Triumph
Chinese prefer to buy on Alibaba platforms. Underwear giant can’t resist changing habits.
Clothing, especially underwear, lingerie, bras or pajamas. He led the invention of the bra without front clasps and with replaceable straps.
A Triumph, Totally private company has products to be sold in 80 countries. Founded in Germany, but headquartered in Switzerland, it is a prominent brand in Europe.
But it has been well known in the China. The first office opened in Hong Kong in 1960. It arrived in mainland China in 1994. It has even gone on a tour that visited 30 Chinese cities.
In a China that was opening up to the rest of the world, Triumph appeared as a sign of elegant and comfortable European fashion.
But the Chinese market is becoming increasingly challenging for foreign brands.
First, because the online commerce changed routines; Chinese consumers are increasingly purchasing textiles on the internet, through platforms such as Taobao and Tmall – both owned by the giant Alibaba. 40% to 45% of apparel sales are made online.
Second, because the competitors chinese are gaining large market shares. In the case of Triumph: it had a 5.2% market share in the underwear sector 10 years ago; last year, it was below 1%. With low prices, Chinese lingerie brands such as Neiwai and Ubras now have double-digit market shares.
Swiss sales have clearly fallen. And Triumph couldn’t resist: will leave the mainland China market at the end of this year. In other words, in a month.
The announcement was made this week due to “ongoing economic challenges in the region”. There was a structural decline in wholesale trade and falling consumer demand.
In the current scenario, “economically viable continuation of the business” is no longer possible.
“As there are no signs of recovery, Triumph has decided to withdraw from this permanently deficient market”, explained a spokesperson, quoted in .
And it is still unclear how Triumph will continue its online business in China, according to the spokesperson: “I cannot make a definitive statement on that yet.”
