Benetton's largest flagship store in the world withdraws from Huaihai Road in Shanghai

　 Recently, the world famous brand "Benetton" Benetton held a large brand sale will attract the attention of a lot of fashion people. However, unlike the usual seasonal discounts, this Benetton’s largest flagship store in the world will bid farewell to this golden treasure at the Sinai intersection in Huaihai Middle Road.

Benetton new store relocated to Pudong

The intersection of Huaihai Zhong Road and Sinan intersection is part of the Yimin Department Store and covers an area of ​​more than 3,000 square meters. Formerly known as Gallio's commercial building, it has been a few years ago. Benetton has been operating here for four years and is already a relatively long tenant. In order to understand the reasons for his departure from Huaihai Road, the reporter called “Benetton” Hong Kong branch. Phoebe, assistant regional communications manager for the Asia Pacific region, explained that the withdrawal was not the intention of the company to withdraw from Shanghai. After the lease expires, the company’s Business strategy adjustments. At present, the new store at Super Brand Mall is already in place. It will open at the end of January next year, and plans to open a 500-square-meter flagship store in Sanlitun, Beijing next year. However, the Huaihai Zhong Road shop is of great significance to Benetton. This is its largest flagship store in the world. At the time of opening, it has even been refurbished with more than 4 million US dollars. From design to decoration, including the display of goods, all are entrusted to Italian designers. This is Benetton's only domestic flagship store that is synchronized with Paris and New York. However, the area of ​​more than 3,000 square meters, according to the average daily rent of 8 US dollars per square meter on the Huaihai Road, to measure, it is a huge expenditure, which is also an important reason for the withdrawal of Benetton. The recent survey report of Shanghai retail industry published by Jones Lang LaSalle reveals that the rents of shops along Nanjing West Road and Huaihai Zhong Road have increased by 13.4% since the first quarter of 2005.

Swedish H&M will replace it

Collisson, director of the Jones Lang LaSalle China office, told the reporter that the first store of the Swedish clothing chain H&M (Hennes & Mauritz) in China is the shop where Benetton is located on Huaihai Road and is expected to be officially opened before the end of this year. H&M's second store is also considered for selection at Super Brand Mall. This news was also confirmed in H&M's half-year financial report. The Swedish company is the world’s second-largest fashion retailer and the largest competitor of the “ZARA” brand owner and the third largest fashion retailer in Europe, the Spanish Inditex Group. Like West Nanjing Road, Huaihai Zhong Road is becoming a competitive venue for international retailers. The Benetton flagship store is also home to another German clothing brand, C&A, and is preparing to seize the lease with higher bids. German C&A once set a record of opening 300 chain stores in other countries for five years and has been actively looking for chain stores in Shanghai. American casual fashion giant GAP, Swedish fashion giant H&M, Spain's fashion giant ZARA and Germany's cheap clothing chain giant C&A, together with the industry as "the world's four fashion killer." These retail giants marched into Shanghai and deployed a large number of stores, pushing up the rents for first-line commercial streets. News Links Huaihai Zhong Road International Retailers Increased by 34 Years

Jones Lang LaSalle's investigation report shows that the grades of shops in Huaihai Zhonglu are continuously improving, and demand and rents have risen. The more obvious trend in the near future is that a number of internationally renowned apparel and restaurant brands have recently been located in Huaihai Zhonglu, including SEPHORA, STARBUCKS, WD, CALVINKLEIN, and H&M. Compared with Nanjing West Road, the retailer's retail sales in Huaihai Zhonglu have increased at a higher level, and in 2006, it increased by 34 compared to 2004. In addition to the continuous entry of retailers, another driving force for the growth of retail rents comes from the gradual opening up of the financial industry after China's accession to the WTO. With the liberalization of renminbi business with foreign banks before the end of this year, foreign commercial banks will increase their business outlets in Shanghai. These foreign banks will often choose to open outlets in more upscale locations.