This may be surprising: Chinese consumers are often more prepared than consumers in the US and Europe, especially for Western brands, especially for Western brands.
With their wallets expanding over the past decade, China’s fashion showcase has been evolving and will continue to grow rapidly in the years to come, giving remote fashion organizations an opportunity to enter this market, and Boston Consulting gathering report findings agreed. Released a week ago.
The report states that China’s fashion industry will transform into the world’s next fashion advertising by 2020, and will represent 30% of the global fashion market growth over the next five years.
By 2020, all fashion contracts in China are expected to triple their current levels, rising from RMB 398 billion ($ 60 billion) in 2010 to more than RMB 1.3 trillion ($ 200 billion).
However, there is an advice for retailers that they are thinking of entering the thriving business sector. The average expenditure for urban Chinese consumers, aged 14 to 45, is no longer the fourth of similar gatherings in the United States and the United Kingdom, generally less in China and in terms of employment.
“Chinese shoppers are competing against fashion-based advertising based on their pay levels,” said Vincent Lui, a partner at Boston Consulting in Hong Kong. He said that it is being suggested that there is plenty of room for growth as well as revenue growth and the administration is consolidating further utilization.
The amount of white-collar class customer family units, whose annual salary is more than RMB74,000 (, 11,400), is estimated to triple in practice by 2020, which is 50 million every 2010.
In addition to the report, it is also expected that the volume of online users should increase from 145 million a year ago to 329 million in 2015. Clothing retailers can make the most of this development, as is the number 1 purchase by Chinese consumers in the apparel web yet.
Chinese consumers have a solid readiness to spend, as Louie points out.
“We have seen young consumers (under 25) spend more than 40 percent of their discretionary cash flow on fashion,” he said.
Despite encouraging future deals, overseas retailers are adventuring in the developing business sector with extraordinary warning, a point in which the country has little influence on moderation.
There are not many American and European retail sign stores in China. Spanish retailer Zara has close to 70 stores that it is using to test things in China, as indicated in the report. Others have significantly less. For example, the Italian fashion house Benetton operates 25 stores, and Hole operates five.
It could be that, even with just a couple of stores, outside brands have shown that they can be rewarding and even more profitable.
Due to Swedish clothing retailer H&M, China is ranked seventh in 15 countries where it operates in per-store deals, in front of the UK, US and some other European countries.
H&M has 50 stores in China and expects the nation to be its biggest development show this year. The retailer entered China in 2009, but its image was long understood by Chinese fashionists at that time. She found out about fashion signs or movie pictures and TV programs around the world, for example “Sex and the City” and “Tuttle Young Lady” and fashion icons, for example Victoria Beckham and Kate. Greenery.
“About 40 four million global tours are now being hosted by the Chinese, and the number is expected to reach 100 million by 2020,” said Louie. “Joining the web presentation, Chinese fashion shoppers are focusing more on brands.”
Truth be told, many Chinese buyers tend to lean toward Western brands, which are generally renowned for their quality and structure, and for paying a premium for something similar to the brand’s home market cost Are happy
Therefore, when H&M’s memorial store opened in Beijing in 2009, it drew more than 600 fans who arranged it outside the store with rain. Limited Edition Mathew Williamson’s rating goes on sale within 10 minutes.
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