CASE STUDY
Building China E-Commerce Strategy for a Luxury
Lifestyle Brand
The client, a luxury handbag and accessories brand, had limited physical distribution in China and wanted to explore the potential for leveraging e-commerce to drive both sales and brand building activities.
Solutions
- Evaluated current status of luxury e-commerce in China
- Mapped out key platforms, and analyzed industry trends
- Evaluated e-commerce presence and strategy of peer brands
- Validated the opportunity from the customer perspective by analyzing how traditional retail customers and heavy e-commerce users approach the e-commerce channel
- How they approached luxury
- Analyzed what drives them to buy luxury online
- Determined their approach to different online channels
- Evaluated their reactions to the client’s online assess
- Mapped out various fulfillment and partnership scenarios
- Mapping of key partnership scenarios
- Identified key roles and responsibilities of different partners
- Mapping of key fulfillment scenarios, including local fulfillment and overseas fulfillment
- Determined what channel and pricing/product strategies make sense for targeting each group
- Evaluated landlord perception of e-commerce to reduce cannibalization between online and offline efforts
Methodology
- Consumer focus groups among heavy and light e-commerce users
- In-depth interviews with 20 e-commerce vendors and partners, and 30 landlords across China
- Arranged meetings between client and select vendors
Our Process
Business Model & Partnership Selection
Focus Group Discussion
In-depth Interviews
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