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Tag: China

  • Casa Perú Opens Its Doors In Beijing Mall

    Casa Perú Opens Its Doors In Beijing Mall

    The Peruvian Ministry of Foreign Commerce venture House of Peru has opened a store in Beijing. The outlet, which opened in Shimao Gongsan Plaza, Sanlitun, serves as a promotional platform for products from the South American nation as well as to popularise tourism in the region among consumers in China.

    Local store representative Huang Zhaohui commented that Peru is well-known for its alpaca wool clothing. The warm, light material has been promoted globally by Peru since establishing the Alpaca label in 2014.

    At the opening ceremony, Huang Zhaohui was awarded the title of “Peru-china Friendship Envoy” by the foreign trade and tourism minister of Peru to honour her contribution to the trade and exchanges between both countries.

    The store also retails food, coffee and Pisco wine.

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  • Xiaomi aims at 5,000 stores in India by the end of 2019

    Xiaomi aims at 5,000 stores in India by the end of 2019

    Chinese tech giant Xiaomi is looking to cement its status as India’s leading smartphone provider by opening thousands of stores before the end of 2019. The company announced it would increase its presence in India from 500 retail stores to 5,000 by 2020. “It’s been over a year since we started offering our products through offline retail and we have seen strong growth there,” said Manu Jain, Xiaomi vice president and managing director for India.

    “Offline retail is a huge segment in our country with nearly 40 percent of the offline market focused in rural regions, and all of this should increase our offline sales and account for 50 percent of the company’s revenue by the end of next year.”

    In a Twitter post, the smartphone maker invited people to apply to run one of the franchised stores, which will be based on its Mi retail model.

    “It’s been over a year since we started offering our products through offline retail and we have seen strong growth there,” – Manu Jain

    “Mi store is the ‘new retail’ model for rural India that gives flagship store experience to our rural customers,” Xiaomi said on Twitter, adding that the new stores would generate more than 15,000 jobs.

    India is one of Xiaomi’s fastest-growing markets, according to Reuters, where it has had success with its budget Redmi phone series.

    The firm is the country’s leading smartphone provider, with 30 percent of market share. It entered the market in 2014 as an online-only retailer, before opening physical stores across India. Samsung and Vivo are its closest competitors there.

    Xiaomi was awarded a Guinness World Record on Tuesday for opening the largest number of retail stores in India simultaneously. The company also operates in Asia, Europe, the Middle East, Africa, and Mexico.

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  • Tealive makes debut with opening first store in China

    Tealive makes debut with opening first store in China

    Malaysian bubble-tea brand Tealive has launched the first of 500 stores planned for China. Located inside SML Center in Shanghai’s Huangpu district, the store attracted long queues on the opening day. “With China being the world’s largest tea market and the fourth overseas market for Tealive, we decided to create a specific menu for China to showcase Southeast Asian ingredients including durian, cempedak, gula melaka, Bentong ginger and Sabah-origin tea,” said Tealive’s parent company Loob CEO Bryan Loo.

    “More outlets will be opened in Shanghai and we plan to have 20 outlets in China by June next year,” he added.

    Loob had entered into a joint venture with two Chinese companies, Zhejiang Boduo International Trade and Shanghai Panfei International Trade to open 500 stores in China within three years.

    After the dispute with Chatime, Tealive has expanded to overseas markets. It entered Vietnam last October, and now has six stores in the country, with two more planned by the end of this year.

    The brand also expanded into Australia in July, with its first store opening in Melbourne.

    In India, Loob has appointed a master franchisee with the target of opening 200 outlets within five years.

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  • Catwalk to be presented in Dear So Cute China store

    Catwalk to be presented in Dear So Cute China store

    Design firm Lukstudio has created a theatrical-style shop and cafe as a promotional and retail space for fashion platform Dear So Cute in Chinese Haining. Inspired by South Korean cafe/fashion trends, the design is intended to communicate the brand’s values and showcase products to younger consumers. The store layout features a backstage rigging system to adjust display features as with a theatre stage, and incorporates elements of the Hainingese shadow puppet tradition in its design.

    According to a report, the retail space emphasises the brand’s “forever young energy” with a minimal, contemporary look and pink highlights, serving as a neutral backdrop for the activities going on in the space. One standout feature is a stage in the fitting room area for customers to “catwalk” before friends while deciding on purchases.

