Kate Spade Jointly Link Lac To China Market

In addition to the joint venture, Kate Spade & Co. also announced the withdrawal of partners E-Land Fashion China Holdings Limited

China's subsidiary company KS China Co. 60% equity, KS China Co. is acting Kate Spade & Co. China market company, the paction will be completed in February 2015.

Since then, Kate Spade Hong Kong and Walton Brown will hold 50% Kate Spade China and KS HMT KS respectively, and the contract period will be 10 years.

To this end, Kate Spade & Co. will pay $36 million for China E-Land of Korea E-Land, and Walton Brown will contribute $21 million to the equity adjustment of the joint venture company.

& Co. will spend an additional $5 million in restructuring fees.

According to the two sides' statement, Kate Spade & Co. will set up 100 stores in China in the future.

European and American markets

The intense area is saturated, and is a light luxury brand concentration camp. In the past year, several light luxury brands focused on the development of Japan and greater China. In 2014, Kate Spade & Co. competitors Michael Kors Holding Ltd. (NYSE:KORS) and Tory Burch were all coming to China to organize large-scale events.

On the other hand, the light luxury market also has a slowdown trend, which makes the brands have to accelerate the development of the Greater China market.

29 days ago, the old luxury luxury brand Coach Inc. (NYSE:COH), Coach, released the three quarter earnings. Its performance is still known as the strong trend of Western surplus East. The 20% quarter of the group's sales in the two quarter of the North American market shrank from 983 million US dollars to 785 million US dollars in the previous year, and the same store sales continued to decline, dropping 22%, and a sharp decline in the seven quarter.

The latest financial report released by Kate Spade & Co. in early November 2014 also showed a slowing trend. The company's sales in the same quarter as in the three quarter of October 4, 2014 increased by only 15.2%, half of that in the two quarter.

In the two quarter of September 27, 2014, Michael Kors sales slowed to 16.4% in the same quarter, with a growth rate of only 10.8% in the North American market and two in the two quarter.

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The recent shopping mall in Financial Street, Lane Crawford general store, because of the "Fantasia" Christmas special event, makes the tall and cheerless Asian top buyer department store Beijing shop romantic and lively.

The prime time of last Saturday evening at six or seven, the Beijing Commercial Daily reporter came to the 7400 square meter business area, a total of three layers of shopping center in Beijing, Financial Street, Crawford department store survey found that about one hour, 117 guests into the shop, the actual number of 27 people, the bag rate of about 23% when going out.

Among them, there were six groups of 30 year old, two men and two women who entered the shop. Among them, there were young ladies with delicate makeup and beautiful clothes. The men were neat from head to toe, and others wore the limited edition coats of Alexander Wang and H&M who were snatches away last month.

However, none of the six groups of 24 tide shoppers traded in shopping.

At this time, it is just before Christmas that there is a high popularity period for preferential activities.

On weekdays, the shop in Beijing Financial Street shopping center often fails to see a few guests in half a day. Its business hours have also been shrinking since its opening in 2007. It is now open from 11 noon to 8:30 pm.

In the eyes of international fashion brands, the mainland market is a piece of fat. The booming consumer market is constantly changing, and emerging consumer groups are gradually forming.

However, the embarrassment is that it can appreciate the group of customers who buy costumes from Asia's top buyer team, but can not afford to pay 30 thousand -4 yuan per unit price.

"Whether it's Financial Street's Lafayette or Xidan's old Buddha's department store, you go to observe the passenger flow there, most of them are twenty or thirty year old young people who are willing to shop in these leading boutiques, but have no corresponding purchasing power."

Qiu Zhengwei, general manager of China Danish luxury brand Rosemunde, told the Beijing Commercial Daily reporter.

The same prime time, last Sunday night six or seven points, one hour, 62 people into the shop, the actual number of 8 people purchase, bag rate of about 13%.

This time, it was the largest local buyer shop, P-Plus, located in the shop of the overseas Chinese shopping center.

Its core product price is concentrated at 2000-6000 yuan, and its business area is about 60 square meters.

This means that P-Plus, represented by Furla, Jil Sander Navy, Robert Clergerie, Daydream Nation, and other high-end high-end fashion brands, has created nearly 5 times the efficiency of Lian Crawford in one hour with the business area of 1/125 Lian carver.