Looking to make China one of its top three markets in three years from its current top-five ranking, French luxury brand Longchamp will accelerate its China expansion.
Just last summer the company announced China will be among the top five global markets by 2013. But things have sped up!
Longchamp’s China business is red hot.
“Our company’s business in the first six months in China increased 67 percent over last year, making the nation the fastest-growing market in our global business,” said Jean Cassegrain, CEO of Longchamp.
Longchamp will add six to 12 stores a year in China in the next three years to its current 13 stores located in eight Chinese cities.
Cassegrain considers Longchamp affordable luxury and expects the brand to appeal to China’s emerging rich, especially the highly coveted professional working women.
The company makes most of its products in France, with less than 10 percent made in China.
With growth in China, Cassegrain said the company will increase manufacturing in China. But noted that it will make sure the quality of the products manufactured in China remains stellar and no different from other regions.
In early 2010, LongChamp bought out its Chinese distributor and localized the management. Buyout of local Chinese partners is part of a trend by international companies, including Burberry and Polo Ralph Lauren, to gain control of their luxury brands.
The company’s top markets by revenue are France, United States, Germany, and Japan.
Longchamp’s recent growth and popularity are also attributed to its collaboration with super-model Kate Moss, who has jazzed up the brand’s classic and conservative image.
photo credit: longchamp