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Loewe marks entry into Chinese e-commerce through Alibaba's 'Luxury Pavilion'

Spanish brand Loewe, owned by luxury group LVMH Moët Hennessy Louis Vuitton SE, will mark its entry into the Chinese online market by holding a flash sale of a signature handbag on a newly launched section in Alibaba Group Holding Ltd.'s Tmall.com site.

The Madrid-based designer of apparel and leather goods will sell a limited number of its Barcelona handbag on Alibaba's newly launched Luxury Pavilion on Aug. 19, according to Alizila, Alibaba's news dedicated site. The handbags, exclusively designed for the sale, will have heart marks on them to celebrate the Chinese Valentine's Day on Aug. 28.

Loewe was one of the initial group of brands Alibaba invited to "Luxury Pavilion," a dedicated section for premier brands launched on Aug. 1 on its business-to-customer site Tmall.com. Other brands that Alibaba invited include Burberry Group Plc, Hugo Boss AG, La Mer, Maserati, and LVMH's Guerlain and Zenith.

The flash sale will last for 24 hours on Tmall's Tspace, an online pop-up store where brands can customize or hold flash marketing campaigns. For a period of eight days prior to the sale, shoppers will be able to put deposits on the bag.

Loewe has 20 physical stores in China, including in Beijing and Shanghai, according to its website.

Alibaba's push to enhance its luxury goods offering comes at a time when competition to grab digital customers in China on high-end brands is intensifying. Rival e-commerce site player JD.com Inc. has invested in London-based luxury e-tailer Farfetch, while LVMH's Louis Vuitton and Kering SA's Gucci have launched their own sites in China.