Buy these three stocks to profit from China’s shoppers

Each week, a professional investor tells MoneyWeek where he'd put his money now. This week:Daniele Gianera, Dominion Global Trends Consumer fund.

In the world's growth economies, rising wealth is boosting consumption of luxury goods. One way to invest in this is through companies that profit from rising global mobility. Luxury consumers use travel as a way to extend their shopping horizons. China represents 25% of the overall global luxury market, according to research by Bain/Altagamma. But only half of Chinese buying is done in Greater China (China, Hong Kong, Macao and Taiwan). The rest takes place in Europe (which represents at least half of the average tourist's spending on luxury goods), North America and the Middle East. The main reason for buying luxury goods outside China remains taxes: import and luxury duties add about 30% to Chinese prices.

Duty-free retail operator Dufry (Zurich: DUFN) serves captive consumers' buyers stuck in specific locations (an airport, for example), usually waiting for transport, who often have no option but to be funnelled through a duty-free shop in order to reach the departure gate. This means the company rarely has to compete with rivals in the same location and also suffers no threat from internet shopping. The Middle East and Asia Pacific remain the strongest regions for passenger growth, with 12% and 8.2% growth rates respectively for the first quarter of 2013. The company recently bought a controlling stake in Hellenic Duty Free. This will boost both floor space and profit margins.

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Luggage producer Samsonite International (HK: 1910) is the biggest such international group based on scale: it has global coverage and is the market leader in the sector. It is able to defend its premium thanks to global brand recognition and sheer size. In Asia, consumers are very aware of the brand, and in some countries, such as India and China, the group has limited competition. First-quarter sales growth came in at 16%, driven by growth in Asia and North America, where Samsonite continues to grow more rapidly than the industry average. There's more potential upside from its recent acquisitions of rival brands High Sierra and Hartmann. Both will enjoy greater global penetration thanks to Samsonite's distribution network. Samsonite's American Tourister brand, and its success, is a clear example of how this process works and creates value.

InterContinental Hotels (LSE: IHG) has been one of the first hotel groups to implement the asset-light' business model. Between 2003 and 2007, the group reduced the number of hotels it owned, with the aim of moving the entire business onto a contract basis. From 2011 the group focused on delivering higher-quality growth, both in developed and emerging markets. It already has 187 hotels in China, making it the market leader.

The group also has a further 160 hotels in the pipeline. InterContinental's business model means it doesn't cost much to open a new hotel instead, the owner of the hotel contributes to the majority of the spending, while the group is hired to provide the brand and management. The current growing appetite for accommodation in emerging markets was demonstrated last month with the announcement that Chinese private-owned conglomerate Fosun was buying French holiday operator Club Med, with the goal of expanding more rapidly in China.