The China Edition #2: FREITAG in Shanghai - Building a Circular Community in the Heart of Retail

Amy Weng • November 12, 2024

In a city known for its fast-paced, consumer-driven culture, FREITAG has chosen a different path. Known for its bags crafted from recycled truck tarps, the Swiss brand is reshaping the typical retail experience in Shanghai. FREITAG’s approach is rooted in a sustainable, community-focused strategy that doesn’t push for quick sales. Through its first direct store, which opened in early 2023 near Jing’an Temple and close to a residential area, FREITAG is creating a space and a community that think differently about what it means to shop, connect, and consume.


A Space with Purpose

FREITAG’s location, set in a former towel factory that later served as a hostel, blends heritage with innovation. The renovation preserved much of the building’s original structure, incorporating its high ceilings and industrial features into an open, welcoming space designed for discovery. Each floor has a specific purpose: a repair station on the ground level, where customers can bring their FREITAG bags from anywhere in the world to for repairs. A process that can take up to six weeks, reinforcing the brand’s commitment to sustainable fashion.


The first and second floors showcase collections. An essential feature of the store’s design is its vertical storage system, which reflects FREITAG’s focus on transparency and functionality. Products are displayed visibly, giving the space a straightforward, industrial layout that aligns with FREITAG’s minimalist aesthetic and commitment to openness and authenticity.


On the top floor, the open rooftop serves as a garden and a social / community space, perfect for workshops and events. It’s a place for community building as much as for shopping. 


Provide Access, Rather than Ownership


Rather than relying on heavy promotional events, FREITAG organizes initiatives that invite their community to engage in meaningful, sustainable practices. For example, during the annual 11/11 shopping festival in China, the biggest shopping day globally, the brand takes a stand by closing its checkout counters, both online and in-store. Instead, FREITAG hosts a S.W.A.P. (Shopping Without Any Payment) event, where customers are encouraged to bring in their pre-loved FREITAG bags to exchange for others. This unique approach reinforces FREITAG’s commitment to “provide access, rather than ownership,” and allows people to experience “new” bags through a circular exchange rather than traditional buying. By shifting the focus from transaction to interaction, FREITAG’s S.W.A.P. event builds community around reuse and resourcefulness, offering a meaningful alternative to consumer culture.


Engaging Through Art and Cultural Exchange


Earlier this year, Swiss artists Emma Casella and Alix Arto, alongside Chinese designer Zhang Yihan, hosted an immersive workshop at the FREITAG Store that brought together traditional craftsmanship and modern industrial techniques. With support from Pro Helvetia and the Rong Design Library, this workshop wrapped up a three-month residency aimed at reimagining wool’s role in contemporary design. Participants learned about the ancient art of felting, a skill deeply rooted in both Swiss and Chinese heritage, and explored innovative ways to adapt it for today’s sustainable practices.


On the store’s rooftop, attendees created a large felt artwork, transforming raw wool through collaborative effort. This collective project allowed participants to experience the energy of shared creation, underscoring how traditional materials and techniques can inspire new applications and connections in a modern context.


Balancing purpose and profit


FREITAG’s strategy focuses on creating a community and setting a new standard for conscious consumerism in China. By combining heritage, functionality, and a commitment to sustainability, FREITAG has built a retail experience that resonates with a young, purpose-driven audience, offering an alternative to China’s often consumption-focused market. However, finding the balance isn’t always easy. FREITAG’s approach challenges the norms by not prioritizing mass sales, yet it has found a way to succeed by connecting with the right customers: those who value impact.


This thoughtful strategy reflects how a brand can stay true to its roots while adapting to new markets. With their Shanghai space, FREITAG invites people to think about their own footprint, using its platform to spark dialogue and inspire change. It’s a compelling example of how retail can be reimagined as a space for engagement and reflection, transforming what it means to be a brand in today’s world.


At Think East, we keep you updated on brand strategies like FREITAG’s, showcasing how purpose-driven approaches are shaping retail in China. We’re here to help brands craft strategies that resonate with Chinese audiences, building genuine connections that go beyond transactions.


Stay tuned for our next post, and connect with us on LinkedIn or via email—we’d love to hear your thoughts and questions.


See you next time!


