Burberry CEO: I Came To China To Win Gold Medals.

　　 Burberry CEO Angela Ahrendts (Angela Ahrendts) was full of movement. She was very expressive and strong in gesture when interviewed by the media. She also continued to evolve this 155 year old England. brand 。

On April, from London to Beijing, she and chief Originality Director Christopher Bailey (Christopher Bailey) excitedly talks about the link between Burberry and China's huge luxury consumption crowd. Bailey said Burberry was a "young old company" while Angela said "China is now a young ancient country." This is a very interesting common point between the Chinese market and the Burberry brand. " Just like attending many important occasions, she took some windbreaker with him, but unexpectedly the weather in Beijing was unusually hot. She jokingly complained that she had no chance to wear it.

Burberry, led by Angela, has grown strongly in recent years. It is now the sixtieth largest company in the FTSE index 100 in the UK and has been the best performing non mining stock for two consecutive years. Angela herself has also become one of the most influential figures in the global luxury and fashion world. In 2009 and 2010, she joined Forbes's list of the most powerful women in the world. This woman from a small town in Indiana came to London to revive a classic British brand.

Angela knows well where the most important driving force for Burberry's rapid growth comes from. Greater China has contributed 30% of Burberry's global market, the fastest growing region in recent years. The McKinsey report and Burberry's own research confirm that this trend will continue. A strong interactive interface is emerging between Chinese consumers and pure British brands: "in the next 5 years, the number of people who speak English in China will surpass the total number of English speaking people in other countries in the world," while the typical Chinese luxury consumption group is 15 years younger than the Western average, mostly male.

Using the Internet to redefine traditional luxury goods, 50 year old Angela and 39 year old Bailey are the leaders. In her view, high technology, digital technology and social media are "the most common language in the world". China has used 400 million people last year to use the Internet, and 87 million people are shopping online, providing huge space for the development and extension of Burberry brand. In Beijing, luxury brands gather around Burberry's new flagship store, but she never cares. "We always compete with ourselves."

Burberry's new flagship store, located in Beijing's new world, is actually a Burberry retail theater designed by Bailey. Its employees are staffed by a iPad, and in the shop there are also touchscreens, such as the size of a fitting mirror. Customers can freely search and appreciate Burberry's new products, fashion shows and entertainment activities all over the world. The external walls are equipped with two 9x5 meters large flat LED TV screens, and another 3X5 meter installation shop to display innovative designs. The grand ceremony was launched online through Burberry's official website and over 200 cooperative websites. Burberry already has millions of fans in the world's major social media such as Facebook, Youtube and Twitter, and has entered China's main social media such as Sina micro-blog, happy 001, Youku, watercress and so on.

And Bailey has mastered all the design and vision: from clothing, shop windows, LED screens, media advertising, campaign advertising, London headquarters building until the website's home page. The brand is more distinct and consistent, and successfully surpasses the limitations of media and geography.

The flagship store in Beijing is the first retail store of digital concepts launched by Burberry worldwide, and will be extended to all 57 stores in mainland China, and will be extended to 43 other stores in the next few years. Burberry has announced that it will increase to 100 as fast as possible. This means that Burberry will open two to three stores in the world, and maybe one will open in China.

Last year, Burberry bought 70 million retail outlets in mainland China from Hongkong Kwok Hang holding company at a rate of $50. In the first half of the fiscal year, the average sales area of Burberry increased by about 12% in the first half of the year, only 50 stores bought in China. In the second half of this year, China's new stores, including acquired stores and new stores, account for about 3/5 of the world's new sales. Angela used the company's ample cash to repurchase stores in the Chinese market with huge potential, and made bold efforts to transform the digital brand and marketing, and gained the popularity of the capital market.

While Burberry is expanding rapidly all over the world, the brand is still controlled by London, including all product design, digital platform technology and content. The strategy of implementing the market can be determined by local or even specific urban conditions. "When Burberry enters the world, what people most care about is its pure British style."

Windbreaker is the eternal classic of Burberry, DNA. "Under any circumstances, we will only strengthen the image of windbreaker. It tells people that we are Burberry, which strengthens our uniqueness. Burberry has made a social networking site, "Trench Art" (theartoftrench.com). Consumers everywhere in the world have uploaded the image of Burberry windbreaker on the front page. And college students can go to Burberry Burberry Acoustic, a new online performance platform for new singers or bands, so that more young people can experience Burberry brand through culture. Burberry also launched online customized services to meet the needs of personalized windbreaker styles.

"I came to China to win gold medals."

What is the brand image of Burberry in Chinese consumers?

We have been in China for more than 20 years. People's impression is a traditional, authentic and classic English demeanor. We don't want to lose. At the same time, we want to build a new Burberry, a brand for the new generation of luxury consumers and markets, so we have digital marketing. Christopher is very young. He has great vision for digital brands. We will never change the core brand image, but at the same time invite a generation of young consumers to connect with this brand. So we need to strike a balance.

　 What does the Chinese market mean for Burberry's future?

It is very important that the Greater China region accounts for 30% of the Burberry market and the fastest growth. The recent McKinsey report suggests that this high growth will continue. We believe that this region will continue to be the fastest growing market in the world in the next 4 to 5 years and will be of great value to us.

The mainland is particularly important. We have told our investors that in the next three to four years, we will open 100 stores in China, and now we have 57. We have increased investment and digital marketing here. We have just built an office in Shanghai, and we have formed a team of 45 people in 6 months.

Burberry will enter a rapid expansion period in China in the next few years. How can we maintain the quality of the brand?

