Fast fashion star endorsement how lively, sales report card how tragic. /Viahm China
By Lin La
The first and second tier companies can’t stay, and the fourth and fifth tier companies can’t go down. The European and American market, the former base camp, has not only lagged behind, but also been dominated by China’s faster emerging e-commerce websites. Fast fashion will have no way out.
“The Zara sisters are leaving China Ah, not Zara? That’s OK. Is there a promotion? ”
Since 2020, too many enterprises have closed down, so that once the brand on the news is not enough, it can not arouse the tension of consumers.
And the news is not explosive enough
The protagonists are Bershka, pull & Bear and Stradivarius of INDITEX, Zara’s parent company. They are basically the brands that do not like street leisure and will not pay attention to. They say that they are losing the Chinese market, but in fact they just close the offline stores. The e-commerce channel is not affected, but also needs to expand vigorously, and the live broadcast and small program stores are all arranged.
This is also called “exit from China”? That’s really a lonely exit.
What have you been doing?
At the same time, China’s fast fashion cross-border e-commerce Shin has already gone to sea and is killing all sides.
With an estimated value of over US $15 billion and a revenue of nearly US $10 billion in 2020, it is quietly promoted to the second e-commerce website most loved by American teenagers, surpassing Nike in status, and is expected to acquire the parent company of the former fast fashion giant Topshop.
What’s the matter? Do Chinese people no longer love fast fashion?
The battle report sent back by netizens from Stradivarius store. /Via Luxi
Fast fashion by inner roll
I don’t know when, 618 is on sale, double 11 is on sale, new year’s Day is on sale, Thanksgiving is on sale, black five is on sale If you don’t see the discount when you want to buy, you will find the price of your heart if you wait for a few days.
Of course, it’s the e-commerce that is busy, and the store has nothing.
Bershka, pull & Bear and Stradivarius, who have closed their offline stores, may be one of the “victims” who have been swallowed up by this Internet wave. Stores should consider the actual cost of shop rent, so it is impossible to keep up with the high-frequency promotion of the platform like online stores.
And this has brought confusion to young people who are already shopping at a low price – “why go offline when you can buy cheaper clothes online?”
For fast fashion and panic girl, backhand throw out the shop purchase record.
Embarrassment is, even if has been clearing, fast fashion people seem to be unable to withstand the weight of inventory.
Strange to say, Zara’s early success was to provide the fashion industry with the optimal solution to deal with the inventory problem by relying on the flexible industrial chain of “a small amount of fast production”. A lot of times, you think “next time will be sure” in front of the hesitant style, but fast fashion will not give you the opportunity to change into new products.
When the epidemic came, the elixir failed, and they began to be held back. INDITEX, the parent company of Zara, will face its first loss in 20 years since its listing in 2020. With a loss of 1.5 billion yuan in the first half of the year, we had no choice but to plan to close 1200 stores.
It is said that whether the clothing brand can survive depends on whether it can win the inventory.
According to the data of the National Bureau of statistics, from January to may 2020 alone, the total inventory of China’s clothing and textile industry reached 91.38 billion yuan and 165.69 billion yuan. Among them, a lot of sluggish sales have entered the sinking market through outlets or inventory e-commerce.
Since the cost of the first and second tier cities is too high and the competition is too fierce, can the inventory go to the sinking market and lead the stores to fly?
The answer may be No.
After several years of sinking, it’s just a new first and second tier city. The proportion of stores in the third and fourth tier cities is only “slightly increased” year by year, still not as good as the first and second tier cities. We can see that the consumption growth rate of the third and fourth tier cities has been higher than that of the first tier cities.
I’m worried, but I can’t. The zaras, who are new here and still on airs, are far less friendly than Senma, Meibang, Yichun and trendline, who have been stationed for many years. Mothers shake their heads at the jacket with navel exposed, turn around, pick up the cartoon T-shirt recommended by the salesgirl and draw on their daughter.
Most of the business in the county relies on acquaintances. /The idea of image worm
Back home, what people watch is no longer the eight o’clock show of the TV station, but the live channel with incessant peddling.
The situation has changed with it. In 2020, the number one double 11 will no longer be held by UNIQLO, the champion of all previous years. Two hours before the final payment day, “Qian Fu’s customized Sydney” quietly ranked first in the list of women’s clothing / women’s boutique stores.
Does fast fashion still have a chance?
It won’t be the second Zara to beat Zara
But it’s not going to be Zara
Since the beginning of this century, there has been an international trend of singing down fast fashion. The decline of fast fashion in China has appeared as early as around 2010.
In 2002, UNIQLO opened its first store in Shanghai; in 2006, Zara also came to Shanghai; in 2007, H & M followed.
The person who gets in first often gets the biggest bite of the cake. Data show that from 2000 to 2014, the number of clothing purchased by Chinese consumers increased by 60% every year.
Standing at the junction of the millennium, Chinese people have very limited contact with fashion. They are too eager to join the trend, and fast fashion for the cash strapped young people, is timely rain.
It’s no wonder that these overseas brands seem to be unable to put down their positions.
The price is not high and the style is good. /The idea of image worm
The latecomers, who came after the news, still naively believed that it was not too late. Forever 21 entered China in 2008, with Changshu as its first store; Topshop opened its store in Shenzhen in 2012, while newlook didn’t come until 2014.
