Michael Kors Imaginary "Discount Price" Loses Its Reputation In Consumers.

The two consumers, TressaGattinella and KristinLengyel, filed a lawsuit in Manhattan last July in the federal court of the United States to prosecute MichaelKors for using the false "manufacturer's retail price" to induce consumers to buy.

The so-called "manufacturer retail price" will be higher than the normal price, leading consumers to think that "buy prices are lower than the original price, and then psychologically think more discounts."

However, this "manufacturer's retail price" is exclusively for the discount mall outlet, which has never been sold at the so-called "manufacturer's retail price" in a direct store.

In the light of the frequent news of light luxury, MichaelKors also has negative news.

In addition to frequent discounts and losing word of mouth among consumers, this is a case of price fraud.

The current case is US $4 million 880 thousand.

And the brand side promised to change the label "Manufacturer'ssuggestedretailprices" (MSRP) to "

"(value) label.

Half a month earlier,

Released the 2014 quarter of fiscal fourth quarter earnings.

In the first 3 months of March 28th, the brand was the slowest sales growth since 2011.

In the fourth quarter, the group's sales growth was only 17.8%, a sharp slowdown compared with the 74.4% increase in the past 13 quarters.

In the fourth quarter, sales in the same store decreased by 5.8%, while the sales in the North American market decreased by 6.7%.

Subsequently, MichaelKors's stock fell 25%, compared with a record high of 97.6 dollars a few months ago, its share price dropped 50%, and fell to its lowest level since November 2012.

In the first half of the month, Michael Kors was removed from the "best investment list" by Morgan and Stanley analysts because of the sharp drop in share prices.

We also reported that the endless discount of light luxury brands caused market confusion and lost brand value.

In the past 12 months, MichaelKors has added 121 new stores worldwide and is expected to continue to open more new stores. If the company is not fully prepared, it will face an overexposure crisis.

Admittedly, the excessive discount, excessive opening of stores and "price deception" are behind the continuing pressure of brand growth. However, from the perspective of long-term development, these short-term benefits need to be more cautious.