UNIQLO And Jingdong "Flash Marriage Flash Away", Where Is The Way Of Jingdong?

In July 2015, UNIQLO was an unforgettable month. It played different roles. In July 14th, UNIQLO Sanlitun video event made UNIQLO a fire. In July 20th, UNIQLO and Jingdong staged a flash marriage leaving the industry in an uproar.

After three months of high-profile operation, UNIQLO decided to close the flagship store of Jingdong, and its cooperation with Jingdong will end by the end of July.

According to reporters, the sales of UNIQLO's online business in China account for 5%~10% of its total sales.

The proportion of Jingdong is less.

However, insiders believe that UNIQLO's exit from Jingdong may still hold reservations about China's electricity providers, and fear that its products such as alcohol and other commodities will generally shake its own channel system and price system.

UNIQLO and Jingdong "flash marriage flash away"

In view of the consideration of the "business strategy adjustment", UNIQLO announced in July 20th that it had closed its official flagship store which only operated for 3 months in the Jingdong mall.

It is understood that UNIQLO Jingdong mall official flagship store since its operation in April 17th this year, once won the praise of consumers, sales in the first month of the store exceeded the expected target two times.

However, when it was thought that UNIQLO had gained a firm foothold in Jingdong, it hurriedly closed shop on the grounds of "adjustment of the business strategy of the electricity supplier", which inevitably led to various conjectures.

In this regard,

The explanation of Japan's Xun marketing group is: through the operation of this period, it is found that there are still many aspects to be further explored and perfected for this cooperation. Therefore, according to the strategic adjustment of fast marketing group to China's EC business, and with the consent of Jingdong, it is decided to terminate the current cooperation.

Public information shows that the vision of the 3 months ago cooperation conference is still in the ear.

In April, Jingdong and UNIQLO signed an agreement to announce cooperation in a high-profile manner.

According to the cooperation agreement, Jingdong has issued a series of agreements for UNIQLO, providing full process service support from warehousing to distribution, covering PC terminal and mobile terminal full channel operation support.

Jingdong CEO Liu Qiangdong specifically intended for this cooperation platform.

Moreover, the Jingdong will open exclusive warehouses for UNIQLO in Shanghai, and support fast and efficient distribution services nationwide, providing 6 hours or even faster distribution services to consumers in specific areas.

After ending the cooperation with Jingdong, the online sales channels of UNIQLO brand in China are only two of its official website and Tmall (micro-blog) flagship store. According to UNIQLO, the sales channels of e-commerce account for about 5%~10% of total sales.

For future cooperation with other domestic e-commerce platforms, Xun marketing group said, "there is no such plan."

For UNIQLO's closure of Jingdong flagship store, insiders speculate that this may mean that UNIQLO will no longer attach importance to online channels.

In this regard, UNIQLO responsible person denied it, in an interview with reporters, said Jingdong flagship store closures do not affect the importance and confidence of UNIQLO on the development of online channels.

In response, Wang Xiaoxing, an analyst at Analysys think tank, told an interview with our reporter that foreign manufacturing enterprises are very strict in the management of channels. Sometimes they prefer not to sell things, and do not want to mix up channels and upset the price system. "Tesla [micro-blog] is an example."

Public information shows that in November 8, 2014, Tesla released micro-blog said it was

The limited Model S Limited vehicle sold by customers has been sold out. In the future, the purchase of the car or the appointment of trial drive need to be applied through the official website, while Tesla Tmall flagship store is closed.

Such a statement means that the US headquarters has reservations about the "double 11" and even the third party channel sales in the Chinese market.

How far is China's electricity supplier?

Although the cooperation with Jingdong has ended, the expansion of e-commerce in UNIQLO is still long.

According to public information, UNIQLO is one of the seven brands of Japan's fast selling group (the world's fourth largest clothing retailing company). It has been in China for 13 years. In the 2013 fiscal year (September 2013 to August 2014), its annual sales volume in the Greater China region is about 10 billion 700 million yuan, accounting for 15% of the total sales volume of fast selling group.

It can be said that the Chinese market is very important for UNIQLO.

Xun marketing group has proposed to achieve the sales target of 5 trillion yen in fiscal year 2020 (about 1 trillion and 380 billion yen in fiscal year 2013). If this goal is to be achieved, it will naturally depend on the doubling of sales in the Chinese market.

In addition to the shops under the expansion line in China, the contribution of the electricity supplier is also an important color of UNIQLO.

Although the electricity supplier has contributed only 5%~10% sales to it, the Tmall flagship store of UNIQLO is very eye-catching.

In last year's "double 11" online shopping campaign, UNIQLO ranked second in the women's clothing category and fifth in the men's clothing category in the Alibaba / micro-blog sales ranking.

UNIQLO's Tmall official flagship store, after last year's "double 11" entry into Tmall's total category sales TOP10, is again ranked the top ten of Tmall's "double 11" sales this year.

However, the business plan of UNIQLO in China still failed to achieve its goal.

In the plan of UNIQLO company, we hope that the electricity supplier channel will contribute 20% to 30% performance in the future. However, from the current development situation, there is still much room for development in the online channel of UNIQLO.

The data from UNIQLO to China business daily show that up to now, the proportion of online sales of UNIQLO in total sales is only 5% to 10%.

"Although the electricity supplier will subvert the line in the future, there are still 90% of UNIQLO products sold under the line," Wang said.

But the main energy is still in the offline stores.

In the future, if UNIQLO wants to continue the layout of the e-commerce platform, it can only be launched through a large electronic business platform. "Through the location of offline stores, we can see that UNIQLO pays attention to the traffic problem".