Miniso is a Chinese low-cost retailer in the fast-retail space, and is the largest variety lifestyle goods retailer in China. Miniso was founded in 2013 by the Chinese entrepreneur Ye Guofu and the Japanese designer Miyake Junya. Miniso has previously stated their global expansion plans — 10,000 stores in 100 countries by the end of 2022. So far they have opened more than 4200 stores worldwide. The interesting fact is that Miniso is mainly been focusing on brick and mortar (physical stores), and not as much on e-commerce as their rivals. They are convinced that the ‘touch and feel’ experience that consumers get in-store will not fade away, but they have neither denied the growing importance of e-commerce.
Miniso recently raised $608 million in an initial public offering in New York. Miniso stock opened with a gain of 22 per cent before tapering off. Their ultimate goal is to reach “every corner” of the world, and so far they have had success by replicating their business model to other parts of the world.
Miniso operates a so called low-cost, low-price business model where focus is on keeping prices low and offer a limited assortment to create a sense of urgency for shoppers. Moreover, this leads to fast inventory turnover and high store traffic. The limited assortment is both in terms of variety of products and quantity per product. They want to ensure low cost, high quality goods with a stunning design.
Looking at Miniso’s business model, they ensure to have an efficient supply chain by buying big volumes of products. The products are also produced and designed in-house. Their goal is to have new arrivals in-store every 7 days. Miniso is backed up by the big tech giant Tencent, and this explains their big expansion plans.
Miniso has continuous focus on product design, and since one of the founder is a designer, this will most likely also be an important aspect going forward. Miniso wants to entice the consumer with new and engaging design. In 2020, Miniso launched a new slogan: “Life is for fun, MINISO”. Furthermore, their mission is that a better life has nothing to do with price. This mission is brought into their product development to deliver high quality goods with well crafted design.