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    Coach Cox Drop Into The Low Development Brand And Seek New Positioning

    2014/7/29 18:58:00 38

    CoachCoxDevelopmentLowBrandNew Positioning

    < p > > a > < < /a > > Coach in the North America has encountered intense competition pressure and the same store sales growth rate of two digit decline, decided to close more than 70 stores in North America, and 10 of 147 stores in China. And is planning to implement a bold spanformation strategy, from the "price friendly to the people" into a "modern luxury" lifestyle brand, began to close to civilian fashion. < /p >
    < p > data show that in the three quarter of 2014 fiscal year ending March 29, 2014, the sales of Coach Coach in North America fell 18% to 648 million US dollars, accounting for 58.9% of the group's revenue. There were 543 direct outlets in the region, and 21% sales in the same quarter in the three quarter, which declined for fourth consecutive quarters. In addition, Coach Coach expects total revenue to shrink by 11%-13% in fiscal year 15, and analysts expect a drop of only 2.3%. Business profit margins will be narrowed to 17%-19% due to increased investment in store refurbishment, footwear and men's clothing. But after the trough of the 15 fiscal year, the Group expects to resume growth in the 16 fiscal year, rising to a median of one digit. < /p >
    The core product handbags and accessories business of < p > a > Coach < /a > continues to be disappointing. Although the group chief executive Victor Luis has hired Spain's luxury leather goods brand Loewe Roy, the former creative director, Stuart Vevers plus alliance to enhance the brand image and change the lifestyle brand, the share of the brand in the local market is being squeezed by the competitors such as the company and the competitors. < /p >
    Victor Luis, chief executive of Coach group, P Coach, said: Nowadays, the American outlets still attract a large number of Chinese people, but friends around her have already turned to other families, and no one has been carrying them out again. They think that Coach is "eyeful logo" and the classic canvas material is not big enough. The leather series makes people feel that "small expensive" is not worth it. < /p >
    < p > > a > < /a > said, "in fact, the earliest strategy of Coach is not wrong from the market, because at that time China only recognized big names, and" light luxury "was only accepted and popular in recent years. Michael Kors came in late, but its timing was very consistent with its positioning. It never tied itself to "luxury". Instead, it caught the busy young people's heart in China and responded to their lifestyle. It is also the reason why they are now growing rapidly in China. < /p >
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