China Luxury Advisors’ Avery Booker looks at how LVMH, Kering and Richemont are coping, now that China is losing its luster.

One thing that often gets lost in the mix of articles asking “Is Luxury Dead in China?” is the fact that the world’s largest luxury conglomerates have quietly been working to buffer themselves against the fluctuations of the Chinese domestic luxury market while making sure to benefit greatly from the rise of the outbound Chinese tourist-shopper.

In addition to reconsidering pricing strategy, exploring e-commerce, and closing or refurbishing underperforming stores, one of the most effective moves taken by massive luxury groups is boosting their smaller portfolio brands in China. What this means is rather than holding costly, largely pointless events or investing in traditional ad campaigns in mainland China, perhaps it’s best for major conglomerates to let their “big logos” move forward on inertia and put the real effort behind “newer” brands.

In the remainder of 2015 and into 2016, it will likely be groups with portfolio brands that straddle a wide spectrum that best weather the China storm. But what’s also important is cleverly promoting these smaller brands in China to spur local purchases while ensuring outbound tourists don’t forget them on the road.