How Important Is The Chinese Market For Muji?

In December 12th,

This beautiful figure was chosen to announce the opening of 200th stores in mainland China.

In 2016, Muji has also been in mainland China for 10 years.

200th stores open, Muji's milestone in China

Before and after 2000, the blind expansion of Muji was caused by the blind expansion in Europe, America, Hongkong and Taiwan. After that, Muji became very cautious about expansion and development.

In 2005, Muji entered the Chinese market and opened its first store in Nanjing West Road, Shanghai.

Since 2012, it has entered a period of rapid growth with the growth rate of 30-50 stores.

By the end of 2013, the total number of MUJI products in mainland China was 100.

In 2014 and December 2015, Muji in Chengdu and Shanghai opened the world's largest flagship store, "flagship store in Chengdu" and "755 flagship store in Shanghai Huaihai".

At the end of 2016, the total number of stores in the mainland of China was 200.

In an interview with reporters, Matsuzaki Kyo said:

Shop speed should be reasonable.

If you can't make profits in every store, it's hard to consider continuing to open shop.

If we just pursue the scale of business, it will be difficult for the retail industry to succeed overseas.

MUJI's strategy for opening a store is more conservative, and only one room will be opened.

Between 2005 and 2013, Muji took 8 years to complete the target of 100 stores.

After completing the plan of 200 stores, Muji has only been used for 3 years.

This is related to the restart of Muji's global expansion plan in 2015, and China is no doubt a key market for MUJI.

Prior to this, Matsuzaki Kyo, President of MUJI headquarters, told reporters that the plan to open shop in China will continue. Apart from the establishment of large flagship stores in big cities, it will sink more channels to more cities.

From the 2017 fiscal year (as of February 2018), the medium-term business plan is expected to open 40~50 a year.

Consider setting up a flagship store of 500 Ping (1650 square meters) in major cities such as Beijing and opening a smaller shop in its surrounding cities.

The 200th shop is undoubtedly an important symbol of its development in China in Muji.

On the day of the ribbon cutting ceremony, Mr. MUJI, the head of the office of the head of the MUJI, came to the scene. In Binjiang, Hangzhou, the exhibition of "What is MUJI" began on the same day and commemorating the 200 shop with the theme of Muji.

MUJI in China: lower prices and expand other businesses

In Japan, Muji and

It's similar.

If you think Muji is expensive, you can also buy a similar piece in UNIQLO.

But now, MUJI object is no longer a UNIQLO, but IKEA.

The speed of Muji development in China can be started in 2013. Even in the 14 years, the flagship store has been listed as the focus of opening stores.

The difference between flagship store and ordinary offline store is that the flagship store can feel the concept of life that the Muji wants to convey in the "exploration" process through shop decoration design and item placement and different space utilization.

In flagship stores, goods are no longer individuals, but the builders of atmosphere.

The flagship store also means that Muji does not want to be a grocery store. It wants to form a concept in the minds of consumers: "Muji" life.

Changes in Muji can also be seen from changes in commodities.

When we first entered China, Muji was mainly made up of sundry goods and stationery products. After that, clothing, household goods and other commodities were continuously increased.

In the process of commodity price adjustment in China, the price category before Muji is mainly clothing and groceries. In the 8 month of this year, Muji has begun to reduce sales for furniture and other categories.

In Japan, furniture and other commodities account for 25% of total sales, but China still has clothing, health and other commodities.

In addition to the retail industry, MUJI has opened bookstores, restaurants, bakeries and terminal buildings in China. Next year, it will also expand its hotel business in China, which is also the first Muji hotel.

MUJI hotel is located in the "Beijing square" on the southwest side of Tiananmen square.

Beijing square is positioned as a Chinese life experience zone, integrating history and contemporary culture, commerce, art and life.

MUJI hotel is open here. It is also reminiscent of it. It also wants to occupy a place in Chinese contemporary life. At the same time, MUJI hotels in Beijing will use MUJI products from guest rooms to public areas. This also gives Chinese consumers an opportunity to experience Muji.

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How important is the Chinese market to MUJI?

How important is the Chinese market for MUJI products to reduce prices and expand other businesses?

According to the world clothing and shoe net, from March 2016 to 5, the total revenue of the East Asian Division of Muji was 25.1%, of which China accounted for the main.

China can be regarded as the largest overseas market of Muji.

According to the 2016 report of the first half of the year, although the number of shops in China has increased, the growth of same store sales and customer numbers has been slowing down since 2015. But overall, China is still an important market for MUJI's revenue.

In response to the slowing growth in the Chinese market, Muji has been adjusting prices several times since 2014, and has made 10% to 20% reduction in prices for different brands.

However, even with many rounds of price cuts, the price of goods in China is still much higher than that in Japan because of tariff and logistics costs.

Yamamoto Naomiyuki, managing director of MUJI Shanghai headquarters, said in an interview with surging news that Muji would be basically equivalent to Japan in 2018.

However, before the price of Muji China has dropped to a reasonable level for consumers, similar independent design brands are also developing in China. Muji scheme is expanding in the two or three tier cities. At present, "famous and excellent products" stores have attracted more consumers with cheaper prices. 2015, Muji has also been on the line of "MUJI Passport" app. But in the rapidly developing areas of China, the speed of Muji business is slow and prudent.

MUJI is not only a shop selling consumer goods in China, but it has more and more competitors before it becomes a "lifestyle shop".

More interesting reports, please pay attention to the world clothing shoes and hats net.