Inhwa Chung and Lucy March are currently interning at Danwei. They have spent
several weeks researching stores and consumers on one of Beijing’s luxury shopping streets by talking to sales staff and customers.
Jinbao Street screams wealth. Jinbao (金宝) means “gold and treasure” and the name is apt:
The Hong Kong Jockey club squats in the middle of the street, surrounded by stores that sell Bentleys and Ferraris with price tags in the millions (please refer to our previous research for more about the cars and background to Jinbao Street). Private drivers in expensive cars roll up to five-star hotels to pick up their customers. During lunch hour, men and women in designer suits come out from their offices suites and descend upon the street which is lined with stores offering luxury goods.
We asked sales staff at nearly all the stores on Jinbao Street what their most expensive and cheapest items were and for comments about their customer demographics. Some were more talkative than others.
The most expensive item on the whole street is a Pagani sports car that sells at 26 million yuan. Other products with outrageous price tags include:
• A password-protected cabinet with a price tag of 5 million yuan;
• A diamond encrusted watch for 6.6 million yuan;
• A medicinal fungus for 200,000 yuan;
• Men’ suits for a million yuan;
• A cell phone for 840,000 yuan.
Not far from the Hong Kong Jockey Club is Jinbao Place, a seven-story mall. This self-described “Palace of Global Luxury” is on most afternoons almost completely devoid of customers, save for the few who are grabbing a latte at Esquire’s Coffee, or sitting down for lunch at the Dadong Peking Duck restaurant.
Salespeople we spoke to at Jinbao Palace were almost never busy with a customer, and some said that they had not had a transaction in months. Still, it seems there are enough people who can drop tens of thousands or even millions of yuan on an impulse to keep the stores on Jinbao Street open.
Who are these people?
A recent McKinsey report titled “Understanding China’s Growing Love for Luxury” found that 73% of China’s luxury consumers are under 45, and 45% are younger than 35, which corresponds with the typical age range of customers on Jinbao Street, according to sales staff we interviewed. Many of the sales staff said their customers were from Shanxi; Inner Mongolia, Northeast China, Shandong and Shaanxi were also mentioned. Although the Jinbao Palace Mall seems to have more women shopping and window shopping, many of the sales staff said men were the main customers.
The following is a list of descriptions, prices and anecdotal information about the stores on Jinbao Street (see also Luxury cars of Golden Treasure Street for information about luxury cars sold on the street).
Orchard Farmer
A well-known dried fruit and nut chain store.
Cheapest item: Torreya nuts, 9.8 yuan / 1 jin (500 grams)
Most expensive: 302 yuan / 1 jin
Sell about 100,000 yuan of goods per month.
Good Neighbor Convenience Store (好邻居）
Cheapest item: 1.5 yuan (bottled water)
Most expensive item: 1,000 yuan (liquor)
Casajolie
Home furnishings
Cheapest item: 1,000 yuan for flooring, several thousand for a bathtub.
Most expensive item: 6,000 yuan for flooring; 350,000 yuan for a bathtub.
Time (时光)
Home furnishings
Cheapest item: 27,000 yuan, a watch winder.
Most expensive: 5 million yuan, a password-protected cabinet.
Customers range from age 30-60, most of them are men.
Sell about 10 million yuan of goods per year.
Convenience Store （便民商店）
Cheapest item: 0.5 yuan(meat snack)
Most expensive: 70 yuan (a pack of cigarettes)
Millennium Wine Cellar
Cheapest item: Over 80 yuan (liquor), 3 yuan (pack of cigarettes)
Most expensive item: Over 1,000 yuan (liquor), 60 yuan (pack of cigarettes)
The store owner told us that customers prefer Chinese cigarette brands to foreign brands.
Parmigian
Watches
Cheapest item: 164,000 yuan
Most expensive: 6.6 million yuan (diamond men’s watch)
They have at most five customers per day, from age 18 and up, and from all around China.
FFF Automobile - image by Inhwa Chung
Starck by Warendorf
Home furnishings
Cheapest item: 500,000 yuan
Most expensive: 1.5 million yuan
Many customers per day, some from as far away as Macau.
