YNAP, Farfetch Really Become Friends?

According to the world clothing shoes and hats net, just two days ago, Italy Luxury goods The YNAP giant has invested heavily in building a technology center for its employees in London, claiming that it wants to provide employees with a home based environment while stimulating their creativity.

Of course, YNAP is more of a hope that its technology team can use technology bases, mobile technology, AI and big data development in such a unified location. Online retailers The new platform technology, like his chief competitor, Farfetch chief market executive, said, "now data is money."

Sure enough, this early awareness of Farfetch was followed by similar new moves. According to the world clothing and shoe net, London based Farfetch will open its west coast headquarters in downtown Losangeles in 2018. The 25000 square foot building is not only an office space but also a multi-purpose space.

On the West Coast headquarters, Jeffery Fowler, President of North America in Farfetch, told reporters: "when we entered the market eight years ago, we hoped to build a" home "for our American business in the center of Losangeles. In essence, Farfetch is a luxury. market Losangeles can provide us with a range of talents, innovation and facilities to enable us to become the most dynamic companies in the competitive market, while meeting our demands for constantly innovating consumer spending patterns.

Farfetch London headquarters

Based on this, if we take a look at the recent developments in the field of luxury electric business, it is not difficult to find that the two giants YNAP and Farfetch are starting to compete in secret.

In June 22nd, the cooperation between Farfetch and Jingdong made the industry start to pay close attention to their biggest competitors: whether YNAP and Alibaba would have any corresponding reactions. For example, people suspected that there was a rumor in the past few days that Alibaba's Tmall mall would be YNAP, although no official information has been confirmed so far, and this news is also largely regarded as a rumor, but YNAP shares have risen.

We can not rule out such a possibility: the information source has compiled half truth and half stories for the rise of a particular stock, but it is by no means groundless. Last week, Ma Yun said at the Detroit Forum: "global shopping and retail are the main trend in the next ten years", let alone purchase is the nature of Alibaba.

In the face of such a strong opponent of Farfetch, the western media fell to the ground that YNAP was already at a disadvantage and had many problems. According to Italy fashion media Fashion Magazine, analysts at the French investment bank said that the YNAP group could no longer be in place because their competitors were no longer Amazon, but a fast-growing Farfetch.

At present, YNAP group has entered the slowest growth period after merger and acquisition, and is also an important watershed. Although Farfetch is now smaller than YNAP, it is expanding at a rate of 60%, and it is expected to exceed YNAP in the next two years.

The competition between them is more than that. In 2012, Kai Yun Group signed an electricity supplier service contract with YNAP, involving online businesses such as Alexander Mcqueen, Balenciaga, Bottega Veneta, Saint Laurent, Sergio Rossi and Stella Rossi brand. However, this year, after launching the "24 party" of its own e-commerce platform, the biggest competitor, Kai Yun group, is likely to follow up.

At the same time, last year, Farfetch began to provide independent brand operators for fashion brands, including Christopher Kane belonging to Kai Yun group. There are signs that the competition between them will be more and more intense in the field of luxury electronics.

For the luxury goods industry, its exclusiveness is fair to all electronic business platforms, and the threat posed by the major luxury brands to online e-commerce platforms is the same. In this regard, YNAP group investment director Silvia Scagnelli has shown confidence: "luxury brands want to retain control power, and only YNAP mode of operation can provide space for brands."

Although the operation mode of Farfetch and YNAP is different, the trend of the future will force them to carry out the comprehensive development of the two modes of platform plus camp. After all, the market threats they face are more than just one another.

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