Following a mutual agreement, Topshop and Beijing-based fashion and luxury retailer, ShangPin, terminated their 4 year relationship.
The partnership was initially meant to introduce the British Fashion Brand to Chinese shoppers via an Asos-style website to then further expand with brick and mortar locations. In December 2016, Sir Philippe Green, chairman of Arcadia Group, majority owner of Topshop, had announced their plans for physical expansion with 5 stores in 2017 and 75 to follow should they be successful, reported the Financial Times. Green had described it as “the start of a unique, exciting and exclusive partnership that will cement Topshop and Topman’s mission of becoming truly global businesses”.
Two years later and still no physical locations has seen the light of day. Meanwhile, the company is facing growing competition from online rivals such as Boohoo and Missguided. In fact, Arcadia Group, which also owns Miss Selfridge and Dorothy Perkins, has reported last year a 42% slump in full-year profit to 124.1 million pounds along with a 5.6% drop in its turnover. Nevertheless, Topshop still considers China as a “hugely significant market for development” and plans to explore the market are still on the table as a company’s spokesman said “the company is currently exploring opportunities to further grow the brands in China”.
Topshop.com and Topman.com will continue to serve their customers in the region, taking over Shangpin and Tmall.com services which will officially end on 30 November.