Banner image and all gallery images: STUDIO FANG

Chinese Elders vs. Swiss Elderly

By Fiona Koh • January 13, 2026
Whoever has visited China, no matter how big or small the city, will have observed one thing: Chinese elderly women line dancing in public plazas to loud Chinese pop songs blaring out of big speakers. Even late at night, the Chinese aunties dance in big groups and spend time together. Anyone who has spent some time in China will also have noticed the ubiquitous outdoor fitness parks where elderly men casually crank out pull-ups as if they’re competing in a world championship, staying fit with whatever equipment happens to be available. Furthermore, China’s “silver economy” providing products and services for the elderly is estimated at ~7 trillion yuan (~CHF 800 billion) as of 2023 and projected to reach ~30 trillion yuan (~CHF 3.4 trillion) by 2035. Such observations are in stark contrast to the Swiss landscape: Elderly are mostly seen running errands before they disappear back into their house or apartment. While some take to the mountains for hiking, everyday public life remains largely age-neutral, with older generations mostly out of sight. Beyond walking or hiking, it is uncommon to see elderly people dancing or exercising openly in public spaces. But why are the two cultures so different in how elderly find their space in society? The contrast isn’t accidental; it’s the result of history, urban design, social norms, and how each society understands aging itself. First, public space plays a very different role. In China, dense urban living and a long tradition of communal life mean that plazas, parks, and courtyards function as extensions of the home. Dancing, tai chi, or using outdoor fitness equipment is not seen as “performative” or unusual; it’s simply how one belongs to the community, and elderly people are encouraged to be part. In Switzerland, by contrast, private space is larger and more protected. Social life is more likely to move indoors or into organized clubs, and being loudly visible in public can feel intrusive rather than communal. Second, cultural attitudes toward collectivism versus privacy matter. Chinese society has deep collectivist roots. Group activities, especially among older generations, feel natural and comforting. Swiss culture places a much higher value on privacy, individual boundaries, and not “disturbing” others. Third, infrastructure and policy reinforce these norms. China has deliberately invested in free, accessible outdoor fitness parks and large plazas, especially since the 1990s. Switzerland invests heavily in nature access and healthcare, but far less in everyday, informal social infrastructure for the elderly. 

The Swiss Blueprint: A Case Study on XPENG's Calculated Entry into Europe

By Fiona Koh • January 5, 2026
While the Chinese electric vehicle (EV) giant BYD is often the focus of European market analysis, a new competitor has already quietly entered the continent. XPENG, a technology-driven EV manufacturer, has identified Europe as the centre piece for its long-term global growth. Since 2021, XPENG has pursued European expansion. Switzerland, despite its small population, has emerged as one of XPENG’s earliest and most strategically symbolic European markets. In this article I analyse XPENG’s European strategy through the specific lens of its Swiss market launch, leveraging corporate announcements, partnership disclosures, and industry analysis from 2024 to today. Moving beyond the rhetoric of “disruption,” I examine the practical, multidimensional drivers behind XPENGs expansion: Strategic Market Choice: Why Switzerland Became XPENG’s Most Recent Key Market XPENG’s Brand Strategy and Key Differentiators: Premium AI-driven EVs Supply Chain Considerations: Local Production in Austria, The Move That Changed Everything Swiss Go-To-Market Strategy: Distribution and Trust Future Considerations and Big Picture: XPENG’s European Future, Geopolitical Considerations 1. Strategic Market Choice: Why Switzerland Became XPENG’s Most Recent Key Market XPENG kicked off its European expansion in 2021, entering markets with established EV adoption, such as Norway, Sweden, the Netherlands, and Denmark. The company deepened its continental presence in 2024 by launching in the key automotive hubs of Germany, France, the UK, and Italy. Now, as of late 2025, XPENGs strategy focuses on rapid European market expansion to achieve comprehensive European coverage. A significant new market in this phase is Switzerland. Unlike the Nordic nations, which are recognised leaders in EV adoption, Switzerland has a different market profile, characterised by high purchasing power but more moderate EV penetration (see Graph 1). This raises a key strategic question: why would XPENG prioritise Switzerland as an early and important market? Switzerland is a small country and not an EV-heaven like the Nordics (see Graph 1). So what makes Switzerland a strategic choice for XPENG? My analysis suggests three primary factors that make Switzerland a strategically attractive entry point for XPENG: High EV Adoption Rate: Switzerland is a logical next step in XPENG’s market expansion. As shown in Graph 1, the country has one of the highest electric vehicle adoption rates in Europe, following closely behind the Nordic markets where XPENG first established its European presence. By entering Switzerland, the company directly targets a large customer base that is already familiar with and receptive to electric mobility, reducing the need for extensive consumer education on EV technology. Absence of a Domestic Auto Industry: Switzerland lacks a significant domestic car manufacturing sector compared to Germany or France, where XPENG is already active. Consequently, XPENG enters a market largely free from the protective industrial policies or legislative measures often designed to shield local automakers from international competition. This creates a more open and less politically complex competitive landscape. Strong Purchasing Power and Premium Market Affinity: The Swiss market aligns well with XPENG’s premium positioning. Data indicates that Swiss consumers are accustomed to new car prices in the range of CHF 60,000 and above, which corresponds directly with XPENG’s pricing strategy. Furthermore, the market exhibits a strong and sustained preference for premium automotive brands, with BMW, Audi, and Mercedes-Benz consistently holding large market shares. This consumer behaviour toward high-value vehicles provides a favourable environment for XPENG to position itself as a technology-focused alternative within the premium segment.

