Tag: prada

  • Reebonz to use blockchain technology to assure authenticity

    Reebonz to use blockchain technology to assure authenticity

    Southeast Asian online luxury marketplace Reebonz is exploring blockchain technology as part of its strategy to demonstrate the provenance of products. Complementing the firm’s existing in-house team of ateliers who specialise in authenticating leather products, timepieces, gemstones and jewellery, Reebonz intends to incorporate all transactions on a blockchain to ensure the comprehensive traceability of all products sold within its ecosystem. The firm’s goal is to enable buyers to verify the authenticity of products on their own and stamp out losses and distrust generated by the global exchange of counterfeits.

    By establishing end-to-end traceability, customers will also be able sell their items back to Reebonz, which would allow the company to easily identify a customer’s purchase.

    “The Reebonz leadership team is extraordinary and has already developed a cutting-edge technology and platform”, said Tim Draper, senior advisor of Draper Oakwood Technology Acquisition and founding partner of Draper Associates.

    “The authentication of pre-owned luxury items using the blockchain is just one of many high impact innovations Reebonz is pioneering to improve the luxury shopping experience for customers across Asia Pacific.”

    “While we started as an online platform that helps consumers access affordable luxury, we have evolved into an ecosystem that connects buyers and sellers through the widest range of luxury,” added Reebonz CEO and co-founder Samuel Lim.

    “Identifying gaps and opportunities in the luxury e-commerce landscape and spearheading strategies that present innovative ways of redefining luxury consumption has made us a leader in this industry. As we continue to build out a thriving community of buyers, sellers and international boutiques, it will become critical for the industry to evolve, and for us to become a leading innovator of authenticity solutions. We are excited to use the blockchain technology to solve one of the key global issues that impacts our industry.”

  • Prada ‘racist’ incident ended up with apology

    Prada ‘racist’ incident ended up with apology

    Prada has apologised for selling a US$550 monkey figurine after a social media backlash from US consumers alleging the character is racist. The monkeys, with oversized red lips and dark skin have been likened to “racist caricatures historically used to dehumanise black people” according to a commentary in The Business of Fashion.  Some social media users pointed out a resemblance to golliwogs, the fictional children’s book character created by Kate Upton in the late 19th Century, which brands worldwide have avoided using in marketing for reasons Prada executives could have easily found with a quick Google search.

    The ‘racist’ monkey character was part of the Pradamalia range of small accessories like keychains and toys featuring cartoon characters.

    Prada said in a statement that the creatures were “not intended to have any reference to the real world and certainly not blackface”.

    “Prada Group never had the intention of offending anyone and we abhor all forms of racism and racist imagery. In this interest, we will withdraw all of the characters in question from display and circulation.”

    The Business of Fashion described the company’s design as “at best tone-deaf, at worst racist and exploitative”.

    Some people in the retail industry may well ask how Prada released such a product after the high-profile case of H&M having to apologise after releasing marketing images of a black child wearing a hoodie with the text “Coolest monkey in the jungle” in January, which prompted a similar chorus of disapproval. H&M immediately withdrew the hoodies from sale globally and recycled them, but not before some stores in South Africa had to be closed temporarily after protests and vandalism.

    And just last month, Dolce & Gabbana was forced to apologise to Asians customers around the world for a video campaign mocking a Chinese model trying to eat pasta with chopsticks, followed by an extraordinarily racist rant on Twitter by one of the label’s founders (which he later claimed – to widespread skepticism – was the result of his account being hacked).

    Facebook user Chinyere Ezie (who took the photo of the Prada monkey used with this story) was one black American woman outraged by the product. Her post had been shared more than 10,000 times by Monday morning and received some 4300 comments.

    “Today after returning to NYC after a very emotional visit to the Smithsonian National Museum of African American History and Culture, including an exhibit on blackface, I walked past Prada’s Soho storefront only to be confronted with the very same racist and denigrating #blackface imagery,” she wrote.

    “I entered the store with a coworker, only to be assaulted with more and more bewildering examples of their Sambo-like imagery. When I asked a Prada employee whether they knew they had plastered blackface imagery throughout their store, in a moment of surprising candor I was told that *a black employee had previously complained about blackface at Prada, but he didn’t work there anymore.*

    “History cannot continue to repeat itself. Black America deserves better. And we demand better.”

