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Can the low-price strategy of three online stores and three operators FOREVER21 still work?

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2022-06-13 12:09:40

On the occasion of the "6·18" promotion, the fast fashion brand FOREVER21 is back.On June 12, a reporter from Beijing Business Daily saw in the brand WeChat mall that the price of women's short-sleeved short sleeves is only more than 40 yuan, and the men's short-sleeves are more than 50 yuan.Among the fast fashion brands with low prices, the price of FOREVER21 is still low.Industry insiders pointed out that "the online cost is lower, and the residual value and influence of the brand can also be used to continue to make profits, but the low price may not help it successfully win the Chinese market."

Recently, FOREVER21's WeChat official account released the "6.18" promotion news, which will be promoted in the official flagship store of the WeChat applet, and the brand's sales channels in China will be officially disclosed to the public.A reporter from Beijing Business Daily found in Tianyancha that FOREVER21 WeChat Mall is now operated by Xusheng Clothing (Shenzhen) Co., Ltd.

The relevant person in charge of Xusheng Electric (Shenzhen) Co., Ltd., which is responsible for the operation of FOREVER21's China business, told the Beijing Business Daily that it is true that FOREVER21 will return to the Chinese market, but preparations are still being made, and it is inconvenient to disclose more information.

Now that the products are officially launched on WeChat Mall, it also means that FOREVER21's sales channels have been established.However, the operators of FOREVER21 online are not unique, the online stores of each channel are responsible for different operators, and the product system and price positioning are also quite different.There are two stores on Tmall, namely "FOREVER21 Women's Flagship Store" and "Forever21 Men's Flagship Store". The former is operated by Guangzhou Heshen Trading Co., Ltd., and the latter is Suiyuan Clothing (Hangzhou) Co., Ltd.A reporter from Beijing Business Daily checked Tianyancha and found that the above two companies had no investment relationship with Xusheng Clothing (Shenzhen) Co., Ltd.

Perhaps because the operators have no relationship with each other, FOREVER21's online products are somewhat "fragmented" and the prices are not unified.The products and models sold in the "FOREVER21 Women's Flagship Store" on Tmall are quite different from the FOREVER21 WeChat shopping mall, while the "forever21 Men's Flagship Store" has the same products as the FOREVER21 WeChat shopping mall, but the prices of the same products are different. 10 times.For example, a men's short sleeve with the same promotional image, the "forever21 men's flagship store" is priced at 699 yuan, while the price in FOREVER21's WeChat mall is only 55.3 yuan.

Regarding whether the above two FOREVER21-related Tmall stores are official flagship stores of FOREVER21, the relevant person in charge of Xusheng Electric (Shenzhen) Co., Ltd. has not yet responded.

Different from the above-mentioned mainstream brands in the fast fashion industry, FOREVER21, which entered the Chinese market at this time, started a low-cost promotion.In Vipshop's "6.18" big promotion discount, the original price of 499 yuan for Xiaoxiangfeng tops, the final discount price is 108 yuan.In FOREVER21 WeChat mall, if this small fragrance top is superimposed on WeChat mall's "6·18" extra discount, the estimated price is 75.6 yuan.Not only that, the price of a women's short sleeve in FOREVER21 WeChat mall is only more than 40 yuan, and the price of men's short sleeve is more than 50 yuan.Even in the fast fashion field where the price itself is not high, such a price can be regarded as a low price.

"FOREVER21 is back again and has chosen a differentiated strategy. It is still a first-line fast fashion brand in terms of brand positioning, but it has taken a more accessible route in terms of price," said Wang Peng, associate professor at the Gaoli Research Institute of Renmin University of China. " If it is still at the original price, it may not have an advantage in terms of clothing, quality, and marketing reputation. Therefore, discounts and promotions are also conducive to rapid expansion of the market and the return of old users. Combined with diversified new media platforms, there are It may accumulate a group of new fans." However, Yang Dajun, the founder of the Fashion Transparency Innovation Center, believes that the promotion of WeChat Mall is not the brand itself exploring e-commerce, but authorizing the operating company to be an e-commerce brand.Online costs are lower, while profiting from the residual value and influence of the brand."But FOREVER21's price is low, and the product quality is also controversial. It does not have a considerable market value and influence in China."

Beijing Business Daily reporter Zhao Shu commented on Lin Yuwei

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