Giordano Will Push Cheap Brands To Fight For Low-End Market.

The double-sided attack of e-commerce and international fast fashion brands pushed the once popular Giordano, Baleno, Mts. Bang Wei, Semir and other casual wear brands to the market edge. As early as last year, the earnings report of Baleno's parent company De Yongjia showed that the number of outlets in Baleno's mainland market has reached 388, accounting for 10% of the total number of stores.

And this month, Giordano The 2014 performance report also showed that sales of Giordano in 2014 amounted to HK $5 billion 545 million, a decrease of 5% over the same period last year. Last year, the momentum of closing stores was fierce and the number of shops was reduced by 190. "Cheap brand" Beau Monde As the focus of development in 2015. Become Giordano's 2014 annual report on the 2015 Greater China business plan and outlook.

It is reported that cheap brand Beau Monde will replace. Hypermarket Shops, new products priced at 29~99 yuan, the price is only three or four of Giordano. It is understood that the clothing market of 29~99 yuan is mainly in Shang Chao, and the products at this price are often labeled as "tail goods and quality general" labels, which are not attractive to consumers. It is not known whether Giordano's low price strategy can be recognized by the market.

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The top brands such as Chanel, Paris and Burberry (Burberry) appeared in the Chengdu international financial centre (IFS) of the Kowloon warehouse group. In December 12th last year, Muir chose its flagship store in the ocean. Back in 2013, H&M headquarters celebrated its 3000th retail outlets around the world. The store is located in Chengdu. In the 18 months after the celebration, the number of H&M shops in Chengdu doubled.

The Muji world flagship store, the designer moved the whole tree into the store.

Retro furniture can only be seen in flagship stores in Muji world.

Why did the big brands love Chengdu so much? Reporters once wrote a long report to Chengdu's senior shopping center. It is mentioned in the report that Chengdu is the most important city in Southwest China. It forms a big triangle with Beijing and Shanghai. This triangle covers most parts of China and meets the needs of the surrounding customers. In addition, according to the 2013 survey report on the international famous brands entering Chengdu, 40% of Chengdu's luxury goods were sold to foreigners. The two tier markets in Sichuan's neighboring provinces and provinces account for 20% of Chengdu's luxury consumption. Chengdu radiates the western region of China. For many luxury brands, the market can not be missed.

Apart from geographical factors, another important factor is the market and purchasing power.

60% of luxury goods are bought by local consumers in Chengdu, which shows the purchasing power of Chengdu's locals. "In Chengdu, 80%-90% consumers buy luxury goods for their own use, unlike many people who buy luxury goods for gifts." In an interview with the media, Professor Hua Haiyan, vice president of Chengdu University of Technology business school, said.

The Businessoffashion website quoted data from a Hurun Research Institute. In 2013, the data roughly estimated that 26000 people in Chengdu had more than 6 million yuan of property, and the "billionaire" (more than 100 million yuan in property) was more than 930. This depends on the rapid economic growth of Chengdu in the past 10 years. According to the data of Brookings Institution, Chengdu's GDP in 2014 was 8.1%, which was higher than most of the country. The report also ranked Chengdu in the sixteenth place in the best performing City City, which is much higher than Beijing (sixty-seventh) and Shanghai (ninety-second). According to the first quarter report of Cushman & Wakefield, the new shopping center in Chengdu will exceed 1 million 500 thousand square meters in 2015. In the first two months of this year, the total retail sales in Chengdu amounted to 75 billion 600 million yuan, an increase of 10.5% over the same period last year.

Another reason is the idle lifestyle of Chengdu people and the pursuit of fashion. "Eating Sichuan and playing comfortable" is very important for the people of Taiwan. Their taste in fashion is also relatively stable. Oxford Economics of University of Oxford has long been tracking the economic data of 750 cities in the world. Chengdu ranks seventy-first in the world in terms of clothing consumption. The agency predicts that by 2030, Chengdu's ranking will rise to 28, and the annual output value of garment industry is expected to rise to 10 billion 200 million yuan.