    The products were withdrawn from window displays – and sales – within hours of Ezie’s post on Friday.

  • More brands join anti-fur movement

    More brands join anti-fur movement

    Among the investors who snapped up shares in luxury e-commerce marketplace Farfetch after its September IPO was one buyer with little interest in operating profits or projected revenue. People for the Ethical Treatment of Animals pounced on shares in the newly public company so it could make its case directly to ban fur sales on the platform. They needn’t have bothered.

    Farfetch quietly committed to going fur free in May, inserting a promise in the terms and conditions section of its website to stop selling items made with fur by the end of next year.

    Farfetch joins a growing list of luxury brands and retailers turning their backs on animal fur.

    Within the past 18 months, Yoox Net-a-Porter, Gucci, Michael Kors, Versace, Furla, Burberry and DVF have all announced anti-fur policies, while this year’s September London Fashion Week became the first of the major fashion weeks not to show any fur on the catwalk.

    Within the luxury space, the balance has tilted against fur.

    In the 1980s, fur was synonymous with luxury, representing a status symbol for many women.

    The global fur trade is valued at $40 billion, but today fur is central to the image — and revenue — of only a handful of major brands.

    Meanwhile, anti-fur messaging is being amplified by social media and a millennial customer base that is paying closer attention to the values represented by the products they buy.

    For brands like Gucci, the goodwill generated by banning fur outweighs the sacrifice of a few million dollars in sales of fur-trimmed loafers.

    “[It’s about] being more modern in our thinking and our approach to business and how we talk and engage with our consumer and our community of women,” Sandra Campos, chief executive at DVF, said of the decision earlier this month to stop using fur, exotic skins, mohair and angora in upcoming collections.

    “No one really wanted to associate the brand with [fur]. We don’t need real fur to have a status symbol anymore.”

    The anti-fur movement has ebbed and flowed for decades.

    Calvin Klein stopped using fur in 1994, the same year Peta ran a campaign featuring supermodels including Naomi Campbell and Christy Turlington, who claimed they would “rather go naked than wear fur.”

    Ralph Lauren, Tommy Hilfiger and Selfridges barred fur in the mid-2000s.

    More recently, Hugo Boss joined the no-fur list in 2015, followed by Armani the following year.

    Gucci kicked off the latest wave of brands announcing fur bans in October 2017.

    Winning over luxury’s hottest brand was a coup for animal-rights activists who had been targeting specific companies for almost a decade via a mix of behind-the-scenes talk and public protest.

    In July 2017, more than 20 animal rights activists heckled Michael Kors during a speech, while in September 2017, Burberry’s London Fashion Week show was disrupted by about 250 anti-fur protesters.

    Michael Kors agreed to ban fur in December, Burberry last month.

    The rise of social media has provided the general public with a direct line of communication to companies and a platform for opinions and protest, making it harder for brands to ignore targeted activism.

    It’s also given animal rights organisations a platform for mobilising consumers into action.

    The global fur industry is fighting back, launching its own campaign making the case for fur as a natural, sustainable product that is better for the environment than alternatives, which are often made from plastic.

    One recent campaign featured Fendi and Oscar de la Renta, among other brands.

    “Brands are under huge pressure to respond to social media and avoid any controversy,” says Mark Oaten, chief executive of the IFF.

    “Even in a five year period that has changed … the fear of reputational damage is increased at the moment.”

    Studies show activism is impacting purchasing decisions.

    Prior to announcing its fur-free policy last June, Yoox Net-a-Porter surveyed 24,000 customers: 72 percent said social or environmental considerations drove their purchasing decisions at least some of the time, while 58 percent said having more information about the ethics and sustainability of a product would influence their shopping choices.

    Indeed, the idea of what luxury means to consumers today has evolved.

    “It’s become synonymous with social responsibility and innovation,” said PJ Smith, fashion director at the Humane Society US.

    “Companies that want to position themselves as corporate social responsibility leaders are seeing the marketing potential of going fur free, especially with new luxury consumers.”

    For a brand like Michael Kors or Burberry, going fur free won’t have much impact on the bottom line, while providing a marketing boost.

    For DVF, fur was “a very minimal percentage” of the overall business, said Campos.

