The Peng Shuai Scandal Is Becoming a Diplomatic Crisis for China

![img](https://news.google.com/articles/China’s Peng Shuai reacts during a women’s tennis singles match at the 16th Asian Games in Guangzhou, China, Nov. 21, 2010 (AP photo by Vincent Yu).)]

The mysterious disappearance of Chinese tennis star Peng Shuai from public view since she accused a top Chinese Communist Party official of sexual assault is growing into a diplomatic crisis for Beijing, amid concerns about her safety and the broader scrutiny of freedoms and the #MeToo movement in China.

Earlier this month, the former Wimbledon and French Open doubles champion and three-time Olympian disappeared from public view after posting a lengthy message on Weibo—the Chinese microblogging site—accusing former Vice Premier Zhang Gaoli of having sexually assaulted her three years ago. She subsequently reappeared in photos and videos released on China’s heavily censored internet, and resurfaced in public earlier this week, but questions persist about her well-being and ability to communicate without coercion. …

In China, luxury must bridge digital and physical like never before

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Over the course of the nearly two-year-long COVID pandemic, virtually any digital holdouts in the luxury industry have cast aside suspicion towards e-commerce and digital marketing, particularly in China. Today, Tmall Luxury Pavilion — the Chinese e-commerce giant’s luxury-centric portal — claims to host official storefronts for more than 200 brands, among them illustrious names like Hermès, Cartier, Saint Laurent, and Gucci that, just a few years ago, looked unlikely ever to embrace mass e-commerce.

Meanwhile, despite an ongoing crackdown on celebrities and the hyper-influential “fan economy,” luxury brands continue to sign largely Gen Z brand ambassadors who boast legions of digitally native fans who constantly interact with brands (and fellow fans) on domestic platforms like Douyin, Bilibili, and WeChat. Yet an interesting phenomenon has emerged in China over the course of the COVID pandemic, by which offline events and physical retail have become arguably more important for luxury brands, both as a consumer touchpoint and a sales driver.

In-person events restarted in China relatively early on. In August 2020, Louis Vuitton was among the first luxury brands to hold a large-scale event, in its case an outdoor runway show that bridged the gap between online and offline via a heavily publicized livestream and full-court social media press. Soon after, Prada held an exclusive site-specific event at its Prada Rong Zhai space in Shanghai in collaboration with filmmaker Jia Zhangke, which saw around 2,000 VIPs pass through the venue over the course of two days of exhibitions, talks, and parties.

Since then, in-person events have fully returned as a key marketing vehicle in mainland China. For brands, this comes down to two highly practical reasons: a worsening COVID situation in key markets like Europe and the fact that Chinese shoppers — largely unable to take international shopping trips this year — are spending significantly more at domestic luxury boutiques in spite of Xi Jinping’s intensifying “common prosperity” push.

Over the course of 2021, brands have increasingly sought to experiment with offline events in China, branching beyond simple catwalk shows and incorporating trends like immersive theater. In the case of Valentino’s fashion-and-theater collaboration with Sleep No More Shanghai in September, almost 70% of invited clients made pre-event purchases.

Art’N Dior bridged luxury branding and tech via a collaboration with Huawei. (Dior)

More recently, we have seen a spate of offline luxury events that indicate an evolution of physical and digital marketing approaches in China, among them Louis Vuitton’s Spring/Summer 2022 womenswear show and Dior’s “Art’N Dior” exhibition, both held in Shanghai.

With the recent Shanghai installment of its Women’s Spring-Summer 2022 Fashion Show, Louis Vuitton showed that it remains one of the best in class in terms of on- and offline marketing in China, balancing the traditional premium it places on lavish, exclusive events with the democratizing effects of livestreaming and social platforms. Coming on the heels of the collection’s premiere during Paris Fashion Week, the Shanghai show — festooned with dozens of ornate chandeliers — succeeded by ensuring it offered something unique for local audiences, in its case 19 products designed especially for the China market.

The strategy worked. According to Louis Vuitton, the livestream of the event was viewed a total of 158 million times on Weibo, WeChat, Tencent Video, Douyin, Kuaishou, and OTT. Days later, Chinese-language media noted that the video of the Shanghai show ultimately racked up more than 100 million views, while the Weibo hashtags #LV春夏22女子秀# (Louis Vuitton S/S 2022 Womenswear Show) and #LV大秀# (Louis Vuitton big show) were used nearly one billion times in total.

Taking the fashion-and-art route, Dior’s sprawling “Art’N Dior” exhibition, which launched this month at the West Bund Art Center in Shanghai, made sure to include a strong digital component to accompany its collaborations with domestic artists like Wang Yuyang, Li Songsong, and Zhang Heng. For the event, Dior also collaborated with Chinese tech giant Huawei to create the virtual reality film “My Cherry Blossom Land,” giving attendees a more immersive interactive experience.

Like Louis Vuitton, Dior also opened the experience up to at-home audiences, making the film available to view on the Huawei Video app, Huawei VR Video app, and Huawei VR headsets. Despite a minor online controversy about photos by Beijing native photographer Chen Man exhibited at the event, to date the campaign hashtag #ART’NDIOR has garnered over 600 million views thanks to extensive celebrity endorsements.

Last year, the key for luxury brands in China was to successfully (and safely) hold offline events they couldn’t hold elsewhere. But as 2022 approaches, audiences in China are accustomed to attending luxury events in real life, vicariously through livestreams, or — as in the case of “Art’N Dior” — VR. This means brands now need to rethink what event success really means. Does it mean pre-event sales, in the vein of Valentino x Sleep No More Shanghai, long-tail video views in the vein of Louis Vuitton’s S/S 2022 women’s show, or envelope-pushing tech like Dior’s Huawei collaboration?

