Coach Gave Himself Three Years Of Pformation.

In fact, Coach.

Just in time for the embarrassment of China's high-end fashion brands.

Since 2013, China's luxury market growth has slowed down, and it has shrunk in 2014. Bain consulting predicts that the situation in 2015 is also not optimistic, luxury consumption or 2%-4% reduction.

In such an environment, luxury brands have mostly stopped expanding. LV even said that after assessing the performance of Chinese stores, they may close some of the second tier cities.

However, the number of Coach China's planned net sales of 2016 fiscal year is 15, and by the end of the first quarter, there are 176 outlets in Greater China.

Although China's luxury sales are not growing as fast as it used to be, in Bozec's view, the middle class, the main force in buying luxury brands, is growing in China.

Alibaba CEO Ma Yun said at the Sino British business summit that China will accumulate 500 million middle class in the next 10 to 20 years.

In addition, compared with the Coach market that has been working for many years, the North American market has less resistance to pforming information in young China.

In 2009, Coach withdrew from mainland China's dealership from Junsi, a Hongkong retail group.

Although Coach handbags, which are full of Logo, have been popular here, but at least they will not be so deeply rooted in the brand as American consumers.

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"This image is not about status. We want to convey a confident, independent and cool American fan."

Bozec told the interface reporter.

As the product line continues to expand, the brand price range has naturally been pulled apart.

For example, a sheepskin coat with a unit price of 20 thousand yuan appeared in the shop.

But Bozec does not think that this represents the change of Coach's luxury position because Coach's high-end garments still have competitive advantages compared with other brands.

He added: "I think consumers do not mind, take a sheep coat, for example, it is the best product we sell.

In fact, we have expanded consumer groups, perhaps some of them are European luxury brands. "

Coach's store strategy is also being adjusted.

In order to free itself from the "discount brand" image, the number of outlets in Coach North America decreased from 207 to 204 in fiscal year 2015.

As of June 2015, there were 150 new concept stores in the world, accounting for about 15% of all stores.

Coach plans to raise this proportion to nearly 40% at the end of fiscal year 2016.

These new stores, jointly completed by creative director Stuart Vevers and American interior architect William Sofield, are different in design details, but they will focus on historical heritage and leather technology.

In the high-end luxury brand shops can often see the resident artisans,

Shops in Hongkong square, Shanghai, can also be seen.

On the left hand side of the first floor is the leather service area. Apart from visiting leather and handicrafts, experts can also be asked to clean and maintain leather, even to print on handbags.

But it is not enough to convey the information of pformation to Chinese customers.

Since 2009, Coach has been involved in digitization. It started with micro-blog and landed in WeChat a year later.

Bozec almost always travels to Guangzhou to see Tencent's WeChat operation team almost every time they go to business.

He told the interface reporter: "first of all, I am a digital supporter. Second, nowadays, the main channel for customers to get brand information is fashion magazines and digital platforms.

In social media, we need to constantly seek new ideas and interact with consumers to stay ahead.

Coach claims that the current number of WeChat fans is 2 million 30 thousand.

After opening the public address, you will find that it will not only regard WeChat as a platform for the dissemination of new products and brand activities, but also embed official website links, entity store positioning and online customer service.

And before we started the interview with Bozec, the first sentence of greeting was also -- did you add the Coach public number?

For the third party e-commerce platform, most European luxury brands are looking forward to their "power down".

But Coach, who belongs to the luxury brand, does not have such a heavy "identity burden". It has a positive attitude towards the electricity supplier.

Shortly after the fall in the Tmall platform this fall, Coach put in a double 11 promotion front.

"Where the consumer is, where the brand should go.

In the eyes of Coach, Tmall is not just a sales platform. We participate because of its high traffic flow, which allows Coach to reach Chinese customers in the shortest possible time and to deliver new Coach to them.

Bozec said.

However, the idea of saving one point is one point. Chinese customers are keen on overseas purchasing.

According to Bain's 2014 China Luxury Market Research Report, it is estimated that the size of China's purchasing market is about 55 billion yuan -750 billion, which is equivalent to about 50% of 2014 sales of luxury stores in the mainland of China.

What is interesting is that many potential customers have noticed that Coach is becoming beautiful by buying on the market, and then go into the shop.

After comparing the price through the official website, part of them choose to buy overseas because of the significant price difference between luxury and abroad.

For most luxury brands, this preference of Chinese customers has brought a lot of trouble, for example, Chanel even decided to adjust the price difference around the world.

According to CEO, although the company has formulated the overall pformation plan, the details of the program in fact are derived from customer feedback, and the brand operation of store location, product display, store purchase and so on is directly linked to customers.

In order to avoid the data loss caused by customers' off-site purchase, Coach on the one hand strengthens the consumption feedback from overseas stores. On the other hand, it hopes to add leather service area, fitting room and rest area through refurbishing storefront, to retain customers and increase their stay in the store.

Coach has given himself three years of pformation, that is to say, the whole pformation will be completed in 2017.

"But I don't think pformation is the end. Even if all our goals are completed in 2017, we will not stop changing and stopping innovation.

Once you stop, you are totally wrong. "

Bozec said.