    “It wasn’t something we relied on heavily at all,” she said. “It made sense for us to walk away from it in total.”

    Similarly, Gucci’s decision to bet on animal rights activism wasn’t much of a trade-off, as the brand sold only €10 million ($12 million) in fur products last year, less than 0.2 percent of revenue.

    Gucci’s Instagram post announcing the news was among the brand’s top performing posts at the time of the announcement, amassing 179,524 likes.

    Even brands that still use fur are acknowledging shifting attitudes.

    Fendi, which started as a furrier in 1925, rebranded its Couture Week show this past July as haute couture, rather than the haute fourrure description it used in recent seasons.

    And while fur was still present in the label’s Spring 2019 collection, it was less prominent than in past seasons.

    Prada, too, has been decreasing its use of fur.

    Recently the brand has come under pressure as a result of a targeted campaign spearheaded by the Fur Free Alliance, a coalition of 40 animal rights groups.

    According to the company, thousands of e-mails demanding it bans animal fur have been sent to the Prada Group and personal addresses of employees.

    However, the company has not announced plans to stop using fur.

    “We believe it is important to stress that all the advertising campaigns of the Group’s brands, together with the fashion shows and displays in the shop windows, have not been presenting these products for some time, in order to discourage demand from consumers,” the Italian house said in a statement.

  • Comeback for Prada’s Linea Rossa

    Comeback for Prada’s Linea Rossa

    Italian fashion brand Prada has relaunched its iconic Linea Rossa sportswear collection into the luxury market, some twenty years after it folded.

    First launching in 1997, the debut of the new Linea Rossa line took place last week, forming part of the fashion activity at New York Fashion Week for spring/summer 2019.

    Known for its super technical, ultra-functional and progressive fashion, the fresh-faced Linea Rossa showcased a 90s- inspired collection. The line was designed using cutting-edge methodology and a close focus on technical detailing.

    Although there is no word on exactly what to expect from the return of Prada Linea Rossa, the first looks revealed monochromatic garments accented by the iconic red Rossa tag; fluorescent bucket hats, nylon oversized vests, and spandex trousers, as well as sunglasses in stark white and black geometric frames with mirrored lenses.

    To mark the launch, Prada Linea Rossa hosted a celeb- packed party in New York, with a guest list that included Henry Golding, A$AP Rocky, Adriana Lima, Zara Martin, Sara Sampaio, Ansel Elgort and Negin Mirsalehi.

    An official campaign has also been created consisting of a series of videos produced under the creative supervision of New York agency Michael Rock/2×4 New York. Each film has been directed by Arisu Kashiwagi and with Lotta Volkova in charge of styling.

    Finally, a Linea Rossa collection tour is slated for Asia in September.

    The line will come to Hong Kong on September 12, before arriving September 13 in Shanghai at the Prada Rong Zhai cultural venue (where a pop-up store will open from September 15 to 29) and on September 14 in Tokyo, at the Prada store in the Aoyama district.

  • Asia leads Prada’s sales growth

    Asia leads Prada’s sales growth

    Asia has once again energised luxury fashion label Prada’s sales in the first half year.

    The company has reported net revenue up 9.4 per cent in the six months to June 30 (although a lesser 3.3 per cent at current exchange rates).

    However Prada Asia-Pacific sales surged 13.8 per cent at constant exchange rates, or 6.6 per cent at current rates, most of that growth coming from company-owned stores.

    Prada, which is listed on the Hong Kong stock exchange, singled out a recovery of inbound tourist flows into the city from the mainland as the primary contributor to Asia’s strong performance.

    Greater China sales rose 17.2 per cent at constant exchange rates, or by 9.2 per cent at current rates, to €344.4 million, while sales in Japan rose by 9.1 per cent at constant exchange rates.

    Global sales totalled €1.535 billion and net profit €105.7 million, up 10.7 per cent on the same period last year.

    By category, clothing sales increased by 19.5 per cent, with both both Prada and Miu Miu achieving double-digit growth at constant exchange rates. Sales of leather goods rose by 8.4 per cent at constant exchange rates.

    Prada group’s namesake brand achieved a 10.1 per cent improvement in sales, while

    Miu Miu made a return to positive growth across all product categories, net sales rising 8.2 per cent.

