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First-store economy going full throttle

Debut outlets have become significant channels for generating substantial foot traffic, empowering commercial complexes

By Li Jiaying | China Daily | Updated: 2025-01-27 09:11
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People tour the Canton Tower business area during its debut in Guangzhou, Guangdong province, on Dec 28. WU WENJUN/FOR CHINA DAILY

As new brands become key in driving traffic to China's urban commercial spaces, the sustained rise of the "first-store economy" has further stimulated consumer appetite.

First-store economy refers to a model in which various regions leverage their unique resources to attract domestic and international brands to open their first stores there.

It is seen as a major element in the debut economy, a consumption model where brands unveil new products or services to attract consumers and drive purchasing behavior.

By clustering these stores through favorable policies and services, this economic model aims to foster business innovation, promote consumption upgrades and push local economic growth.

Currently, first stores have become one of the most significant channels for generating substantial foot traffic and empowering commercial complexes.

For instance, when Beijing's Haidian Joy City opened its doors in December, nearly 30 percent of its stores were debut locations. On its opening day, the mall attracted over 216,000 visitors, with sales reaching about 17.8 million yuan ($2.43 million).

"I find the concept of first stores quite special as they offer a completely new shopping experience. I am curious to see what's inside, and this curiosity pushes me to visit and check it out," said a consumer surnamed Yang.

According to data from Beijing's bureau of commerce, about 900 first stores opened in the city in 2024, including both international as well as local brands.

As a major enabler of urban commercial development, the emerging business model not only attracts high-quality projects such as first stores, flagship stores and concept stores, but also stimulates the emergence of new products, services and business models, thereby energizing urban consumer activity and boosting industrial upgrades and economic growth, said Lai Yang, executive vice-president of the Beijing Commerce Economy Association.

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