Eyeing long-term potential

When Louis Vuitton, one of LVMH's maisons, or brands, opened its first store in Beijing in 1992, China looked very different from today. Tiananmen Square was filled with pedestrians and cyclists, rather than the flow of modern traffic. International retail was still in its infancy, and luxury consumption was largely an unfamiliar concept to most Chinese consumers.

At that time, global brands were only beginning to explore China's potential, and supply chains, retail networks, and consumer education for luxury goods were still at an early stage of development. Yet LVMH chose to enter the market with a long-term perspective.

More than 30 years later, the picture has changed dramatically. China is now a global hub for consumption, digital commerce, innovation, and lifestyle trends. For LVMH, the country has evolved from an emerging opportunity into one of its most important strategic markets worldwide — not only in terms of sales, but also in terms of cultural relevance and innovation feedback.

The group now operates nearly 1,500 stores across China and employs around 25,000 people. Its 75 brands span fashion and leather goods, watches and jewelry, perfumes and cosmetics, wines and spirits, as well as selective retailing and hospitality. The transformation of China's consumer market, executives say, has been inseparable from the country's economic rise, industrial upgrading, and expanding middle class.

Marc-Antoine Jamet, secretary general of LVMH Group, told China Daily the company's presence in China has always been grounded in long-term trust, mutual development, and shared economic growth.

"Together with China, we have built a win-win partnership over the last four decades," Jamet said. "Every day, Chinese customers choose and buy our products. At the same time, we contribute to the growth of the Chinese economy by recruiting people, paying suppliers, taxes, and leases, and participating in the incredible expansion of the market."

He emphasized that LVMH's strategy in China was shaped by an early recognition of the country's long-term potential.

"From the very beginning, when we opened our first store in Beijing in 1992, we decided that every product available in Paris would also be available in China," he said. "That was not something we did everywhere else. It showed our confidence in the Chinese market."

Jamet also noted that China has played a dual role in LVMH's global strategy — both as a commercial market and as a source of creative inspiration.

"China is not only a market for us, but also a source of inspiration, creativity, and collaboration," he said. "We have worked with Chinese artists for many years and continue to do so today."

He cited several examples of cultural cooperation, including Ao Yun wine in Yunnan, Chinese New Year limited editions by various maisons, and Louis Vuitton and Fendi projects inspired by Chinese aesthetics and cultural heritage.

"These initiatives reflect a long-standing dialogue between Chinese culture and our maisons," he said. "They demonstrate that our relationship goes far beyond retail."

Wu Yue, president of LVMH Greater China, said the company's development in China is closely tied to the country's economic opening up and the evolution of consumer generations.

"China's entry into the WTO was the truly symbolic moment for the opening of the consumer market," Wu said. "International brands were finally able to enter China, thanks to WTO membership, which allowed foreign companies to operate direct retail businesses."

He explained that the years since China joined the WTO in 2001 have seen a real acceleration of LVMH's expansion in China, as global brands gained direct access to consumers and began building retail networks at scale.

Over time, China's consumer base has evolved through distinct generational waves. Those born in the 1980s represented the first major group of modern fashion consumers. The 1990s generation followed, accelerating the rise of premium consumption around the 2010 Shanghai World Expo. Today, consumers born after 2000 — and soon those born after 2010 — are reshaping luxury consumption again with stronger digital engagement and cultural confidence.

"This continuous arrival of younger generations has driven the evolution of the Chinese consumer market," Wu said. "At the same time, rising incomes and economic growth have expanded consumption capacity. Chinese consumers today are among the most informed, expressive, and globally connected in the world."

He added that the market has become increasingly sophisticated, requiring brands to continuously adapt in terms of product design, marketing, and customer engagement.