YINTAI

In the two years since COVID-19 wreaked havoc around the world, “delayed opening” and “declining performance” have become common phrases in the Chinese commercial market. Despite these challenges, Chengdu Yintai Centre in99 (hereinafter referred to as “in99”) has delivered an outstanding performance, achieving rapid growth in both footfall and performance -

In 2020, it was Chengdu’s best performer, with a year-on-year growth rate of 32%. Its 2021 sales saw double-digit year-on-year growth again, and its current occupancy rate is 98%. As at November 2021, in99’s full-year sales grew by 70% year on year. In particular, many brands notched up spectacular performances: Alexander Mcqueen’s opening day sales ranked first nationwide; TIME VALLE and TOD'S racked up year-on-year growth rates of 100% and 150%, respectively, while Max Mara increased by 92% year on year; OVV ranked first in sales in Chengdu on its opening month ……

The inaugural batch of “first-store economy testing grounds” pioneered by Chengdu, saw the introduction of 17 branded first stores in 2021. These received the 2020-2021 first-store introduction contribution award as well as the 2020-21 first show contribution award at the 2021 China (Chengdu) The First Store Economy Development Conference held in September 2021.

How were these spectacular results achieved? It was all thanks to in99’s acute grasp of the trends and willingness to take the initiative to adjust and change. In the post-pandemic era, in99 has adhered to a differentiated “luxury streetwear + lifestyle” approach, and has continued to spare no effort in brand introduction, as well as modifying and upgrading its business portfolio and hard- and software.

1. Leveraging niche designer brands, and comprehensive brand adjustment and upgrading

There are currently more than 300 brands at in99. From 2020 to November 2021, a total of 98 new brands opened their stores at the complex, of which 46 were brand adjustments and upgrading.

Of the traditional big luxury streetwear brands, Maison Margiela (largest store nationwide/full product range flagship store in southwest China), and Vivienne Westwood (first store in Chengdu) are comparatively niche designer brands, but it is precisely by leveraging the traffic generated from these niche culture brands that in99 was able to boost the footfall of the entire complex, thus promoting brand attraction for the whole floor. In recent years, the popularization and promotion of legendary designers on social media have allowed such brands, which already have countless “die-hard fans”, to gradually enter the ranks of mainstream luxury big brands. Chrome Hearts, M Stand and other best-selling brands will soon make their debut as well.

Having accurate insights into young trendy consumers, as well as the business promotion strategy of leveraging “niche” brands to attract “mainstream and big” brands have allowed in99 to beat the odds and achieve a “luxury streetwear” positioning.

2.Meticulous refinement: Upgrading and renewing beauty, makeup and skincare offerings

It is a well-known fact that the beauty and makeup business is the most powerful growth engine. By reinforcing its numerous tier 1 “luxury women’s skincare brand” offerings, and adding niche fragrance and cosmetic brands to its portfolio, in99 has created a concentrated matrix effect, significantly reducing and facilitating the one-stop experience and purchase distance of target consumers both near and far.

Recently, WEEKEND MaxMara, and Le Seléct commenced business with a brand new look, following earlier debuts by Aquascutum (first store in southwest China), Daniel Hechter (first store in Chengdu), DIDIER DUBOT (first store in southwest China), among others, while in Beauty continued to engage in a process of renewal in the beauty and makeup section. In 2021, La Prairie had a brand new opening, while La Mer, Dior, Lancôme, Armani and other brands also made new appearances; renowned French parfumerie Maison Diptyque also opened an independent boutique. SKINCEUTICALS, FILLMED, and HR are just some of the brands that will open independent stores in the coming months.

Meanwhile, a newly minted jewelry section will make its debut, with first stores from numerous jewelry brands. By meticulously refining the affordable luxury product, beauty, makeup and skincare, as well as jewelry and gold business segments, in99’s second floor retail mix has taken shape, with quality and overall shopability greatly enhanced.

3. Strengthening social networking attributes and boosting specialty dining

In terms of dining, in99 has continued to bring in specialty and thematic popular internet dining. By prioritizing the “social networking” requirements of consumers, it has introduced more topical dining brands, including Vintage Element Fresh (first store in Chengdu), Yue Bai Wei, and Summer Flowers Thai Seafood.

Boutique party dining brands have also been added. These have helped make the mix of dining options (high-, medium- and low-end) at in99’s dining floor more sophisticated, thus meeting the multi-leveled all-round gastronomic needs of neighboring family, business and young diner groups.

4. Increasingly prominent portal effect and potential for enormous consumption capacity

As the sole operating luxury brand shopping center in the Jiaozi Park business district, in99 is exhibiting a strong “portal effect”. Although in operation for just four years, in99 has more than 450,000 members, with the per customer transaction of black card members averaging more than RMB10,000 and activity rate of 60%.

Other than young family customer groups, in99’s luxury streetwear positioning has also attracted a large number of elite business customer groups from neighboring buildings. If prevailing conditions continue, consumption convenience and distance will become the premier consideration of consumer inertia for this customer group.

in99 continually plans and enhances the creation of specialty experiential business forms. At its outdoor plaza, it has introduced a brand new SUPERMONKEY gym, Deko flight base (first store in southwest China) to the five-story kid’s zone, as well as Tip Top and other brands. We can expect APOUS (first store in Chengdu) and other brands to make their home in in99 over the next few months, bringing fresh consumer experiences in the form of trendy sports and fashionable lifestyles to consumers.

As an ultra large integrated commercial complex that boasts 5A office towers, luxury apartments Huayue Penthouses, high-end serviced apartments Huayue Residences, luxury hotel Waldorf Astoria, a shopping center and supporting Jiaozi Park facilities, in99 has, in a pandemic year, significantly upgraded the risk-resistance and future scalability of the complex through mutual transformation and diversion of all its segments.

We have reason to believe that this market has enough capacity to support more fashion consumption. By adhering to the “luxury streetwear + lifestyle” positioning, in99’s adaptive direction has become increasingly clear in the context of the development of South Chengdu’s fashion business landscape.