Kai Yun Group Has Fully Incorporated Its Brand'S E-Commerce Business Into Its Own Business.

In November last year, Kering, a luxury luxury group in France, announced a number of digital strategic adjustment measures, including the end of the first half of 2020, which ended seven years of e-commerce cooperation with YNAP.

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On Friday (June 7th), before the group investor day conference, the chief digital officer and chief customer officer, Gr e gory Boutt e, said the partnership between the group and YNAP will officially end in the second quarter of 2020.

With the continuous improvement of its digital capabilities, Kai Yun group is concentrating on increasing the share of online sales through its brand official website and online "store store" mode.

"We realize that e-commerce will develop very fast in the future, which is a key part of brand touting customers, so we will focus on expanding online sales," said Gr e gory Boutt e.

Although Gr AI gory Boutt refused to disclose specific targets for increasing the share of online sales, he said the group is trying to turn the "wholesale mode" into "online store" mode. First, the cooperation mode of the three party fashion business platform, such as Farfetch or Matchesfashion, will be pformed into "online shop" to enhance group sales and profit margins.

Gr e gory Boutt e explains: "every time we turn wholesale business into self run, we will see a substantial increase in revenue because we have more control over the sales process."

But Gr e gory Boutt also added that the group did not oppose wholesale mode and did not intend to completely terminate its partnership with the existing third party wholesalers.

Gr e gory Boutt E also mentioned that the Asia Pacific market accounted for 32% of the total sales of the Asia Pacific market last year, but online sales accounted for only 15%. Compared with the total sales volume of the US market, the proportion of the total sales was only 20%, but the electricity business accounted for 40% of the total sales.

He pointed out: "on the whole, China may be the largest, fastest growing and most permeable market in the global electricity business, but the luxury business has not yet started in China, which is a great opportunity for us to move forward."

At present, Gucci, Saint Laurent and Alexander McQueen of Kai Yun group are available on Jingdong's e-commerce platform, and Stella McCartney and Qeelin brands are available on Alibaba's Tmall e-commerce platform.

In February, the 2018 financial year financial data released by Kai Yun group showed that online sales increased by 71.3% over the same period last year.

On Friday, the group further revealed that online sales accounted for 9.4% of total sales in the fiscal year, including sales of its official website and online store, accounting for 4.7% of total sales.

In addition, Gr e gory Boutt E also revealed that Kai Yun group may be willing to join the LVMH block technology platform developed by rival LVMH to help track the supply chain and certification products.

Last month, LVMH group announced that it will launch its first global block chain certification platform Aura, which will first be applied to its brand Louis Vuitton (LV) and Parfums Christian Dior (Dior) perfume product line.

It is worth noting that in recent years, the major luxury brands are accelerating the digital pformation.

According to Bain Consulting's forecast, by 2025, the proportion of e-commerce sales in the luxury goods industry will account for 25% of total sales.

In 2017, Kai Yun group invited experienced technology executive Gr e gory Boutt e to take charge of electricity supplier, customer relationship management and data management. In 2015, LVMH hired Ian Rogers, former executive of Apple Corp digital music department, as chief digital officer.

In June 2017, LVMH's multi brand e-commerce website 24 S vres was formally launched.

Last month, when Ian Rogers visited the LVMH Luxury Lab on the Viva Technology of the fourth emerging digital technology trade exhibition last month, she also talked about the future digital strategy of the group.