Driven by an evolving consumer demand in the country, Fast Retailing Co-owned Japanese apparel brand Uniqlo plans to replace smaller, less profitable outlets across China with larger outlets in premium locations to better meet market needs and ensure long-term profitability.
According to Pan Ning, CEO, Uniqlo China, this shift aligns with changing consumer behavior and positions Uniqlo to capitalise on China’s market growth while ensuring sustainable profitability.
Uniqlo also aims to enhance its integration of brick-and-mortar and e-commerce operations, fostering collaboration between the two and exploring new sales channels like livestreaming to boost growth.
Currently, Uniqlo has over 920 directly operated stores across more than 200 Chinese cities. The brand creates more than one million jobs across its industrial chain in the country, It plans to adopt a more localised approach by tailoring product assortments to regional preferences, climates, and cultural nuances.
Since 2021, Uniqlo has launched 18 co-branded collections in China featuring local cultural elements, collaborating with various artists to blend modernity with tradition. The brand’s revenue from the country rose by 9.2 per cent Y-o-Y to ¥677 billion ($4.4 billion) in FY 2024, according to the latest financial report. The Chinese market remains pivotal to Uniqlo’s global business strategy, as China’s consumption-driven transformation presents immense opportunities.
The company has also showcased new products at the China International Import Expo (CIIE) in Shanghai, introducing over 10 debut items, including down jackets and dresses, across five editions of the expo.
Beyond China, Uniqlo is extending its global footprint with new initiatives. In late October, it opened a global flagship store in Shinjuku, Tokyo, offering an extensive product lineup, including exclusive collaborations with local companies and unique in-store features like flower and coffee outlets.
