What Is Worrying About Moncler'S High Performance But Cautious Expansion?

Italy's high-end down jacket brand alliance (Moncler) has been on the upswing in recent two years.

The Chinese market has played an important role.

It is worth noting that when the alliance can create profits in the Chinese market, it decides that it will be prudent to expand Chinese stores in the future. Why?

Recently, the alliance has been able to release the key financial data in 2018. Sales and profits are better than analysts' expectations: sales at a constant exchange rate increased by 22% over the same period last year, and net profit increased by 33% compared to the same period last year, which is 18% higher than that of store sales.

The contribution of the Chinese market can be said to lead all the way.

In the 2018 fiscal year, the alliance has been gaining double-digit growth in the markets of Italy, the European Union, the United States, Asia and other regions. Among them, sales in Asia and other regions are the best, about 620 million euros, accounting for 43.4% of the total brand income.

The performance of the mainland market continues to lead Asia and other markets.

It is undeniable that in recent years, the achievements of the league can not be separated from the contribution of the Chinese market.

1/3 of the total retail sales in 2017 are contributed by Chinese customers.

Regarding the performance of January 2019 to February, RobertoEggs, chief marketing officer of the alliance, said in a conference call: "although the 11 consecutive days in 2019, the warmer winter weather and the continuous" French vest "protests in France, the overall performance at the beginning of this year is still" satisfactory ", especially in mainland China.

In addition, the United Kingdom has also affected the number of tourists, but Chinese tourists are turning to other Asian countries, such as Japan, Korea and Singapore, so the consumption of Chinese tourists has not been greatly affected.

It is understood that the current Moncler sales scale is 1 billion 620 million US dollars, and the Chinese market is at least 550 million US dollars.

Moncler's chairman and CEO RemoRuffini said the Chinese market is very important for the alliance, especially in the field of tourism retailing.

At present, there are not many stores in mainland China's airports, and there are plans to open 20 to 25 airport stores in the future.

At the same time, the number of ordinary stores will not increase significantly, but mainly based on the reconstruction and relocation of existing stores.

He stressed: "ten years ago, everyone's attitude towards the Chinese market was: opening stores and opening more stores.

But from now on, many brands are too radical in this regard.

The future alliance can be seen in China. In addition to reducing the number of shops, it will actively cooperate with new media.

According to the China Commercial Daily reporter, last year, the league could have more moves in China: after selling several series before the brand China official mall, it opened a 18 day flash store in Tmall last September.

RemoRuffini said in an interview that he regards Tmall flash store as an important step in promoting digital strategy in China.

For the league, it may be an opportunity for Chinese consumers to recognize it again.

In addition to its cooperation with Alibaba, the alliance is deeply concerned about the communication between WeChat and consumers.

The aim of the alliance is to link the official online store with WeChat to create unique and innovative digitization in China.

Along with the change of alliance, its strong competitor, CanadaGoose, has been doing a lot of action recently. Last year, Canada goose announced its expansion plan in Greater China, including setting up regional headquarters in Shanghai, opening two flagship stores in Sanlitun and Hongkong IFC in Beijing, and collaborated with Tmall in developing e-commerce business.

Compared with Canada geese, alliance can pay more attention to the fashion of products.

For luxury goods, brands sell additional series every year on the basis of traditional two seasons, such as Gucci (Gucci) and Louis Weedon (LouisVuitton).

In addition, in February last year, the League first launched the "MonclerGenius" project to jointly publish eight series of outstanding designers and creative personages in the global fashion industry, and began to implement new products every month, and achieved very good results.

Remo Ruffini revealed that the idea of "MonclerGenius" is to provide consumers with special products from different designers every month to keep them fresh.

In addition, in a certain two or three months of the year, they will also sell the entire "MonclerGenius" series in the League stores.

Try to use different flash store models to sell these special products.

Therefore, the league can continue to cooperate with the designer to ensure the fashion competitiveness of its products.

It is undeniable that today, the consumer market is changing. For risky social media and the development of online channels in China, shop expansion has been unable to meet consumer demand.

Luxury brands need to jump out of the traditional shackles to narrow the digital divide with their competitors.

With the rise of the millennial generation, luxury brand designers also need to make more efforts in product innovation.

Because the millennial generation has become a key group in the direction of the development of luxury goods market in the next ten years.