On Friday, May 5, Primo Global Holdings Co., Ltd. will open its first store in the city of Changsha, China, the I-PRIMO Changsha IFS Store, within Changsha IFS, a commercial complex in Changsha.

◆Expansion in the Chinese market, which has a strong sense of trust in the high-quality products of Japanese brands

In mainland China, there is a strong sense of trust in the high-quality products of Japanese brands, which are viewed as high-end. I-PRIMO has operated a total of 25 stores in mainland China since July 2016, targeting bridal couples in their 20s and 30s, the same demographic as in Japan; however, customers in Shanghai have been shown to pay a higher average purchase price than those in Japan, reflecting their commitment to the once-in-a-lifetime purchase of a bridal ring. The desire among customers to actually see and touch high-quality products of this Japanese brand accompanying a rebound in willingness to purchase following the end of the COVID-19 pandemic and our desire to increase our presence in the Chinese market sparked the decision to open the Area 1 Store in Changsha, a major city in southwestern China.

 

◆Changsha IFS, the largest shopping center in the Changsha area

The city of Changsha is located in Hunan Province, China, and is home to a population of approximately 85.2 million*. One of the six major central cities in China, Changsha is the administrative, economic, cultural, scientific, transportation, and educational hub of Hunan Province, and its high growth has created an attractive bridal market that, with the opening of the Area 1 Store, has the potential to increase our brand value.

I-PRIMO's strengths, such as meticulous personal support that meets the needs of each customer and our select-order style of delivering one-of-a-kind bridal rings that have been well-received by customers in the Chinese market, as well as strong sales performance at our 25 existing stores, have allowed us to open an official store in Changsha IFS. This massive shopping center opened in 2018, attracting many international brands and boasting the highest sales in the area for 2021. Changsha IFS contains about 300 stores, and with many other jewelry brands with stores there, we anticipate a positive effect from customers shopping around for bridal rings. Furthermore, it is directly connected to Wuyi Square Station on Lines 1 and 2 of the Changsha Metro, and this excellent access is expected to further increase recognition of the I-PRIMO brand.

 

*National Bureau of Statistics of China, 2022

 

◆Continued store openings to further advance business in mainland China

Since developing our first overseas store in Taiwan in October 2007, we have expanded our store locations to Hong Kong in 2012 and mainland China in 2016. As of the end of the fiscal period to August 2022, our overseas sales ratio has exceeded 40%, and we aim to make further progress by continuing to open stores overseas. In addition to the existing stores in mainland China, Taiwan, and Hong Kong, we opened our first store in Singapore in November 2022, and through fine service and hospitality and the I-PRIMO brand’s high Japanese standards of product quality, we intend to provide overseas customers with a wide range of purchases that will create the memory of a lifetime.