Why are luxury brands banking on China?

When the time came to name its latest brand ambassador for China, Prada looked to Chinese basketball player Shuyu Yang.

The 21-year-old woman, who boasts over 3 million followers on Weibo, appears in a series of images and in a short film, sporting the brand’s latest men’s collection while shooting hoops and listening to music.

But the young Olympic bronze medal holder isn’t the only Chinese athlete (or celeb) Prada has chosen to represent the brand.

Thinking east: The announcement follows the retailer’s appointment of Ma Long, the Chinese table tennis player, as Prada’s brand ambassador last year. The brand has also previously tapped Chinese celebrities like singer Cai Xukun to be the face of the company.

The retailer follows in the footsteps of other luxury brands hoping to cash in as pandemic restrictions wind down in China and the country reopens.

For instance, in April, Burberry appointed actor Chen Kun to be its first Chinese global ambassador in two years, an important step toward the luxury brand’s reconciliation with China after receiving backlash from Chinese consumers and companies for banning the use of Xinjiang cotton in March 2021.

Meanwhile, brands that have maintained a presence in China are reaping the rewards. LVMH, for example, saw an 18% bump in organic sales within its fashion and leather goods divisions in Q1, which it largely credited to China.

Will Burberry and Prada also reap the rewards of their investment in China? Watch this space.—JS