China Digital Marketing

Luxury Marketing With WeChat: Leverage Digitalisation Enablers to Recover From the Impact of COVID-19

luxury img

With the unprecedented crisis driven by COVID-19, luxury players are forced to fast-track their digital transformation – implementing luxury marketing on digital channels with more consumers making their purchases online as opposed to in-store.  

Chinese consumers are set to cement their status as crucial drivers of the industry, and expected to account for nearly half of all luxury purchases worldwide by 2025. While global travel may not be returning to normal soon, Chinese consumers who used to make most of their luxury purchases abroad are now largely shopping from where they are residing. 

Due to that, luxury purchases made online have increased throughout the crisis and this goes hand-in-hand with the younger generations emerging as the primary demographic in luxury spending.  

With over 50% of the 1.2 billion users on WeChat aged between 25 – 35 yearsluxury brands are turning to WeChat to overcome the pandemic crisis. 

How to use WeChat for Luxury Marketing? 

1) Set up Official Account  

WeChat Official Account (OA) Setup is an essential step for brands to reach out to WeChat users. Having your account verified can show the authenticity of your luxury brand in the online Chinese market space.   

You are allowed to advertise on WeChat with Moment Ads and Banner Ads and even directly start an e-commerce business after having a verified WeChat OA ready. 

Get in touch with us if you want to open a WeChat OA that will take your business to a whole new level. 

2) WeChat Ads 

From 2016 to 2019, Moment Ads used by luxury brands saw a growth of more than 90%. Below are some common Moment Ad formats used by luxury brands.  

luxury marketing ad format

And a few more examples of WeChat Official Account Ads we ran for our luxury brand client – Maxi-Cash.  

luxury marketing maxicash

If you are interested to explore WeChat Ads, get in touch with us today. IH Digital is an official sales partner of WeChat and we can support your different advertising needs. 

3) Mini Program 

Other than WeChat Ads, 90% of the leading luxury brands are utilising WeChat Mini Program to build connection with their audiences. Below is the breakdown of the types of mini program launched for different purposes: 

  • E-commerce (21%) 
  • Customer Relationship Management CRM (25%) 
  • Customer Service (33%)  
  • Interactive Marketing (21%) 

With WeChat Mini Program, brands can get creative with gamification and support checkout with WeChat Payeven for Chinese who are residing outside of China. 

Case Study: Burberry’s Social Retail Store 

Burberry’s new social retail” store in Shenzhen, which opened in August, is an example of how the digitalisation of luxury brands can be materialised on WeChat 

To transform their business digitallythey offer a customised WeChat Mini Program so Chinese visitors can access store tours and learn about new products. And by November 11, over 138,000 visitors experienced the store. 

luxury marketing burberry

Interface of Burberry’s social retail store 

Not sure how to reach Chinese customers for your luxury brandsIH Digital – an official partner of Tencent is the right agency to help you achieve your goals.   

Contact us for a consultation today.    

About IH Digital 

IH Digital is an Asia-focused digital marketing agency providing Consultancy, Strategy, Content, Social Media, Media Buy, Web Development, SEM & SEO.

IH Digital is a member of Digital 38 Group.