2016 Fast Fashion Development Features And 2017 Fast Fashion Brand Development Strategy

According to incomplete statistics, the 14 largest in 2016

There are more than 350 stores in China.

,

The number of UR, MJstyle and hot wind shops is ahead, and it is sinking to the three or four line cities.

Based on the fact that most of the fast fashion brand sales in 2016 are on the decline, will the fast fashion brands slow down the pace of domestic expansion in 2017?

Inventory analysis of fast fashion brand new stores in 2016

Data acquisition time: as of December 5, 2016.

This data is compiled according to the information published on the Internet, mainly from the WeChat public number of brand or brand entry projects.

Moreover, it mainly takes stock of the information of the major brands entering the commercial projects, excluding the information on the shop opening of the street shops (only some typical street shops).

If there is any mistake in the data, please correct it.

2016 international fast fashion brand expansion shop situation and entry projects

The following are mainly 14 new famous fashion brands in the world, including ZARA, H&M, MJstyle, UR, hot air, C&A, Forever21 and GAP, which were added to the stores in China in 2016.

According to incomplete statistics, in 2016, new stores were added to major brands, with 101 new stores added to MJstyle, followed by H&M and UNIQLO, with 68 new stores and 53 new stores.

MJstyle, hot air and other fast fashion brands in China are faster than other international brands.

On the whole, the northward Guangzhou Shenzhen is still the main battleground, and the stores are mainly located in the second tier cities, of which three or four of the new stores in the two tier cities account for 30%, and some brands are obviously sinking to the three or four tier cities.

In 2016, from the number of new well-known fashion brands, the number of MJstyle stores in China's fast fashion brand was 101, far exceeding that of H&M, UNIQLO, ZARA and other international brands.

From the point of view of urban distribution, North Shang Guang Shen is still the main battleground of all fast fashion brands, including Beijing, Shanghai and other cities.

H&M and UNIQLO are mostly distributed in crowded shopping centers and business circles.

From the point of view of the distribution of cities, fast fashion brands in 2016 are still dominated by a second tier city, but many brands are already in the four line and below.

This fast fashion brand accounted for 30% of the new stores in the three or four tier cities, higher than the 2015 figures, and the fast fashion brands were sinking to the three or four tier cities.

Summary of fast fashion development in 2016

1, sustained decline in performance

Almost all fast fashion brands are immersed in the mire of "declining performance".

Such as GAP, H&M and other fast fashion giant performance continued to decline.

H&M group has declined for five consecutive quarters, and GAP has declined for seven consecutive quarters.

2, encounter shop tide

With the decline of performance, a wave of wave of shops has begun to attack the whole fast fashion industry, and the biggest action is GAP.

3, higher-order products.

Some fast fashion brands have introduced their relatively high-class product lines into the Chinese market, and have opened up the line with the public product line, providing only part of the stores.

In this way, we try to change the Chinese market and attract different levels of consumer groups.

For example, UNIQLO launched the "UNIQLO U series" in the brand store of Sanlitun, Beijing and Xidan, as a promotional point of "advanced customization", and did not extend the entire range of products to all stores.

[H&M] launched the H&MStudio series, which was launched in 2013 as a high-end secondary line brand and went to Paris fashion week.

Its scope of sale is narrower than that of UNIQLO.

The Studio autumn and winter series just released in 2016 can only be purchased at 7 stores in the country.

4, continue to sink to the three or four tier cities.

According to the urban distribution of fast fashion brands in 2016, store expansion continued to sink to the three or four tier cities.

Among them, H&M, UNIQLO, UR and other brands were the most obvious. The number of brands in the three or four tier cities was 37%, 26.4% and 31% respectively.

2017 famous fast fashion brand development strategy and development plan

1, UNIQLO

100 stores opened in China in fiscal year 2017

Brand access to China: 2002

Total number of stores in China: nearly 500

China plans to add new stores in 2017: 100

Brand status

Since its entry into China in 2002, UNIQLO has already opened up nearly 500 stores in more than 100 cities in China.

