Luxury brands on TMall have been employing various product strategies to drive revenue growth during 11.11.

The luxury segment has demonstrated resilience in China's retail sector, with brands employing differential product-based strategies during the festival to uncover growth.

Here are some key observations from TMall Luxury flagship stores (over 120 brands tracked):

⏩ Top Products: Canada Goose, Coach, and Gucci had a significant presence in the top 100 products, dominating with 12, 11, and 10 products, respectively.

⏩ New Listings: Coach, Moncler, and BALENCIAGA stood out in the top 100 new products, with Balenciaga offering inventory clearing SKUs at a 40% discount and introducing new colorways for their 3XL collection.

⏩ Winterwear: Canada Goose and Moncler aligned with their top product performance experienced a surge in revenue during the festival compared to the hotter months. Additionally, three of the top 50 overall products come from the scarf category with Burberry, LANVIN and Acne Studios AB Studios each generating significant revenue with their key scarves.

⏩ Non-discount Strategies: Despite the prominence of discounts, 18 products in the top 50 were sold at full price. Gucci (participating in 11.11 for the first time) offered the #2 ranked Gucci Marmont Supermini with 12- and 24-month interest-free payments for the first time since their TMall launch, while Moncler leveraged a 24-month interest-free payment on its core product - the Maya puffer.

⏩ Discount-Driven Sales: The #1 ranked MCM WORLDWIDE Aren Tote bag, offered at the deepest discount yet since 11.11 2022, was the top-selling product with over 5,000 units sold, while #3 ranked Maison Margiela's sneakers were offered for the first time at a discount, with the lowest price offered since the launch on TMall.

⏩ Change in Strategy: Cartier opted out of offering additional benefits to consumers during 11.11 2023, marking a shift from previous years where they provided installment options (12 months in 2021 and 6 months in 2022 on top SKUs). Compared to last year’s festival, the flagship store revenue saw a significant drop.

⏩ Deep Discounts: Michael Kors, Lanvin, Bally, SANDRO, and Stuart Weitzman offered some of the widest and deepest discounts during the festival to mixed results – while discounts can certainly attract new and repeat customers to your brand, a careful balance must be struck by offering the right value, on the right product, at the right time.‍