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    Why Is Japan'S Luxury Big Suit Unattended?

    2010/3/5 14:47:00 17

    Clothing

    Japan was once the largest single market for luxury brands.

    Now, when they delay or shop quietly, two low-end retailers who have just entered Japan have thrown ambitious expansion plans, namely, Hennes&Mauritz and Forever21.


    The two companies that sell cheap and fashionable clothing uphold the concept of "fast fashion" and have new products every day.

    In Japan's superstitious brands, the success of their companies reflects a profound change in the concept of consumption, that is, consumers will give priority to value rather than brand.


    Forever21, a private enterprise, opened a store in Harajuku in April.

    Chief financial officer Larry Mayer (Larry Meyer) said the company plans to open two to three stores in Japan in the next 9 to 12 months.


    Meyer said in an interview that this is a costly store, we will continue to invest, mature consumers, good retail environment and the size of the overall market together, making Japan the most promising market for the company.


    Meanwhile, H&M will open its first full concept store on Shinjuku on Saturday, selling men's wear, women's wear and children's wear, and will launch Zhou Yangjie's (Jimmy Choo) brand new shoes.

    The Swedish retailer stationed in Japan in September 2008 now has five franchised outlets.


    Every weekend, Forever21 always has a long queue before the flagship store of Harajuku.

    There is a lot of noise in the shop. The forty year old Cougar will compete with the eighteen and nine year old girls for the selling of 1880 yen (about 20 dollars) sequins mini skirt and 2980 yen Ruffle Skirt.


    Mayer said frankly, in Harajuku, Japanese girls are more sensitive to fashion than other things. You can't see this phenomenon in other markets. It is unique to Japan.


    The bustling scene in the Forever21 store is in sharp contrast to the European luxury luxury store located in the table.

    In the bustling area of Tokyo's Champs Elysees, a large European franchised store is crowded, and occasionally people are patronizing.


    Hidehiko Aoki, a retail analyst at Bancof America Securities-Merrill Lynch in Tokyo, said that the values of Japanese consumers are changing. They once feared that cheap clothing meant quality, but now they do not think so.


    Mayer said, considering that consumer confidence is in the doldrums, luxury goods are out of fashion. Like in the United States, Japan also has a group of people who can not afford luxury goods but want to chase the trend at a low price. It is the recession that has made the market grow.


    H&M's sales in Japan have increased steadily from 198 million Swedish kronor ($28 million 300 thousand) in the fourth quarter of last year to 239 million in the second quarter of this year.

    The company's sales fell to 167 million Swedish kronor in the third quarter, because the third quarter results of most retail businesses tend to be weak in the summer.


    Aoki says that those female office workers are either shrinking or unable to pay overtime, so they are no longer generous. People spend less money on clothing and sundries and spend more money on more basic lifestyle choices, such as buying books, eating out, buying equipment and television.


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