What Charm Does The Southeast Asian Market Bring To Fashion Brands?

According to the world clothing and shoe net, in early January, the Japan trade promotion group organized an event in Jakarta, the capital of Indonesia, announcing the 21 from Japan.

Brands are targeting young people in Indonesia.

After half a month, MUJI also said that it will officially enter Philippines in March, adopting the way of joint venture, MUJI parent company shares 49%, and Philippines SSI group account for 51%.

According to Business world online,

The partner SSI, who has been found in Philippines, will invest 12 million 200 thousand people and build 7 MUJI stores.

This succession of scenes to Southeast Asia has been frequently seen in Japanese companies recently.

4 months ago, Japan

Brand UNIQLO has just acquired a 2700 square meter store in Singapore, which will be its largest flagship store in Southeast Asia.

Staff photo of UNIQLO Singapore store

Although these three brands have been chosen by different countries, they are obviously attracted by common characteristics with entering the Southeast Asian market. It is a sense of excitement from the preoccupation with emerging markets.

11 countries in Southeast Asia have a very diverse cultural background, but the population is large and young, the degree of urbanization is very high, and business conditions are good.

In addition, the economic activities of Singapore, Indonesia and Thailand are mainly concentrated in the capital centered urban area, which makes it easier for foreign companies to enter the market in the first place to find suitable positioning and target customers.

MUJI, the chairman of the company's good planning program, said that the growth and consumption desire of Philippines's young population are very strong.

By increasing product categories and lowering prices, MUJI hopes to attract young people with limited spending power.

DaikiKasugahara, chairman of the Japan trade promotion group, told reporters that Indonesia has great potential in the fashion industry. The country has a population of 250 million, its average age is only 30, and its per capita GDP exceeds 3000 dollars, which has allowed the market economy to expand at a faster pace.

This time, the Japanese trade revitalization group took 21 Japanese brands here to meet with local organizations. It also hosted a fashion show at KotaKasablanka, the largest shopping center in Jakarta. The participating brands were SeijiInoue, Imari, DenimCloset and so on. Due to the complicated demographic structure in Southeast Asia, they were also preparing to sell Muslim women's clothing to cover more people.

UNIQLO has also launched the first Muslim dress in Southeast Asia. At present, its number of stores in Southeast Asia has reached 138.

MUJI

Analyzing the reasons for the Japanese brand's entry into Southeast Asia, it is not hard to come to a common conclusion: This is the result of the continuous decline of the consumption ability of the Japanese local market.

Although Japanese Prime Minister Abe Shinzo hopes to ease the current situation with the help of loose monetary policy, Japan's foreign trade has shrunk. According to the data of the Japanese cabinet office, the consumer price index in Japan was negative 0.5% in July 2016, a negative growth since 2013.

Interestingly, it was in 2013 that Japanese brands announced that they wanted to enter Southeast Asia. But at that time, the fashion industry was not yet the most popular slogan.

According to the financial times, after nearly 20 years of downturn, Japan's investment in Southeast Asia is resurgence, with a total value of about $8 billion 200 million, mainly in Singapore, Indonesia, Thailand, Malaysia, Vietnam and Philippines.

Japanese companies' investment in the region is expected to catch up with the level they had reached in the early 1990s.

Japan's "deflationary spiral" in the Asian financial crisis has made Japanese enterprises substantially converge their investment ambitions in Southeast Asia after the beginning of 1990s.

Today, fashion brands are targeting the market to reduce their dependence on the Japanese mainland.

Morgan chase securities analyst Murata Ooro previously said in an interview with Zhitong finance, UNIQLO's "expansion in Southeast Asia will help Ryui Masa achieve the sales target of 5 trillion yen."

It also actively opened stores in Europe and the United States and tried to bridge the tragedy of the second quarter of 2016.

Beams

In addition, the fashion retail atmosphere in Southeast Asia has basically improved.

In 2015, Japan's Chao Beams brand opened its first Thailand store in Bangkok, adjacent to the Chao Nan river. The Italy brand Dsquared2 opened its first store in Hu Zhiming, Vietnam. In March 2016, DFS, a chain retailer of duty-free goods in LVMH, opened its first store in Kampuchea. Consumers can buy more than 700 beauty and clothing brands including Gucci, MichaelKors and Burberry.

These fashionable brands in Southeast Asia also value the purchasing power of Chinese tourists while they value local consumers. In fact, DFSGroup stores are on the way to Angkor Wat.

In 2016, tourism bureaus of Thailand, Indonesia, Kampuchea, Malaysia and other countries announced the tourism statistics in the first half of 2016, and found that the number of Chinese tourists to Thailand increased by 27% in the first half of 2016 compared with the same period last year. It is the largest source country of Thailand. In the first quarter, the number of Chinese tourists in the short distance tour to Malaysia increased by 35.2%. Data show that the number of Chinese tourists to Southeast Asian countries has increased rapidly in the first half of the year, and has become the main source of tourists in Southeast Asia, and the young people such as the 80's are the main tourists.

More interesting reports, please pay attention to the world clothing shoes and hats net.