‘Old money’ look is hot in China as nouveau riche glitz gets the cold shoulder amid slump

Not many parts of China’s economy have been able to withstand the post-pandemic slump. The housing market remains in the doldrums and bank lending has shrivelled. Yet, the appeal of “old money fashion” has endured, even in the face of recession in consumer spending.

Discussions on how to define the style, or how to dress like it, are trending on popular social media platforms, from Douyin to Xiaohongshu. Items tagged with the style, ranging from 20-yuan (US$2.70) jumpers and belts to luxury European brands associated with the aesthetic, are flooding e-commerce platforms and recording brisk sales.

Brunello Cucinelli, an Italian brand that is seen as a poster child for old money aesthetics, recently raised its China sales growth projection to as much as 12 per cent. Ralph Lauren had a 13 per cent gain in China last quarter, building on a stellar 25 per cent jump in 2023.

The style, which emphasises minimalist design and top quality fabrics, gained a global following in 2023, partly driven by Succession, a television drama featuring the family behind the largest entertainment empire in the US. Its traction in China reflects a shift towards low-key lifestyle, embracing quality and simplicity amid uncertainties, analysts said.

“This aligns with the current consumer mindset,” said Jason Yu, general manager at CTR Market Research. “Nowadays, people do not want to be too flashy. They prefer to stay very low-key, subtly showcasing their taste and style in a way that does not draw attention.”

“It does not necessarily mean that you have to buy particularly expensive items, because many affordable brands are also following this trend,” he added.

The appeal of old money fashion in China comes in sharp contrast to the dire state of the economy, in which households pinch pennies and lock up savings at record pace for a rainy day. Retail sales in Beijing and Shanghai – two of the largest and wealthiest mainland cities – shrank by about 14 per cent in November.

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