Michael Kors Or Repeat COACH'S Mistakes? What'S Wrong With Luxury Brands?

Kate Spade, Coach and so on. In the third quarter of Kate spade2014, the same store sales increased by only 15.2%, down by 30.4% from 30.4% in the two quarter. Recently, the luxury luxury brand C. Wonder, valued at $350 million, announced that it would close all brand stores. In the 2014 fiscal year, Coach income fell 5.3%, and net profit of restructuring and other expenses dropped 18.7%. According to another report, in the first 11 months of 2014, Coach's share price fell by nearly 40%.

Looking back at the process of the rise of "light luxury", professionals have made many analyses: the chairman and chief executive of LVMH group, Bernard Arnault, said many times in the interview that they did not accept the "light luxury" brand as the luxury goods industry. The brand was not exclusive, and inflation and recession were easy to carry out quickly. He also said that "light extravagance" has its specific market, but one brand is hard to endure. Judging from the rise of the market share of many light luxury goods to the recent situation of representative brand management, the above judgment has been proved so well.

There are comments that Michael Kors is repeating the failure of Coach, rapid expansion, high inventory and low brand positioning "discount strategy" are the cause of poor management. In the face of the constant alarm bell, the luxury brand has taken some measures. Recently, Coach Statement will buy high-end U.S. Shoe brand Stuart Weitzman, which means that the "5050" that is controlled by the knees and boots is going to Coach to buy. It is reported that the extended product line is just one of the brands' actions: in the 2014 and 2015 fiscal year, the brand will spend 250 million -3 billion dollars. Restructuring and transformation 。

China will continue to be the most important market for global luxury growth in the future. According to the analysis, with the growth of the new consumption class in the city, young people who pursue the consumption quality will be the most important target customers of the "light luxury" brand. Demand is objective, and how to properly handle pricing, business models, sales strategies and publicity strategies, so that brand positioning is continuously recognized by consumers is the real problem that operators need to consider.

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In 2014, Lining, 31st degree, PEAK sports, Merck international, Hyde, and other listed companies and Hongxing Erke, del Hui, Jordan and other three or four regional market hegemony, all entered the stage of market shrinkage or business pause. Local clothing brands such as Giordano, Metersbonwe, Semir, Baleno and other brands have heard frequent news. According to the financial report, as of the first half of 2014, Baleno's parent company closed 388 stores in the mainland, and its sales staff also decreased by 3782.

In the first half of 2014, the number of stores in Bosideng dropped from 8216 to 3436, which meant that Bosteng had to shut down 19 stores a day. As the sales of traditional clothing industry become sluggish and inventories accumulate, the market continues to tell the news of the boss running away, so that "where the boss has gone" has become the new pronoun of the clothing industry.

In July 2014, Ding Hui, chairman of the group, was exposed to the loss, followed by the Wenzhou business woman, Xu Yunxu, who was absconded by the police. She was also wanted by the police, such as fast fashion brand HOPERISE, Singapore listed company alligator et al. This series of clothing enterprises running events is the signal of the big shuffle of the garment industry.

The Zhejiang high bond Fashion Group Co., Ltd., founded in 1996, is a comprehensive enterprise group mainly engaged in leisure and brand clothing, concurrently running department stores, warehousing trade, participating in the reform of state-owned enterprises, the real estate industry and the economic chain hotel industry. The group has more than 1500 employees, and has four major marketing companies in Central China, Southern China and East China. It has two production bases and a R & D center in Shanghai and Zhongshan. The company is mainly engaged in self run, franchising and franchising. Currently, there are more than 500 stores in the country. In 2005, Gao Bang dress group was identified as a large enterprise and large group by the Wenzhou municipal Party committee and the municipal government. Jolin was hired as the spokesperson of the brand image. The "arrears of wages" incident positively reflected that the fund problem of Gao Bang dress was very serious.