This is no different from the market we manage other countries. We need localized experts and talents. We hired Cai Yi 6 months before the start of the acquisition, vice president of China business. The brand is controlled by London, all the products come from London, the digital platform is controlled by London, and the content is controlled by London. The strategy of implementing the market can be determined by local or even specific market conditions.

Compared with other luxury goods companies, especially European companies, why does Burberry emphasize the combination of social media and luxury brands?

I have read a saying that in the next 5 years, the number of people who speak English in China alone will surpass all the English speaking people in other countries in the world. China already has 300 million people online. Last year, 87 million of China's population online shopping, I would like to say that in the English speaking world, digital is a new language all over the world, whether in India, Brazil or China, any consumer has an intelligent terminal at any time, no more than 20 centimeters. Luxury is about service, it is the business of connecting consumers. You see, you listen, you perceive this brand, if you want more, we make it all so easy for you, so digital is the global language of the future. If we do not speak this language and use it to connect consumers, I think many brands will not survive. {page_break}

Judging from the current situation, is it more important to use social media platforms to bring sales volume or to convey brand image to consumers?

The two are just as important. But the difference is that we want to build lifelong relationships with consumers. We build Burberry communities around the world. We invite anyone to become a part of our brand, whether middle class or luxury consumer. Everyone is invited. The brand also covers a wide range, from perfume to small leather goods to high-end Prorsum. I want you to perceive the brand. Students from universities can listen to music at Burberry Acoustic and watch T show. Our goal is to get mind share. Someday, somewhere in the future, it will become market share. We are a company with a history of more than 150 years. We are not selling it for today. We are creating a huge Burberry community in the world for the next 3 years, 4 years, 5 years and 10 years. Nowadays, the average consumer visits our website for 7 minutes and 22 seconds. They may buy a windbreaker for graduation, maybe buy some other small things for themselves. This is not a question of whether or not to buy, but when to buy and where to buy.

The image of Burberry first started with windbreaker, and it is mainly for men, mainly male. It has been evolving for more than a century. What is changing and unchanged? In the future, in which direction will Burberry brand image evolve in China?

The most important thing is to have authentic Burberry images, some of which are changing, but many will not change. We are making windbreaker. When people go shopping, we will find that it is the most unusual place for us. Some brands make bags, some start from shoes, and we never change from our coats. These are history and brand DNA. No matter we choose any media or any country, we will only strengthen this tradition. So when we do social media, what we do is artofthetrench.com in trenches. When Christopher is doing the show every season, there is always a windbreaker showing and strengthening our image. We will have a new project called Burberry Bespoke. This is a new project. You can customize windbreaker for yourself online. When we enter the personalized era of windbreaker, we always tell our consumers that we come from windbreaker and will always make the best raincoat in the world. In this regard, our men's and women's clothing business accounts for half of the total, and the annual growth rate is two digits. This is our tradition and determines who we are. This will never change. No one will change in the next 150 years. Anyone in my position will think that this is the core, the tradition that needs to be protected, and then how to adapt to the needs and tastes of every generation. So Christopher and I think investing in digital is the key. In technology investment, this is the contribution we make here for the generation, and the next generation may have something else, and outdoor clothing will remain unchanged. They only contribute to their brand from their generation.

China also has its own tradition and wants to build its own luxury brand. What do you suggest?

According to my experience, a person is not at all. If you have a very original vision, I suggest you find yourself a very strong business partner. Christopher and I have been talking about building a global luxury brand. It's very important not only to be innovative but also to be commercial. We have established this balance. It is a consistent rule. In every office, in any region, in our headquarters, in every shop, you want people to be concerned about vision in every shop. You also need people to focus on every item in every store. My suggestion is that if you have a very strong and very creative vision, you need a very strong business partner, your prospects will be boundless. For me, I can't do anything by myself. Without excellent local experts, without Christopher's genius designer, I would go home. So my biggest experience is the vision and the talents needed to achieve that vision.

Parents like Burberry's children's clothes very much. Do you get children's clothing and children's inspiration?

Children's wear business is growing faster in China than in other areas. The children's clothing in our flagship store in Beijing is probably the largest in the world.

When I first started working with Christopher, we were all inspired by the interest of the kids. He had a nephew and nephew. I joined Burberry. My youngest daughter is only 4 years old. Now she is 10 years old. But then the outdoors clothes may be inspired by anything. When we design a very great dress, we will ask what the children's wear will be like. We have children in our lives. When you look at them so cute, those are probably the earliest inspiration. Christopher picked out the best clothes on the show and made them smaller. Now we will tell investors that children's clothing may account for about 10% of our future business in the next four or five years.

More and more luxury goods in the world are coming to China, and they are coming. How do you view the increasingly fierce competition in China?

There is no difference between Hongkong, New York, Paris and Milan. Frankly speaking, we compete only with ourselves instead of competing with our competitors. I told our staff that if we feel guilty, we will be sorry for what we have not done yet, and not for the achievements we have achieved. We only compete with ourselves, not too much about the outside world.

Will you consider developing local brands for Chinese consumers?

I haven't thought about it yet. We only consider the 3 year plan. In other markets in the world, we do not yet have such a business model, but I never say "no". After we opened 100 stores, we have a strong team. In any market, you have to follow the opportunity to follow customers. Luxury consumers everywhere in the world want pure, great and authentic luxury brands. You see that any great brand, Starbucks and apple, are familiar with, trust and confidence. Now our goal is to make Burberry the world's greatest and truly luxury brand.

What is your ranking in the global luxury brands?

Reports and analysts say we are the fifth largest luxury brands in the world. Many luxury companies and groups are diversified and do not calculate their brands separately.

In the next three years, the top 3 targets in China?

Do you want to take a bronze medal when you take part in the Olympic Games? I came to win the gold medal.