Rolls-Royce Cars in China - Demand for Luxury Sustained

The crackdown on corruption in China doesn't seem to be having much of an effect on demand for Rolls-Royce motor vehicles - perhaps one of the most obvious examples of conspicuous consumption.

Chinese President Xi Jinping’s campaign against conspicuous consumption on the part of Chinese officials is thought to have dampened demand for super-luxury products across a range of consumer sectors. With the pace of economic growth slowing and ordinary Chinese angry about corruption, the government has been discouraging extravagant spending.

However, that doesn't seem to have affected Rolls-Royce. According to this report from Sky News, the luxury car giant said it delivered 3,630 cars to customers in 2013, a new high for the company, with sales growth reported across several regions worldwide.

The biggest increases were in the Middle East (up 17%) and China (11%) but strong sales were also achieved in Germany, Japan and Canada.

Rolls-Royce has been expanding rapidly in China. It added dealers in seven new cities in 2013 in such places as Chongqing and Xian, bringing the total number of Chinese showrooms to 20. The firm plans to add more showrooms with a goal of 25 by the end of 2014.

This interview with the CEO of Rolls Royce in China also illustrates how the super-rich in China are turning to Rolls Royce to create the ultimate in personalised vehicles. Lots of value-added, all of which (and more) is reflected in the price!