GAP, the world's second-largest clothing retail brand, has officially made its entry into the Chinese market. The company plans to open four flagship stores in Beijing and Shanghai within this year, with each store spanning over 1,000 square meters. In addition to physical stores, GAP is also preparing to launch online shopping services. However, entering the Chinese market three years after major competitors like H&M, Zara, and Uniqlo puts it at a significant disadvantage, as these brands have already established a strong presence and rapid expansion across the country.
The first flagship store in Shanghai will be located at Venture Tech on Nanjing West Road, covering an area of 1,796 square meters across two floors. A second store will open on Huaihai Zhong Road, spanning 1,140 square meters. Known for its iconic jeans, khakis, and T-shirts, GAP is introducing new features such as baby changing rooms and online ordering systems in its flagship locations. Yang Deming, President of GAP Greater China, revealed that during promotional periods, if there are long lines outside the store, the opening hours will be adjusted accordingly. “Originally scheduled to open at 10:00, we might start as early as 8:30 if there are customers waiting,†he said.
H&M, the second-fastest growing fashion brand in Europe, opened its first mainland store in Shanghai three years ago and has since expanded to many second-tier cities. Zara opened 33 stores in China in 2009 alone, while Uniqlo, owned by Japan’s SoftBank, launched its first global Asian flagship store in Nanjing West Road earlier this year and now has 64 stores across the region.
Yang Deming admitted that due to the late entry and competition for prime locations, GAP only managed to open four stores this year. However, the company plans to expand further next year in Beijing, Shanghai, and Hong Kong, aiming to open more than this year.
Industry analysts point out that besides the limited number of stores and lower brand awareness, GAP's slow operational process could hinder its growth. While most international brands take around 120 days from design to product release, H&M manages it in just 21 days, and Zara even faster at 12 days. In contrast, GAP takes up to three months. This delay makes it less appealing to Chinese consumers who are used to fast-fashion trends.
“GAP's lengthy production cycle doesn't align with the expectations of Chinese shoppers who prefer quick turnaround and fresh styles,†one industry expert noted. With the competitive landscape already dominated by established players, GAP will need to accelerate its pace and innovate to carve out a stronger position in the Chinese market.
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