Most popular item is a glass kitchen counter, of which they typically sell ten a year.
Very-Grass
A medicinal fungus popular in traditional Chinese medicine.
Cheapest item: 10,000 yuan
Most expensive: 200,000 yuan
They claimed to have many customers per day, but couldn’t tell us how much they sold in a month.
Dtiga
Authorized Apple product reseller
Cheapest computer: 7,600 yuan
Most expensive computer: 18,000 yuan
An used iPhone costs 5,999 yuan for 16GB; the storekeeper told us that 32GB iPhones are sold out all over China. They will start selling the 4GS iPhone at the end of the year.
Customers are of all ages, including students. They have 50-60 customers a day.
Iran Carpet Company
Cheapest item: 1,500 yuan
Most expensive item: 270,000 yuan
They sell two to three items per month.
Most customers are male, usually “bosses or managers” (老板) aged 30-40.
Orlov
Diamonds
Cheapest item: 1,000 yuan
Most expensive item: Several hundred thousand yuan
Customers are mostly female and come from everywhere.
Marco Bruno
Brand suit rental
Cheapest item: 3,000 yuan
Most expensive item: 10,000 yuan
Most customers are men aged 20-40 looking for wedding tuxedos. About ten shoppers a day, most of whom are just passing through during their lunch hour.
JINBAO PALACE
Luxury shopping mall containing 49 stores.
Cheapest stores: (on average) Siu (cheapest item: a shirt for 1,000 yuan) and Beprine (women’s clothing – 1,000 yuan).
Most expensive store: He Sheng Jewelry (和生珠宝 ) had the most expensive item (a jade necklace for 3.8 million yuan); Omega on average has the most expensive items (including a 1 million yuan diamond watch).
The average customer at Jinbao Palace is 30-40, usually a Chinese male from all over China.
These are stores in Jinbao Palace:
Burberry - image by Inhwa Chung
Burberry
Men’s and women’s clothing / accessories
Cheapest item: 1,000 yuan (card holder)
Most expensive item: 60,000 yuan (clothing); 20,000 (bag); 4,000 (scarf)
They sell 100-200 items per month; customers range from age 20-50.
Bottega Veneta
Men’s and women’s clothing / accessories
Cheapest item: 1,340 yuan (keychain)
Most expensive item: 340,000 yuan (bag)
They typically sell 500 items per month; customers range from age 20-50.
Cornelani
Formal men’s clothing
Cheapest item: 1,000 yuan (tie)
Most expensive item: 130,000 yuan (suit)
Typically sell 700,000 -800,000 yuan per month. Most customers are from Shanxi and Erduosi (Inner Momgolia).
Pal Zileri
Formal men’s clothing
Cheapest Item: 1,000 yuan (tie)
Most expensive item: 130,000 yuan (suit)
Prices go up in the wintertime, when they usually sell more products.
Kilton
Men’s clothing
Cheapest item: 128 yuan (socks)
Most expensive item: 1 million yuan
Typically sell about 500,000 yuan per month.
Canali
Formal men’s clothing
Cheapest Item: 100 yuan (socks)
Most expensive item: 60,000 yuan
Typically sell 1 million yuan of goods per month.
Gucci
Men’s and women’s clothing / accessories
Cheapest Item: 1,000 yuan (key chain)
Most expensive item: 40,000 yuan (accessories), 70,000 yuan (clothing)
Vertu
Luxury cellphones with concierge service
Cheapest item: 39,500 yuan
Most expensive item: 840,000 yuan
Omega
Watches
Cheapest item: 20,000 yuan
Most expensive item: 1 million yuan
Typically sell 3 million yuan per month.
Giada
Women’s clothing
Cheapest Item: 1,000 yuan (belt)
Most expensive item: 200,000 yuan (leather jacket)
Bilacioni
Men’s and women’s clothing, specializing in Italian furs.
Cheapest Item: 2,000 yuan (belt)
Most expensive item: 60,000 yuan (fur coat)
They sell less than 10 products a month; customers range from age 30-50.
