SNW(SH:600628) 2 1 Shi Ji Jing Ji Bao Dao·2025-07-07 00:57Group 1: Beauty Industry Adjustments - Innisfree, a brand under Amorepacific, has closed its Tmall overseas store, focusing solely on local products due to market pressure from rising domestic beauty brands. This follows a significant store closure in 2021, with a 15.7% sales increase expected in Q1 2025 for Amorepacific, indicating a strategic shift towards local product development [3][4] - L'Oréal has acquired the hair care brand Color Wow for approximately $1 billion, aiming to enhance its professional hair care portfolio. Color Wow's star product sells every 4.4 seconds, and the brand is projected to generate over $300 million in sales in 2024 [10] - Kate Moss's beauty brand Cosmoss has entered liquidation, burdened with $4 million in debt, due to a mismatch between brand positioning and market perception, leading to poor sales performance [14] Group 2: Fashion Industry Developments - The acquisition of Sweaty Betty's China operations by Baozun aims to revitalize the brand, which has seen a significant reduction in stores from 5 to 1 due to high pricing and localization issues. Baozun plans to leverage local resources to enhance brand performance [4] - H&M's founder's family has increased their stake to 64%, with speculation about a potential privatization by 2030. H&M's stock has dropped 9% this year, and the company reported a 68% decline in net profit for 2024, reflecting challenges in the fast fashion sector [5] - Armani's operating profit has plummeted 69% to €67 million in 2024, primarily due to a decline in the Asia-Pacific market, with sales down 6% to €2.3 billion. The brand is focusing on quality over expansion, investing €332 million in store renovations [8] Group 3: Market Trends and Challenges - Two French fast fashion brands, Comptoir des Cotonniers and Princesse tam tam, have filed for bankruptcy, highlighting the shift in consumer demand towards online platforms and the struggles of traditional retail models [12][13] - Skechers has been acquired by 3G Capital for over $9 billion, facing shareholder lawsuits questioning the sale. The brand's revenue growth is slowing, particularly in China, which contributes over 20% to its revenue [9] - Roberto Cavalli is seeking strategic partners or potential buyers again, as the brand struggles to maintain profitability despite a recent recovery [11]