China’s Fashion Momentum Group (FMG) is stepping up the expansion of its Benlai casual wear brand, which has a functional edge designed to compete with Uniqlo and Gap.
The group, whose Urban Revivo brand has been called China’s rival to Zara, has 16 Benlai stores in China and plans to open 30–50 stores a year starting in 2025.
The Benlai chain started in 2022 and now has locations in some of China’s biggest cities, including Beijing, Guangzhou, and Chengdu.
The stores typically measure 800–1,000 square meters and sell t-shirts, jackets, stretchy pants, and other apparel, mostly in simple, unadorned styles. Customers spend an average of RMB 300–400 (USD 42–56) per purchase.
Benlai stores carry almost none of the cotton wear or jeans that are found in typical casual clothing lines, according to Leo Li, founder and CEO of FMG.
This summer’s lineup includes functional items like stay-cool, wrinkle-free shirts for men, and outerwear for women that feels cool to the touch and blocks ultraviolet rays.
The brand aims to compete on comfort, helped by research into clothing patterns that fit Chinese body types. Same-store sales are up over 10% on the year.
FMG sees Benlai’s strategy of functionality as effective for differentiating against rivals like Uniqlo and Gap.
“Uniqlo also has some functional products, but they make up a small share of the total,” Li said. Benlai will stop selling the remaining cotton wear and jeans in its lineup as early as 2025, the CEO said.
It is also taking aim at Lululemon with yoga pants for women in the 100-yuan range.
“I like the fact that the clothes are functional and fashionable at the same time,” said one Benlai shopper, a woman in her 40s who works in the apparel industry in Hong Kong, at the Guangzhou store in July.
Xu, a 35-year old woman who works in education, said she likes the brand’s “natural designs.”
FMG takes a detailed approach to collecting customer feedback. With shoppers’ approval, sales staff members read complaints and suggestions into a database that uses voice-recognition artificial intelligence to pick out useful information.
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Urban Revivo has about 430 stores, mainly in China. Compared with Urban Revivo, Benlai attracts a higher share of male customers, as well as more middle-aged and older shoppers. Li said the brand has more potential for growth than Urban Revivo.
Benlai’s first overseas store is set to open in Thailand by the end of the year. Li said the group aims to eventually have 2,000 stores for each brand.
This article first appeared on Nikkei Asia. It has been republished here as part of 36Kr’s ongoing partnership with Nikkei.