China is known for its booming consumer market, and the watch and jewelry industry is no exception. Over the past decade, there has been a significant increase in demand for luxury watches and high-end jewelry among Chinese consumers.
Chinese consumers have a strong affinity for luxury brands, and this extends to the Watch and Jewelry sector. Well-established international brands, such as Rolex, Cartier, and Tiffany & Co., are highly sought after in China.
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The Watch and Jewelry Market in China
The Watch and Jewelry Market in China has grown rapidly due to a strong economy and a growing middle class. Chinese consumers have shown a strong interest in luxury goods, leading to increased demand for watches and jewelry.
Factors driving this growth include the increasing purchasing power of Chinese consumers and the rise of e-commerce, which has made it easier for consumers to access a wide range of brands. Both domestic and international brands have recognized the potential of the Chinese market and have made investments to expand their presence in the country.
Revenue in the watches segment amounts to US$17.80 billion in 2023. The market is expected to grow annually by 5.97% (CAGR 2023-2026). By 2023, 67% of sales in the Watches segment will be attributable to Luxury goods.
According to Statista, Chinese jewelry sales have reached 795 billion CNY in 2022 and will increase to 865 billion CNY by 2026.
E-commerce: The easiest way to sell jewelry and watches in China?
In order to sell your jewelry and watches, there are several channels you can consider. These include selling in malls, store chains, supermarkets, and jewelry shops.
However, it is worth noting that for a long time, Chinese consumers were hesitant to buy branded jewelry online as they preferred to try and touch the products before making a purchase.
Nevertheless, with the constant evolution of Chinese society towards digitalization, e-commerce websites have become the fastest and most cost-effective way to sell jewelry and watches. The popularity of e-commerce websites and apps is on the rise in China, and jewelers are finding success in the online marketplace.
Tmall is a highly popular e-commerce platform in China, especially for selling jewelry and watches. To have a verified account on Tmall, you will need to provide several documents.
This platform allows you to open an online shop and sell your products directly to Chinese consumers, even if you are not physically present in China. It can be a great opportunity for expanding your business in the Chinese market.
Most of the time, the best way for foreign brands to sell jewelry and watches is to use the Tmall e-commerce platform because they need verification in order to do so, which gives more confidence to Chinese buyers.
Unlike Tmall where sellers are certified, Taobao is a completely free C2C e-commerce platform where most of the resellers are not certified, which leads to many counterfeit products.
However, with more than 800 million monthly active users, Taobao is one of the most visited e-commerce websites in China.
Note that both Tmall and Taobao belong to Alibaba.
Founded in 2011 in Hangzhou, Mogujie is a social media and e-commerce platform specializing in fashion products and services. The company’s mission is to “Make fashion accessible to everyone” with prices ranging from a few dozen to thousands of yuans.
It can be very interesting for you to sell your jewelry and watches on this website if you can not afford to sell them on Tmall or Alibaba for example.
It is also important to know that this platform features: live broadcasts, short videos, photos, reviews, and articles generated by users, professional fashion influencers, and Mogujie’s in-house editorial team.
Jewelry and Watches designers have to work on their e-reputation in China
In recent years, China has experienced controversy in its market. However, it is still a highly digitalized society where people are constantly connected and rely on online research before visiting physical stores.
To stay competitive in this market, it is crucial to develop an O2O (online-to-offline) strategy and pay attention to your online reputation and consumer feedback.
To sell jewelry and watches in China, get a website in Mandarin
To effectively target the Chinese market, it is important to have a website in Chinese. This not only allows for Baidu SEO optimization but also establishes your brand as legitimate. It is recommended to develop a version of your website specifically tailored for the Chinese internet, as using Google plugins may result in a slow website.
Additionally, your website should adhere to the user experience norms that Chinese internet users are accustomed to.
For example, having a live chat feature or a readily accessible QR code to direct visitors to your social media platforms.
Baidu is a key tool for foreign brands in China
Baidu is often referred to as the “Chinese Google” and is the most widely used search engine in China. It holds a significant market share and is the fifth most visited website globally.
In China, Baidu is preferred over Google, which only accounts for 4% of internet searches. Therefore, if you want to promote your jewelry and watches in China, it is essential to consider using Baidu as a marketing platform.
Jewelry and Watch brands should be on Chinese Social Media
The increasing use of social media in China has made it essential for businesses to utilize these platforms to enhance their reputation and showcase their jewelry and watches. Social media is an effective way to increase product visibility and establish consumer trust.
Online transactions for jewelry and watches are expected to grow due to the influence of social media platforms, new business models, and the popularity of Key Opinion Leaders (KOLs) and live-streaming. If you are unfamiliar with these applications, feel free to contact us for more information and tips.
With more than 200 million monthly active users, the app Xiaohongshu allows users and influencers to post and share product reviews, travel blogs, and lifestyle stories via short videos and photos.
Xiaohongshu also operates RED Mall, which sells international products to Chinese users. Using Xiaohongshu can be an effective way to increase your brand’s reputation and visibility.
Weibo, launched by Sina Corporation in 2009, is a major social media platform in China. It has achieved significant financial success, with increasing stocks, successful advertising sales, and high revenue and earnings per quarter.
With over 600 million users, including 224 million daily users, Weibo is more than just a Chinese version of Twitter. It offers innovative E-commerce marketing options and allows companies to advertise and provide information to consumers.
Douyin is a popular short-video app in China, owned by Bytedance. It is expected to have over 555 million daily active users by 2023. Douyin allows users to create short videos of less than 60 seconds, which can be combined with dynamic music and creative filters.
This sets it apart from traditional Chinese social media platforms like WeChat and Weibo, which focus more on text, images, and longer videos. Douyin can also be a powerful advertising platform, especially if you collaborate with Key Opinion Leaders (KOLs) to promote your products.
