As commercial myths fade and aggressive expansion plans repeatedly hit snags, the dining industry appears to be the next long-term solution for luxury brands in the Chinese market.
From hosting exhibitions to opening bookstores and cafes, the offline spaces of luxury brands are becoming increasingly diverse. In China, these brands particularly favor historic urban buildings, transforming them into “cultural landmarks.” Recently, Prada announced the upcoming opening of its first standalone dining space in Asia at the Rong Zhai mansion, further validating this trend.
Similarly, Giorgio Armani’s first Armani Caffe in Beijing’s China World Mall, along with ongoing investments from brands like Louis Vuitton and Ralph Lauren, raises the question: Can the dining industry help luxury brands achieve deeper cultural integration in Chinese cities?
The Cultural Landmarks of Luxury Brands
The trend of luxury brands creating comprehensive brand spaces in China is no coincidence. Taking the dining industry as an example, these service-oriented investments targeting high-end communities mark the evolution of luxury brands’ localization strategies in China into a more “grounded” 3.0 phase.
According to Bain & Company’s latest report, China’s luxury market is expected to decline by 18-20% in 2024, with a possible stabilization in 2025. Factors such as weakened consumer confidence and spending outflows have forced brands to rethink their survival strategies.
In this context, rather than continuously expanding retail networks, focusing resources on iconic historic buildings or neighborhoods to create spaces that convey brand ethos while deeply connecting with local culture has become a wise choice.
Prada Rong Zhai
The story of Prada Rong Zhai dates back to 2017. This historic building in Shanghai’s Jing’an District, after restoration, became a venue for Prada’s art exhibitions and cultural events. The soon-to-open dining space at Rong Zhai will further transform it into a unique “urban living room.”
Located on the second floor, this dining space features a cafe and restaurant conceived by director Wong Kar-wai, inspired by the concept of “Tête-bêche,” blending Milanese and Shanghainese cultural elements. The menu combines two rich and complementary culinary traditions, using cuisine to interpret cultural dialogue.
Louis Vuitton’s “The Hall”
A similar approach is seen in Louis Vuitton’s “The Hall.” In 2022, the brand opened its first Chinese restaurant in the Guangdong Guild Hall within Chengdu’s Taikoo Li. Once a gathering place for Cantonese merchants, it now offers French and Mediterranean cuisine, preserving its social legacy. The Louis Vuitton Maison in Chengdu has thus become a comprehensive brand space integrating retail, art, and dining.
Ralph’s Bar
Also in Chengdu’s Taikoo Li, Ralph Lauren opened its first Ralph’s Bar in Asia Pacific within the Ralph Lauren Maison. Located on the third floor, the bar exudes the brand’s signature retro style, complete with vintage photos and props, creating a microcosm of the brand’s world.
Sisley House in Shanghai’s Zhang Yuan
Sisley’s first Asia Pacific flagship in Shanghai’s Zhang Yuan offers a holistic brand experience. It features skincare, makeup, haircare products, a beauty salon, and a Hair Spa. The second-floor art living room showcases carefully curated furniture and artworks, while the “Secret Garden Café” serves coffee, custom beverages, and pastries, blending French elegance with Shanghai’s local culture into a lifestyle space.
It is evident that luxury and high-end beauty brands are leveraging the unique charm of historic buildings to create “brand homes” that go beyond traditional retail. Whether through cultural fusion or lifestyle extensions, these spaces are bridging the gap with consumers through diverse formats and functions. In a sluggish market, this strategy not only extends consumer dwell time and attracts new customer segments but also amplifies brand visibility through social media virality.
