Local market demand for luxury purses and bags is skyrocketing as imports of top-brand bags have increased dramatically in the first month months, according to today's Youth Daily.
Citing figures from Shanghai Customs, the report said that from January through August, 623 000 purses entered the market, an increase of 86.6 percent. Furthermore, the total value of the imports increased 170 percent to US$30 million.
Famous names such as LV, Fendi, Givenchy, Tod's and Gucci, priced at over US$500 each, have increased eight-fold to exceed 4,000 units, making China the world's third largest luxury consumer after Japan and the US.
Items over US$1,000 have also increased a whopping 96 percent to 388, with their total value swelling 73 percent to US$613,000. Sales in Shanghai are tops nationwide.
Italy and France are the leading two exporters to Shanghai, as combined sales of purses and bags from these two countries have increased 82 percent to 101,000, and they have more than doubled in value to US$20 million.
Moreover, imports are squeezing out the market for domestic products and reducing the latter's share to below 10 percent, analysts said.  They blamed poor brand image and the weak individuality of domestic players for their worsening position.