December 22 — In response to recent media reports questioning VANCL’s business model, particularly regarding rising channel costs and comparisons to PPG, the online fashion retailer VANCL (formerly known as Eslite) issued an official statement today. The company emphasized that its mission has always been to deliver high-quality clothing at an affordable price, a core principle that has guided its operations since its inception.
The article titled “VANCL Risk Accumulation: Three Big Questions†raised concerns about whether VANCL’s cost structure is actually more efficient than traditional brick-and-mortar stores. This comes amid growing scrutiny of B2C e-commerce models following the collapse of PPG, a pioneer in online apparel sales. Many have questioned whether companies like VANCL, which followed in PPG’s footsteps, are facing similar challenges.
In response, VANCL clarified that it has long maintained partnerships with top-tier garment manufacturers, ensuring that quality remains the top priority. The company stated that it collaborates with renowned OEMs such as Shandong Luthai, Hong Kong Esquel, Shenzhou, and Po — all of which have extensive experience producing for global brands like Nike, Adidas, Levi’s, and Diesel.
“First-class quality is the foundation of our survival,†said VANCL in the statement. “We do not compromise on product quality to cut costs.†The company also highlighted that by eliminating middlemen such as agents, distributors, and physical retail spaces, it can offer consumers competitive pricing without sacrificing standards.
In addition, VANCL founder Chen reiterated during a previous interview that the success of a business depends more on the strength of its team and operational efficiency than on the business model itself. He pointed out that just because VANCL and PPG operate similarly does not mean they will face the same fate.
Regarding the recent report that VANCL is not working with leading apparel OEMs, the company denied this claim, stating that it has strong, long-term relationships with some of the industry’s most reputable manufacturers. It also confirmed ongoing collaborations with Shandong Luthai and Hong Kong Esquel, with new fabric deliveries expected in early 2025.
Overall, VANCL reaffirmed its commitment to quality, transparency, and innovation in the online fashion space. As the e-commerce landscape continues to evolve, the company remains focused on delivering value to its customers while maintaining the highest standards in production and service.
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