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    Why Are The Brands Of The Three Islands Falling Into The Chinese Market?

    2018/11/19 10:04:00 144

    TideBritish FashionClothing

    Britain is known as "pure English blood". Tide card Superdry has recently issued a performance warning. This mix of Japanese style elements and American retro style, with its high popularity in the UK, has not only fallen into the quagmire of performance, but also has been depressed since its entry into the Chinese market, and has been losing money for three consecutive years. The loss to China in the past year has expanded to 2 million 100 thousand pounds (about 18 million 920 thousand yuan).

    In recent years, the famous British brands have fallen into the Chinese market, and Topshop, such as Madonna and Mizuhara Kiko, has gone. retail New Look, one of the giants, has "left". The industry has lamented that the British clothing retail industry seems to have entered the "cold winter".

       Superdry lost three consecutive years of New Look, Martha department store and other British brands to withdraw from the Chinese market.

    Superdry is a cool fashion fashion brand founded in 2003. From the 5 T-shirts of the popular "OSAKA" logo, Superdry went global in the UK. Its products are sold in over 500 online stores all over the world. Selena Gomez, Beckham and other stars are fans of the brand.

    Superdry began to force the Chinese market in 2015. According to its official website, there are now 23 stores in China, mainly in Beijing, Shanghai, Shenzhen and other cities. However, the development of Superdry in the Chinese market is not satisfactory. Last year, the loss in China expanded to 2 million 100 thousand pounds (about 18 million 920 thousand yuan), and this performance was mainly affected by the 500 thousand increase in the cost of China's expansion and inventory transfer.

    Coincidentally, according to Reuters and other foreign media reports, in mid October this year, New Look officially announced the withdrawal from the Chinese market, its official website shows that there are 106 stores in China. Similarly, the Martha department store, which has a high reputation in Britain, closed its official flagship store last year in Tmall. As the largest multinational business retail group in the United Kingdom, Martha's department store has completely withdrawn from the Chinese market.

    The development of fast fashion brands in China has been exceptionally smooth, making Chinese consumers have a high degree of awareness and trust in European and American style clothing brands. But why do these famous British brands fall into the Chinese market? The market reflection behind them is worthy of attention and discussion.

       Lack of localization, some British brands are too low-key.

    Whether it is popular fast fashion brands such as Zara, H&M and so on, which are popular with mainstream people, or Supreme, Off-White and other tide brands, which are vigorously pursued by young people, they have done very well in product localization, product iteration and new, marketing exposure. However, in these respects, Superdry, New Some British brands such as Look have a little "British stubbornness", which is particularly evident in Martha's department store.

    Any brand entering the new market will adopt a variety of marketing methods to increase exposure. However, Martha department store has some "high" and has not established a unified, easily identifiable and trusted brand name in China, but has not yet formed a brand influence. Some advertising companies complained that Martha's department store was the most reluctant brand to advertise. However, the belief that "wine is not afraid of the deep lane" has already entered the "garbage basket" of the market. Chinese consumers love to be lively. Facing the complicated and complicated brand information in the market, it is particularly important to establish the Chinese brand recognition.

    In terms of localization of products, Martha insisted that YISHION was in the forefront of the British market and did not adjust to local conditions. The style of the product followed the British and store categories, including the use of English labels, the size of clothes, the use of Euro code labels, and so on, making the shopping experience of consumers worse.

    Too low-key NEW LOOK is so low that its consumers are unaware of its existence because of its low brand exposure.

    Superdry, which opened its store in Shanghai Disneyland for brand promotion, has been exposed to some extent. However, due to the high rent, the return is more publicity than profit. Moreover, superdry opened its flagship store in the decline period of tmall's traffic dividend, and the price of its products in China was 2-3 times higher than that in Britain and the United States, which greatly weakened its industry competitiveness.

       When local goods are in season, the tide of local brands rises.

    With the great fever of hip-hop, "hip-hop" and other variety shows in China, and the effects of the stars such as Yi Guan Xi Xi, Li Yuchun and other stars, the neglected domestic market has been excavated, and the demand for local brands has become increasingly strong.

    At the same time, on the one hand, the development of Chinese original clothing presents a good trend, and the power of "Chinese creation" continues to rise. According to the "2018 China Original Design Entrepreneurship and report" released by CBNData and Taobao, the total turnover of original design products in 2017 reached tens of billions of yuan, and clothing brands accounted for 55%.

    On the other hand, Lining The rise of the national tide brand such as Taiping bird led to the development of the national tide market. Lining recently released the third quarter performance report, showing that the first half revenue was 4 billion 713 million yuan, an increase of 17.6% over the same period, and the third quarter's performance continued to soar.

    In New York and Paris fashion week, Lining, who broke through the fashion week, opened a multi-channel layout including street shops, department stores, shopping centers, Oteri J and collection stores. Whether it is the first NING SPACE trend store in Shenzhen, it is also a storefront image that has been upgraded and upgraded in a straight line.

    In addition, he cooperated with stars and designers to play cross-border co branding, launched "Savvy" series to create hot topics, built "badlive" series of street basketball fashion product line following young people's preferences, and cooperated deeply with fashion and fashion media, etc. Li Ning made great efforts on the road of fashion.

    In the trend of fashion, the road of innovation, the terrace and the Pacific bird, New York fashion week has launched the theme store of Coca-Cola Series in Shanghai Xintiandi and Shenzhen Vientiane world. Its brand and Phoenix, Disney joint, and all upgraded shop have attracted the attention of the younger generation.

    In addition to the transformation of well-known brands, there are also some new wave forces, such as the "not how Nice" series T-shirts launched by Randomevent, which once sold goods, and the cross-border output of brands such as Lao mama, Kangshifu and Wangwang, which grew up after 80 and 90 years. The Chinese trend culture and national tide brands that have been accumulated for many years are being boosted by various parties and surging to the market in large numbers. From domestic to international, it has formed a force that can not be underestimated. It has made a strong impact on many foreign brands.

       Insight into the needs of young consumer groups and adjusting strategies according to local conditions

    The global consumption area generally agrees that despite the slowdown in economic growth, China will remain one of the fastest growing consumer markets in the world in the visible future. The retail market has entered a period of weakness. Not only is the British brand, many foreign brands are grabbing the Chinese market, but the international fast fashion brands ZARA, H&M and GAP, which are expanding rapidly, are slowing down the pace of expansion of the stores. The strategic adjustment of localization and consumer demand is particularly important.

    The consumption preferences of young new forces are always one of the trend directions. In the "post 00 Research Report" released by Tencent, the specific growth background and different attitudes towards life have created a unique consumption outlook after 00. They are willing to consume for their own interests, and think that domestic brands are not inferior to foreign brands and tend to experience their products. As the trend of fashion and fashion brands, after 90 and 00, the need to understand this group is to firmly grasp the future market.

    The balance of goods and services, the balance of experience and efficiency is the challenge facing the retail industry. It is also the direction for foreign brands to face China's domestic competitors. Only by constantly adjusting the strategy according to local conditions can we take a place in China's second largest economy in the world.


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