Although sales in China during the fiscal year 2014/2015 have increased by nearly 50%, the brand has shown signs of a slowdown in the 2015/2016 fiscal year, including a 5.5% decline in China's operating profit.

2017 expansion plan

UNIQLO will expand its total number of stores to 3336 in fiscal year 2017, of which 100 will be opened in China.

development strategy

A cowboy R & D center was set up in the United States: the R & D center, called "DenimInnovationCenter", was set up in Losangeles, which will provide technical support for JBrand and UNIQLO cowboy product line.

The proportion of future electricity providers will reach 30%: at present, the proportion of Internet e-commerce sales is 5%, and this level will be raised to 30% in the future.

2, H&M

90-95 new stores are expected in 2017

Brand access to China: 2007

Total number of stores in China: more than 370

China's new stores in 2016: 68

In 2017, China planned to add 90-95 new stores (83 planned stores in 2016, according to 10-15% growth forecast).

Brand status

In 2016, H&M opened more stores in China's low level cities, covering "four tier cities with excellent performance," such as Shuyang, Shiyan and Jiujiang.

As of October 31, 2016, H&M opened 68 new stores in mainland China in fiscal year 2016, with more than 110 cities and more than 370 stores in mainland China.

In September 2016, global sales grew by only 1%, the lowest growth rate in the past year, and the H&M group's 5 consecutive quarterly profit declines.

2017 expansion plan

H&M in the past 5 years, the number of H&M stores has maintained a 10-15% growth rate.

In June 2016, H&M lowered its annual investment budget from the previous 135-140 kronor to 125-130 kronor, which will still keep 10-15% open.

At the same time, it will continue to expand its store expansion in the US and China market in 2017 and open 4 to 5 new overseas markets.

Future development strategy

New brands will be launched: 1-2 new brands will be launched in 2017, and at the same time strengthen other areas of development, such as integration of retail stores and online stores, expand shop options, speed up delivery and improve payment conditions.

Hm.com will be the main source of revenue: as of the end of 2016, H&M should have network stores in 34 markets worldwide.

It will extend the high speed of online store expansion to 2017, and hm.com will become an important source of revenue in the future.

Channel upgrade: integrate online and offline resources, such as online order, store purchase, store online return and sweep code purchase.

Among them, online ordering and picking up goods are still being tested; online returns have entered 10 countries and are ready for further promotion; scan code purchase has covered all online markets.

In addition, H&M is exploring the means of payment, distribution mode and the last mile solution.

3, MUJI products

2017 50 new stores in China

Brand access to China: 2005

Total number of stores in China: 200

China's new stores in 2016: 30-35

China plans to add 50 stores in 2017:

Brand status

MUJI development has been slow in the first few years of entry into China, but in the past three years, Muji has maintained more than 30 new stores every year.

At present, there are more than 7000 kinds of MUJI products in clothing, grocery, food and even home.

By the end of 2016, Muji will have 200 stores in China, and the Chinese market has become the largest overseas market for MUJI products.

And will maintain a conservative strategy to open shop, make one more room.

New stores planned for 2017

Plans to accelerate the pace of opening stores in China, from the current 30-35 to 50 in 2017.

Future development strategy

Continuous crossover: since Shanghai and Huaihailu Road flagship stores have first appeared MUJICafe and MUJIBooks, they will expand the catering category in the future. For example, there will be not only MUJICafe but also the first time to sell baked bread in the shops opened in Shanghai Zhongshan Park.

The same price will be achieved in three years: China has adopted a no discount direct price reduction strategy, and has made five price reductions in China, which will basically achieve the same price with Japan in 2018.

Fresh food sales: we plan to sell fresh food from Muji brand in 2017.

In April 2016, the 1000 yen vegetable "casual dress" activity has been launched in the Japanese Lok Cho store, and will continue to be carried out indefinite in the future.

