Samsonite sees the value in Chinese customers – accepting Chinese payment apps in store
Global luxury luggage market leader Samsonite knows which way the market’s going. Any company with a focus on international travel has witnessed, over the last ten years, the birth of an economic powerhouse: Chinese consumers, newly middle-class, curious to see the world and take a little bit of it back home with them. Now Samsonite has found a way to smooth its relationship with these travellers, partnering with cross-border mobile payment and commerce solution CITCON, which will let Chinese tourists use popular payment methods (such as Alipay and WeChat Pay) in Samsonite’s western stores.
Samsonite’s share price has appreciated by 9% year to date
Source: Yahoo Finance
In a press release, Samsonite’s senior vice president and general manager of direct to consumer, said: “We're pleased to be partnering with CITCON and are excited to offer our guests a mobile payment option they are familiar with.” CITCON president and chief operating officer Wei Jiang, added: “We are excited to partner with Samsonite to provide the mobile payment solution to help them better serve Chinese customers and drive business growth.”
And the growth on offer could be considerable. The latest statistics from the China Tourism Academy show that Chinese tourists made 140 million outbound trips last year. That’s a 13.5% rise, year on year. And according to Ctrip, China’s largest player in the online travel space, The Lunar New Year that kicked off on February 5 should have seen outbound tourist trips hit a new high of 7 million over the period. Those customers are used to paying with apps and other online solutions. Now, in Samsonite stores, they can continue to indulge that habit with ease.
Dominion holds Samsonite in its Global Trends Luxury Fund.
If you would you like to receive the Newsfeeds daily, please click here to sign up now!Help us make this Newsfeed better by rating this article. 1 star = Poor and 5 stars = Excellent
- Click here to print this story: Print
The views expressed in this article are those of the author at the date of publication and not necessarily those of Dominion Fund Management Limited. The content of this article is not intended as investment advice and will not be updated after publication. Images, video, quotations from literature and any such material which may be subject to copyright is reproduced in whole or in part in this article on the basis of Fair use as applied to news reporting and journalistic comment on events.