Young consumers dominate China's luxury market

The major consumers of luxury products in China are becoming younger as the new generation shifts their attitude toward life, according to a report by World Luxury Association (WLA).

The new WLA 2010-2011 global report shows the minimum age of China's luxury consumers has dropped to 25 in 2010 from 35 in 2007.

It predicts that people aged between 25 and 30 will become the dominant group of consumers for luxury products in China in the next three to five years.

The international luxury market regulator says Chinese consumers tend to base their decisions not on their income or age but on the psychology underlying their consumption habits, that is, they are more susceptible to the influence of competitive consumerism.

The fact that most young people are the single child of their family may have contributed to that psychology, says Kong Shuhong, a scholar who studies luxury products in the University of International Business and Economics.

"The parents of single children always give them the best of everything and that has helped the young generation develop their sense of individualism and entitlement," said Sun, "and the prevalence of credit cards has certainly fueled their appetite for luxury."

Source: CRIENGLISH. com