全球奢侈品：中国皮革制品品牌的崛起

Global Luxury Goods: The Rise of Chinese Leather Goods Brands A number of Chinese local brands are emerging as credible contenders in the fashion andleather goods space. In this note, we focus on the leather goods champions—specificallySongmont, Qiuzhen, Grotto, Dissona, and Bampo—and assess their rise and implications forthe broader luxury landscape. Luca Solca+41 582 723 126luca.solca@bernsteinsg.com Maria Meita+44 20 7170 0540maria.meita@bernsteinsg.com Chinese leather goods brands are emerging as credible contenders in the domesticmarket.Songmont exemplifies the rapid rise of local brands, as the leading domesticplayers now account for roughly 18% of Tmall sales (vs. 19% by the top overseas brands)and have significantly outgrown both global peers and the overall category, with a +51%CAGR between 2021 and 2025. This momentum accelerated from 2024 due to increasingconsumer sensitivity to price and value (see Global Luxury Goods: The Value for Money Eric Chen, CFA+852 2123 2628eric.chen@bernsteinsg.com Yi-Peng Khoo, CFA+44 20 7676 6822yi-peng.khoo@bernsteinsg.com Compelling pricing and the popularity of hero products have been key driversof volume-led growth among Chinese leather goods leaders.Most of the growthcame from unit expansion (+37% CAGR) rather than pricing (+10%), reflecting a focus onaccessible price points. However, these brands rely heavily on a concentrated set of heroSKUs, creating both growth upside and risk. Songmont appears ahead of the pack being Alix Turner+44 20 7762 4044alix.turner@bernsteinsg.com Leading domestic players are working to narrow the gap with global peers in brandbuilding and distribution.There appears to be a deliberate effort at Songmont to becomea culture-driven label rooted in Eastern aesthetics and contemporary narratives. Its productdesign emphasizes natural imagery, functionality, and relevance to modern women’s dailylives. This positioning is reinforced through non-product initiatives, including a successful The rise of the “luxury orphan” consumer has further accelerated the rise ofdomestic brands.Chinese leather goods brands have captured the gap between high- end luxury and mass-market fashion by offering products that combine quality, design,and accessible pricing (SKUs priced in the CNY1-3k range represent 80-90% sales),just at a time when consumers have become more value-conscious (see Global LuxuryGoods: The Prosecco of Soft Luxury). Given the significant price gap versus global luxuryhouses, their growth has likely come at the expense of smaller, fragmented brands. Looking Continued on the next page… … continued from the first page There is limited evidence to suggest that nationalism is driving the shift; value-for-money and product-market fit remain the primary drivers.Consumer preferenceappears to be driven primarily by strong value propositions rather than brand origin, as bothdomestic and international brands continue to succeed when they offer compelling pricing,design, and innovation across both soft (e.g. Chanel under Matthieu Blazy) (see Global In response, global luxury houses are accelerating localization efforts through“China-for-China” strategies spanning product development, marketing, and brandbuilding.Global brands are increasingly adapting to local market dynamics by localizingleadership, tailoring product assortments, and refining customer engagement strategies, BERNSTEIN TICKER TABLE INVESTMENT IMPLICATIONS The emergence of independent and lower-priced handbag brands both in China and abroad - such as Songmont, Cafuné, andPolène - underscores a growing value-for-money challenge for global soft luxury players. While these brands are capturingdisproportionate consumer attention—driven by rapid growth and strong resonance with local consumers—they remain Nevertheless, their rise offers important lessons for global luxury brands. Chief among these is the evolving and increasinglynuanced definition of “appeal” in luxury consumption. As consumers become more sophisticated, appeal extends well beyondprice and product quality to encompass design distinctiveness, cultural relevance, and authenticity. Equally important are non- Within our coverage, higher-end soft luxury brands with scale—such as Hermès, Dior, and Louis Vuitton—remain relativelyinsulated from the competitive pressures posed by rising independent brands, unlike accessible luxury peers that competewithin similar price segments. Their global scale, brand equity, and resource advantages enable sustained investment in productinnovation—through vertical integration and leading creative talent (see Global Luxury Goods: Pricing Divergence)—as well as inconsumer engagement, including elevated retail concepts, global campaigns, experiential activations, and category expansion. DETAILS Chinese leather goods brands are emerging as credible contenders in the domestic market.Songmont has become aprominent example of the broader rise of local Chinese brands, particularly