Blue Whale News, December 24 (Reporter Shi-Yun Tang) – Gold prices continue to rise overall. On December 24, spot gold broke through the $4,500 per ounce mark for the first time, currently trading at $4,520 per ounce. The prices of pure gold jewelry from several domestic gold and jewelry brands have all been raised above RMB 1,400 per gram. With high-priced gold jewelry remaining elevated, consumer markets are inevitably under pressure; however, brands are increasingly focusing on opening more upscale stores.
On December 23, Chow Tai Fook Jewellery opened its new concept store at the prestigious Plaza 66 shopping mall. This is Chow Tai Fook’s second new-concept store in Shanghai after its flagship store on Nanjing Road East. In the same mall, there are also international luxury brands such as Cartier and Van Cleef & Arpels, as well as domestic gold brands like Laopu Gold and Baowang Mansion.
This store is Chow Tai Fook's first global outlet to introduce home decor products, with some items making their debut, including a golden incense burner, candle holders, fruit platters, and chopstick rests inspired by ginkgo leaves. More home decor products will be released in early 2026. In addition to gold jewelry and ornaments, the store also showcases an extensive collection of diamond and jade products, including newly launched items.
It is not difficult to see that the new concept store aims to further consolidate the brand's premium image. General Manager of Chow Tai Fook Jewellery Group's Southern Region, Xie Hao-Ran, stated that the new store would offer customers a wider range of products and richer luxury consumption experiences through diverse jewelry categories, including gold and gemstone-embedded series and high-end jewelry, while leveraging synergies among co-located luxury brands to attract higher-quality customer bases.
As of September 30, 2025, Chow Tai Fook has opened eight new concept stores. Since their launch, these upscale stores have consistently achieved monthly sales exceeding the average of other stores in the same areas. This store format will soon expand to cities such as Xiamen and Hangzhou. However, Xie Hao-Ran admitted that the company does not plan to open too many new concept stores, emphasizing quality over quantity in store expansion.
The gold and jewelry industry has clearly moved beyond an era of growth driven solely by store expansion.
This year, multiple brands, including Chow Tai Fook, Chow Sang Sang, and Lao Feng Xiang, have actively pursued 'streamlining' strategies – closing low-performing franchise stores while enhancing experiential outlets. As Xie Hao-Ran noted, jewelry products typically involve significant in-person interactions, requiring face-to-face fittings and opportunities for customers to feel and understand the stories behind the products. Thus, companies like Chow Tai Fook are opening increasingly 'upscale' stores. For instance, Zhou Liu Fu's Ji Culture-themed concept store has landed at China World Mall in Beijing, while Chows’ collaboration with National Treasures has opened at SKP.
In addition to channel optimization, industry growth will increasingly rely on enhancing brand value and optimizing product portfolios. According to a research report by CITIC Securities, leading gold and jewelry enterprises, spearheaded by Laopu Gold, are accelerating their push toward product premiumization strategies, capturing high-net-worth clients through modern Chinese aesthetics.
Take Chow Tai Fook as an example: it officially announced its brand transformation in April 2024, appointing the former design director of Tiffany & Co. as its senior creative director for high jewelry. Subsequently, it launched the Chuanfu, Forbidden City, and Chuanxi collections, with the first two generating approximately HKD 4 billion in revenue during the 2025 fiscal year. Additionally, Chow Tai Fook is striving to elevate its brand appeal and positioning through high-end jewelry.
Non-gold products accounted for 30% to 40% of pricing for jewelry retail / Chow Tai Fook Half-Year Report for Fiscal Year 2026
Lao Feng Xiang, another traditional gold and jewelry brand, is also optimizing its product structure and expanding business lines beyond gold products. In September this year, Lao Feng Xiang invested 50 million yuan to establish a subsidiary, focusing on high-end products such as gold and silver, platinum products, jewelry, diamonds, and arts and crafts. The following month, a subsidiary of Lao Feng Xiang acquired a stake in Maybach Luxury Asia-Pacific for 24 million US dollars. Industry analysts view this as a significant move by local brands to rapidly penetrate the global luxury market through capital pathways.
As Laopu Gold gains popularity, the topic of 'luxurization' among domestic gold and jewelry brands has been frequently discussed. This trend manifests itself in similar pricing strategies and target customer groups, as well as premium pricing—taking the example of the four sisters of ancient method gold (Laopu Gold, Jun Pei, Lin Zhao, and Bao Lan), many of their jewelry products are priced at nearly or even over 2,000 yuan per gram.
A representative from the aforementioned brands told reporters that consumers have already shown a considerable level of acceptance and recognition for products with cultural and emotional value. However, the representative believed that these gold and jewelry products cannot be entirely equated with luxury goods. This is because luxury goods often carry an added value far exceeding the intrinsic worth of the product itself, whereas the inherent value of gold and jewelry is already high, resulting in relatively limited premium pricing.
