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GNC expands footprint in China


PITTSBURGH — GNC is no stranger to China, with more than 60 store-within-a-store locations in eight different major grocery, convenience and health and wellness chains in China. But two years after entering the market, the retailer is opening its first stand-alone location in Shanghai.

GNC plans on opening an additional 25 locations in China within the next 12 months.

"In only two years, the GNC brand has developed strong acceptance among Chinese consumers,” said Joseph Fortunato, GNC's chairman, president and CEO. “GNC will continue to expand our retail store presence in this dynamic and fast-growing market, and we are excited about finding new opportunities to address the needs of China's many health and wellness consumers with new and innovative products."

The first stand-alone location is in Raffles City, one of Shanghai's prime retail and office space locations. Strategically located opposite the historic People's Square and within walking distance of Nanjing Road and the Shanghai Municipal Government Office, it is home to leading international fashion brands and a fitness center along with upscale dining and entertainment venues.

GNC has been selling its Made in the USA products in China since 2011 when it opened its Shanghai-based office and distribution center. Its products are sold in Ole, City Super, Sam's Club and Watson's as well as on the Internet through GNC-licensed partners on e-commerce sites that include Tmall, Amazon and 360buy.

GNC has more than 8,200 locations, of which more than 6,200 retail locations are in the United States (including 958 franchise and 2,190 Rite Aid franchise store-within-a-store locations) and franchise operations in 55 countries (including distribution centers where retail sales are made). The company has a diversified, multichannel business model and derives revenue from product sales through company-owned retail stores, domestic and international franchise activities, third-party contract manufacturing, e-commerce and corporate partnerships. GNC's product mix is sold under GNC proprietary brands, including Mega Men, Ultra Mega, Total Lean, Pro Performance, Pro Performance AMP, Beyond Raw and under nationally recognized third party brands.

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