Upbeat about the Chinese market, global prominent luxury house Kering Group – that owns Gucci, Saint Laurent and Bottega Veneta – plans to open a minimum of 10 stores across a diverse brand portfolio in China annually to bolster its growth, said a senior executive.
On a two-day trip to participate in the ongoing sixth China International Import Expo in Shanghai, Jean-Marc Duplaix, Kering”s deputy CEO in charge of operations and finance, said that Chinese consumers accounted for 26 percent of the company’s total sales for the third quarter of this year. Looking ahead, they are expected to increase their international travel and make additional purchases in various countries. This market therefore holds utmost importance for the Paris-headquartered company.
Among Kering’s top 10 cities in terms of sales throughout the world, the executive said that five are located in China. This highlights the significance of China as a pivotal market for Kering.
“The reason extends beyond just the business aspect. It is about establishing a meaningful connection with Chinese consumers,” said Duplaix, adding that Kering-which manages a series of renowned fashion, leather goods and jewelry brands-has brought a wide range of product selections to the Six CIIE and the grand event has provided an excellent opportunity for positive dialogues between the French company and the Chinese market.
Highlighting online distribution has become a major industrial trend in China, he said.
Kering’s team in China has been granted the authority to comprehend the local market dynamics by seamlessly integrating technology and merging global resources with locally tailored digital tools.
“Developing a single global strategy is a simpler approach. However, the complexity arises when we aim for a dual strategy that combines the global vision with local teams crafting specific strategies,” he said. “We must maintain a diverse portfolio of brands that resonates with customers worldwide in ways that are locally relevant to them.”
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