Autason
Formal men’s clothing
Cheapest item: 1,000 yuan
Most expensive item: 200,000 yuan
Customers range from age 30-50.
Ilaria
Women’s clothing
Cheapest Item: 3,000 yuan (blouse)
Most expensive item: 300,000 yuan
Customers are in their 30’s, and are mostly from Northeast China and Xi’an.
The Swank
Men’s and women’s clothing / accessories
Cheapest Item: 120 yuan (very small item)
Most expensive item: 200,000 yuan (leather jacket)
Customers are from all around China.
High Quality Suit Care (优凯高级西服护理)
Suit care
Services costs 100-800 yuan
Ludwig Reiter
Men’s and women’s accessories (mostly shoes / bags)
Cheapest item: 300 yuan (shoe shine), cheapest shoes 2,000 yuan
Most expensive item: 110,000 yuan (shoes)
Customers range from age 40-50 mostly from Shanxi.
Artiloli
Men’s and women’s shoes
Cheapest item: 2,000 yuan (belt)
Most expensive item: 200,000 yuan (bag)
Customers are age 30 and up.
Siu
Clothing and Jewelry
Cheapest Item: 1,000 yuan (shirt)
Most expensive item: 15,000 yuan
Typically sell 30 -50 items per month, sometimes more. Customers are age 25 and up.
Ublcount
Men’s clothing and accessories
Cheapest item: 600 yuan (purse)
Most expensive item: 60,000 yuan (marten fur coat)
They sell less than 10 items per month. Customers range from age 30-40
Hesheng Jewelry (和生珠宝)
Jewelry and jade
Cheapest Item: 8,000 yuan (bracelet)
Most expensive item: 3.8 million yuan (necklace)
Customers mostly from Northeast China and Shanxi.
Beprine
Women’s clothing
Cheapest item: 1,000 yuan
Most expensive item: 15,000 yuan
They typically sell about 5 items in a month. Customers range from age 30-40; most of them are actresses and they usually rent the dresses.
Samsung
Home electronics (TVs and fridges)
Cheapest item: 15,000 yuan
Most expensive item: 20,000 yuan
They initially sold 50,000 yuan per month, but have not sold anything in a while. The sales person said that very famous people shop there so she couldn’t tell us about them.
Gts High Quality Cashmere (Gts高档羊绒)
Women’s clothing
Cheapest item: 100 yuan (gloves – on sale)
Most expensive item: several million yuan
Customers are age 30 and up.
Usually there are no customers during the summer, because they sell winter clothing.
La Belleza Salon（部丽莎美发沙龙)
Hair salon
Cheapest service: 80 yuan (shampoo and styling)
Most expensive service: 980 yuan (perm)
Yuming Jewelry (嶎明珠宝)
Jade
Cheapest item: 1,000 yuan (popular with younger customers)
Most expensive item: 1 million yuan
Customers range from age 30-40.
Anshangte Salon (安上特美容院)
Japanese style massage salon
Cheapest service: 280 yuan (facial massage), 320 yuan (full body)
Most expensive: 5,000 yuan (facial), 1,080 yuan (full body)
Juva
Massage salon
Cheapest service: 600 yuan
Most expensive service: 6,800 yuan for five sessions of laser treatment; also offers botox.
Customers are of all ages “because they all want to be pretty.”
Bailigong Cinema (百丽宫影城)
Movie theater
Price range: 60-70 yuan
Tanya
Women’s dresses and bags
Cheapest Item: 2,800 yuan (shirt)
Most expensive item: 20,000 yuan
Customers range from age 30-40.
Most customers are friends of the boss, mostly actresses.
Need notification two weeks in advance.
Had Hermes bags on display that belonged to the boss.
Polardeck
Home accessories
Cheapest Item: 3,000 yuan
Most expensive item: 200,000 yuan (wolf skin rug).
Customers are mostly from Shandong province.
Run Bao Xuan (润宝轩)
Jade
Cheapest Item: 30,000 yuan
Most expensive item: 100,000 yuan
Typically sell 1 million yuan per month.
Written and Researched by Lucy March and Inhwa Chung, all images by Inhwa Chung.
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