How Will The Layout Of H&M, ZARA And UNIQLO Be Influenced By The Fast Fashion Entering Lanzhou Market?

The fast fashion brands, once popular throughout the country, are loved by the Chinese people. The unique style, bold design inspiration, fashionable print patterns and exquisite detail handling all praise the people. However, in 2019, there was a new reversal in the fast fashion scenario. Through the big data, only five brands in nine fast fashion brands including H&M, ZARA, UNIQLO, UNIQLO, MJstyle, MUJI Muji, UR, C&A, Forever21 and GAP were expanded in the first quarter, adding 11 new stores (excluding upgrading and reopening stores), which slowed down considerably compared with the previous years.

What causes the rapid fashion of the rapids to slow down? How fast fashion will turn around and return to the public view? What is the future of fast fashion? It has become a topic of concern to us.

Line strength increased under the line tightening

Nowadays, mobile phones have become an indispensable communication tool for us. Its role is not simply pointing to the communication function. At the same time, we accelerated our pace of life, and developed network technology made everything possible. This has a strong impact on the fast fashion brands that still retain stores as the first consumer main force, because more young consumers are more willing to focus their attention on online consumption.

In the past three years, the ten fast fashion brands including NEW LOOK added 36, 37 and 26 stores in the first quarter. Today, NEWLOOK has officially withdrawn from the Chinese market, and stores closed in February this year. The brand has added 4 stores in the first three quarters of the past year. The brands have generally slowed down their scale expansion, and four brands of UNIQLO, ZARA, GAP and Forever21 have not opened new stores. Meanwhile, GAP and Forever 21 have closed one store.

After the end of the horse race enclosure, the function of the shop is no longer a commodity display. Fast fashion has realized that sometimes huge physical stores can even become burdens. For example, ZARA last year shops rent to 2 billion 392 million euros, accounting for 10% of total revenue.

In today's fast fashion industry, it is difficult to maintain a major breakthrough based on past outdated operational thinking. What is more tested is the ability of brands to upgrade channels and operate meticulous. Store expansion slowed down, switch on and off, behind the channel optimization strategy. The flagship store with better quality and better experience has become a trend in the fast fashion industry, with UNIQLO, ZARA, GAP, and H&M.

Three or four line cities are developing new machines and new businesses.

Over the past few years, shifting the focus of development to the three or four line market has become a major development strategy for major retailers. Fast fashion industry is no exception, more and more fast fashion brands will take a look at the three or four line cities and start to make a difference. H&M, the world's leading fashion retailer, made its debut in Lanzhou on June, which is the first time that HM has entered the Gansu market, bringing the long-awaited fashion shopping experience for local consumers. 6 Besides, UNIQLO, MUJI Muji, UR and other brands have been opened in succession, and ZARA has not yet entered.

On the day of opening, the average daily traffic volume reached nearly 1000 times, and the scene was more popular. The fast fashion industry in Northwest China is relatively blank and has great room for development. In the northwest of Lanzhou, commercial development is developing rapidly. Looking at the major business circles, whether Wangfujing department stores, Asia Europe shopping malls, new world department stores, Parkson fast fashion brands are relatively simple, some brands have not yet been settled. So for fast fashion, there are still great opportunities for development.

In addition, this year's fast fashion brands are becoming more and more bold. Especially the fast fashion of the international brand, they are busy betting on their superior products and developing new businesses.

As early as the end of 2018, C&A came out this year to enter the wedding dress market and face the high-end customers. At the beginning of the new year, ZARA, who had always been very cold and cautious, announced the replacement of brand LOGO, followed by the new brand of cheap make-up series to the exclusive sale in China; GAP overweight children's clothing business, bought the children's clothing retailer's high-end children's wear brand Janieand Jack, and plans to split the listing of its dominant brand Old Navy in 2020.

Wedding dress, make-up, children's clothing and other businesses in the fast fashion industry is no longer rare. For these "latecomers", it is a bold decision. Let's wait and see what happens.

So what is the future of fast fashion? This is an answer that needs to be verified by facts.