    “In today’s retail environment, most people shop online for the convenience and the reassurance of the review system,” Lukstudio’s founder Christina Luk said. “However, I believe when it comes to delivering a brand’s identity and values, the physical store is much more effective.”

    View the store design in the gallery below (7 images) :

  • Dolce & Gabbana dropped by Lane Crawford, Alibaba, JD.com and Yoox after racism scandal

    Dolce & Gabbana has cancelled a high-profile catwalk show in Shanghai following an outcry over what many in China perceived to be a racist marketing campaign.

    The Italian brand products have now been dropped by e-commerce giants Alibaba, JD and Yoox Net-A-Porter.

    Leading Chinese e-commerce platforms Alibaba and JD.com were joined by Suning, VIPshop, Secoo and Netease in dropping the Italian fashion house’s products from sale.

    Hong Kong-based luxury department store operator Lane Crawford has also joined Chinese retailers in dropping Dolce & Gabbana products after it offended Chinese partners and internet users this week.

    Andrew Keith, president of Lane Crawford, told the Post: “With respect to our customers, we have taken the decision to remove Dolce & Gabbana from all stores in China, online and in Hong Kong.”

    The decision would take effect at 1pm on Friday, Lane Crawford said.

    Amazon China and Yoox Net-A-Porter have also removed products, with the latter dropping the brand from its Net-A-Porter, Mr Porter and Yoox.com platforms.

    Meanwhile, high-profile Chinese celebrities and KOLs including actors Li Bingbing, Chen Kun, Diliraba, Zhang Ziyi and actor-singer Huang Xiaoming were among a host of stars distancing themselves from the brand and vowing not to buy D&G products.

    A video posted on Weibo Monday of a Chinese model attempting to eat Italian food with chopsticks was taken down after less than 24 hours, but widely shared on both Chinese social media platforms and Instagram.

    The social media storm was made worse by comments attributed to Stefano Gabbana and Dolce & Gabbana’s official Instagram accounts on Wednesday, the day the brand’s #DGTheGreatShow catwalk presentation was scheduled to take place in Shanghai.

    In what Dolce & Gabbana claims was the result of a hack, the brand’s social media accounts featured derogatory comments about China and Chinese internet users.

    Though quickly removed, screenshots of the comments were widely shared on Chinese social media, along with the trending hashtag #BoycottDolce. The Weibo hashtag #DGTheGreatShowCancelled has been read 540 million times, and mentioned in 74,000 discussions.

    Show invitees have been informed that the 500-look runway event will no longer go ahead.

    China Bentley Modelling agency released an official statement saying 24 of their models who were booked to walk in D&G’s first Shanghai fashion show were boycotting the event.

    The Chinese government also stepped in with the Cultural and Tourism Department ordering Dolce & Gabbana to cancel the event just a few hours before it was scheduled to take place.

    Chinese consumers have flooded social media platforms Weibo and WeChat criticising the brand and posting videos and images of D&G products being destroyed, burned and used to clean floors and line animal litter trays. Security guards and police officers have been stationed outside Dolce & Gabbana stores in Beijing and Shanghai.

    This marks the second high-profile outcry over racist messaging from Dolce & Gabbana in only 18 months. A previous #DGLovesChina campaign depicted Beijing in a way that Chinese internet users felt looked backwards and underdeveloped.

    Both Gabbana and co-founder Domenico Dolce have been accused of making politically insensitive statements, from referring to babies conceived by in vitro fertilisation as “synthetic”, to refusing to support the right of gay parents to adopt.

    The duo has also described gladiator sandals as “slave sandals” and were quick to endorse First Lady Melania Trump.

    Gabbana in particular has a history of posting insensitive comments on social media, and came under fire for calling Selena Gomez “ugly” on Instagram in June, and the Kardashian family “the most cheap people in the world” in July.

    Though the designer duo have been known for using social media to voice their controversial opinions, upsetting Chinese consumers could have far-reaching commercial consequences.

    According to Bain & Company’s latest report on the luxury market, Chinese consumers account for an estimated 33 percent of global luxury goods spend, a share that is likely to hit 46 percent by 2025.

    SEE ALSO : How is China revolutionizing retail?

    Seeing as Chinese support can make or break a brand’s performance, how the label manages the controversy will be critical for its future success in the market.

