Over the years, pop-up stores have become increasingly popular. They have established themselves as an obvious strategic tool for launching a collection, attracting new customers or introducing a new artistic direction. China is at the forefront of this trend: there are more pop-up stores in China than anywhere else in the world.
When you’re in Shanghai, Chengdu, Shenzhen or Beijing, you’re bound to come across a new pop-up store like the AMI café, the Gucci Ancora pop-up, the Prada Beauty flower market or recently the Burberry chalet in the Chongli ski resort. And yet, new pop-ups seem to be settling in more permanently.
One step ahead of the game, China has now switched to “slow pop-ups”. Whereas pop-up stores used to complement physical stores, slow pop-ups are now replacing them.
Anaïs Bournonville, CEO of AB ADVISORY, an international agency specializing in marketing and strategy for China, takes us on a journey to the heart of the new habits observed in the Middle Kingdom.
Far from a crisis, a “rationalization” of retailing
According to the National Bureau of Statistics, total retail sales reached 47.1 billion yuan in 2023, a growth rate of around 7.2%. This increase is set to continue in 2024 and 2025, according to the same study. These figures invite us to rethink the strategies of the major fashion houses, which are closing their physical stores to open more ephemeral boutiques.
Retail is not dead, it just needs to be reinvented.
In the 1990s, China’s low real estate costs led to a boom in store openings. Luxury brands seized the market, opening boutiques in surprisingly close proximity. Today, the cost of renting these spaces, coupled with team salaries and hiring costs, has led luxury brands to rethink their model.
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