Xuzhou Suning Plaza Image: Suning

More purchasing power, more malls

Xuzhou Suning Plaza recently opened its doors. The new shopping center reflects the growth of international retail in second- and third-tier Chinese cities.

Suning Holdings Group has opened its newest shopping center, Xuzhou Suning Plaza with 160,000 sq m GLA, in Xuzhou, Jiangsu Province, in East China through its subsidiary Suning Real Estate.

This step should be seen against the backdrop of rising economic and purchasing power in second- and third-tier Chinese cities. It is also the country’s most ambitious project to enhance its retail offer and open the regional market to international products.

Xuzhou Suning Plaza Image: Suning
Xuzhou Suning Plaza Image: Suning

Around 1,000 prestigious Chinese and international brands are found in Xuzhou Suning Plaza. About half of these are newcomers to the city like Hugo Boss, MCM, G Givenchy, Michael Kors, and Vivienne Westwood.

The premiere of these brands attracted more than 500,000 visitors on the first day and generated sales of $7 million (€6.4 million). “We are very satisfied with the high number of visitors to the new Plaza.

Given the strengthening of purchasing power we are seeing in China’s second- and third-tier cities, we expect consumer demand to grow there,” said Jin Ming, President of Suning Real Estate.

20 Suning Plazas already in operation

With 2.6 million inhabitants, Xuzhou is a third-tier Chinese city and a fast-growing economic motor in Jiangsu. According to the Chinese government’s statistics authority, per capita income in Xuzhou rose by 9.4% year-on-year in 2016, making it one of the top performers in the province.

Suning has already built 20 Suning Plazas, most of them in second- and third-tier cities like Nanjing, Wuxi, Zhenjiang, Fuzhou, and Taiyuan. With booming economies and an unsaturated market for international brands, these cities offer greater potential for foreign companies than big cities like Beijing and Shanghai.

Xuzhou Suning Plaza Image: Suning
Xuzhou Suning Plaza Image: Suning

Suning’s success in attracting foreign brands to China is the result of more than just choosing suitable locations. Instead, the group, founded in 1990, wins over tenants with its strength in the integration of resources in different industries and its vision of “digital intelligence.”

It collects data through its online and offline distribution channels to keep track of current consumer and demand trends and to set up targeted marketing plans for companies. Its comprehensive retail services and convenient payment options on various devices allow the company to provide an upgraded shopping experience for consumers.

Suning has developed into a pioneer in the evolution of the Chinese retail industry and has maintained its growth despite constantly changing consumer culture and technological landscapes.

“In the age of the internet, success depends on opening up and sharing. It no longer matters how much a company owns. The magic word is ‘integration,’” said Zhang Jindong, Chairman of Suning Holdings Group.



fb-art 150

Share this article
Sign up for our ACROSS Newsletter. Subscribe to ACROSS Magazine.

Development MORE

About the Green Roof of Nivy Station

HB Reavis has created an oasis for leisure and retail in the heart of a lively district in the Slovakian capital. The 12,000-square-meter green roof serves as a highlight.

Projects & Openings Europe

Cano, GERMANY +++ Galerija Belgrade, SERBIA +++ Galeria Andrychów, POLAND +++ Prishtina Mall, KOSOVO +++ Drehscheibe, GERMANY +++ Novum Presov, SLOVAKIA +++ Mesto Vstrechi, RUSSIA +++ AFI Brasov, ROMANIA +++ Center Alt-Erlaa, AUSTRIA +++ Plärrermarkt, GERMANY

Projects & Openings International

Sanya CDF Mall II | CHINA +++ The Park Semarang | INDONESIA +++ 11 Skies | HONG KONG

Mission renovation accomplished

Last December Redevco completed the refurbishment of the 123,000-sq m Parque Corredor shopping center near Madrid.

Significant market growth in Belgrade

After the two shopping center openings in the Serbian capital, the focus shifts slightly to secondary cities and the wider Belgrade region, putting retail parks in the spotlight.

Urban Regeneration: Sustainable solutions to growth

Urbanization is a global mega-trend. Therefore, urban regeneration projects have become increasingly relevant. However, one has to consider quite a few things along the journey toward a successful mixed-used scheme. The most successful projects will be those that incorporates work, life, shop, play, and access to services at inner-city locations.