Profit war between Swarovski and online retailers

Edited and translated by People's Daily Online

Customers who buy Swarovski products online may be unable to enjoy after-sales services in the future, as the luxury crystal brand recently announced a new rule to protect its pricing structure and to discourage customers from buying its products online.

The rule has caused quite a stir among Chinese consumers.

Swarovski Trading (Shanghai) Company said that it will only provide after-sales services to customers who buy Swarovski products in offline stores with warranty cards and sales slips, indicating that those who buy its products online may not enjoy after-sales services anymore.

The move annoys Chinese e-commerce retailers such as 360buy.com, Taobao.com, Dangdang.com, Amazon.cn, Yihaodian.com, and Xiu.com which sell Swarovski products at discounted prices. Analysts said that Swarovski threatened to accuse these websites of selling counterfeit products because they damaged the interests of the company's offline stores, and disrupted its pricing structure.

In response to Swarovski's move, 360buy.com said on March 5 that Swarovski products sold on its platform are genuine, which are procured through legitimate channels with valid commercial invoices.