    The only poor performances were the Church’s brand, where sales were down 3.9 per cent, and income from royalties, which slipped 3.2 per cent with a healthy increase in fragrance sales offset by falling eyewear demand.

    “The [Church’s] decline was nearly entirely attributable to the results of the wholesale channel, which has still not recuperated from its reorganisation process,” said Prada in its earnings release.

    The Marchesi 1824 patisserie chain achieved double-digit growth.

  • It is sneaker time for luxury fashion

    It is sneaker time for luxury fashion

    What do you get when luxury fashion meets sport? $10,000 sneakers.

    High-end brands such as Kering’s Gucci, Prada and Balenciaga are increasingly looking to sneakers for growth, putting them in direct competition with sportswear giants like Nike, Puma PMUG.DE and Adidas, and giving rise to ever-more striking and expensive designs.

    Luxury groups say they are now increasing investments and marketing budgets to face down their new opponents.

    “When I saw sneakers were going to be a thing, I fought it for a bit,” Salvatore Ferragamo’s (SFER.MI) designer Paul Andrew said at a conference. “We’re definitely now investing heavily in that category, getting in very specialized people”.

    Global sales of sneakers – or trainers – rose 10 percent to 3.5 billion euros last year, outperforming a 7 percent rise in handbags, according to consultancy Bain & Co.

    “It’s not really even a trend anymore – it’s become a category,” said Bruce Pas, Men’s Fashion Director at U.S. department store Neiman Marcus.

    Both luxury groups and sports companies are looking to cash in on a booming market. Premium sneakers can start at around $400 but can easily rise as high as $3,000, for a pair of Christian Louboutin’s leather, crystal-embellished sneakers.

    Limited editions can sell for well over $10,000, including the Chanel X Pharrell Hu Race Trail or Nike’s Air Jordan 3 Retro DJ Khaled Grateful.

    Sneakers are a big driver of the luxury shoe business, which accountancy firm EY says is the fashion industry’s fastest-growing area.

    The rise of luxury sneakers is part of the growing influence of casual and streetwear in high-end fashion, where it is now acceptable to team sneakers with a tailored suit.

    Upmarket brands are tapping into street style to refresh their looks and young buyers are driving the shift. “Millennials” – born between the early 1980s and mid-90s – already represent a third of the luxury market, according to Bain.

    Several luxury group executives recently noted the importance of sneakers for their business and the need to step up their game to face the rising competition.

    Emilio Macellari, finance chief of Italian luxury goods company Tod’s – a pioneer in the sector, having launched its first Hogan luxury sneaker in 1986 – said “there is no brand that is not currently considering its (sneaker) offer”.

    Pointing out how times are changing, he said luxury brands were now “under attack” from sportswear companies, on top of the usual competition from their luxury peers.

    But so-called “sneakerisation” could steal market share from more traditional and formal-looking footwear, industry operators say.

    “What has changed is competition, with a clear overlap,” said Claudia D’Arpizio, partner at Bain & Co. “Luxury consumers are buying Nike and Adidas and vice-versa”.

    “If (luxury groups) go the sports way… it is only positive,” said Puma Chief Executive Bjorn Gulden said. “If that is a trend that pulls the sneaker market up, we can only be happy.”

    Analysts also say the intensifying competition is unlikely to erode profit margins because the market is expanding.

    “There is large space for prices moving up,” said Erwan Rambourg from HSBC. “The ‘luxurisation’ of sneakers could possibly impact margins positively”.

  • Prada Group opens seven stores in Xi’An China

    Prada Group opens seven stores in Xi’An China

    Prada China is boosting its retail presence by opening seven stores in the city of Xi’an.

    The Italian luxury fashion group plans three Prada stores for the SKP Mall, plus two Miu Miu boutiques and two outlets for its Church’s brand.

    Xi’an is an expanding city, with its luxury shopping scene including boutiques for brands including Chanel, Dior and Gucci as reported.

    SKP Mall is seeking to replicate its successful model in Beijing with its new location in Xi’an, which has just opened. Designed by London architecture firm Sybarite, SKP Xi’an is a 19-storey structure.

