Not only luxury brands, but also fast fashion brands such as ZARA and H&M have successfully opened flagship stores in prime locations such as Ginza, Tokyo. The market-entry strategy via flagship stores appears to be successful, as numerous companies have adopted it. However, for this strategy to work, it is important to consider and verify not only the place, but also the product, price, and promotion aspects. This study systematically investigates the flagship store strategy by comparing the strategies of luxury brands, represented by Chanel and Louis Vuitton, and those of SPA (Specialty store retailer of Private label Apparel) brands, represented by ZARA, developed by the Spanish Inditex Corporation.
Most of the luxury brands have flagship shops. In recent years, Fast fashion brands also have flagship shops. Both flagship shops are large store, situated in special place such as Ginza for brand-building. However, flagship shop importance is not only place and size but also Product, Price, Promotion. In this article, we investigate flagship shop strategy and the relationship between flagship shop strategy and brand building by case Uniqlo.