Does Social Media Marketing Work in Chinese Luxury Market?

Abstract

This paper is mainly aimed to explore how social marketing makes contribution on luxury market. The authors analyse WeChat, this prevailing social media application with both instantons messaging and Customer engagements in China, to examine how social marketing influences the Chinese luxury purchaser. 363 questionnaires have been collected and validated. Confirmatory factor analysis, exploratory factor analysis, cluster analysis and path analysis have been used in this research to verify whether social media marketing is effective and efficient for luxury marketing in China. This paper unveils whether traditional social marketing is effectively in luxury industry. It has approved that only customer engagement has positive effective in luxury marketing in China. The Chinese young consumers tend to seek advices by blogger, instead of luxury company marketing campaign.