What: Chanel is set to open two VIP salons in two key luxury retail markets in Southern China.

Why it is important: Luxury brands are adopting a VIP-first retail strategy to attract big spenders as the Chinese luxury market is expected to be driven by the top 2% of luxury spenders.

Chanel is launching two VIP salons in Guangzhou and Shenzhen, giving the French house a total of five VIP salons in the China market.

The Guangzhou salon, located in Taikoo Hui Guangzhou will span 3,200 square feet and features a discreet façade with a black and white entrance. The invite-only space has four private fitting rooms and a public lounge area.

In Shenzhen, the VIP salon spans 4,300 square feet and is attached to Chanel’s first retail outpost in the city at MixC.

Chanel’s efforts to attract big spenders helped the brand boost 2022 revenues in the Asia Pacific region by 14.3% to USD 8.65 billion, with a double-digit increase in the mainland China market.

Chanel to roll out VIP salons in key Chinese cities