Is The Fast Fashion Brand Coming Into Being?

According to the world clothing shoes and hats net, we own Holland.

Retailer C&A's billionaire family is about to sell the chain to Chinese investors.

The paction will soon be finalized.

But C&A refused to confirm.

As early as July 2017, C&A closed its 11 brand stores in Russia and withdrew from the Russian market.

C&A stores

C&A was founded in 1841 by the Brenninkmeijer family in Holland. It also manages men's clothing, women's wear and children's clothing at a par value.

Public information shows that C&A has a total of more than 2000 stores in the world, of which about 1500 are located in Europe.

In response to this news, C&A affiliated Cofra holding group has said in a statement that C&A is starting to drive business growth in all markets.

"C&A's ongoing restructuring involves exploring different growth patterns in China's regional and digital fields to catch up with changes in the market environment, and do not rule out partners or external help."

New Look is not competing for ZARA, H&M, valuations fell by half.

In addition, according to the British sources, the value of the international fast fashion brand New Look has been diving, and some anonymous potential buyers are considering buying their controlling shares at a low price.

New Look store

The parent company of New Look is the Brait holding group of Christo Wiese, a South African billionaire.

This year, even billionaires began to sell brands? I was frightened to hurry to grasp the broken bowl.

In 2015, Christo Wiese acquired the New Look 90% stake through its private equity fund Brait SE (BAT.J) for 780 million US dollars.

After the acquisition, New Look's performance was not satisfactory.

In the 2016 fiscal year, sales of New Look online and offline grew, but in the 2017 fiscal year, business income continued to rise.

In addition to poor performance, New Look also experienced high-level personnel changes last year.

In June 2017, the two core management group of the group, Christopher Englinde of menswear director and Amanda Wain, accessories and beauty director, left.

As a matter of fact, New Look entered the Chinese market as early as 2014, and opened two stores in Beijing's national Swiss shopping center and Shanghai dragon dream shopping center.

New Look's massive entry into the Chinese market has attracted much attention from the industry. However, the lack of popularity and cost-effective New Look brand can not build an advantage in China's increasingly competitive market.

In 2017, although New Look opened 53 new stores in China, New Look stores rarely entered the commercial sector. For example, in the Beijing market, New Look has no shops located in the Third Ring Road, and Guangzhou market is also similar.

In contrast, other competitors, such as ZARA, H&M, UNIQLO and other brands, have basically been in the layout of major commercial sectors.

Although the expansion of New Look has accelerated, it has been far from the expansion rate of the 3 year 500 expansion proposed by Christo Wiese, a South African boss, in 2016.

By January 12th, New Look's debt had exceeded half of its brand valuation.

Earlier, New Look also said it planned to close 10% of its stores to cut costs, while launching a voluntary debt repayment plan to adjust spending and debt.

Closing stores and opening stores slowed down, becoming the trend of fast fashion brands?

In February last year, the first flagship store in Chunxi Road, Chengdu, was closed. Before that, GAP Chunxi Road store and UNIQLO Zhongshan Plaza store were quietly closed. The flagship store and the first image shop of Zara China, located in the shopping center of C&A, were also officially closed. Chengdu, as a highly sensitive commercial city, seems to be a sign of market weakness.

Since UNIQLO entered the Chinese market in 2002, China started the trend of fast fashion. In the following years, major foreign fast fashion brands have stepped into the Chinese market. However, to date, the fast fashion mode has begun to plummet for Chinese consumers. The Zara and H&M models have been emulated by many brands, and their advantages are no longer obvious.

According to win win network, sales of H&M in China increased rapidly, and sales increased from 80% to 6% in 2008.

Public data show that as of the first half of 2016, ZARA parent Inditex group has 7096 stores in 91 markets around the world, of which 2/3 stores were opened in 2012-2015 years.

In 2016, Zara added only 15 stores in China, focusing on cities such as Beijing, Guangzhou, Shanghai, Shenzhen and Xi'an.

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.

{page_break}

Shopping centres carefully introduce fast fashion brands

For example, the shopping mall of Shanghai on behalf of the large shopping malls complex dragon dream shopping center in November 2017 adjusted to the first floor merchants, H&M and C&A were withdrawn, and Zara filled the original location of the two.

It can be seen that the market for the introduction of fast fashion brand is also in a new round of adjustment, the market will not choose too many similar style brands, Zara and uniqo are the only two big hot fashion, compared to the scene ten years ago, the introduction of fast fashion has become a more cautious choice.

Shopping malls have always been the gold place of clothing brands. Good brands can not only bring high sales to the shopping malls, but also bring potential consumers and bring visitors to the shopping mall, which brings potential consumption to the shopping malls.

The interests of brands and shopping malls are closely related, and shopping malls are attractive and attractive.

But the attention of the main force of consumption has gradually shifted from the "rough" fast fashion, and the choice of shopping malls has gradually shifted from the affluent consumers to the younger, more personalized and better quality brands.

Emerge as the times require and die?

In the previous article, why is fast fashion becoming more and more despise? It is mentioned that fast fashion should bring people's demand for fashion update and iteration. Nowadays, the demand of consumers is dispersed and pferred. More and more clothing brands are dividing up the market, and the disadvantages of fast fashion are gradually revealed. Frequent quality problems and litigation plagiarism make the face of fast fashion brand getting darker and darker.

After 2017 years of questioning and reflection, fast fashion brands will face 2018 of the industry shuffling. The uncompetitive brands will be eliminated. Potential brands will be bought by more powerful groups, while the head brand will adjust products and marketing strategies to cater to the market.

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