The young luxury consumers in China

Abstract

Purpose The luxury market in China has grown significantly in recent years. One unique characteristic of luxury consumers in China is their youth. While exploratory in nature, this study aims to identify and offer a meaningful understanding of different segments of young luxury consumers in China. Design/methodology/approach The data were obtained from personal interviews with 28 respondents between 20 and 25 years of age who were recruited via a mall‐interception method in three different high‐end department stores in Shanghai, China. Findings Based on key values, motivations, and behavior patterns toward luxury consumption, the authors identify four distinct segments of young luxury consumers: the overseas pack; the self‐established cool; the luxury followers; and the spirituals. Research limitations/implications The study is based on a small sample consisting of 28 individuals. Practical implications While Chinese youth may share some traits as a collective group, they also have diverse reasons and patterns for luxury consumption. The authors identify at least four distinct segments whose values, motivations and behavior toward luxury are different from one another. Companies must consider the differences that exist within this generation to effectively approach this market. Originality/value While exploratory, the current study is the first to identify segments in luxury consumers among young generations in China.

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