Kate Spade Collaborate With Link Crawford To Set Up Price Points Of Different Classes.

For many young girls, if you can't afford to buy Chanel 2.55, it's also a good choice to spend 1/10 of their price on a nearly Kate Spade Black Diamond bag.

Moreover, the brand from New York has been selling hot in recent years.

This light luxury clothing brand group becomes

After the first financial year, the company performed well.

Data show that sales of Kate Spade & Co. (KATE:NYSE) increased by $1 billion 139 million in 2014, while it increased by 41.7% from $803 million 400 thousand in the same period last year (18 million of which benefited from the week of the fiscal year over the previous fiscal year).

Market analysts believe that the handbag manufacturer is imitating the Ralph Lauren Kingdom: a brand that sells almost everything from clothing to household products, with a goal to reach the retail sales of 4 times the current sales volume of $4 billion.

Kate Spade's CEO Leavitt focuses on truly attractive products perfume, jewellery, watches, sunglasses, and sets up price points at the same time attracting millions of rich and luxury customers.

"Ralph Lauren is an example for our industry," Leavitt said. As a former Lauren deputy, he is 53 years old. He joined Kate Spade in 2008 and became CEO of his parent company last month.

"We are confident that we can achieve our goals."

In order to achieve the goal, the company is constantly adjusting its sales strategy.

It is reported that Kate Spade intends to close its two sub brand Kate Spade Saturday (low price sub line brand, half the price of the former) and Jack Spade (men's wear) all the shops in the first half of this year.

The reason is that in the fourth quarter of last year, the net income of the two brands dropped to 126 million 500 thousand US dollars, compared with 185 million 200 thousand US dollars in the same period last year.

The company decided to Kate Spade Saturday and

Transition to its exclusive e-commerce website.

A spokesman for Kate Spade Saturday also said that the label of the brand will not disappear completely, and it is expected that it will still appear in the Kate Spade New York shop and its e-commerce website in the future.

Although there is a view that a $4 billion plan for a big brand with only 1/8 Ralph Lauren group is a bold goal.

But Leavitt has made plans for the company.

To boost sales growth in the US, he plans to open new stores and stimulate online sales of 20% of the brand's revenue.

He said retail sales will reach 2 billion in 2016.

At present, the brand has 200 stores in the world.

"The competition in Europe and the United States is becoming more and more saturated, and it is a concentration camps for light luxury brands. In the past year, several luxury brands have focused on the development of Japan and greater China."

An industry analyst told reporters that in 2014, rival Michael Kors (KORS:NYSE) and Tory Burch, Kate Spade, came to China to hold publicity campaigns for major events.

On the other hand, the development of light luxury market is also slowing down, which makes the above brands have to accelerate the layout of the newly developed market in Greater China.

According to reporters, although last year

75% of the sales came from the United States, but Leavitt plans to increase the proportion of international sales that account for less than 25% of total sales to 2/3, and aim more at the Asian market.

Kate Spade seems to be particularly optimistic about the Chinese market.

In February of this year, Kate Spade withdrew its stake in China at the cost of 36 million dollars from South Korean agents.

Kate Spade is working with a well-known fashion buyer chain store, Crawford, to jointly set up a joint venture to set up business in China.

This cooperation is also considered to be one of the signals that LCF is fighting for middle class consumption. Wu Zongen, chairman and chief executive officer of link Crawford group, said: "the Greater China market is changing rapidly, the luxury market is becoming more mature, and the new middle class with superior taste is growing rapidly, bringing new opportunities for development beyond the existing retail business".