The answer will depend on the brand, its willingness to experiment and invest, and potential applications on the global level. Although China may be the fastest-moving luxury market, it’s only a matter of time until other key markets catch up and consumers have very similar demands from the brands they follow.

Burberry Unveils New Flagship Store in Shanghai

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The Social Edition is our weekly series which deep dives into luxury initiatives in China’s social media landscape. Every week, we highlight brand campaigns distributed on Chinese digital platforms — WeChat, Weibo, Tmall, Douyin, and beyond. Our coverage spotlights global luxury brands, global beauty brands, and local Chinese brands. The latter gives insight into some of China’s most successful campaigns, which often come from local players, and are outside of the beauty and fashion space. In this week’s roundup, we look at three campaigns, including Burberry’s newly-opened flagship store in Shanghai, Dior’s art exhibition, and homegrown lifestyle brand Beast’s fragrance tapping Chinese traditional culture.

Burberry Unveils New Flagship Store in Shanghai BRAND Burberry

CATEGORY Luxury

PLATFORMS Weibo

MEDIUM Offline Event, Image, Short-video

FEATURED TALENTS Yu Nan (1.1M Weibo Followers) | Li Meng (5.8M) | Cai Yun (4.6M) | Chen Yu (742K) | Li Daben (1.3M) OVERVIEW

On November 11, Burberry opened its new flagship store, co-created by the house and architect Vincenzo De Cotiis, at Plaza 66 in Shanghai. The brand invited its partners, such as actress Yu Nan and supermodel Chen Yu, to attend the opening event, posting their looks on Weibo. It also posted a short video touring the store interior and its visual merchandising. On Xiaohongshu, the brand also listed highlights of the store’s concept, including contemporary artistic codes, shopping experiences, and a sustainability agenda. NETIZEN REACTION

The campaign hashtag #BurberryShanghaiPlaza66 racked up 18.2 million views on Weibo within five days — a substantial number for a one-time event. According to netizen comments below the social posts, many showed strong interest in exploring the curated retail space in person and were impressed by the store location. VERDICT

Though the opening event was an offline initiative, Burberry leveraged social communication tactics to maximize its traffic. More impressively, the house tailored its content for different platforms. On Weibo, the brand posted a diverse profile of celebrities who visited the shop, while on Xiaohongshu, it sorted out key takeaways from the store’s concepts, encouraging users to make physical visits. Both activities help to drive transactions from online to offline. Dior Mounts Shanghai Art Show With Local Talent

BRAND Dior

CATEGORY Luxury

PLATFORMS Weibo, WeChat, Xiaohongshu

MEDIUM Offline Exhibition, Image, Short-video

FEATURED TALENTS Angelababy (103.5M Weibo Followers) | Liu Yuxin (22.1M) | Huang Xuan (10.8M) | Chen Feiyu (10.3M) | Jing Tian (26M) | Wang Likun (19.7M) | Ren Min (5M) | Lu Jingshan (4.5M) | Sun Yihan (6.5M) | Chen Yu (742K)OVERVIEW

NETIZEN REACTION

Thanks to extensive celebrity endorsements, the campaign hashtag #ART’NDIOR has garnered over 600 million views. However, Dior’s previous collaboration with Chinese photographer VERDICT

Hosting culture-driven exhibitions in China has become a common and efficient conduit for consumer education. In this case, Dior not only presented a diverse celebrity profile that includes creative talents in various sectors, but it also partnered with Chinese contemporary artists to bring local culture into the conversation. Beyond the physical exhibition, the brand released an online tour starring the virtual idol LUNA 1.28, allowing the event to reach broader audiences.Beast Tapped Chinese Traditional Culture to Launch Fragrance DiorLuxuryWeibo, WeChat, XiaohongshuOffline Exhibition, Image, Short-videoAngelababy (103.5M Weibo Followers) | Liu Yuxin (22.1M) | Huang Xuan (10.8M) | Chen Feiyu (10.3M) | Jing Tian (26M) | Wang Likun (19.7M) | Ren Min (5M) | Lu Jingshan (4.5M) | Sun Yihan (6.5M) | Chen Yu (742K) Dior is launching its “Art’N Dior” exhibition at West Bund Art Center, Shanghai, from November 12 to 23, which debuted in China at the Museum of Contemporary Art and Urban Planning in Shenzhen. Featuring masterpieces from the brand’s DIOR LADY ART project, the exhibition focuses on global artists that have injected their creativity and vision into the house’s signature handbags. In addition to artworks from Cai Yaling, Liang Manqi, Liu Yue, Wu Jian’an, and Zhang Ding from the previous Shenzhen exhibition, Wang Yuyang was also added to the Shanghai edition.Thanks to extensive celebrity endorsements, the campaign hashtag #ART’NDIOR has garnered over 600 million views. However, Dior’s previous collaboration with Chinese photographer Chen Man sparked controversy among local netizens due to a photo that many thought catered to Western stereotypes of Asian women.Hosting culture-driven exhibitions in China has become a common and efficient conduit for consumer education. In this case, Dior not only presented a diverse celebrity profile that includes creative talents in various sectors, but it also partnered with Chinese contemporary artists to bring local culture into the conversation. Beyond the physical exhibition, the brand released an online tour starring the virtual idol LUNA 1.28, allowing the event to reach broader audiences.