Behind The Price Of Fast Fashion Brands

The so-called fast fashion is characterized by "fast, ruthless and accurate" fashion.

Adopting the mode of "first-class design, second class fabric and three price", it is popular in the Chinese market because of its characteristics of new fashion, fast speed to shop and public price.

Recently, some media reported that this autumn's fast fashion brand.

The price war has not only been confined to Vic, but also from online to offline. Sweden's H&M, Spain's ZARA and Japan's UNIQLO and other fast fashion brands have also been involved in the "price cut tide" since the national day, and even triggered the "price war" of fast fashion brands.

In response to the above reports and analysis, insiders told this reporter that

Adjusting the price bands of some categories and commodities can not be defined as a comprehensive price war. The main purpose of price adjustment may be the illusion of overall price reduction through the reduction of some single products, so as to attract consumers' attention, enter stores and form consumption.

Reporters visited some of the fast fashion brand stores in Beijing and found that

ZARA and other fast fashion brands regularly offer discount products to attract consumers. Compared with last year, some staff members of the ZARA part of the autumn dress revealed that some 699 yuan women's wear coats went down to 499 yuan this year, and men's suits dropped from 899 yuan to 699 yuan.

It is reported that this is the first time since the ZARA brand entered the Chinese market, its biggest decline was about 40%.

However, the reporter also noted that the new clothing this year has basically no discount and other preferential measures.

UNIQLO, the shirts that consumers welcome still maintain the previous price and did not make any price adjustments. The commodities that were adjusted were not popular, most of them were over season products.

Mr. Zhu Meng, a management consultant, told the reporter that fast fashion brands are in China.

On the other hand, especially in the first tier cities, they already have considerable cost performance advantages, so there is no question of price adjustment catering to the needs of consumers. More should be the choice of business strategy from the balance of price and scale.

Therefore, it is arbitrary to say that H&M, UNIQLO and other fast fashion brands only join the "price cutting tide" to speed up the layout and adapt to the Chinese market.

For overseas fast fashion brands, it is difficult to achieve the purpose of expansion in China through the "price war".

After ZARA has gone through more than 150 stores in more than 40 cities across the country since 2006, and H&M has experienced rapid expansion since opening in 2007, it has more than 70. The industry believes that its development stems from the grasp of fashion and the control of cost, rather than simply "price war".

However, it is worth noting that the price of overseas fast fashion brands does exist on the road of competition with similar, local and online brands.

Industry analysts have told the media that ZARA, UNIQLO and other foreign clothing brands take part in the price reduction behavior, in addition to the impact of the economic environment, the development of the domestic commercial products such as customer loyalty has also brought a great impact on them.

Journalists who had contacted the industry believed that if only through the price reduction behavior, it is difficult to achieve effective competition and create core competitiveness. No matter which brand is more, it should start with product design, marketing, brand and cost control, so as to create its brand competitiveness.

Zhu Meng also pointed out that at present, China's open market has attracted a large number of fast fashion brands, and the differentiation is not very obvious. Therefore, there is a possibility that some brands will lose money in the fast expansion of the front-line market that has already been saturated. If consumers can not meet the needs of the products and the financial plans of their parent companies, there will be a possibility for the international fast fashion brands to run poorly or even withdraw from the Chinese market in the future.