The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
Multibrand streetwear retailer, Knowin, which stocks brands such as Off-White and We11done Be@rbrick at its two stores in Shanghai and Chengdu, has raised nearly 200 million yuan ($31.07 million) in series A financing led by Matrix Partners, Sky 9 Capital and Zhen Fund, according to Chinese business media outlet, Brandstar.
Knowin, which refers to its stores as “street style labs”, targets young Chinese consumers and sells products from sneakers to clothing, accessories and toys. Each of its stores boasts sales revenue of more than 10 million yuan ($1.55 million) per month.
Bilibili, a Chinese video platform beloved by young users, has previously invested in the retailer, and Bilibili-affiliated merchandise is also stocked in Knowin stores. The two say they will deepen their offline cooperation in the future.
With consumers tightening their belts in China, the battle between global fast fashion brands and local high street giants has intensified.
Investors are bracing for a steep slowdown in luxury sales when luxury companies report their first quarter results, reflecting lacklustre Chinese demand.
The French beauty giant’s two latest deals are part of a wider M&A push by global players to capture a larger slice of the China market, targeting buzzy high-end brands that offer products with distinctive Chinese elements.
Post-Covid spend by US tourists in Europe has surged past 2019 levels. Chinese travellers, by contrast, have largely favoured domestic and regional destinations like Hong Kong, Singapore and Japan.