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    New Look Plans To Increase The Number Of Stores In China To 500 In The Next Three Years.

    2016/10/24 10:36:00 62

    BrandNew LookMarket

    High street in England

    brand

    group

    New Look

    Group Ltd. Brait SE boss of South Africa's controlling shareholder, Christo Wiese, still plans to radically expand New Look, and promise to make China in the next three years.

    market

    The number of New Look stores increased to 500.

     New Look wants to increase the number of Chinese stores to 500 in the next three years.

    DF group, Hennes & Mauritz AB (HMb.ST) Hein Morris group, Fast Fast (four) fast fashion group, the fastest developing group of the most popular market, three of the four big groups have ranked the largest share in China's apparel market, 10. However, the dominant position of Chinese clothing market is still occupied by the fashion group which was earlier in the Chinese market and the Chinese market as the main market. Danish retailer owns clothing brands such as JACK&JONES, Inditex, and so on. Although the scale is far from the four fast fashion group, Danish group has been keeping the leading position in the Chinese market alone, because the 90% market of the group is located in China. There is no doubt that China has the world's largest population and has bred the largest market for public clothing. In recent years, the Chinese market has been Gap Inc. (NYSE:GPS) GAPP and Inditex SA (ITX.MC).

    It is understood that as of the 2015 fiscal year of July 31, 2015, Bestseller A/S A/S Fashion Group recorded revenue of 2 billion 930 million euros, an increase of 8% over the same period last year.

    According to Euromonitor Europe information consulting company, the group occupies 2% of China's clothing market and has 6800 stores in 300 cities in China.

    With the help of the natural geographical advantages of the Asian group, the Fast Retailing Co. Ltd. fast marketing group of the above five groups has been expanding rapidly in the Chinese market in recent years. The group currently has about 500 stores in the Chinese market. In the just released annual report, the senior executive vice president of Fast Retailing Co. Ltd. fast marketing group and chief executive officer of Uniqlo UNIQLO, Greater China said that the group will maintain its annual expansion rate of 100 Retailing in the Chinese market, reaching 1000 in 2020.

    Ryui Masanori, the founder and chairman of the Fast Retailing Co. Ltd. fast marketing group, has always been more ambitious and better at "dreaming." the Tadashi Yanai, the chief executive of the company, is set out. The target of the Chinese market is 3000 stores.

    The British brand New Look entered China late, and entered the Chinese market at the beginning of 2014, but the pace of expansion was quite fast. According to the no fashion Chinese network (micro signal: nofashioncn) data, as of the first quarter of fiscal year 2017 in June 25th, the number of stores in the Chinese market has reached 94. If the expansion rate of Christo Wiese in the next 3 to 500 stores, the expansion rate of New Look will exceed that of Uniqlo UNIQLO, with the annual expansion of more than 100 new stores in China, becoming the most radical clothing brand in China.

    Although the Chinese market is also Inditex SA Indo Textile Group, Hennes & Mauritz AB Hayne Maurice group in China, the pace of expansion is also the largest in every market, but still inferior to Uniqlo UNIQLO.

    According to the annual report of New Look Group Ltd. in early June, the Group recorded a profit of 1 billion 490 million 600 thousand pounds in the 2016 fiscal year ending in March 26, 2016, an increase of 5.4% over the 1 billion 414 million 500 thousand quarter of fiscal year 2015, and it also performed well in the depressed British market.

    In the 2016 fiscal year, the New Look brand recorded a 3.6% increase in revenue compared with its revenue. Its main British market increased by 3.4%. In addition, the revenue of the group's self operated e-commerce providers and the third party's e-commerce platform was 27.9% and 41.8% respectively.

    New Look Group Ltd. said in its earnings report that the group is already the first largest women's clothing retailer in the UK under the age of 35 and the second largest women's clothing retailer in the UK.

    In the 2016 fiscal year, 66 stores in the Chinese market, New Look Look recorded 8.8% of the same store sales growth, though it improved significantly compared with the 2015 fiscal year, and also performed better than most fast fashion industry competitors. However, the number of stores in the Chinese market is relatively minimal.

    Therefore, the data in the 2016 fiscal year show that the brand lacks appeal and popularity in the Chinese market.

    In recent years, New Look Group Ltd. has been most reliant on high-speed expansion and expansion in China. It is the Group CEO Anders Kristiansen, who served in Bestseller bestseller group as the deputy chief executive of the group's China market.

    But obviously, China's retail environment, economic environment and the way of life of Chinese consumers are quite different from those of Anders Kristiansen when they take office in China.

    In the first quarter of August, New Look Group Ltd. said it plans to increase the number of stores in China to 135 in the 2017 fiscal year ending March 2017, a net increase of 50.

    In July, New Look settled in the Jingdong to complete the coverage of China's two largest e-commerce platform. However, the brand did not have its own Chinese e-commerce brand, only the website showing content, and this also showed that the expansion of the Chinese market was radical and hasty, because other fast fashion group's self operated electronic business platform would all precede or synchronize with the three party business platforms such as Tmall and Jingdong. Only H&M H&M has so far refused to cooperate with China's third party e-commerce platform, hoping to firmly grasp its autonomy.

    {page_break}

    In an interview, Christo Wiese, a South African tycoon, revealed that its New Look China plan includes basically made in China and specially designed for the Chinese market to meet the needs of local market and achieve quick response and turnover.

    Sven Gaede, general manager of New Look Group Ltd. international business, said that the advantage of the brand relative to European competitors is that 85% products are purchased for China and 1/3 for the Chinese market.

    Sven Gaede Chinese consumers usually chase after the Japanese wind, so the New Look team can grasp these trends and quickly purchase in China and then sell them quickly.

    However, for the confidence of New Look Group Ltd., many industry people have different opinions in the interview. They believe that very few fast fashion brands can quickly localize like Uniqlo UNIQLO and become closer to Chinese consumers, because the Fast Retailing Co. Ltd. fast marketing group, which is based in Japan, has a unique natural advantage.

    However, the industry does not share the same view on localization.

    Hennes & Mauritz AB, Hayne Maurice group, chief investment officer, said that the trend of globalization is obvious. Chinese consumers and consumers in the western world, as well as consumers in other parts of the world, do not have much difference in understanding fashion and trend. Although there are regional differences, this applies to all markets, and H&M's business model can cope with them.

    In addition, he said, as a global brand, we must maintain the global brand image and not differentiate the creativity of the Chinese market from other markets. Localization is a good thing, but it is a very difficult vision.

    For China's radical expansion of New Look Group Ltd., Tang Xiaotang, founder of No Agency, an industry research and consulting organization, has consistently commented that New Look Group Ltd. has the purpose of listing.

    The group postponed its listing and pferred the listing and international expansion plans.

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