China's affluent consumers are increasing their purchases of lower price luxury items and moving away from established brands, Bank Julius Baer said in a report released in Hong Kong on June 4.

The Swiss private banking group released its third Julius Baer Wealth Report on June 4, saying that Chinese consumers have changed tastes and habits, and luxury has morphed into a lifestyle instead of something more ephemeral.

The report states that the next wave of luxury consumption in China would be less about established brands and more about a migration toward heritage and quality.

Stefan Hofer, the lead author of the report, said, "evidence continues to mount that Asia's growth and wealth creation engine has decoupled from the still-weak mature economies, and China in particular is moving up the value chain."