    Dolce & Gabbana could not yet be reached in China or Milan for comment.

    According to a post published on Dolce & Gabbana’s Weibo account on November 21, the event has been rescheduled, and the brand has apologised for the inconvenience caused.

    Dolce & Gabbana reposted Gabbana’s ‘Not Me’ screenshot on its Weibo account, accompanied by the following statement, which mirrors the brand’s post on Instagram: “Our Instagram account has been hacked. So has the account of Stefano Gabbana. Our legal office is urgently investigating. We are very sorry for any distress caused by these unauthorised posts, comments and direct messages. We have nothing but respect for China and the people of China.”

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  • Jumbo Seafood sales boosted by Thailand, China

    Jumbo Seafood sales boosted by Thailand, China

    Singapore-headquartered multi-dining concept food and beverage operator Jumbo Seafood has opened its first franchised seafood restaurant in Bangkok. The 9500sqft venue is the group’s fifth franchised location worldwide, with other outlets established in Fuzhou, Ho Chi Minh City, Taipei and Taichung. There are now 16 Jumbo seafood restaurants across Asia. The new Bangkok restaurant is operated by C J Seafood Co under a 10 year term at the IconSiam mega-development complex.

    Jumbo’s CEO and executive director Ang Kiam Meng said: “Having a presence in Bangkok allows us to bring our signature Singapore heritage cuisine to yet another Asian destination.”

    Jumbo released its unaudited end-of-year financial report at the end of September, showing an increase in revenue by 5.5 per cent compared to last year’s results. Revenue from operations in Singapore increased by SG$2.1 million (US$1.53 million) over the period, a figure dwarfed by the group’s $5.8 million ($4.2 million) increase out of Mainland China.

    Jumbo’s reported gross profit hit $96 million ($69.9 million) this financial year, up 4.4 per cent from $91.9 million ($66.9 million) in last year. Profit attributable to owners of the company, however, decreased by 23.8 per cent ($3.5 million/$2.55 million) to $11 million ($8 million) this year.

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  • Xiaomi takes over Meitu’s phone business, manufacture co-branded products

    Xiaomi takes over Meitu’s phone business, manufacture co-branded products

    Meitu and Xiaomi have formed a strategic partnership to jointly launch Meitu-branded phones and other smart devices. The partnership between Meitu – best known for its selfie app – and Xiaomi, a fast-growing technology company with smartphones at its core – will have a far-reaching impact on the brand development of Meitu and Xiaomi as well as the smartphone market as a whole, according to research house IDC. It will allow both companies to expand their customer base and signals a further consolidation in the highly competitive Chinese smartphone market.

    A spokesperson for IDC said that during the last year, Xiaomi has stepped up its efforts to improve the camera capabilities of its products and has done a lot in AI-powered photography research and development. “Leveraging Meitu’s image processing technologies and selfie algorithms will help Xiaomi further boost its AI-powered photography and photo quality and reduce its gap with leading vendors such as Huawei.”

    IDC says Meitu is popular with females which will help draw more women to Xiaomi products which are currently “overrepresented by male users”.

    “Introducing the Meitu brand also enables Xiaomi to offer greater diversity of smartphone products under multiple brands and series, including Redmi, Xiaomi, Black Shark, Pocophone, and Meitu. Xiaomi is gradually forming a multi-brand portfolio targeting different user groups, thereby laying the foundation for it to compete in the market in the long term.”

    The spokesperson said that through Xiaomi’s sales network, Meitu’s software products will reach a larger group of customers via smartphones. “Moreover, licensing its hardware business to Xiaomi allows Meitu to focus on software development and the upgrade of its image processing technologies.”

    And finally, with the top five vendors in China’s smartphone market taking up nearly 83 per cent market share, the growth potential will increasingly diminish for small vendors in areas such as marketing and supply chain resource integration.

    “Going forward, more small vendors are expected to seek strategic cooperation with large vendors and drive consolidation in the China’s smartphone market.”

    Meitu was founded in Xiamen in 2008 as a developer of selfie apps such as MeituPic and BeautyCam, and has been focussed on selfie algorithm development. In 2013, the company ventured into the smartphone market and launched smartphones targeting female users and the selfie market. Despite a higher profit per phone sold and a higher brand premium, the company has become increasingly marginalised in China’s brutally competitive smartphone market due to its meagre shipments.

