China’s tough economy pushes CTF brand to embrace ‘wearability’ and a more casual consumer

Chow Tai Fook Jewellery’s new flagship store, which opened in Hong Kong’s Central neighborhood in September, has a subtle design, as does much of the jewelry sold inside.

The jewelry, too, is more understated, like a diamond-studded pendant made from gold and red enamel, designed to emulate the Chinese characters that make up the name of the store and of Cheng Yu Tung, who expanded the jewelry chain into one of Hong Kong’s leading conglomerates.

In April, Chow Tai Fook charged Nicholas Lieou, the retailer’s creative director for high jewelry, with the responsibility of refreshing and revamping the 95-year-old brand.

“In Chinese jewelry, [the craftsmen] try to overload a lot of cultural significance on one piece, which makes it very heavy. Just using one concept, one idea, into a piece of jewelry is already a very modern take on what they traditionally would do,” says Lieou.

A luxury downturn is putting more pressure on Chow Tai Fook’s rebrand. The retailer reported 39.4 billion Hong Kong dollars ($5.1 billion) in revenue for the six months ending Sep. 30, 2024, the first half of the jewelry company’s fiscal year. That represents a 20.4% drop year-on-year, the largest since 2016.