Fosun Fashion Aims To Expand Brand Management Companies In China.

In February 21st, Fosun fashion group announced the establishment of FFBM, a company that specializes in brand expansion in China, including retail sales and wholesale, sales, marketing and communication, human capital and complete backstage support.

It is reported that FFBM's team has over 15 years of operation experience in China.

Cheng Yun, chairman of Fosun fashion group, said that the establishment of FFBM is an important milestone in the development of the group.

"FFBM can help Fosun control its brand performance maximally, and overseas brands can also add value to the Chinese market."

FFBM CEO will be appointed by Chen Yuanlong. He was the founder and CEO of UCCAL, a fashion brand operation group. He helped Roberto Cavalli, A. Testoni, Isaia, St. John and other brands to develop the Chinese market.

The group was acquired by Li Feng Group in 2014.

Chen Yuanlong believes that China has become the core market of many brands, and will continue to prosper in the future, and will grow into one of the world's top consumer markets.

Therefore, FFBM has a large potential customer group.

Since the establishment of Fosun fashion group in 2018, the fashion road opened by Fosun International Group has become more regular and clear.

Fosun fashion group is responsible for managing the business of fashion related assets in the enterprise and looking for opportunities to invest in various global flagship brands.

After a wave of intensive overseas acquisitions in 2018, now Fosun is holding a majority stake in Austria's high-end underwear brand Wolford, France luxury brand Lanvin and other famous brands.

Recently, Fosun also bought a German clothing retailer Tom Tailor, after Fosun held some of its shares and helped expand its market in China.

In addition to these brands, Fosun also has Italy men's wear Caruso, Israel cosmetics company Ahava, American women's wear brand St. John and Greek fashion group Folli Follie and other fashion brands.

With the increasing number of brands, Fosun fashion set up FFBM at this time, marking the determination to deepen the fashion business.

After buying overseas brands, how to help them operate, marketing and expand in the Chinese market is a challenge.

For example, when Fosun fashion acquired Lanvin in February 2018, the industry took a sweat for it.

At that time, Lanvin turnover decreased by 32.9% compared to the same period last year, with a deficit of about 27 million euros.

According to industry sources, Lanvin needs more than 15 million euros in wages and suppliers from the end of February 2018 to the beginning of March.

The creative leaders of the brand have changed over the past 3 years, and word of mouth is not as good as once.

Therefore, after the acquisition of Lanvin by Fosun fashion, it is still necessary to implement the strategy of brand recovery.

Until January this year, Lanvin finally finalized the designer Bruno Sialelli as the brand new creative director.

He served as the design director of Loewe Menswear, and he was a leading designer of Balenciaga women's clothing and a designer of Acne Studios senior women's wear under the leadership of Nicolas Ghesqui re and Alexander Wang.

Sialelli's Lanvin debut will be released in Milan fashion week in February 27th.

It is reported that after the establishment of FFBM, it will take the lead in the operation of Wolford and St.John in the Greater China market.

With FFBM, a company that specializes in brand management, the professionalism of Fosun fashion in the "acquisition circle" will also be strengthened.

In addition, in the future, Fuxing fashion can also be popular in the Chinese market and gain more opportunities through FFBM.

"Next year will be a year in history," wrote McKinsey and BoF fashion business review at the end of last year's 2019 annual report on global fashion format.

According to the report, China will surpass the US for the first time in 2019 and become the world's largest fashion market.

Although in the second half of 2018, UBS had predicted that the pace of China's luxury consumption would be greatly slowed down, but it also had different views.

Wang Jiaqian, global partner and managing director of Boston consulting company, said that the interest of Chinese middle and upper level consumers in luxury consumption has just broken out, and consumers' willingness to consume is very strong.

Therefore, there will be more and more brands that want to enter the Chinese market under the environment of China's fashion market growth.