The trend: Amid China’s ongoing economic slump, retailers across verticals are searching for new formats and channels to reach cost-conscious consumers.
- Ikea will open more smaller-format stores across China, following pilots in Xi’an and Shenzhen, per Bloomberg. That’s on top of a 273 million yuan ($38.6 million) investment to expand the selection of lower-cost products available in its mainland stores.
- Fellow Swedish retailer H&M is growing its ecommerce presence with new storefronts on Pinduoduo and Douyin—two platforms that so far have been mostly insulated from a slowdown in discretionary spending from consumers in China.