According to the Financial Times, WeChat is considered the most important platform for luxury brands. It is the first social media platform in China and offers various features such as opening an official account, publishing news, sending newsletters, and creating e-brochures.
As experts in this field, we can assist you in creating an official WeChat account and guide you on how to manage it effectively.
Having an official account is crucial for doing business in China and promoting your brand. To further promote your brand, we recommend creating a WeChat H5 brochure that can be easily shared on WeChat groups, WeChat moments, and other social media platforms.
The best tools on WeChat:
- You will be able to create a brochure presenting your company
- Spread marketing content
- Send vouchers/discounts to your followers
- Work on your Community Management
- Use WeChat mini-programs
Collaborate with KOLs to promote your Brand in China
One effective method to engage your community and attract new customers is by collaborating Key Opinion Leaders (KOLs). This strategy allows you to hire influencers even with a limited budget. By hiring multiple KOLs, you can target different types of consumers.
Micro-influencers, in particular, dedicate more time to interacting with their community and addressing any inquiries about your brand. This interaction is crucial for establishing a sense of closeness and trust with your audience.
A Very Competitive Market
The Jewelry Industry
The jewelry industry in China is experiencing significant growth and demand, leading many brands to open physical stores in major cities. These stores offer a wide range of jewelry, including luxury brands and retailers selling various types of jewelry.
Local brands and international luxury brands dominate the market, with Chow Tai Fook and Lao Feng Xiang, both Hong Kong brands, holding significant market shares of 8.1% and 6.6% respectively.
Overall, the jewelry market in China is thriving, driven by the increasing demand from consumers with diverse preferences and purchasing power. The presence of both local and international brands in physical stores reflects the competitive nature of the market and the opportunities it presents for growth and expansion.
The Watch Industry
The watch industry in China is highly competitive. With a large consumer market and a growing middle class, there is a strong demand for watches in the country.
As a result, numerous local and international brands are vying for a share of the market. Chinese watch manufacturers are constantly striving to innovate and produce high-quality timepieces to meet the diverse preferences of consumers.
Additionally, e-commerce platforms have played a significant role in the industry’s growth, allowing consumers to easily access a wide range of watch options.
However, with the intense competition, brands need to differentiate themselves through unique designs, superior craftsmanship, and effective marketing strategies to succeed in the Chinese watch market.
Watches as an Expression of Uniqueness
Chinese mainland consumers have developed their own tastes and are becoming more demanding when it comes to watch design.
Watches are seen as more than just accessories, but as expressions of their unique personality and social status, which is highly valued in Chinese society.
The concept of “good watches” for Chinese consumers does not always equate to being expensive or a famous brand. The main factor that attracts Chinese consumers to purchase watches is a distinctive and trendy design.
According to a survey by HKTDC, 66% of consumers in China are more attracted to watches based on their unique design and style.
What are the trends in China in terms of Jewelry?
According to a survey of Chinese online shoppers, a significant number of Chinese consumers prefer accessories and jewelry with concise designs.
Additionally, a considerable portion of them also expressed their interest in buying accessories with hollowed-out designs. Your target market when selling jewelry should primarily be the upper and middle-class Chinese society.
However, it’s important to note that these consumers have higher expectations for product quality due to their increasing inclination towards travel.
Chinese consumers are seeking creative and unique jewelry and are willing to spend thousands of dollars if they find the products appealing. They allocate approximately 40% of their budget to accessories like jewelry and watches. It’s worth mentioning that Chinese Gen Z, which constitutes 27% of China’s population, is increasingly using their disposable income to purchase luxury goods.
To create a successful marketing strategy, it is crucial to have a deep understanding of traditional Chinese culture. This understanding will help you identify and seize various opportunities and occasions.
For example, in addition to the wedding market, many jewelry companies are targeting the gift market for families and friends, particularly for newborn babies or birthday presents.
Here a list of some potential watch and jewelry distributors in China :
- Guangzhou Skmei Watch Co., Ltd.: Known for designing and manufacturing both analog and digital watches.
- Shenzhen Gezfeel Watch Co., Ltd.: Specializes in the production of high-quality watches, with extensive design options.
- Guangzhou Itop Jewelry Co., Ltd.: They specialize in manufacturing various types of jewelry including necklaces, bracelets, rings, etc.
- Beijing Timevalley Watch Co., Ltd.: A manufacturer and distributor of various types of watches, known for their design quality.
- Baiyu Jewelry Co., Ltd.: Located in Guangzhou, this company offers a broad range of jewelry pieces.
- Shenzhen Foksy Jewelry Co., Ltd.: Specializes in the production of custom jewelry pieces, including OEM services.
- Yiwu NiHao Jewelry Co., Ltd: They are a well-known distributor and supplier of various types of fashion jewelry.
- Guangzhou Love & Beauty Jewelry Co., Ltd.: Offers a range of jewelry pieces with unique designs.
- Xiamen TimeGo Watch Co., Ltd.: A known manufacturer of a variety of high-quality watches.
- Shenzhen Starking Watch Co., Ltd.: Produces a wide range of watch styles, known for their reliability.
We Can Help You to Enter the Chinese Market!
The watch and jewelry market in China is thriving due to factors such as increasing disposable income, the rise of e-commerce, and changing consumer behavior.
With a large and affluent consumer base, the market presents significant opportunities for both Chinese companies and foreign companies.
Gentlemen Marketing Agency offers many digital marketing and e-commerce solutions, such as web design, e-commerce and social media marketing strategies, localization, market research, KOL marketing, and more.
Don’t hesitate to leave us a comment or contact us, so that we can schedule a free consultation with one of our experts, that will learn about your brand and present you the best solutions for your China market strategy.