    According to IDC’s Worldwide Quarterly Mobile Phone Tracker, Meitu only had a mere 0.5 per cent market share in China with shipments of approximately 1.5 million units as of the third quarter of this year.

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  • Dolce & Gabbana Sparks Racism Backlash With Chinese Ad

    Dolce & Gabbana Sparks Racism Backlash With Chinese Ad

    Italian luxury retailer Dolce & Gabbana is facing a growing backlash in China after an ad campaign that was meant to promote the brand in arguably its most valuable market has been decried as racist.

    Amidst growing calls to boycott the brand on Chinese social media, popular e-commerce sites, including Alibaba’s Tmall and JD.com, have seemingly removed listings for Dolce & Gabbana products. Searches for the brand on those sites at the time of this writing returned no results. NetEase’s Kaola said that it had taken down the brand’s listings.

    The growing backlash forced the brand to postpone a fashion show in Shanghai just hours before it was set to take place on Wednesday, after models and celebrities reportedly said they would not attend the event. Dolce & Gabbana’s ambassadors in the region, Karry Wang and Dilraba Dilmurat, who is of Uigher ethnicity, have ended their contracts with the company.

    The uproar follows the publication of a series of ads on Chinese social media platform Weibo earlier this week, featuring a young Chinese woman attempting and failing to eat traditional Italian food, such as pasta, pizza and a cannoli, with chopsticks. The ads were released as part of the brand’s #DGLovesChina campaign ahead of the scheduled fashion show in Shanghai, but critics decried the videos as playing on racist stereotypes. The ads are still visible on Dolce & Gabbana’s Instagram page.

    The controversy was made worse after screenshots of direct messages purportedly from founder Stefano Gabbana’s Instagram account were leaked, showing offensive comments about China and Chinese people. Both Gabbana and the brand have denied that the messages were sent by the Italian designer, saying the accounts were hacked, but many have expressed scepticism, given Gabbana’s track record of getting into verbal spats on social media.

    “I love China and the Chinese culture. I’m so sorry for what happened,” Gabbana wrote in an Instagram post that asserted his account was hacked.

    The boycott is especially troubling, since China is such a crucial market for luxury retailers. A 2017 McKinsey report found that Chinese consumers account for nearly a third of the global luxury market, spending RMB 500 billion (approximately $99 billion) annually. The consulting firm expects Chinese consumers to account for the majority of the growth in the global luxury goods market in the coming years, and by 2025, the country is forecast to make up 44 per cent of the total global market.

    At the same time, McKinsey said that Chinese luxury consumers increasingly rely on word of mouth from friends and family to make purchase decisions, even more than the in-store experience. This creates treacherous terrain for global luxury brands, and Dolce & Gabbana is not the only one to have made a culturally insensitive or simply out-of-touch decision, causing offense in its most valuable market.

    Ikea, among many other brands, has faced criticism for listing Taiwan as a separate country on its packaging or website, while Mercedes-Benz ran into problems for quoting the Dalai Lama in an ad campaign. China considers the spiritual leader to be a dangerous voice for separatism in Tibet.

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  • Urban Outfitters China plans to expand

    Urban Outfitters China plans to expand

    US retailer Urban Outfitters has announced global expansion plans which involve a broadened commitment to China. According to a statement from the brand’s CEO Richard Hayne, Urban Outfitters China will be housing inventory while the company opens new locations in Europe and the Middle East, as well as taking on new distribution partners.

    The brand’s parent firm Urbn recently posted third quarter net sales of US$973.5 million, a 9 per cent increase over the same period last year.

    Urban Outfitters enjoyed strong sales while participating in the singles day shopping spree on e-tail platform Tmall.

    “We plan to establish a larger presence [in China] by mid-next year. To do this we will switch to the much larger Tmall Classic platform, hold inventory in-country and fulfill orders through a third-party service provider in China. In addition, we plan to sign leases for several stores to open in calendar year 2020,” said Hayne.

    Urbn will be expanding its network of 61 stores in Europe to 100 within three years, and will operate more than 10 stores in the Middle East by 2020.

