Gucci'S First Quarter Sales Performance Was The Best In 20 Years.

According to the world clothing shoes and hats net, France

Kering SA recently released its first quarter figures, with sales growth of 28.6% over the same period last year, an increase of more than two times that of analysts.

The superstar of Kai Yun is flagship brand.

In the current quarter, sales grew by 48.3% over the same period last year, the best in 20 years, reaching the goal of 30% before interest rate.

For Gucci, today's performance is a miraculous turn compared with the trough of December 2014.

That year

The bad performance led both the CEO and the chief creative director to run away.

At present, Gucci sales account for about 50% of the sales of the cloud luxury sector, and operating profit accounts for about 60% of the sector.

On Wednesday, after the announcement of the earnings report, the opening price of the cloud opened up to 284.4 euros per share, almost two times that of last year.

Such performance may not be duplicated.

As of 4, 26, the forward price to earnings ratio of the cloud has reached 22 times, far exceeding that of other luxury peers included in Bloomberg think tank.

Market environment

According to Kai Yun, the outstanding performance of the first quarter of this year is in sharp contrast to that of the same period last year, when the demand for luxury goods in China slowed down, and Paris's terrorist attacks led to a weak tourism consumption market in Europe and the luxury industry was in a predicament.

Therefore, the current strong data show that the luxury consumption market represented by China is undergoing large-scale recovery.

Revival of creative director

Another main reason for the rapid growth of sales is the debut of Alessandro Michele, the new Gucci director, last year, and the first online perfume sales strategy for the Chinese market and the first perfume launched by Alessandro Michele are new growth strategies.

Bold print patterns and brand logo of animal elements make the creative director's design style vivid and vivid.

Alessandro Michele's whimsical print and sequins make Gucci a good candy store.

Fans gathered in groups to rush to buy new products, especially online business.

Marco Pozzi, a senior retail analyst at research firm Contact Lab, believes that Gucci is still very good at injecting new vitality into new products while adhering to the traditional essence of the brand.

"Brand revival after the trough" is not new to Gucci, founded in 1921.

In the 60s and 70s of last century, Gucci was popular for a time with colorful flower designs. After that, it got into trouble in 80s and entered into 90s. Under the leadership of Tom fashion designer Ford, Gucci began to enter the Renaissance. In 2001, the brand was controlled by Kai Yun group (PPR) in 2004. Tom Ford left after ten years of Gucci.

Digital strategy

Gucci's digital strategy is more efficient than its competitors. Since Marco Bizzarri became brand CEO in 2015, the brand website has been redesigned and added to richer products.

Online sales surged 86% in the first quarter, boosting the overall online sales revenue of Kai Yun group, an increase of 60% over the same period last year.

Gucci is currently working with some online luxury wholesalers and has launched exclusive capsule series with luxury electric business Net-a-Porter.

This autumn, the brand and the fashion business Farfetch cooperation have launched a 90 minute express delivery service in 10 cities.

In addition, the brand also invested heavily in refurbishing stores, and at the same time moderately reduced sales space and increased retail outlets' efficiency.

In the report, UBS analysts pointed out that several key factors of Gucci growth include product innovation (handbags represented), renovation of stores, and construction of websites.

In view of the outstanding performance of Gucci, Bloomberg columnist Andrea Felsted said that although the brand's printing craze is "hot" for a day, it still occupies an absolute advantage in the short term.

Synergy effect

Therefore, if anyone worries that the growth rate of Gucci will probably slow down in the future, it is too early to worry about this. Once the Gucci growth rate slows down, the synergy of other brands of the group will exert great pull.

According to the world clothing and shoe net, the French luxury brand Yves Saint Laurent (Eve Szentgrolan) opened up to 3.64 billion euros, up 35.4% over the same period last year.

Such a performance is enough to dispel doubts that the industry is worried about changing the creative director's influence on brand growth.

The design of the new creative director, Anthony Vaccarello, has become the new favorite of consumers.

The group's fourth largest brand, Bottega Veneta, has also started to recover. Organic sales for the first time in a quarter have increased for the first time in more than a year.

The sports and lifestyle sector's first quarter sales of German sports brand Puma exceeded 1 billion euros.

Market speculation that the parent company Kai Yun group may take advantage of the pfer of its holding of Puma 86% shares, in order to focus on luxury goods.

But at present, Kai Yun group declined to comment.

More interesting reports, please pay attention to the world clothing shoes and hats net.