Can UNIQLO succeed in Vietnam
1.
Whenever I went on vacation to Bangkok, Thailand, I thought I could accept it as a signal that Vietnam's middle class has grown a lot when Uniqlo launches in Vietnam. In December of 2019, Uquitlo finally launched in Vietnam, but the reaction of Vietnamese customers is not good.
December 2019 Uniqlo 1st store opening date in Vietnam.December 2019 Uniqlo 1st store opening date in Vietnam. People lined up incredibly, but it wasn't enough for people to enter the store. They aimed at the line-up effect, but failed!
2.
After the global financial crisis in 2008, fast Fashion such as ZARA, H&M, Uniqlo, which are cheap and pretty quality and simple in design, looks not cheap even after wearing them. It is a trend.
However, ZARA or UNIQLO in developing countries with relatively low income levels is a trendy brand abroad, but it is a clothes that I would like to have.
Take a Zara means to well-being country consumer who used a premium and then using masstige. On the other hand, A country with a low income is using mass and then using masstige
The point of contact between consumers in developed countries and consumers in developing countries and fast fashion brands is the same, but since they met in the direction from top to bottom and from bottom to top, the feelings of each brand are distinctly different.
Fisrt ZARA and Uniqlo are facing each other with a pedestrian crossing.3.
In Vietnam, ZARA is quite successful. The first store in Vietnam was launched on the first floor of the building where I worked, so I was able to grasp the situation every day, but literally it wasn't. A huge crowd of people flocked every day and still maintain good sales.
Recently, because of Covid19, Vietnamese shopping malls temporarily closed due to social isolation for 3 weeks, and when they reopened, I went to the ZARA store. I met Some Vietmenase Signers, TV stars and a lot of looks rich people .
4.
On the other hand, reaction to Uniqlo is still so so. Last week, Vietnam's 4th store opened in a shopping mall near my house, and the 5th store is scheduled to open in June. Although it was a few months after its launch, UNIALO got hit by a covid19 grenade, but it was the first store opened in the year before the end of December, the biggest sales time of the year, and just before New Year's Eve, but the reaction is usr like lukewarm water.
5.
Vietnam's favorite fashion is very different. (I can't dare to discuss it as a fashion terrorist) The clothes styles preferred by Vietnamese are quite different.
It is difficult to define, but there is a style of clothes that Vietnamese people prefer. So if any Korean take cheap clothes from Dongdaemun in Korea and sell them in Vietnam, 9.9 out of 10 of those who are going to be a big loser. Only a handful of really successful businessmen who know how to select Vietnamese favorite clothes are successfully selling Korean clothing.
Korean fashion brand 'Lime Orange' successful in VietnamJust because it sells well in Korea and well in other global markets does not mean it can be salses well in Vietnam.
6.
In my book <Why Vietnam Marker>, the fashion market seems to be different depending on how the patterns of young consumers born in the late 90s to 00s emphasize the core of the Vietnamese market. This is because the clothes styles that are definitely different from consumers who are 10 years older than theirs are different and the clothes they prefer are gradually approaching the global trend.
7.
Many Korean fashion brands are considering UNIQLO's launch in Vietnam and are considering entering Vietnam. It is important to first understand what local consumers prefer and whether to match the value of the brand they are pursuing or whether to launch a new concept suitable for the new Vietnamese market. Don't worry about the launch of a famous brand that we should launch.
#<Why Vietnam Market>, You can see my writing about Vietnam market by my Book