4, UR

Expanding at 60-100 stores a year

Brand access to China: 2006

Total number of stores in China: more than 120

China's new stores in 2016: 60

New stores planned for 2017: 60-100

Brand status

UR has opened 120 stores in the country. In 2016, UR expanded 60 stores and increased its utility area to nearly 1200 square meters.

New stores planned for 2017

According to the future plan, UR will maintain an annual growth rate of 60-100 stores. It is estimated that the number of stores will exceed 400 in 2020, and the business scale will exceed 10 billion.

Future development strategy

Store location strategy: the future operating area will be 800-1500 square meters.

The development area is a mature, growing and high-end large scale community in the first tier cities, mature business circles and growing business circles in the second tier cities, and mature business circles in the three line cities.

5, NEWLOOK

Another 500 stores will be opened in 3 years.

Brand access to China: 2014

Total number of stores in China: 100

New stores will be added in the future: 500 new homes in 3 years

Brand status

In 2016, the Chinese market is a priority country for NEWLOOK development. By the end of this year, China will have 100 stores.

In the first half of the year, NEWLOOK brand online business and international market grew well. Sales of group self owned websites increased by 9.5% year on year, while third party e-commerce sales achieved a 21.5% increase. At present, China has entered two platforms of Tmall and Jingdong.

New stores planned for 2017

NEWLOOK plans to expand the number of Chinese stores to 150 by March 2017 and open 500 stores in the next 3 years.

At this rate, it will expand faster than UNIQLO.

At the same time, it also plans to add 25 men's stores in the next 5 years.

Future development strategy

Push beauty products series: Based on the independent beauty series launched in H&M2015, it has established reputation and sales with good quality and cost-effective. NEWLOOK will also launch beauty series in the future.

6. Hot air

176 new stores are expected in 2017

Brand creation time: 1996

Total number of stores in China: more than 800

There are 176 new stores planned for 2017 (160 planned stores in 2016, based on 10% growth forecasts).

Brand status

As of October 2016, the hot wind has been deployed in more than 800 stores in more than 150 cities across the country.

In 2016, a total of 20 square meters of children's area was opened in some large and medium-sized stores in China to meet the needs of family shopping and cooperate with the integrated wedding creative platform VORES, so as to meet the needs of consumers for wedding articles.

New stores planned for 2017

As of October 2016, the hot wind has been deployed in more than 800 stores in more than 150 cities across the country.

The target will be expanded by 10% per year, focusing on the layout of a second tier city.

Future development strategy

Mainly expand the standard stores: according to the future planning, the future expansion needs of stores are mainly in the 400-500 square meters of standard shops, will be laid out in the national key second tier cities, and the expansion of property selection of 50 thousand square meters or more of the one or two categories of business and community business as the first choice.

Overseas expansion: in November 2016, the first overseas store opened in Singapore, and the Malaysia store will open in February 2017.

Set coffee experience shop: Joint Italian coffee maker brand Nespresso, set up coffee leisure area in the hot air national boutique experience shop.

At present, there are coffee shops in the shopping mall of the 12 major cities in the country, and consumers can enjoy coffee in the hot air experiential shop for free, and buy Nespresso professional capsule coffee machine at the same time.

7, MJstyle

There will be 100 new stores in 2017.

Brand creation time: 2011

Total number of Chinese stores: more than 200

Newly added stores in China in 2016: 101

China plans to add new stores in 2017: 100

Brand status

Since the establishment of the brand in 2011, MJstyle has opened more than 200 stores nationwide, and its stores have covered more than 20 provinces and cities nationwide.

In the next 8 years, its goal will be to open more than 15000 TOPFEELING stores, more than 3000 MJstyle retail stores and 2000 or more FISHOP large retail stores worldwide.

New stores planned for 2017

In 2017, 100 new shops were opened, and the newly opened business area reached over 300 thousand square meters.

In terms of overseas expansion, MJstyle shops will be opened in Macao, Japan, Malaysia and Singapore in the future.

8, ZARA

16-18 new stores are expected in 2017

Brand access to China: 2006

Total number of stores in China: about 170

There were 15 new stores in China in 2016 (1-11 months in 2016).

