Luxury Online Shopping Survey: E-Commerce Website Targeting 50% Profit

at present

The capacity of 20 billion yuan is seducing all kinds of people.

At the same time, the online shopping mall such as Xiu Xiu net, Fifth Avenue, Shangpin, Jiapin, vip.com, pin Ju network and glamour Hui has been launched. At the same time, comprehensive shopping websites such as Jingdong mall have set up luxury channel. V+, also known as the end of the year, is testing the luxury of water sales. Even Google, the search engine Google, which is also unable to compete with extravagant products, has come to the hilt.

For a long time, they are competing with each other for their own luxury.

With all the flowers flourishing, what brand of luxury websites have gained a firm foothold? Reporters have learned that in the plates of the world's second largest luxury consumer countries, luxury websites are mainly focused on price fixing, spelling of goods and service.

At least 27% of China's price increase: buyers' turnover and gross margin reached 50%.

No profit can't afford to get up early. This is the ultimate reason why luxury websites have sprung up like mushrooms.

According to a person who specializes in purchasing luxury goods, a Chanel bag sells abroad for about 24 thousand yuan, usually 30 percent off to 20 percent off. The price range is between 15 thousand yuan and 20 thousand yuan, while the price of domestic counters is generally around 30 thousand yuan.

"I usually sell around 25 thousand yuan."

According to the above purchasing agent, a business can earn at least 5 thousand yuan and a gross profit margin of 50%.

On behalf of buyers, the biggest factor in the spread is tariffs and government tax rates.

People who often buy luxury goods abroad also give an example. Tariffs on jewellery and footwear are 10%, tariffs on clothing, watches and clocks are 20%, and tariffs on cosmetics and liquor are as high as 50%.

In addition to tariffs, luxury goods will pay 17% VAT when entering the country.

Therefore, luxury goods in China should at least increase by 27%, while some developed countries are exempt from customs duties.

According to the results of recent surveys by the Ministry of Commerce, watches, clothing, liquor and other 20 brands of high-end consumer goods, the domestic market price is 51% higher than the United States, 72% higher than France.

In this regard, Yao Jian, spokesman of the Ministry of Commerce, also said that the price of Chinese luxury goods is higher than that of foreign countries. There are three main reasons: first, the distribution system and pricing system of pnational corporations are different; two, the choice of domestic brand goods is too little; three, the comprehensive import tax rate of some brands is relatively high.

It is also known that a luxury cost formula in the industry: raw material + processing cost + luxury brand value + market public relations cost + channel cost + tariff and government tax rate = actual selling price.

In this sense, the brand value of luxury goods has become an important one, while raw materials and processing costs are relatively low. Taxes and tax rates are also part of the price impact.

Price advantage is king: website sales are mostly non seasonal products.

As the above luxury goods enter into China's price chain, who has the price advantage will be able to break through.

However, reporters have learned that the first-line luxury goods manufacturers are very strict in controlling commodity prices in order to ensure the influence of the brand. Many goods must be sold at the original price and sold to the country. The taxes and fees are too high. Generally speaking, domestic dealers can only get 6 to 15% off of the goods.

In terms of price, it can not occupy a favorable position.

Luo Hong, manager of vip.com's luxury channel, told reporters that luxury goods have their own pricing system. Domestic sales are generally based on the price disclosed by the official website, and the price difference is mostly focused on tariff issues.

Therefore, luxury goods websites have different strategies in purchasing channels.

Sun Yafei, chief executive of Fifth Avenue, admitted that nearly 200 big brands were directly supplied by European and American brand sellers and suppliers. They bought large quantities of non seasonal goods abroad with large discounts, and maintained two to twenty percent off online sales all year long. They could save the most expensive rents of luxury facade shops and would not affect the quality of goods themselves.

Luo Hong also said that vip.com's source of goods depends on buyers, and two depends on distributors.

But she also admitted that although the synchronized new products also had sales, there were more goods in the coming season.

Every curve seeks spreads: buyers and dealers must not be less.

Even for seasonal goods, it is not easy to get the goods.

According to the reporter's understanding, in view of the attributes of luxury goods, usually the original factory has strong control over commodity channels, and the quantity is limited.

Therefore, for luxury website operators, how to widen channels and acquire goods is a basic job.

According to the industry, luxury websites generally try to find the first class agents all over the world, that is, local dealers get goods.

It is understood that a foreign supplier often has only 10 brands of Asian agents and a limited number. To ensure the stability of the backend supply sources, the platform operators must constantly expand the number of suppliers, not only to the international big stores, and maintain good relations with suppliers, but also need to cooperate with the large foreign websites and large mail order companies, chain boutiques, pnational quality websites and other channels to share and exchange suppliers.

In addition to integrating suppliers, it is to employ a large number of "international buyers".

The responsible person told reporters that their price strategy is synchronized with the European official website. Now they rely mainly on buyers, and they will get goods directly through dealers.

It is said that the company has set up a fashion buyer's office in the United States, Australia, France, London, Italy, Korea, Hongkong, Japan and other places.

Shang pin net has implemented a "buying system" and has formed dozens of buyer teams.

At present, luxury businessmen have some ambiguous attitude towards online sales.

Completely subverting the pricing system, brand associations are worried about damaging the interests of their agents and distributors.

But in the face of online shopping market, the temptation of blue ocean is very large.

While maintaining the interests of online and offline businesses, it is still a difficult problem for luxury businesses to maintain their sense of dignity and mystery.