UNIQLO'S Breakthrough Under The Financial Crisis

In the 2009 ranking of Forbes magazine, Liu Jing was the richest man in Japan at $6 billion 100 million, the first in Japanese history.

Top entrepreneurs.

Supporting this wealth miracle is

The excellent performance of chain store UNIQLO in the financial crisis.

In the fiscal year September 2008 to August 2009, UNIQLO sales and operating profits reached 685 billion yen and 108 billion 600 million yen respectively, representing an increase of 16.8% and 24.2% over the previous fiscal year. This performance is in sharp contrast to the general gloomy global apparel industry.

In the face of the media, Ryui Seiso said, "the economic crisis is my friend".

Market positioning in new economy and consumption form is closely related to business strategy.

Short and fast support parity

In 1980s, there was a problem in the Japanese clothing market, that is, the first tier brands were too expensive, but the ordinary garments were difficult to meet the consumers' requirements for quality and fashion.

The problem is opportunity. When Ryui Masa founded the first UNIQLO in 1984, he purposeful to provide casual clothing for the youth.

The core of UNIQLO is short flat speed.

"Short" means short chain.

UNIQLO's business model is

The newly created "business super docking" aims at reducing the middleman link, designing and producing it by the designated manufacturer, and then directly entering the store style UNIQLO store.

"Ping" means parity.

UNIQLO, as far as possible, abandons the unnecessary decorations and decorations of traditional shopping malls, implements warehouse stores, and adopts supermarket self-service shopping methods to reduce service links and costs, and to provide customers with costumes at the lowest possible price.

"Fast" refers to "fast fashion", that is, the concept of fast updating and keeping pace with the trend of consumption. In recent years, the consumer groups, which are widely pursued in fashion but whose incomes are still limited, are popular.

The financial crisis has also contributed to the brilliance of UNIQLO. The economic downturn made the Japanese who had spent a lot of money on luxury goods tighten their purse. With the withdrawal of Versace, the collapse of Yamamoto Teruji, more people turned their attention to "fast fashion" UNIQLO.

Overseas flagship store lift brand

In the subconscious mind, most consumers will agree that cheap goods are not good, which makes parity often linked to normal.

But soon, UNIQLO adjusted accordingly.

In addition to its domestic development, UNIQLO has also established a global flagship store in the luxury fashion section of the US, London and Paris.

As a cheap brand, the behavior of UNIQLO has been questioned by the industry, but it has proved that the prestige brought by overseas flagship stores has brought huge brand value to UNIQLO.

By opening flagship stores and being adjacent to the first tier luxury brands, it can enhance the grade and absorb the latest design elements and design inspiration at any time, so as to guarantee the innovative vitality of UNIQLO.

On this point, UNIQLO has also grasped the consumption characteristics of consumers' "new luxury products" in the M society.

In addition, overseas expansion has contributed to the growth of space for UNIQLO.

At that time, in Japan, UNIQLO opened its stores almost saturated, and its goal in the next 10 years was to achieve annual sales of over 5 trillion yen, exceeding the sales sum of rival Gap, H&M and Inditex company with Zara brand.

To achieve this goal, the overseas market, especially the Asian market, is imperative and has already shown high potential for growth. In 2009, UNIQLO and Taobao jointly launched an online flagship store, opening 10 days to become the first Taobao store.

One of the words Ryui Masa often says is that "companies that sell only in Japan can't eventually sell in Japan", which not only reveals the changes in the economic pattern, but also shows the crisis spirit of an enterprise, which is one of the secrets of unqc in the crisis.