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Published
Mar 23, 2015
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​E-commerce: Chinese e-tailer Xiu looking to attract European brands

Published
Mar 23, 2015

Xiu.com, the Chinese fashion online retailer has announced the expansion of its logistics networks into Europe in view of enticing European brands to branch out into China. Two warehouses have thus already been created in Italy and the UK.

Xiu.com


A deployment procedure already employed by Xiu a few years ago to entice American fashion brands to use its portal to reach the Chinese market. For the managers of the portal, they have noted that Chinese consumers used to prefer to shop when traveling abroad because the prices in overseas stores were much lower, but now Chinese shoppers are finding online prices are the same or even better than those in overseas stores.
 
Between January 2014 and 2015, Xiu's sales increased 80%, notably thanks to some 2,000 partner brands and portals, such as Hugo Boss, Blue Nile and American eBay. In Europe, Salvatore Ferragamo has already confirmed that it is in for an initial three year period.

Fashion has become the largest section of the e-commerce market in China and online shoppers spent $100 billion on buying apparel products from online in 2014, up 42% from the prior year, according to China National Garment Association. And while online sales in China reached 440 billion dollars in 2014, a study by Forrester forecasts that this number will reach 1 trillion dollars within four years. It is a market in which foreign players will have to get closer to the local giants: leaders Tmall (Alibaba) and JD.com respectively represent 57% and 21% of sales.

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