Burberry to open store in Shenzhen powered by Tencent technology

Burberry has announced a partnership with Tencent to develop social retail in China.

The partnership will see the two companies “blend social media and retail” by creating digital and physical experiences for luxury consumers.

Burberry has said it plans to open a store, powered by Tencent technology, which the fashion house will use as a laboratory to test and learn social innovations to engage customers both on and offline. Successful social experiences will then be rolled out to stores around China.

The store will open in the first half of 2020 in the new MixC Shenzhen Bay development.

“Social media is becoming such an important part of the luxury customer journey, particularly in the inspiration phase, and retail needs to keep pace with this,” said Burberry CEO Marco Gobbetti.

“Continuing our history of innovation, we wanted to explore the connection between these touchpoints by merging social media and the store experience to reflect the way luxury customers are engaging with brands. China was the obvious place to start as it is one of the leading hubs for innovation and technology and Chinese consumers are some of the highest users of social media.”

Martin Lau, President of Tencent, added: “Through cutting-edge technology, Tencent is committed to creating exceptional experiences for Burberry, consumers and society as a whole. This shows our spirit of harnessing the power of technology to better serve consumers."

Burberry’s half-year results, out today, revealed a bump in revenue to £1.3 billion, while profits increased 11% to £193 million. The retailer said trading was in-line with guidance, despite a significant decline in sales in Hong Kong due to disturbance caused by political protests.

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