The China Edition #4: On’s Success in China: From Wholesale to Community-Centered Retail

By Amy Weng • April 21, 2025
When On entered the Chinese market in 2018, it followed a traditional B2B wholesale model, focusing on wholesale distribution. By 2021, the brand started shifting toward direct-to-consumer (D2C) retail , preparing for standalone stores. Then, COVID-19 disrupted expansion plans, delaying progress until 2023, when On was finally able to accelerate its retail growth. How did a Swiss sports brand establish itself in China so quickly and compete with industry giants like Nike and Adidas? Instead of relying solely on product sales, On built a running culture. The brand positioned itself around community, performance, and innovation, creating a lifestyle-driven experience while maintaining its strong athletic identity. 2024: A Year of Expansion & Engagement Last year, On introduced a series of campaigns and retail activations that reinforced its presence in China: March – "Dream" campaign launch with a focus on music June – Collaboration with Loewe, combining innovation and fashion August – Opened new stores in Hong Kong, Wuhan, and Nanjing December – Launch of Cloudboom Strike LS, a high-performance running shoe for marathoners Shanghai Running Community Store: A Minimalist Hub for Runners At its West Bund flagship store , On took a different approach to retail. Rather than creating a traditional shopping experience, the store was designed as a community hub for runners . The space feels more like a gathering point for athletes than a commercial store. One of the store’s key activations was the exclusive Cloudboom Strike LS shoe release , limited to 48 pairs . These shoes were given to athletes, with a few left in-store for runners to test. This initiative strengthened On’s connection with dedicated runners and reinforced its reputation as a brand built for performance. How On Activated the Community at West Bund: Influencer & PR Strategy – Sports media and dedicated athletes took center stage instead of traditional KOL-heavy promotions. Cloudboom Strike LS Shoe Activation – Professional runners engaged directly with the product. Panel Discussions with Athletes – Conversations around running performance and innovation. Community Spaces & Benefits : 10 running groups with over 200 participants Changing rooms & free shoe rentals for trial runs Pet-friendly facilities for runners with dogs By focusing on engagement rather than direct sales, On built strong connections with the running community, strengthening brand loyalty and authenticity. What's Next? On is expanding its community-driven approach with: More localized running events & meetups More experiential store openings designed for interaction Expansion beyond running into sports like tennis Shanghai Spring Pop-Up – An activation promoting CloudTec Phase® technology through immersive design. On’s strategy in China goes beyond retail, turning stores into spaces where runners can meet, test products, and connect with the brand. At Think East, we keep you updated on the strategies brands use to succeed in China’s dynamic market. If you’re a new brand looking to enter the Chinese market or refine your approach, reach out to us. We’re here to help you craft a strategy that works for your goals. Stay tuned for our next post, and connect with us on LinkedIn or via email—we’d love to hear your thoughts and questions. See you next time!