Wednesday was truly a banner day for China’s luxury shoppers as Gucci slashed prices on some of its most popular products in half countrywide, triggering a massive rush of people looking to pick up a genuine luxury item for cheap, rather than just ordering knock-offs on Taobao.
The French-owned Italian-based fashion house offered as much as 50 percent discounts in all its branches on the mainland. Smart shoppers lined up to participate in what could have been the biggest luxury shopping bonanza since government officials were forced to turn over their bribes.
According to CCTV News, the sale happened to coincide with a recent decision by China’s Ministry of Finance to cut taxes on imported goods by an average of more than 50 percent starting June 1, in order to boost domestic consumption. Seems like both Gucci and consumers received the message loud and clear.
Bloomberg Business, however, quoted a Gucci spokesperson as saying that the cut in prices was totally unrelated to the cut in tariffs, but was simply part of an end of season sale. The kind of sale that is beginning to raise troubling questions about China’s once booming luxury market. Quartz reports that the drastic price cuts are being made to clear out inventory for the company’s new creative director.
Still, the Chinese media see this sale, along with recent price cuts in China from other luxury brands like Chanel and Prada, as just the beginning of a long summer filled with discounts for the lucky high-end shopper — or as we proclaim this: The Summer of Tuhao.
Previously on Shanghaiist: Crocodile purse tears: Hermès reduced to holding first ever sale in China
by Alex Linder
[Images via CCTV]