A recent survey reveals that in both mainland China and Hong Kong, experiential consumption with strong service value has become a prevailing trend among Generation Z (generally referring to those born between 1995 and 2010) and high-net-worth individuals. Fulfilling emotional and spiritual needs has emerged as a core driver of modern consumption. Luxury brands are seizing this shift, actively expanding their strategies.
Recently, Louis Vuitton's (LV) colossal "The Louis" cruise ship "docked" in downtown Shanghai, becoming a viral social media hotspot and driving a surge in foot traffic to surrounding commercial areas. Statistics show that by early July, "The Louis" attracted approximately 10,000 daily visitors, with weekend peaks reaching 20,000. The adjacent Taikoo Hui shopping mall saw three times its usual number of customers.
A Wen Wei Po journalist visited "The Louis" and found that July reservations were fully booked, with crowds of consumers and tourists braving 37°C heat to visit. Families with children and elderly groups also flocked to the site, demonstrating the campaign's cross-generational appeal.
Since July, Shanghai's most popular landmark has been the "The Louis" on West Nanjing Road. Designed as a flagship experiential space, the 114.5-meter-long, 30-meter-tall "ship" is adorned with LV's iconic monogram and spans 1,600 square meters across three floors:
- Floors 1–2 host the "Visionary Journeys" exhibition;
- Floor 2 includes a boutique;
- Floor 3 features a café-restaurant.
Blending exhibition, retail, and social spaces, the installation functions as a "boardable" brand museum. From the opening proposal, the project took three months and will remain for two years.
No purchase required: Immersive brand storytelling
Unlike traditional luxury stores that prioritize transactions, "The Louis" emphasizes heritage and interaction, showcasing trunk-making demonstrations, leathercraft workshops, and customization stations—all free to experience.
"This isn't about selling products but planting brand loyalty," one visitor noted. Compared to pop-ups, the space feels like a "fully immersive museum." Young attendees were particularly enthralled—a student gasped, "It's stunning! I'll own an LV bag one day!" as she and friends debated styles and colors, even planning future purchases.
The second-floor boutique abolished typical restrictions: no sales pressure, no pushy staff, and—unlike usual LV stores—photography was encouraged. Visitors freely photographed displays, shared details online, and only occasionally asked about prices, subtly reminding others that items were for sale.
Luxury's "cooling cycle" vs. China's long-term potential
In 2024, the global luxury market entered a downturn, with Bain & Company projecting a 2–5% decline in 2025. LVMH's Q1 2025 revenue also dropped 3% year-on-year to €20.3 billion. Yet, brands remain bullish on China: PwC forecasts the country will become the world's largest personal luxury market (US$148 billion) by 2030.
Notably, experiential spending is bucking the trend. While mainland China's luxury sales fell 2% in 2024 (with traditional categories down 8%), Hurun Research Institute reports high-net-worth individuals are shifting toward "value-driven experiences," where emotional fulfillment fuels growth.
From Dior's art exhibitions to Gucci's time-travel-themed displays and Prada's historic-building showcases, brands are merging culture, aesthetics, and consumer sentiment.
LV leads the charge: Its Chengdu Taikoo Li Maison regularly collaborates with artists. The Hangzhou West Lake store added a VIP room with traditional Chinese screens and a private sound system, elevating the shopping experience.
(Source: Wen Wei Po; Journalist: Kong Wenqiong; English Editor: Darius)
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