Fast Retailing can achieve a goal of ¥3 trillion of sales by 2020 with organic growth alone
Goal
Executive Sumary
The aim of this report is to show that organic growth - opening new stores around the world - will only lead to sales of ¥3trillion by 2020.
Complementary options for sales of ¥5 trillion by 2020 are provided and should be developed.
Sales of
¥3
trillion by 2020
• Identifying Fast Retailing Strengths
• Highlighting the importance of UNIQLO inside FR
• Looking at UNIQLO unique positioning
• Looking at expansion opportunities
• Looking at various options for growth
• Recommending the strongest strategy: organic growth
• Providing complementary options to achieve the higher goal of sales of ¥5 trillion
Forecast
GOOD
Number of stores
Total net sales (trilions of yen)
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
2020
793
995 1197 1399
1601
477
577
677
777
877
977
87
87
187
287
387
487
587
1,3
1,4
1,6
1,9
2,2
2,5
¥3 trillion
UNIQLO international
92
136
183
285
387
489
591
China
33
54
77
177
277
377
Other Asia
43
64
87
87
87
0,7
0,8
0,8
1,0
1,1
2 Newsletter Issue n. 45, January 2016
Agenda
Situation Analysis
Fast Retailing rapid growth: the key success factors
UNIQLO as the engine of growth
Competition analysis: FR’s unique positioning
Option Analysis
Geographic opportunities
Options for growth
Recommendations
Organic growth
Next steps
Appendix
Appendix 1: The SPA (Specialty store retailer of Private label Apparel) business model of UNIQLO
Appendix 2: Number of FR stores, 2009 and 2010 (The breakdown of FR activity by number of stores)
Appendix 3: Japanese population is aging
Appendix 4: Population of middle income group in Asia
Appendix 5: China online retail market 2006-2020
Appendix 6 : Growth share matrix for market evaluation
Appendix 7: Finding potential strategies with the TOWS