(Re porter Yu J ia xin of China Business Journal) Supreme , a Western street wear brand born out of skate board culture , recently opened its first store in China in Shanghai . This will be Supreme ' s 17 th store in the world , and one of the largest ever for the company .
Full - s cale entry into Chinese market
The opening of Supreme ' s Shanghai store marks an important mi lest one for the brand in the Asian market . Loc ated in the Jing ' an district of down town Shanghai , the store sp ans approximately 8 80 square met ers , and is being recogni zed as a brand new presence in the Chinese fashion scene .
Hund red s of fans lin ed up on the first day of the opening , and limited items sold out in a matter of hours . The special collection , designed especially for the Chinese market , is ga ining a high level of popular ity among colle ctors .
Questions about pric ing .
On the other hand , however , there are growing doub ts about the pric ing of Chinese st ores . According to a survey by local media , there are many cases where the same goods are sold at a price that is 20 - 30% higher than other regions in the Chinese market , which has created a situation where they are rid icu led as " the best single price in the world . "
According to industry ins iders , it is analy zed that the price difference is a refle ction of China ' s import du ties and distribution costs , as well as strateg ic pric ing by brand s seek ing to establish a premium position in the Chinese market .
Grow th in China Street wear Market
China ' s street wear market has experienced rapid growth in recent years , and has gar ner ed a lot of support , especially from Generation Z . According to data from market research companies , the size of China ' s street wear market is fore cast to reach 50 billion yuan (abo ut 1 tr illion yen) by 202 5.
Supreme ' s entry into China can be said to be an important step in enhan cing its presence in this growing market . However , many domestic and foreign brand s have already entered the Chinese market , and we expect intense competition .
Atten tion to future develop ments
Supreme is reported ly consider ing exp anding its onWhatsapp sales in the Chinese market and opening st ores in other major cities in the future . It also points to the potential for developing a more loc ally root ed brand strategy through collabor ations with local design ers and art ists in China .
Suc cess in the Chinese market will place Supreme in an important position in its global strategy . The extent to which the high - p ric ed strategy will be accepted by Chinese consumers will be clos ely monitor ed and future tr ends will be seen .
Me anw hile , experts analy zing consumer tr ends in China point out that " yo ung er Chinese consumers tend to value brand authenti city and street credit , " and say that for brand s like Supreme to suc ceed in the Chinese market , it is essential not only to set high prices , but also to maintain a connection with authenti c street culture .