    For SKP, Prada is opening spaces for its menswear, womenswear and women’s footwear. The apparel boutiques are on the ground floor, while the shoes boutique is on the fourth floor. The stores are representative of Prada’s codes, with architectural details such as green marble, black-and-white checkered floors and mid-century Italian furniture.

    Miu Miu is also setting up on SKP’s ground level with a store for its apparel, accessories, handbags and shoes. The second Miu Miu store in SKP is a footwear-focused boutique on the fifth floor. Both spaces feature elements such as blue damask fabric and velvet sofas.

    Church’s, meanwhile, will retail men’s and women’s footwear on the second and fifth floors, respectively.

    To mark the openings, Prada is taking its Silver Line pop-up to SKP – the installation is inspired by train travel and offers shoppers products that serve purposes for different parts of the journey.

  • Prada to offer exclusive collection

    Prada to offer exclusive collection

    Luxury fashion brand, Prada, is launching an exclusive capsule collection on Mr Porter this month.

    Debuting on 25 April, the collection is Prada’s first menswear exclusive with an online retail partner.

    Prada Group strategic marketing director Stefano Cantino said the move is a sign of the brand’s digital evolution.

    “We strongly believe this partnership with one of the major menswear luxury e-tailers is strategically relevant to our digital transformation in today’s changing scenario, where we are making significant steps forward,” he said.

    The 32-piece collection draws from eras of bowling popularity – the 1950s and 1980s – and features camp-collar shirts in Hawaiian and pop-cartoon prints, madras, gingham checks and other nostalgia-inspired designs, with prices ranging from £260 ($475) to £2,450 ($4,479).

    Mr Porter’s managing director, Toby Bateman, said the aesthetic reflects the online retailer’s and Prada’s shared vision to bring a modern approach to classic menswear.

    “We are incredibly proud to be working with Prada on this special project and to be the first men’s online retailer to partner on an exclusive collection.

    “The retro themes of 1950s and 1980s menswear were an effortless inspiration for the campaign and content, and allowed us to easily meld the worlds of Mr Porter and Prada,” he said.

    The online retailer is launching an integrated global marketing campaign to promote the campaign across its social media, email, website and app platforms, culminating on 26 April with the publication of a short film in Mr Porter’s weekly style guide, and a bowling event in New York City.

    “We are extremely pleased to be part of this exclusive project in collaboration with Mr Porter that we consider being the perfect partner to communicate the values of the brand,” Cantino added.

    “Prada’s DNA is in fact about creating products which are really breakthrough that may at times surprise customers, while bringing ideas and ideals to life.”

  • Prada not looking good outside China

    Prada not looking good outside China

    Global Prada sales fell 3.8 per cent last year – but rose 4.6 per cent in greater China.

    For all of Asia, the Italian luxury fashion brand’s sales were down 1.2 per cent, but in Japan, which it treats as a separate regional market, sales slumped 14.6 per cent.

    The group’s net income for the 12 months was €248.9 million, or 8.1 per cent on net revenues.

    Prada says it has made further progress on updating Prada and Miu Miu stores to meet the brands’ new aesthetic concepts; Church’s stores are next in line for restyling.

    Meanwhile, the group says its sales plan was supported by bold action on the digital front even as physical retail remained at the centre of its omnichannel strategy. During the year the group strengthened its partnerships with major online sales outlets.

    “Moreover, the direct e-commerce channel is growing: it has been enlarged in scope and the new graphic and functional version of the Prada.com website, unveiled in China in December, will be gradually expanded to all countries this year.

    In various markets the group has been promoting “pop-up” events in shopping malls to launch products and emphasise brand identity.

    As well as the Prada, Miu Miu, Church’s and Car Shoe brands, the group also works in the eyewear and fragrance industries under licensing agreements, and has entered the food industry with the acquisition of Pasticceria Marchesi 1824.

    Prada products are sold in 70 countries through a network that includes 625 directly run stores and a network of luxury department stores, independent retailers and franchise stores.

  • Prada’s new concept Spirit pop-up Bar in Macau Galaxy Mall

    Prada’s new concept Spirit pop-up Bar in Macau Galaxy Mall

    Just in time for the Lunar New Year, Galaxy Macau and Italian fashion house Prada have introduced the Prada Spirit retail project, running until the end of next month.

