Shoppers or smugglers? China crackdown on ‘daigou’ boom – CNN.com
and Europe Chinese customs authorities are cracking down on the trade; viewed as smuggling Hong Kong (CNN) — Unlike most twenty somethings starting out in New York City, Zhang Yuzhu is not scrimping to make rent. A graduate student from China, Zhang spends her free time in the city’s swankiest department stores buying designer goods. She once blew $45,000 on the coveted Hermes’ Birkin that is regarded by some as the “holy grail” of handbags. Zhang, however, is not splashing her own cash. She is one of China’s growing ranks of “haiwai daigou,” or overseas personal shoppers, that source luxury items for customers back home. It’s a booming business that was worth 74.4 billion yuan ($12 billion) in 2013, according to the China E-commerce Research Center.
Factory Girls want to put the Southeast on fashion map | A&E Feature | Creative Loafing Atlanta
With the dirth of brands fighting for a stake in the space, and the demand for goods overpowering the supply , its interesting to see which luxury handbag brands are keeping up despite the madness. In a report done by Fashionista in conjunction with online consignment start-up TheRealReal , they identified the top selling handbag designers broken down by city. Their findings do a great job of identifying what brands are trending around the country, and while most of the report is pretty predictable there were a few surprises. Click on the next pages to see which brands reign in cities like New York, San Francisco, Miami and more! 1
China Fashionistas Get Best Deals on Gucci, Hermes Bling – Yahoo Finance
Zhang’s customers get designer goods for less than they would at home by circumventing China’s steep taxes on luxury items. She says they cost 30% less in the United States. Chinese are the biggest buyers of luxury goods globally, making 29% of all purchases, according to consultants Bain & Company , and these purchases are increasingly being made abroad, mostly by tourists, but also by people like Zhang. Many young Chinese studying in places like New York, London, Paris and Tokyo have started ad hoc businesses, with Bain saying that Chinese luxury sales will become increasingly reliant on this kind of “parallel trade.” Zhang finds her clients through Chinese social media like WeChat and Weibo, where she posts pictures of the latest items about once a month. Customers then wire the purchase price by bank transfer, including a buyer’s commission.
Guests were invited by mail to the four-hour sale, at a hotel in the city’s West Lake district, and barred from taking pictures, according to a story posted on the website of the People’s Daily, the official newspaper of China’s Communist Party. Price Difference One aim is to keep Chinese shoppers such as Ann Hu from taking their wallets to Europe. On a trip to Milan in July, the 27-year-old marketing executive from Shanghai picked up a Loewe leather handbag for 8,000 yuan, about half what she would have forked over in China. “The price difference between Europe and the mainland can pay for a round-trip ticket for me to Paris or Milan,” explains Hu, who’s collected luxury bags since she was 23. “If I could do that and holiday for a few days there, why wouldn’t I?” China imposes duties as high as 25 percent on imported products such as leather handbags, dresses, shoes, and watches, depending on their value, according to data from the World Trade Organization. The country also levies consumption taxes of 20 percent on high-end watches and 30 percent for cosmetics. The effect of taxes and a price markup means luxury branded items end up costing 50 percent more in China than in Europe, said Sanford C. Bernstein analyst Mario Ortelli.
The Best-Selling Luxury Handbag Designers In Each Major City | StyleBlazer
Factory Girls, the brainchild of co-founders Rosa Thurnher and Regina Weir, represents a different avenue for Atlanta’s creative minds, however. With the pair’s extensive fashion backgrounds, it seemed only natural to build an incubator that fosters local talent in the world of design and production. Weir became a modeling agent and talent scout after graduating from New York University with a bachelor’s degree in public policy and urban planning. She managed models for seven years while styling editorials for Esquire and Zink. Despite her success in New York, Weir moved back to Atlanta to run her family’s manufacturing business. After studying fine art at University of Georgia, Thurnher worked in retail sales and area management for more info 10 years while merchandising for J. Crew and Armani Exchange. She extended her entrepreneurial goals by compiling a collection of vintage treasures for her line, Recollection Vintage, and started her Bodega pop-up shop to promote Atlanta-based designers and their collections.