We should know that the brands rising from China’s local e-commerce platform have ushered in the investment trend since 2010. Come back at this time, I really can’t fight.
It’s not hopeless to win. But fast fashion people have no premonition of the crisis.
The design is moved from the four major fashion week shows, and the discount is based on the international practice. The Chinese marketing team either outsources or sends out. Frankly speaking, does it matter what the Chinese people want? They only believe what they believe.
Even in the matter of inviting local spokesmen, fast fashion people didn’t get started until 2018. In those years, newlook, Topshop, American Apparel, Forever 21 and others have raised the white flag one after another.
In 2018, Zara announced Zhou Dongyu and Wu Lei as brand image ambassadors for Greater China.
For a long time, the routine operation has blurred the face of fast fashion. The result is obvious: there is no more compelling reason for people to pay for fast fashion than to be cheap.
Interestingly, just as Bershka, pull & Bear and Stradivarius were closing their stores, Zara opened the largest flagship store in Asia in Wangfujing, Beijing.
Fast fashion also knows that it’s hard to go on the road of popularization. But will the masses buy it?
Fast fashion? Big data fashion!
Times have changed. Young people in first tier cities may not be poor in money.
According to the report of OC & C, a global business consulting firm, the annual luxury spending of generation Z (people born between 1995 and 2009) in China is more than $7000, accounting for 15% of the total household expenditure, much higher than 4% in the United States and the United Kingdom.
The sinking market is not unique to China.
According to Pew Research, from 1971 to 2019, the proportion of middle-income families in the United States dropped from 61% to 51%, while the proportion of low-income families rose from 25% to 29%.
Wish, known as “overseas pinduoduo”, also disclosed in the prospectus that “44% of American consumers and 85% of European consumers have an annual household income of less than US $75000. In emerging economies such as Africa, the Middle East, Latin America and Eastern Europe, the average annual household income is about us $18000.”.
The consumption level of China’s sinking market is gradually rising. /McKinsey’s China consumer survey report 2020
When the foreign fast fashionistas come back and grab the last bite of the Chinese market, China’s “super fast fashion” has quietly gone to sea.
She inside, a wedding dress e-commerce company founded in 2008, created the brand shin in 2014, and explored a cross-border fast fashion road in two years.
Sheen can win the “traditional” fast fashion by being faster, higher and stronger. There are hundreds of new products on the platform every day. In one or two months, the number of new products can surpass Zara’s whole year, and the price is only half of Zara’s.
In 2019, more than 150000 new products will be launched on sheen. With this figure, some businesses can’t produce so many clothes a year. And can achieve such a large shipment, it is relying on the strong supply chain advantage of Guangzhou.
A skirt needs only 30 yuan at least, and the final order of foreign trade is inferior to itself. /Official website of sheen
When most people first meet sheen, they can’t see that this is a Chinese enterprise. The style is European and American, and the design is not what Chinese people prefer.
However, its operation idea carries quite obvious Chinese gene.
Massive new trial and error, through the analysis of the returned data, to achieve increasingly accurate data insight. According to the efficiency of tens of thousands of new products in a day, the work of re setting can’t stop for a moment.
What a roll.
It’s the number of new models on the market.
Instead of advertising much, they found a large number of “xiaowanghong” on instagram to cooperate. They not only took pictures of the United States and sold Amway, but also actively adapted to the style of wanghong to make joint selection and design. Not only to statistics net red exclusive discount code order rate, but also to track the net red dedicated short link, see how much conversion.
This is more thorough than the new media in China.
It even subverts the definition of traditional fashion.
The fashion media always talk about the “blue sweater” stem of “the Devil Wears Prada”, which is used to show that behind every consumer’s choice, the designer’s intention is secretly marked.
But in traditional fashion companies, designers pay quarterly. The emergence of zaras has shortened the cycle to 14 days. Sheen is good. It can directly tap the needs of the masses and realize one week delivery. In this way, the rate of hot money is high, the rate of return is large, and the fans are unwilling to go.
The designer’s value seems to be “plagiarized”. In September 2017, felicity Haywards, an independent brand, accused sheen of plagiarizing her T-shirt. After being exposed, sheen explained in a hurry and threw the pot on the head of the Chinese supplier.
Who would believe in the brand story when the design is constantly carried and transformed by many hands and can be worn fresh at a very low price?
Those who are in a pinch do not care about design ethics, let alone the fate of the earth. Capitalists create consumer waste at any time, forcing ordinary people to pay for it, and also working for it.
When life is just data, what’s the difference between Zara and sheen?
Zara’s three sister brands will close all offline stores in China, Zhou Fangying, interface news, 2021-01-08
Fast fashion is not rare in the county, commercial real estate headline, December 10, 2020
Fast fashion is closed, I still can’t afford to buy big brands, menji, new weekly, May 27, 2019
Star endorsement infiltrates into fast fashion battlefield, H & M appoints Zhang Yixing as the spokesman of men’s wear in Greater China, fashion headline, April 1, 2019
The unsalable clothes in the city may be sold to the countryside, hosipa, new weekly, 2020-07-30
Drizzie, ladymax, December 25, 2020
What is the origin of this mysterious Chinese company that is expected to acquire Topshop and Burton? 》，Shuang Li，Vogue Business，2021-01-21
“With an estimated value of more than 15 billion US dollars, will domestic” fast fashion “Shin beat Zara? 》, Shiqu Research Institute, December 30, 2020