According to the Zhongtong Finance APP, Qiu Wenbin, the founder of Baoshang (09991) and chairman and CEO of Baoshang Group, was recently interviewed by Hong Kong authoritative financial Chinese media "Sing Tao Daily" (referred to as "Sing Tao") , and mainly shared the current development status of GAP Greater China and the future development direction of Baoshang's brand management business sector.

The following content is from the interview:

Qiu Wenbin stated in the interview that since Baoshang completed the acquisition of GAP's Greater China business in February of last year, GAP's transformation has been in the "middlefield", and it is expected to add 50 stores this year.

After acquiring GAP's Greater China business, Baoshang also acquired the outdoor brand Hunter Greater China and related intellectual property rights in Southeast Asia last year, and plans to expand its brand management business based on these two brands. Regarding the acquisition of GAP, Qiu Wenbin pointed out that GAP, as a relatively large fashion clothing brand, covers upstream links such as design, supply chain, factory management, and even fabric research and development, and has a considerable number of users, products, and stores. This helps Baoshang deepen its understanding of the brand and achieve connectivity from the supply side to the demand side.

GAP used to focus on American leisure style. Qiu Wenbin mentioned that after Baoshang took over GAP, more Asian elements were added to the products to better fit the body shape, aesthetics, and habits of Chinese people. He emphasized that in the past, consumers may have purchased GAP products because of a larger discount. The Group needs to reshape GAP's style, first of all, by insisting on higher gross profit margins, "only by controlling discounts can we know what value to put in, so we don't need to give so many discounts, and consumers can accept it."

According to Qiu Wenbin, GAP is currently in the process of style adjustment. However, due to the significant reduction in GAP's scale in recent years, it will reopen some stores, and even grow. The newly opened stores are expected to be mainly medium-sized stores of about 400 square meters, and there are currently more than 120 GAP stores in China.

As for Baoshang's traditional e-commerce business (brand store operation, customer service, warehousing and logistics, technical services and digital marketing, etc.), Qiu Wenbin revealed that this business is the core business of Baoshang Group, and the main focus is on stability. It will strive to improve service quality, including providing full-channel operation. Currently, Baoshang has covered more than 30 mainstream e-commerce platforms.