenfold points for single transactions or prepayments of RMB 230,000 (approximately $31,500) or more during the celebration. Louis Vuitton provided triple points for single purchases over RMB 30,000 (approximately $4,100). Cartier also rewarded customers with triple points for in-store purchases.
| Image Credit: Luxe.CO On-Site Photography
| Editor: Zhu Ruoyu