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  • One new store a week for Ralph Lauren China

    One new store a week for Ralph Lauren China

    Ralph Lauren CEO Patrice Louvet has promised to open a store a week in China. Speaking at The New York Times Luxury Conference in Hong Kong last week, Louvet said stores “are crucial for projecting the company as aspirational” which is why Ralph Lauren China is committed to expanding its network despite widespread concerns over an economic slowdown.

    “We concluded that we are in the dream business,” Louvet told the conference. “So to some extent, we think we are closer to a company like Disney than we are to other apparel brands … we don’t believe we are just selling stuff, we are selling a dream, a lifestyle, we are offering worlds that customers can be a part of.

    “[So] for us to provide those experiences, we need both the digital world and the brick-and-mortar world.”

    That is part of the philosophy behind the launch of the Ralph cafe, the brand’s first coffee shop, which opened recently in Hong Kong.

    In the latest quarter, Ralph Lauren’s sales in Greater China rose more than 20 per cent, with the mainland growth rate double that.

    Ralph Lauren is targeting $500 million in revenue from Greater China within five years.

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  • 7Fresh to open store in Shanghai

    7Fresh to open store in Shanghai

    E-commerce giant JD’s offline retail store 7Fresh is set to launch at Shangbin Plaza in Shanghai’s Hongkou District. The move is regarded as a step towards expansion nationwide beyond the firm’s home base in Beijing, as well as an attempt to follow recent trends to diversify from online-only business models. The high spending power of Shanghai residents was key in determining the store’s location.

    JD expects to be operating 1000 outlets with three to five years, using insights learnt from trading online to tailor product ranges popular locally. It will be taking on rival Alibaba’s Hema Market, which has already grown to more than 100 outlets.

    JD’s senior VP Wang Xiaosong said: “JD’s online fresh food business provides an advantage in terms of merchandise selection when we’re expanding into offline retail.”

    Shangbin Plaza is due to open early next year.

  • Oriental Watch sales slide, but profit rises

    Oriental Watch sales slide, but profit rises

    Oriental Watch Holdings sold fewer watches in the six months to September, but at a higher margin, boosting profit by 39 per cent. Group turnover decreased by 21.7 per cent to HK$1.181 billion compared with $1.508 billion during the same period last year.

    Gross profit increased by 13.4 per cent to $288 million while gross profit margin increased to 24.4 per cent. Oriental Watch says rent negotiations contributed to lower overheads, helping profit attributable to shareholders rise 39.1 per cent to $64 million.

    As at September 30, the group operated 62 retail stores in Greater China: 11 in Hong Kong, one in Macau, three in Taiwan and 47 in Mainland China.

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  • DHL plugs in to Shopify Singapore to enable simpler worldwide shipping

    DHL plugs in to Shopify Singapore to enable simpler worldwide shipping

    DHL eCommerce, a division of the world’s leading logistics company, Deutsche Post DHL Group, is working with Shopify, a leading e-commerce platform, to enable Singapore-based merchants to easily ship to their customers worldwide through a seamless plugin on a single platform. All new Singapore-based businesses built with Shopify will also enjoy special promotions for cross border shipping with DHL. Currently over 60% of Singapore-based merchants sell and ship their products internationally through the Shopify platform, and with the cross-border e-commerce opportunity continuing to grow, the DHL eCommerce plugin will make it even easier for merchants to ship their goods internationally.

    “Cross border e-commerce continues to grow exponentially and this is apparent from the borderless buying behavior of online shoppers. 70% of online buyers made a purchase from a foreign site in 2017, up 6% from the year before and this trend is expected to continue.  To deliver to buyers across borders, sellers need simple and seamless shipping solutions to manage their orders and deliver to their customers worldwide. By building tools for global shippers on Shopify, we’re making it easy to satisfy this exact requirement,” said Senthil Kumar, Managing Director, DHL eCommerce Singapore.

    Integrating different online systems can be complex, especially for sellers who sell online across multiple sales channels. By hosting their e-commerce stores on platforms such as Shopify, sellers have access to a wide array of plugins to connect the dots from click to delivery.

    Improved visibility in delivery helps to greatly enhance the entire customer experience. With DHL eCommerce shipping plugin available on Shopify, shippers can easily ship internationally by processing shipments on a single platform, from printing labels to generating tracking reference codes to enable shipment visibility for their customers — virtually automating the shipping process.

