UNIQLO Announced A Price Cut Of About 9% In Japan, While There Is No Plan To Reduce The Price In China

UNIQLO is on the hot spot again.

The hot search twice a day comes as UNIQLO announced a price cut of about 9% in Japan and no price reduction plan in China.

On the morning of March 4, UNIQLO's price cut across Japan was on the hot search list of sina Weibo.

Fast retailing group, the parent company of UNIQLO, announced today that its UNIQLO and Gu stores in Japan would cut prices by about 9% due to the realization that "many customers are experiencing unprecedented difficulties due to the new coronavirus pandemic". The company also said its price tag would show the price including tax in the future to save customers the trouble of calculating.

After the news reached the top of sina Weibo hot search list, netizens have been concerned about the price reduction in the Chinese market.

In response, UNIQLO China's official response: the price adjustment of relevant brands in Japan is in line with the Japanese government's policies, and there are no relevant plans for markets outside Japan.

As a result, UNIQLO China has no plans to reduce prices, and it is hot again.

For China's market does not reduce prices, netizens' opinions are polarized. Some netizens think that UNIQLO does not treat equally, UNIQLO will not buy without price reduction, and some netizens say that it will not affect the purchase.

In fact, this is not the first time UNIQLO has been on a hot search because of the price issue.

On November 14 last year, UNIQLO had already caused controversy over "quietly increasing prices".

At that time, some netizens complained that the clothes below 300 yuan in UNIQLO only appeared at special discounts, most of which were 599, 799 and 999 yuan. It was not that they couldn't afford it, but they felt that they were not worth it.

However, UNIQLO immediately issued a statement denying the increase.

According to cbndata's previous report, UNIQLO's two previous price hikes have caused a lot of passenger flow loss.

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%.

This caused UNIQLO to lose a lot of passengers.

It is reported that UNIQLO's price hike has led to a drop in customer flow, which has forced FMCG to readjust its price. The price reduction measures will cover the whole world, with a 30% decrease in * *. In 2016, Fast Retailing's profit fell 22.6% to 127.2 billion yen.

"As consumers become more thrifty, the importance of brand and product quality becomes more and more prominent," UNIQLO founder Liu Jingzheng told Japanese media in early 2021. Consumers will choose high quality and reliable brands. At the same time, due to the growth of leisure wear demand and remote work, the days of formal wear are gone, and the era of daily wear officially comes. When we want to make everyday wear, people will choose clothes that are suitable for work and home, durable and can be matched in many ways. It's no longer necessary to wear clothes that are lost in a year. "

With a thorough grasp of consumer demand under the pulse of the times, UNIQLO has ushered in her highlight time not long ago.

On February 16, UNIQLO won the title of "the largest clothing company in the world in total market value" from Zara with 10.8725 trillion yen (calculated by closing price).

As of November 2020, UNIQLO has 2298 stores worldwide, with 60% in Asia (excluding Japan). Mainland China has 791 stores, second only to 815 in Japan.

UNIQLO, which has always been focusing on high cost performance, will this local price reduction affect the Chinese market? What actions will UNIQLO make in the future? Please pay attention to the follow-up reports.