    Following the success of the Prada Station pop-up with it railway theme, the project offers exclusive products in a concept location, allowing shoppers to socialise in a relaxed, luxurious atmosphere.

    Premiering at The Promenade Shops of the Galaxy Macau, Prada Spirit will later travel to other major cities in Asia including Beijing, Shanghai, Hong Kong, Taipei, Singapore and Seoul.

    With a setting inspired by traditional Italian cafes, it displays an exclusive collection of leather bags and accessories. Lounge corners feature red velvet sofas and small black tables. A central, squared counter is lined with display cases, while a wall-chandelier with multi-faceted Perspex blades makes a contrast with the black-and-white marble checkered flooring. High wooden stools complete the space.

  • Prada Station pop-up at Galaxy Macau

    Prada Station pop-up at Galaxy Macau

    The pop-up is designed as a dream-like container; it represents the image of Prada on the move, drawing inspiration from the brand and its fundamental codes, such as travel and modernity.

    Around the train, the illuminated platforms host a series of small installations that complement the main aesthetic experience embodied by the train including Christmas versions of life-size Prada Robots and a ticket kiosk .

    The interior features walls covered in floral-patterned red silk brocade to create a luxurious, romantic look.

    The setting is completed by the iconic black-and-white chequered floor which characterizes Prada stores around the world since 1913.

    The Prada Cahier bag is reinterpreted in three styles made of exotic leathers, exclusive at The Promenade Shops in Galaxy Macau.

    This project – here inaugurated for the first time – offers customers the chance to acquire exclusive products which are chosen for each leg of the journey and presented inside this original installation.

    Prada Station Pop-up will delight the customers until 14 January 2018 at The Promenade Shops’ Pearl Lobby, located within Galaxy Macau.

    Galaxy Macau and Broadway Macau combine deliver the “Most Spectacular Entertainment and Leisure Destination in the World”. Developed at an investment of HK$43 billion, the two properties cover 1.1 million square meters of unique entertainment and leisure attractions that are unlike anything else in Macau.

  • Prada Silver rolls out a new line in Macau

    Prada Silver rolls out a new line in Macau

    Adopting a rail theme, Prada has unveiled an itinerant retail project, “Prada Silver Line”, at Galaxy Macau.

    It runs until January 4, then will steam off to other destinations around the world. Different items will be developed for each city the Silver Line visits.

    With an illuminated platform, the pop-up draws inspiration from American train sets of the ’30s to ’50s. The imaginary railway station includes a train coach with metal outer shell that houses the main product display space. Floral-patterned red silk brocade tapestry and black-and-white checkered marble flooring, as appears in all the brand’s boutiques, embellish the space.

    Around and outside the coach are rail-inspired installations including life-size Prada robots and a ticket booth, which serves as a concierge service where customers can arrange delivery of purchases to their homes.

    A “Macau St” sign marks the retail space, a reference to the first stop for the train on its international journey. Throughout next year the retail project will travel throughout Asia, Europe and the US, starting with Dubai late next month.

    To mark the project, the brand presents a range of exclusive products including women’s bags and accessories. In particular, the Prada Cahier bag is reinterpreted in three new styles using exotic leathers.

  • DB Schenker is the exclusive logistics provider of Prada’s fashion show

    DB Schenker is the exclusive logistics provider of Prada’s fashion show

    This is the third time that DB Schenker will handle the logistics for such a big fashion event for the Italian luxury fashion house in China. The event takes place at Shanghai’s Rong Zhai mansion; a city owned sumptuous 1918 building which has been restored by Prada in cooperation with Shanghai’s government to host the show.

    DB Schenker will be responsible for the delivery of Prada’s articles of clothing and accessories for the show from the retailer’s warehouse in Shanghai to the event’s venue. Furthermore, DB Schenker will move all items into the mansion and position them according to Prada’s requirements. After the show, DB Schenker will manage the move-out of the high-end goods which includes careful sorting, repacking and return to Prada’s warehouse.

    DB Schenker’s repeated assignment as Prada’s exclusive logistics provider for its fashion shows in China results from nearly ten years of excellent collaboration. Since 2008, DB Schenker has been serving Prada with retail logistics solutions comprising inbound air freight shipments from Italy to China, national distribution by air and road to 40 Prada retail stores across China, store-to-store transfer shipments and reverse logistics from stores as well as increased e-commerce customers stimulated by China’s rapidly growing retail e-commerce market. In addition, DB Schenker handles Prada’s outbound air freight shipments for its off-seasonal products from China to outlet stores worldwide.

