International brands don’t live up to Aussie expectations

Zara, Pitt St Mall, Sydney

International brands are making the move to Australia, with UK online store ASOS being the most recent to cater for the Australian consumer and Topshop not far behind. But consumers appear unimpressed with the products that brands Zara and GAP are offering in Australia and claim that their stores overseas offer a better variety of product.

Elena Dalrymple*, 34, has visited Gap, Topshop and Zara in Europe and believes that whilst the quality of these brands in Australia does not differ globally, the novelty of visiting these stores overseas is quickly fading.

Inditext, the fashion group behind Zara, declined to comment on how their stores in Australia are progressing in comparison to their other global stores. However the group’s website Inditext.com reported on the 21st September 2011 that,

“The Inditex Group’s net sales in the first half of fiscal 2011 – from 1 February to 31 July – totalled 6,209 million euros, 12% more than in the first half of 2010. Year-on-year sales growth in constant currency terms rises to 13%, while like-for-like sales grew 6%.

“The Group generated net income of 717 million euros during the period, year-on-year growth of 14%. Gross profit, meanwhile rose by 11% year-on-year to 3,625 million euros.”

The Inditext group opened the Zara Sydney store in April this year and has stores in over 78 countries around the world.

Cate Summers, 24, says that the range of Zara’s products in Australia does not compare to what they offer overseas but believes there is still hope.

“I think the range in Zara stores overseas is greater than here. It’s a more established chain over there and they have a higher number of consumers over there due to population density, so I guess it makes sense that they have a bigger and better range than in Sydney. Having said that, it’s still a fledgling business in Australia, and so the quality could increase substantially after a few years.”

And the differences between the brands’ international and Australian stores don’t just end at stock, with the architectural structure of the stores also showing a great difference country to country.

With Topshop having officially announced in August that it will be moving into the Australian market, it may not be long before these international brands place their stores on every corner of our cities.

*Name has been changed.

Advertisement

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Connecting to %s