2017 China plans to expand shop number: 16-18 (according to 6%-8% growth forecast)

2017 brand development strategy: focus on e-commerce development

Brand status

As of the first half of 2016, Inditex group has 7096 stores in 91 markets around the world, 2/3 of which are opened in the past three years.

According to the new situation of stores in previous years, the growth rate of opening shops in China was stagnant between 6%-8%, which was lower than 10% in previous years.

At present, mainland China has become the largest overseas market in the world. Since 2016, the price of clothes sold by ZARA in the Chinese market has fallen by 10% to 15% on average. ZARA

Future development strategy

Strengthen the integration of sales channels: ZARA group's performance gains mainly benefit from the group's online expansion strategy.

In the first half of 2016, the 11 online sales areas that have been newly launched have already laid out 39 markets, and will continue to invest in offline stores in the future, and intensify the integration of sales channels.

And slow down the expansion of physical stores in the future, focusing on the development of e-commerce.

Summary of fast fashion development in 2017

1, increase online investment.

At present, UNIQLO, ZARA, GAP, C&A, Forever21, MANGO and other brands have set up shop in Tmall and Jingdong.

ZARA also said that the group's performance gains mainly benefited from the group's online expansion strategy.

Taking UNIQLO as an example, its parent company's future goal is to increase the electricity supplier's proportion from the current 5% level to 30%, and enhance the consumption experience through the full channel approach, providing online ordering and offline store's convenient pick-up service within 24 hours.

2. Adopt multi brand strategy.

In the future, more and more brands are trying to implement multi brand strategy in China to meet the increasingly differentiated and differentiated purchasing needs of Chinese consumers.

For example, ZARA's ZARAHome home and Oysho women's underwear brand, the first sports series Gymwear's formal listing, H&M entry into the wedding market, UNIQLO sister brand GU, etc.

3, focus on accelerating pformation and upgrading of products

In the situation of declining performance and frequent closes, all the fast fashion brands have been offering "killer mace", such as streamlining business and price war, in order to turn the tide.

UNIQLO pformed itself into the direction of the high quality clothing brand and got rid of the fast fashion brand image that only focused on fashion trends. It focused on designing and producing high quality clothes, trying to draw a line with the fast fashion brands such as H&M, ZARA and TOPSHOP.

[H&M] focus on channel integration, and try a set of online and offline integration programs, including online order, store purchase, store online return and scan code purchase.

ZARA is calling Nike to combine fast fashion with sports and vigorously launch sports products so as to catch the eye of consumers again.

Because consumers are more individualized and innovative, they pay more attention to product quality, and the appeal of fast fashion is not as good as before.

In the future, we need to focus our attention on products, speed up market reaction and speed up brand pformation.

4, the rise of local fast fashion brands

From the 2016 fast fashion brand shop situation, the local fast fashion MJstyle, hot air and other brands are strong growth momentum. In contrast, 6 famous brands including UNIQLO, H&M, NEWLOOK and so on, all have reduced the number of shops opened in China, and even more than 3 of the fast fashion brands have chosen to maintain the growth of single digit shops.

And China's fast fashion brand, whether in 2016 expansion plan or new store speed, reflects the trend of reverse cycle growth.

5, products focus on sustainable development.

According to survey data, more and more consumers are no longer keen on trendy, cheap, monthly throwing clothes, and tend to wear advanced materials for clothing. In order to wear clothes for a long time, more and more young people pay more attention to the sustainability of clothing production.

To this end, H&M has set up a global recycling project since 2013, encouraging users to recycle their old clothes in recycling boxes.

It also has a "conscious series", which is made of sustainable materials on clothing production line.

[ZARA] in September 2016, a similar line "joining life" was developed, which comes entirely from recycled wool, organic cotton and Tencel containing recycled wood.

Although the above methods are not effective and are contrary to the fast fashion principles, it is not a trend that the fast fashion industry has been wasting and unenvironmentally friendly in the future.