Shopping
Luxury Labels Slash Prices 50% to Lure Wary Chinese Shoppers
- Brands cut prices more steeply, regularly since start of year
- Price war threatens to undermine labels’ exclusive image
Some luxury labels are discounting their products to an unprecedented degree in China, reflecting a growing panic over unsold inventory as local consumers pull back on spending.
Starting this month, Chinese shoppers can snap up a small beige, crocodile-patterned version of Balenciaga’s iconic Hourglass handbag for $1,947, or 35% off on the mainland’s dominant e-commerce platform, Alibaba Group Holding Ltd.’s Tmall. That price is cheaper than what’s listed on the brand’s official websites globally and major luxury platforms including Farfetch.