Following H & M, GAP multi -storey stores will close

"GAP closed the store clearance, quickly pick up the leak", "GAP withdrew the cabinet to clear the goods, the price is quite 'cabbage'" ... Recently, many netizens released the information of GAP store closed stores.

Screenshot is from a social e -commerce platform.

In the 12th year of entering the Chinese market, GAP stores have been distributed in many cities' shopping malls. Now some stores may tell you "goodbye".

Multiple GAP stores in different cities will be closed

The 3rd floor of the shopping square of No. 1 Lagsa 1, Daniel Street, Haidian District, Beijing.

"August 27th is the last business time." The store clerk told a reporter from Zhongxin Financial.

According to her, it has been some time for the retracement of the store in the store. "Now the membership is 40 % off at a regular price, with an extra 50 % discount on the price reduction."

However, the passenger flow in the store did not significantly increased due to the clearance activities. "It is still normal passenger flow, and people may be a little more weekend." The clerk said.

Although the countdown has entered the store, the clerk told reporters, "Because it is still in business hours, it will be replenished from time to time, and the supply is enough."

In addition, Beijing Tianhong Department Store Gap Store also confirmed to the media that the store will be officially withdrawn on August 15. At the same time, the reporter noticed that GAP's stores in Shanghai, Nanjing and other places were also withdrawn the store.

The above -mentioned clerk said it was not clear. When the reporter asked GAP officially inquiring the reason for closing stores, the official customer service said, "No relevant information has been received."

GAP China Headquarters recently responded to the media that "the clothing and fashion industry has changed rapidly, especially in Greater China." Therefore, GAP will regularly examine its own business strategy and model, including store portfolio, etc., and make corresponding adjustments according to the situation. " This is also a very important conventional practice in the industry. It is best to adapt to the new environment and ensure that it has appropriate channels, including the appropriate stores to provide customers with the best products and services. "

However, GAP's closing store has also attracted attention again that the rumors of selling Chinese business before. In March 2021, foreign media quoted sources that GAP was considering potential options including the sale of Chinese business to adjust the operation in China.

Prior to this, OLD Navy, a subsidiary of GAP Group, who has entered China for 6 years, has announced his evacuation of China.

There are only more than 150 stores left in the Mainland today

In recent years, the number of GAP offline stores has shrunk. In Beijing, only 2020, GAP has closed the Wangfujing APM store, Xidan Dayue City, Yidi Port Store and many other stores. Among them, the APM store is also the first Chinese flagship store opened by GAP in 2010.

On the 11th, the reporter queried at the Gap Mall applet. The search results showed that there are currently only more than 150 stores in the Mainland.

The sales of GAP are reduced with the number of stores. GAP Group's financial report in the first quarter of 2022 shows that the company's sales decreased by 13%year -on -year to $ 3.5 billion, with a net loss of US $ 162 million.

"GAP Group still exists problems such as decline in store traffic, backward e -commerce business growth, decline in brand influence, deduction of clothing prices, and decline in profit margins.

International fast fashion brands have "folded halberds" in China

Public information shows that GAP was founded in the United States in 1969 and is the largest American retailer in the United States with ZARA and H & M.

GAP has closed the store repeatedly in China, and the other two days in China are not good.

Earlier, H & M, which had caused netizens to be angry with Xinjiang cotton and was consciously resisted, the news of closing the first store in China rushed to Weibo hot search. As of the end of 2021, H & M had been shut down in 60 stores in China, occupying, occupying, and occupying it, occupying, and occupying it. 12%of the total number of stores. H & M's low -cost fast -fashion brand Monki Tmall flagship store also officially closed the store on April 1.

Soon after H & M's first store, on July 31st, Zara's three sisters brands Bershka, Pull & Bear, and Stradivarus closed the Tmall flagship store at the same time to say goodbye to the Chinese market. At the beginning of 2021, the Zara parent company INDITEX Group announced that it would fully close all offline physical stores in China, only online channels.

Inditex Group's financial report shows that from April 30, 2021 to April 30, 2022, almost all brands of Inditex's stores have a contraction trend, and the total number of group stores has been reduced from 6,758 to 6,423.

There are also Uniqlo who choose to shrink the store. Its parent company, Japan ’s FTC Group 2022, shows that Uniqlo’ s sales income and profitability in the Chinese market have both declined. The company has temporarily closed 133 stores in Greater China.

Young people don't love international fast fashion brands?

Once, the Chinese market is the "soldiers must fight" for international fast fashion brands and open stores in China. In recent years, why collectively chose to reduce the stores.

In this regard, Jiang Zezhong, a professor at the University of Capital and Trade, believes that on the one hand, it is related to exfoliating outbreaks; on the other hand, there is a loss of loss of these fast fashion brands.

"Some fast -fashion brands must ensure the number of goods, reduce costs, and increase the investment in management prices, and the investment in business operations. Investment investment, whether it is the delicateness of the product or the meticulous processing of processing, can Weakened, the attractiveness of consumers decreased. "Jiang Zezhong pointed out. The reporter sorted out and found that fast -fashion brands such as ZARA, H & M, GAP have been fined for product quality problems many times.

"In addition, the degree of recognition of foreign brands in domestic youth consumers in recent years has begun to weaken, bringing opportunities to domestic brands, and domestic brands have risen." Jiang Zezhong added that the consumer style has also changed. If the brand is not adjusted, it will naturally lose the market.

The "2021 Spring and Summer Freshy Report" has shown that from the perspective of consumer preferences, special categories such as IP joint models and national tide products are welcomed by generations.

"If the waves of the Yangtze River push forward the waves, if the style of the" Qianlang "is not supported by the market or is not supported by the current environment, exit is a regular phenomenon." Jiang Zezhong said that whether it is international or domestic fast fashion brands, you must grasp the consumption trend well. Essence

Source: China News Network

Edit: Lin Li

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