Coach: Diversify And Break Through The Market.

In the eyes of Chinese consumers, Coach is one of the luxury brands.

However, many people criticised Coach for the huge price gap between China and foreign countries.

The impact is frustrated and so on.

Nowadays, in the face of overseas buying and buying, how to pull consumers back to China is a problem that can not be ignored before Coach.

At the beginning of May, Yang Baoyan, President and chief executive officer of Coach Greater China, shared some of the activities of the Vintage retro series handbag in Beijing.

In his view, Coach revolves around the three pillars of brand pformation strategy.

Stores, marketing, and constantly achieve innovation and upgrading.

Diversify layout and break through market

Reporter: Coach has always been the representative brand of light luxury. What is the specific positioning of the brand and what adjustments have been made for it?

Yang Baoyan: two years ago, we foresee the trend of the future and think that consumers need more diversified products.

Coach is now being pformed into a modern luxury brand that covers accessories and lifestyle products.

In terms of products, the design inspiration is returned to the original place; in addition, clothing and shoes are added to the category of lifestyle, and men's backpacks are introduced, so that the brand can be changed from a single bag to a lifestyle brand, so that consumers can get a clearer picture of the image of Coach and Coach.

Now that consumers are sure of us, we can say that it is our best time.

Reporter: what are the factors that Coach decides to change from a luxury lifestyle to a lifestyle brand?

Yang Baoyan: two years ago, the company decided to pform. The main thing is to enhance the brand image by brand and consider the sustainable development of the brand.

Coach has undergone many pformations in history.

We are not saying that we are not doing well in bags and handbags. Instead, we need to inject vitality into the brand, respond to the rapid changes of the market and consumers, and prepare for the long-term sustainable development.

I think it is time for us to observe the changes in consumers and consumption trends and rediscover them.

How to interact with consumers.

Because consumer demand is changing, consumers buy bags before they are bought to show others. They are showing off. Now consumers are liberated from their hearts. They begin to explore, discover, define themselves and find true selves and values.

Coach also follows the most truthful idea of oneself to do well the brand, explores the real self with the consumer.

Expand sales channels by counter trend

Reporter: in recent years, China's luxury brands have entered the era of "micro growth". Unlike other luxury brands, Coach has been increasing the speed of opening stores. Why?

Yang Baoyan: the concept of Coach store development is to optimize the channels and focus on customer experience. At the beginning, we only opened stores in the four first tier cities in the north, and then the provincial capital cities, followed by three lines and four lines.

In fact, in all respects, the consumption of luxury goods is not as good as before, but Coach is lucky. Two years ago, we began to make brand pformation, which is synchronized with the pformation of consumers themselves.

The market has indeed entered the era of "micro growth", but Coach can also achieve double-digit growth, that is, we seize the pace of change of consumers. In the future, we will expand the channels in the three line cities, but the second tier will not relax. The optimization channel is to better serve consumers.

Reporter: Coach is constantly trying to digitize consumption, including the introduction of e-commerce services on the official website as early as November 2012. Through the Coach official online store, the service extended to a city without Coach shops. How do you view the channel of e-commerce?

Yang Baoyan: Coach has a high degree of enthusiasm for the electricity supplier, and the global management believes that China's electricity supplier development is ahead of the world. We are very recognition of the digital trend. We believe that digitalization will bring us a lot of benefits, such as micro-blog, WeChat platform, and electricity supplier channels. We can not simply regard him as a sales channel. On these digitization platforms, we can provide consumers with deeper services and our brand building opportunities, rather than simply measuring sales figures.

Balancing the development of channels is the kingly way.

Reporter: many people in the industry are criticised. Orter will hurt the overall image of the brand. What do you think of it?

Yang Baoyan: we do not think that the outlets will damage the brand image. For many years, we have been doing consumer research. Customers are concerned about product design, quality and service experience. For example, the consumption of outlets is more value oriented, and the price is more close to the people, but there are still considerable requirements for the service and shopping environment.

Reporter: how do you think you can balance the two channels of Oteri J and Zheng Dian?

Yang Baoyan: today's outlets have also changed a lot, and our brand pformation has been synchronized in many channels.

In the outlets, we are also upgrading the quality and design of products, and the proportion of Coach LOGO products has also declined. This change is synchronized with the change of consumers, and has been recognized by more consumers.

At the same time, we are also upgrading the environment of the outlets, and optimizing services to enable consumers to experience better.

I do not think that orlies will hurt the brand, because now more than brand is developing the outlets, some high-end department stores are also developing ole channel, mainly to bring good products and experience to consumers.

For Coach, it is important to grasp many channels, including brand price stores, outlets and electric providers all do fine and standardized management.