Marc Jacobs Listing Will Be Completed?

As early as the New York fashion week, the rumors about Marc Jacobs have spread: its sub brand Marc by Marc Jacobs (hereinafter referred to as MBMJ) will be merged into the main line brand.

The source confirmed this change to reporters recently, and said: "merging into a single brand will not reduce the category, but will make all products unified and clear design, and external publicity, and ultimately complete the expansion of the entire brand."

In 2013, Marc Jacobs, a Chinese consumer known as "little horse elder brother", left from the position of LV creative director, and returned to New York to concentrate on developing the same personal brand name Marc Jacobs, which is also part of LVMH.

Bernard Arnault, the LVMH's luxury carrier, described her blueprint for Marc Jacobs at the time: "the first step is to form a business scale, which requires a good team building, investment and more products, which take about two to three years."

When it comes to the next step, Bernard Arnault mentioned the possibility of listing.

This has become a big reason why Marc Jacobs has cut off the side cards.

In the past two years, LVMH has not rushed to deploy the Marc Jacobs listing plan.

In July last year, the group pferred Givenchy CEO Sebastian Suhl to Marc Jacobs to hold the same post, aiming to inject new impetus to expand the business and impact the listed brand.

Sebastian Suhl, considered one of the most promising executives in the group, served 11 years in Italy luxury group Prada before joining Givenchy, and successfully completed its listing in Hongkong in June 2011, when he was chief operating officer of Prada.

At this point, Bernard Arnault's ambition is clear: let Marc Jacobs be listed, copy and even surpass Michael Kors, which has been a great success in the exchange.

The US based light luxury brand in Hongkong has a market capitalization of nearly $15 billion (about 93 billion 60 million yuan), exceeding the longer history of Burberry, Tiffany and Coach.

"Brand integration is indeed meaningful for the future listing of Marc Jacobs."

Luca Solca, chief analyst of luxury goods at Exane BNP Paribas, Paris bank, France, told the interface reporter: "moreover, according to our recent research, the global garment market is shrinking, while the middle price is the same.

Because it is welcomed by the retail industry and is growing rapidly.

The merger of the new Marc Jacobs loosened the price range and made it easier in the mid-range market.

Of course, if it wants to become the next Michael Kors, this step will be more meaningful. "

Michael Kors, who has been set up as an example, has withdrawn its Kors by Michael Kors lower price threshold, because its existence will cause consumers to worry about the location of the main line and sub line, and then affect the overall image of the brand.

Dolce&Gabbana's subsidiary line brand D&G is an extreme representative in this regard.

D&G's revenue in 2011 reached 400 million euros (2 billion 680 million yuan), or even more than Dolce&Gabbana.

The two founders of the Italy fashion house, the main line of preserving the brand spirit, reluctantly shut down the sub line brand this year.

Armani was the first concept to use the secondary line brand.

Since 1981 Giorgio Armani tried to create a sub line brand Emporio Armani, most of the fashion brands have launched the corresponding sub line series.

They use the main line as the keynote, luring young consumers whose economic ability is not enough to afford "orthodox" luxury goods.

The price of the second hand and the close to the people has successfully attracted the vast number of consumers, which has brought strong growth for sales.

These products are cheap because of industrial production, and at the same time, they are sold under the aura of luxury brands, so the sales and profits of brands are greatly improved.

Vincent Bastien, a senior manager of the luxury goods industry, wrote in the "luxury strategy": "brand extension is a good marketing strategy in the short term, which is likely to seriously affect brand image in the long run."

Luckily, D&G is closed because it is too popular.

In recent years, most of the "drop out" sub - line brands have not been so lucky to say goodbye to the market as a result of 70% sales of MBMJ.

The US luxury brand Kate Spade noticed that the Kate Kate Spade Saturday was weak in the last few quarters, and the discount rate was too high. It even jeopardize the company's gross margin and share price. In February this year, it announced the closure of all the sub stores.

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Now that it has been surrounded by three sides, consumers can choose to buy more advanced brands, or the brand that designers and big retailers cooperate with.

Luca Solca said in an interview with British professional fashion news website The Business of Fashion in December last year: "designer brands should reexamine the number and strategy of their sub brands.

One solution is to integrate the product of the sub line brand into the main line and present it in a certain way.

As the sub cards fall one by one, the surviving Miu Miu, Emporio Armani and so on become more obvious, and they invariably keep a distance from the mainline.

Prada's sub line brand Miu Miu is also dominated by brand designer Miuccia Prada, but the actual location and style are different, the price is not the same, but also has its own exclusive shop.

Strictly speaking, Miu Miu is more like the sister brand of Prada, which may be the reason why it can not be replaced or merged.

MBMJ, the British creative director Katie Hillier and women's dress director Luella Bartley, who took office in May last year, are still unknown to the two.

It is also unsettled that there is a problem of MBMJ storefront disposal, which is considered to be impacted by brand stores in New York and Losangeles.

According to the official website of MBMJ, there are 36 stores in China, including 12 in Hongkong, 7 in Beijing and 5 in Shanghai.