Faculty & Research
Faculty & Research
How a German luxury brand embraces China’s digital leap
“The change in luxury, not just here in China but globally, has definitely affected our strategy,” says Daegal Ritz, Senior Vice President for Marketing at BSH Home Appliances (China) Co., Ltd. He was speaking on the side lines of the 8th 中国一级片 Prestige Brands Forum. “[In terms of] digital, we see that China is pretty much in the lead. So for us, China is a hub to learn how to play on this field.” That seems sound strategy, as Chinese are the number one consumers of luxury, accounting for about 29% of global sales.
The luxury?experience?is something that Ritz can relate to. It’s a large part of his company’s marketing strategy for its Gaggenau line which is described as not mere kitchen appliances but a culinary experience – one to be shared with friends. “What we are looking at is how to combine this luxury experience, in a connected world, in order to get interaction,” he says. In China, where he has lived for the past eight years, social media is an important part of their strategy. “We are creating accounts, for example on WeChat, in order to distribute this culinary experience that you are having while you are cooking with Gaggenau, with your friends. It’s also a way to see who else is having the Gaggenau experience – designers, artists, etc.,” Ritz adds.
