Western luxury brands enter risky pact with China influencers

文章: 38
註冊時間: 2021-08-28, 11:17
位置: singapore

Western luxury brands enter risky pact with China influencers

文章 geemong » 2021-11-25, 13:51

Western luxury brands enter risky pact with China influencers


French cosmetics giant L'Oreal has been going through a massive retail row in China after two leading social media influencers sold large quantities of the company’s beauty face masks to consumers while inaccurately claiming it was the cheapest deal available anywhere.

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Influencers Austin Li Jiaqi and Wei Ya regularly reach tens of millions of shoppers on their two e-commerce livestreams, and the Nov 11 “Singles Day” festival has become one of their most eagerly anticipated broadcasts.

This year, among the many products they were each selling on that evening was the supposedly special offer of batches of 50 L'Oreal masks for 429 yuan (US$67).

But it emerged shortly after that the same deal was available direct from L'Oreal for 258 yuan.

Li, known as China’s “lipstick king” for his ability to sell masses of product online, and Wei, a former pop star who rose to fame as the winner of China’s equivalent of Pop Idol, started receiving large volumes of complaints from furious shoppers.

Both influencers issued apologies. After L'Oreal did not immediately say it would compensate those who had bought the masks, the influencers said they would no longer showcase the company’s products.

Now L'Oreal has apologised and confirmed it will provide compensation. In a statement, the company blamed its “overly complicated sales mechanism” and said it had “found a constructive and satisfactory solution to address the recent customers complaints in relation with Singles' Day promotion”.

The row has not been pleasant for anyone involved, but it shows how important influencers have become as endorsers of luxury goods in China. So how has the market changed, and what does it mean for customers.


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