(Yicai Global) Feb. 23 -- Abercrombie & Fitch has shut its store on Shanghai's West Nanjing Road, which was the US casual clothing chain’s first in the Chinese mainland.

The move was not unexpected given the perceived mismatch between relatively high prices and basic quality and design, as well as the rise of local apparel brands and the impact of the Covid-19 pandemic, according to analysts.

A&F closed the store on Feb. 20, while its two shops in Beijing are holding clearance sales. The company’s children’s wear brand Abercrombie Kids has already pulled out of the Asia-Pacific region.

Fast fashion is facing challenges, according to fashion expert Zhang Peiying, because consumers want more personalized and less standardized items. The situation at A&F shows the need for brands to follow market trends in a more agile fashion, Zhang said.

A&F still has 15 stores in the Chinese mainland and one in Hong Kong, according to its website. But its flagship online store on Tmall has fewer than 2.85 million followers, far below Gap's more than 10 million.

A&F’s prices are higher than normal for the casual clothing segment. Newly introduced T-shirts are priced between CNY300 and CNY500 (USD47.50 to USD79.10) on A&F's online store on JD.Com, with jackets costing about CNY1,000 (USD158.30).

Some clothes were on sale in the month before the Shanghai store's closure, with others still available at normal prices. But shoppers mostly paid attention to the promotion areas, with few choosing to buy standard priced items.

Editors: Xu Wei, Tom Litting