Trinity Ltd is a leading high end menswear retailing group that manages six international menswear brands: Altea, Cerruti 1881, D’urban, Gieves & Hawkes, Intermezzo and Kent & Curwen. The company posted a 50 percent increase in 2011. This year, growth is slowing, but the pace is anticipated to continue for several years.
“We see a slowdown in this (China luxury) market. We are targeting a low teen growth in term of same store and we will probably see a high single-digit same store sales growth in the first half,” said group managing director Sonny Wong. Wong said the luxury retail market may suffer in the first half as economies in some high-growth export-oriented regions in China are affected by the uncertain global economy.
Wong remains optimistic for the second half of 2012. He hopes that spending will rise as banks loosen up on lending curbs, stimulus packages emerge, and investments in infrastructure increase.
“I expect this growth rate will continue for another few years,” he said, adding that his company also faces challenge from rising costs for maintaining a sales force.
The “high-end menswear segment is in its infant stage of development and with so many strong brands under its umbrella, Trinity is set to have a lot of room for growth,” said Elyse Wang, analyst at Haitong International Research.
Wong said the number of stores in China would exceed 400 in 2012, up from the current 370, with a net increase of 40-50 each year.
photo credit: trinity