SWAROVSKI Announces Price Cut, 20% Loves Hard For Chinese Market

As previously reported by Internet rumors, in November 1st, Austria crystal maker SWAROVSKI officially announced the adjustment of retail prices in the Chinese mainland market, with an average decline of about 20%.

"Oh, reduce the price.

In fact, there has been commodity price adjustment before, but it is a small range of single products, such as larger and larger ornaments.

In a SWAROVSKI counter in Shanghai Pacific department store, a salesperson pointed to a crystal ornament and told reporters.

No doubt, like other international brands, SWAROVSKI also attaches great importance to the Chinese market.

The brand side has also said that China, as an important market for SWAROVSKI's global business development, is leading.

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How much effect and business will this price cut bring to SWAROVSKI?

The problem is, because its main product is imitation crystal, the real high-end consumers who want to buy gemstones will not pay for them.

So what about fashion consumers?

"It's not like the past.

We do face many competitors, both overseas and local.

Those people also admit that.

More and more brands of all kinds of fashion accessories choose to enter the Chinese market.

For example, several popular Pandora in these two years, the counters in shopping malls also sprang up like mushrooms.

The founder of the brand even described himself as ZARA in the jewelry industry.

Want to stay ahead of the industry?

Obviously, more changes are needed.

Reporters noted that SWAROVSKI made 11.1 new pricing words on its Tmall official flagship store.

The company announced that the highest price reduction in the Chinese market was 26%, with an average decline of about 20%.

In this regard, SWAROVSKI explained that the price adjustment strategy will be conducive to SWAROVSKI.

Actively respond to the challenges of price differences in the import market, price adjustment can also make Chinese consumers more exposed to brands and products, and enjoy more preferential treatment.

The company, which is worth 3 billion 20 million euros, has been doing everything from designer jewelry to animal pendants to chandeliers, crystal accessories and pavement reflective materials.

As the world's largest manufacturer of cut crystal, SWAROVSKI has been focusing on B2B business for more than 80 years since its establishment. It has provided artificial crystal chandelier components and jewelry accessories for commercial customers. It did not enter the jewelry industry until 1977, and its crystal quality department directly sells artificial crystal jewelry to end-users.

A former SWAROVSKI employee, who did not want to be named, told reporters that as early as the 70s and 80s of last century, the company had entered the Chinese market. The earliest was to cooperate with the relevant enterprises without involving the retail market.

According to this person, SWAROVSKI currently has several different businesses in China, and the industrial crystal business department is working with different brands and enterprises to provide raw materials, technology and so on.

"The other one is 2C, which is the retail stores and counters that are now seen on the market, which were started more than 10 years ago.

This is the crystal quality department.

But problems also follow.

Because of agency, distribution, imitation, and so on, we often see all kinds of products on this occasion, and the price is also mixed.

In addition, with the rise of overseas tourism and e-commerce, consumers find that the price tag of these imitation crystal ornaments in China is far from the price of overseas purchase.

This may explain why in addition to the price cut in the Chinese market, SWAROVSKI also chose to adjust the retail price with an average increase of about 20% in the European market.

"China's e-commerce market is developing rapidly, but it is accompanied by unavoidable problems caused by parallel imports."

The company said on its official website that it can consolidate business development and maintain brand image.