    “We are truly excited to support Prada’s fashion show once more with our logistics expertise. Prada’s trust in our service performance honors us and proves our professional and reliable logistics capabilities for the high-end fashion sector in China”, says Thomas Sørensen, CEO North/Central China, Schenker China Ltd. 

  • China leads growth for Prada Asia

    China leads growth for Prada Asia

    Greater China was the outstanding market for Prada Asia for its half-year, while sales fell in Japan.

    Overall, the group had lower sales with conflicting trends, some markets recovering and others contracting.

    Growth for Asia Pacific edged up 0.4 per cent. While sales grew for clothing and leather good, footwear sales fell.

    Net sales in Greater China reached €301.9 million (US$362.5 million), up by 4.5 per cent, whereas other countries in the region had declines. Sales in Japan fell by 14.2 per cent, hit by a decline in both local demand and in tourist spending.

    Global net revenues for the period were €1.4 billion, down by 5.5 per cent. EBIT for the half-year was €166.8 million, or 11.4 per cent of net revenues, down from €213.7 million (13.8 per cent) for the same period last year.

    Miu Miu shines

    Clothing sales rose by 4.3 per cent overall, with the Miu Miu brand recording double-digit sales growth. Leather goods sales fell by 7.4 per cent, with a lesser decline for the Prada brand. Footwear sales were down by 9.7 per cent.

    Net sales of the Prada brand fell by 4.6 per cent, with the Asia Pacific region reporting sales in line with those of the same period of last year, while the other regions had lower sales.

    Miu Miu net sales fell by 9.9 per cent, affected by the closure of eight stores during the period.
    Net sales of the Church’s brand fell by 15 per cent, mainly as a result of the distribution channel being restructured.

    For the group’s other brands, the sales of Marchesi 1824 patisserie goods grew thanks to expansion, while the Car Shoe brand had a decline.

    Prada’s gross margin for the six months was €1 billion, or 74.1 per cent of net sales, up by 190 points. Half-year EBITDA was €279.6 million, corresponding to 19.1 per cent of net revenues, a dilution of 210 points.

    Thirteen stores were closed down during the six months (four Prada, eight Miu Miu and one Church’s), plus six stores were opened (two Prada, two Miu Miu and two Church’s).
    Sales in the wholesale channel grew by 5.1 per cent.

    Prada says its plan to bring Miu Miu stores into line with the brand’s new look progressed, and special projects were completed for Prada stores such as new layouts and extension of the “resort” concept to seaside stores.

    The group also introduced an e-commerce plan for all its brands, including an omnichannel growth strategy focusing on gradual expansion of the online sales channel in terms of merchandising and territorial coverage, plus new versions of the websites.

    Digital initiatives also involved advertising and communications, with the creation of special content and the acquisition of online space and media tools intended to create synergy among the three distribution channels.

  • Sunglass Hut Opens New Store In Hangzhou

    Sunglass Hut Opens New Store In Hangzhou

    International sunglasses retailer Sunglass Hut opened a new store in Hangzhou’s Intime Wulin store, which is the brand’s third store in the city following the ones in Hangzhou Kerry Centre and Hangzhou Bailian Outlets.

    Sunglass Hut has reached cooperation with many first-tier brands, including Ray-Ban, Prada, Dolce & Gabbana, Burberry, Tiffany & Co., and Coach.

    It started as a small independent store in Miami in 1971 and it developed 100 chain stores in Miami by 1986, reaching annual sales of USD24 million. By 1991, Sunglass Hut’s annual sales exceeded USD100 million and by 1996, the company seized 30% share of the American sunglasses market.

    By the end of 2016, Sunglass Hut already opened 3,269 retail stores in 28 countries and regions around the world, including 3,104 retail stores in North America, Asia Pacific, Europe, South Africa, and Latin America; and 165 authorized retail stores in Middle East and India.

    For the Greater China region, Sunglass Hut had nearly 40 retail stores, including 13 in Hong Kong, seven in Shanghai, and three in Beijing.