2018 China And Electricity Providers Become The Top Priority Of Ralph Lauren

It will usher in brand 50th anniversary in 2018, and the company will continue to make progress in its pformation plan.

According to the world clothing and shoe net, under the leadership of chief executive Patrice Louvet, China

Still the top priority. The company will continue to develop its business in China.

The most important area for performance growth.

In addition, the company will launch a new e-commerce platform in 2018 to carry out product iteration, increase investment in marketing to attract new generation of consumers, and establish global influence.

In the last quarter of September 30, 2017, Ralph Lauren earned $1 billion 480 million and net profit of US $1 billion 660 million. Louvet said that in the remainder of the fiscal year, the company will continue to focus on efficiency improvement and is expected to achieve its full year target as expected.

In a conference call with analysts last November, Louvet said that over the past two years, Ralph Lauren had improved its status in the Asian market and established a strong foundation in Asia by improving its sales quality and overall profitability, but it was interesting that only 13% of the company's overall business was carried out in the region.

In the 2017 fiscal year, Ralph Lauren created about $50 million in revenue in mainland China, accounting for less than 1% of its total revenue. According to the data of Millward Brown Vermeer, Polo's brand recognition in mainland China was 83%. "This is a much higher figure than any of our competitors, and their penetration in China is higher than ours.

We will also promote growth in marketing and distribution, both online and physical.

Louvet said.

CEO Patrice Louvet

With regard to the 2018 plan, the company will continue to tailor social media content to Chinese consumers and sponsor a number of Chinese artists. The total number of fans is nearly one billion.

Ralph Lauren successfully landed Tmall and Jingdong e-commerce platform in the second quarter, and put ads on WeChat.

Consistent with these figures is the expansion of the number of Chinese stores. In November of this year, Louvet said that the company has opened 15 small stores in mainland China so far, and the number is expected to increase to 60 in the 2018 fiscal year.

Interestingly, compared with other regions, China's market demand for fashion products is greater, and accessories penetration is higher. If Hongkong, Macao and Taiwan are included, the goal of Ralph Lauren in Greater China is to achieve nearly $500 million in five years starting from the 2017 fiscal year.

The problem of Ralph Lauren in the North American market is mainly due to overpriced brand outlets. In order to improve the quality of sales and distribution, the company has been reducing shipments to non price channels and reducing wholesale sales of department stores.

Last year, it was reported that Ralph Lauren was reorganizing its advertising department, paying more attention to digital business as a way to attract new generation. The company launched the "digital first" plan to tell consumers the most concerned brand story on the platform in the latest way.

The direct electricity business of the company declined by 18% in the second quarter. In this regard, the company continued to reduce sales promotion activities to ensure channel price consistency and enhance online consumers' overall brand shopping experience.

Some market experts believe that the practice of Ralph Lauren is correct. When asked whether it believed that Ralph Lauren could successfully turn the business, Hilldun CEO Gary Wassner affirmed that in the past few years, the brand was only diluted with a little value, and it is still possible to turn over the market after finding its own essence again.

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