JAPAN/FILE: Casual clothing chain Uniqlo marks Asian expansion plan with new 5000 square-metre flagship store in Tokyo

Record ID: 466149

  • Title: JAPAN/FILE: Casual clothing chain Uniqlo marks Asian expansion plan with new 5000 square-metre flagship store in Tokyo
  • Date: 17th March 2012
  • Summary: CUSTOMER READING UNIQLO PROMOTIONAL MAGAZINE IN QUEUE FOR OPENING OF NEW STORE
  • Embargoed: 1st April 2012 13:00
  • Keywords:
  • Location: Japan, China
  • City:
  • Country: Japan
  • Topics: Business,Industry
  • Reuters ID: LVAWEMXANKJ9ON1DVXIZZF5S27D
  • Story Text: The world's largest Uniqlo store opened its doors on Friday (March 16), marking Fast Retailing's most significant investment to date in an Asia expansion drive.
    About 1,000 customers lined the streets of Tokyo's swanky Ginza district to bag opening-day bargains at the casual clothing chain, local media reported.
    "The price range is really cheap and it's also functional. You know, like their 'Heat Tech' underwear range. That's done really well," 20-year-old student Yu Sakamoto said as he queued ahead of the store's official opening.
    "Their prices are reasonable -- but at the same time there's lots of cute clothes and designs," said Emi Ito, a 16-year-old school student.
    Uniqlo brings in 70 percent of revenue for Fast Retailing, Asia's largest apparel retailer.
    Group Chairman and Chief Executive Tadashi Yanai told Reuters he hoped the nearly 5,000 square-metre retail space will become a poster globally for Uniqlo's global expansion.
    "Currently there are 800 million people in markets in the developed world, and in 10 years the Asian market will be double that. So that's where we're focussing on opening stores," Hanai said.
    Fast Retailing, often compared by analysts to H&M , Inditex and Gap, aims to open 200 to 300 new Uniqlo stores annually, most of them in Asia outside Japan, in its quest to become the world's top apparel retailer by 2020 based on sales.
    Analysts say that if Uniqlo continues to do well with what it already does, that is not an impossible goal.
    "If they keep up good service at the same level as they had in Japan, and they keep innovating new products, then I think they can become a true global player," brand analyst Atsushi Iwashita told Reuters.
    Part of Uniqlo's global strategy is to open flagship stores in key locations, a contrast to the past when stores were no-frills and generally located outside of city centres.
    Flagship stores have opened in Bangkok, Seoul and New York in the past six months.
    The 12 floor high Tokyo shop is located in Ginza, a favorite area for trendy shoppers and overseas tourists, and includes staff that are native speakers in at least six languages.
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