UNIQLO Denies "Quietly Rising Prices": Prices Are Stable But Not Rising

A few days ago, UNIQLO quietly raised its price and launched a hot search on Weibo.

Many netizens said that they could not afford to wear "UNIQLO". Some netizens complained that the clothes below 300 yuan in UNIQLO only appeared at the special discount, most of them were 599, 799 and 999 yuan. It was not that they couldn't afford it, but they felt they were not worth it.

According to media reports, UNIQLO's price hike may be related to the impact of the epidemic. Raw materials and labor costs have risen, profits have fallen, and sales volume has fallen short of expectations. In addition, some global markets have stagnated. UNIQLO has quietly raised its price by betting on the Chinese market.

However, UNIQLO officials denied it.

According to sources, UNIQLO said: "in fact, UNIQLO has not raised its price, the price has been stable for many years, and even some products have been reduced, such as flannel shirts and wrinkle resistant shirts." In addition, industry insiders also said that UNIQLO has its own considerations in the supply chain, so it will control the discount rate, which may reduce the perceived discount for consumers.

It is reported that in 2014-2015, due to the impact of the exchange rate, the depreciation of the yen led to the increase of the cost of raw materials and the labor production cost of the OEM factory. FMCG raised the price twice to varying degrees. In July 2014, the average price increase of UNIQLO products in autumn and winter was 5%, and in 2015, the average price increase of UNIQLO products reached 10%. It should be noted that although UNIQLO's price hike has made up for the losses caused by the depreciation of the yen and the increase in the cost of raw materials, the passenger flow has decreased significantly.