    “Shopify understands the dynamics of e-commerce, where requirements of sellers and buyers are evolving faster than ever. To ensure our merchants are keeping pace, we are working with DHL, a key driver of the global e-commerce ecosystem. The DHL eCommerce plugin, combined with the special rates for new Shopify merchants, will help retailers and brands on our platform ship with ease so they can devote more time to selling,” said Arun Verma, Country Manager, Shopify Singapore.

    DHL eCommerce is part of Deutsche Post DHL Group and, along with its sister divisions DHL Express, DHL Supply Chain and DHL Global Forwarding, DHL has been operating in Singapore since 1970, offering end-to-end solutions for the e-commerce sector.

  • Bob’s Select Space combines bar and retail store together

    Bob’s Select Space combines bar and retail store together

    Architectural studio Designreserve has created a new store in Beijing’s Sanlitun integrating a bar into the retail experience, according to a report. Bob’s Select Space is the flagship store for liquor retailer Bob’s Wine, aimed at creating a community space in a busy shopping area. The design explores the traditions of communication in liquor culture and merchandise.

    Designreserve co-founder Feng Yue said: “We wanted to create a strong visual identity. So we invited a graphic artist to design special fonts for each major alcohol type displayed on the facade. For us it is a kind of public art

    “Previous shops of Bob’s Wine are popular for their wide range of bottle selection as well as for their relaxing atmospheres, but the spaces were geared towards retail rather than bar.”

    The 60sqm space is divided into three rooms that transition visitors from the public domain to a more intimate “hideout”.

    “Experience is the key determining factor for the success of retail spaces,” said Yue. “Therefore, our job as designers is to create spaces where people feel inspired and hopeful that city life can still be fun.”

    View the gallery below (4 images) :

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  • Tse Sui Luen Jewellery sales rise boosted by tourist

    Tse Sui Luen Jewellery sales rise boosted by tourist

    Tse Sui Luen Jewellery sales and profit both rose in the first half year – but the company has tempered the good news by expressing concerns about the impact of the US-Sino trade war. Chairwoman Annie Yau said in a stock exchange filing that the improved retail sentiment in Hong Kong since September last year due to increased numbers of mainland tourists and growing consumption appetite of local customers, the city’s retail market has continued to progress “in an L-shape”.

    “However, the recent outbreak and escalation of trade dispute between China and the US has cast some doubts on the economic outlook for both the global and local economies going forward. One consequence has been the devaluation of Renminbi during the period, which could bring certain influence to our business in Hong Kong and Mainland China during the remainder of this financial year.

    “While it is still too early to conclude the actual impact on the group’s performance, we will continue to take a cautiously optimistic approach in our major operating regions, namely Hong Kong and Mainland China,” said Lau.

    Tse Sui Luen Jewellery sales increased by 10.2 per cent to HK$1.91 billion in the six months to July (the company has changed its financial year to September, so comparative figures are based on the six months to August 31 last year).

    Profit attributable to owners of the company increased by 38.9 per cent to $24.3 million.

    Sales in Hong Kong and Macau rose by 15.3 per cent during the half year, while same-store sales growth for all businesses in the territories rose 14.8 per cent. Retail rentals in Hong Kong remained static and “at a more reasonable level than that experienced in past years”, allowing the company expand its retail business in the city and enlarge the shop area of some of its existing stores, including those in Times Square in Causeway Bay and Plaza Hollywood in Diamond Hill.

    “We will continue to identify other suitable high-traffic shopping arcades and on-street stores in order to further penetrate tourist and residential precincts as applicable,” said Lau. “Nevertheless, the ongoing manpower shortage situation in Hong Kong remains a concern in setting the pace of expansion. In respect to Macau, due to a steady increase in tourists from Mainland China and their spending powers, our business in Macau achieved an increase of 8.7 per cent in turnover during the period.”

    In Mainland China, where its self-owned stores account for 37.3 per cent of Tse Sui Luen Jewellery sales, sales rose 4.2 per cent, but fell 3.5 per cent on a same-store basis. The company is expanding its network of franchised stores, adding 25 during the period taking the number to 207. After adding 197 self-run stores, Tse Sui Luen now has 404 outlets on the mainland.

    In Malaysia, Tse Sui Luen has five stores, including the latest to open in Genting. Sales rose 13.9 per cent.

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