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Burberry expects to increase average retail space in China


http://www.texnet.com.cn  2010-11-05 08:43:08  来源:asiaone 收藏

BRITISH luxury house Burberry has reported a robust financial performance in H1 2010 as the combined successes of its retail, wholesale and licensing divisions resulted in a 17 per cent increase in total revenues.

Burberry's total revenues (excluding Spanish operations, which are currently being reorganised) rose to USD$1011 mil (S$1.3 billion) in the first half of FY2010, an increase of 17 per cent year-on-year.

Investment in Asia has undoubtedly been instrumental in the company's success.

Burberry has recently acquired direct control of its Chinese operations, which will help to further improve its understanding of local consumers, enhance sales and consolidate its position in the country's growing luxury market.

Burberry expects to increase its average retail space in China by 15% in the second half of the year as it acquires the remaining franchised stores and opens new outlets.

Burberry's capsule collections - April Showers and the more recent Winter Storms - highlight how responsive the company is to fluctuations in demand.

They have also proved that the company is capable of constantly surprising its existing as well as potential customer base.

Despite global economic pressures, Verdict believes that if Burberry maintains its highly responsive way of doing business and continues to invest in its operations in Asia, it should be well placed to achieve robust growth this year.

Additionally, in the run up to Christmas, Burberry's core products of outerwear and leather goods will help to drive growth as consumers look to buy special gifts and invest in a luxury label.

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