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    Old Menswear Zegna &Nbsp; Enter China In Rome As The Romans Do.

    2011/9/28 9:18:00 35

    Menswear Zegna China In Rome As The Romans Do

    20 years ago, Zegna, which just entered China, faced the biggest challenge of ErmenegildoZegna.

    Challenge

    One of them is to find those who can afford them.

    Men's wear

    Customers.


    Today, this Italy luxury fashion brand is in China.

    market

    There is another very different challenge: competition.


    GildoZegna, the chief executive of the company and the grandson of the fashion brand founder, said in an interview that ErmenegildoZegnaHolditaliaSpA, a limited shareholder, is planning to upgrade some of its 75 stores in China to expand its area and attract passers-by to maintain its strong position in the ErmenegildoZegnaHolditaliaSpA.

    The brand is also planning to expand online sales of goods, while also considering opening more stores for women, but Zegna did not disclose details of the plan.


    Zegna's autumn and winter new product is a dark tone Chinese theme fashion series. It is said that the series was inspired by the Chinese revolutionary uniform, and the Chinese character "Zegna" logo is hidden on the tie.

    The series of China's main elements of fashion has begun to sell, ranging from $3695 to $4295 per set.


    The growth of consumer wealth also led to the growth of luxury consumption.

    According to the data provided by McKinsey&Co., the number of Chinese households who earn more than 1 million yuan (US $156000) last year increased by 20%.

    It is expected that in the next five years, this group will bring 38% growth to luxury goods sales.

    According to the brokerage firm's CLSAAsia-PacificMarkets, China will become the world's largest luxury market by 2020, and its market value will be close to $101 billion.


    As other luxury fashion brands expand their efforts to expand the Chinese market and try to further penetrate the Chinese market, Zegna must go through a series of battles to win the retail space in the increasingly crowded Chinese luxury market.

    In March, Dolce&Gabbana, a fashion brand in Italy, disclosed plans to open 15 new stores in China in the next two years.

    At present, the total number of stores in China is 26.

    In April, BurberryGroupPLC, the British luxury goods producer, said that the group was preparing to add 43 new stores on the basis of 60 existing stores.


    According to a survey conducted by HurunResearch in 2010, Zegna is the fifth luxury brand in China's rich eyes.

    According to CLSA, Zegna is the sixth largest luxury brand in the Chinese market.


    In Beijing, after a great effort, the company finally found the gold position of a new flagship store, but the new store will not open until 2013.


    Zegna said that 20 years ago, all brands were not famous in China, and now our goal is to maintain production capacity and defend our leading position.


    Zegna's headquarters is in Milan, Italy.

    Since entering the Chinese market earlier, it occupies a more favorable position.

    In 1991, the company opened its first store in Beijing and became one of the first luxury brands to enter Beijing.

    The company's products are mainly men's clothing, which is a favorable factor in the male dominated Chinese luxury market.

    Zegna has stores in 32 cities in China, which dwarfs the US market with 16 stores.

    This year alone, the company has opened 7 new stores in cities like Chengdu and Hangzhou.


    AaronFischer, an analyst at CLSA, said that the advantage of the forerunners is very helpful, and some brands rely on this advantage to succeed.


    Zegna said that from 2006 to 2010, the company's annual sales growth rate was about 30%.

    Last year, sales in Asia (led by China) accounted for 46% of the total sales volume of the company (963 million euros, or 1 billion 270 million US dollars).

    Zegna recorded a net profit of 60 million euros last year.


    Zegna said that although the time of the new flagship store in Beijing was postponed, the earlier entry into the Chinese market prevented the company from competing for the new space (biddingwars).

    If you come late, you have to pay the price, Zegna said.

    At the same time, he also stressed that landlords could draw a share from sales, and the cooperation with Zegna was also very enjoyable.


    Because of its early entry, the company has also gained the opportunity to enter some small but fast growing cities in China, while other luxury brands such as Prada (Prada) and Burberry have only recently begun to take similar actions.

    In 2008, Zegna opened a store in the western city of Urumqi.

    Zegna has said that we have long known that Chinese people regard shopping as a sport.

    He also said that opening stores in two or three cities can allow shoppers to shop 10 times a year on average, while shoppers in big cities only enter two or three stores a year.


    Zegna will also learn to do in Rome as the Romans do.

    The brand is famous for its custom suit, but when it was discovered that Chinese men were not very interested in it, they began to put on sportswear.

    Recently, because of the rising demand for business suits, Zegna has designed a fashion line for those who are willing to spend 228000 yuan (about 35600 dollars) to buy a limited set of suits.

    The latest suit of the fashion line is called "IntheMoodforChina", which is made of three button blouse and high waist trousers.


    In 2008, Zegna opened its first brand store in China, which specifically aimed at female customers, Annie Onna (Agnona).

    Although Zegna's focus is still on male customers, the company is considering opening more Anio brand stores.

    By the end of this year, the total number of Annie Onna stores will reach five, and there will be more in the future.

    The company is planning to expand e-commerce, but Zegna did not give details.

    At present, Zegna's e-commerce sales in China are exclusively represented by YooxSpA, a luxury retailer in Milan.


    Zegna said consumers in today's China need more personalized products and limited edition products.

    In order to celebrate Zegna's entry into China for 20 years, he customized 20 limited edition watches, made by GirardPerregaux, Switzerland.

    He said that the price of each watch was about 50 thousand dollars, and 15 yuan had been sold.


    Zegna said, in China, you have to dare to think and dare to do it.


     
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