Coach Must Do "Cost Performance".

A few days ago, Coach announced the second quarter of fiscal year 2015.

Coach sales in the period amounted to US $1 billion 220 million, down 14% from US $1 billion 420 million in the same period in 2013. At a constant exchange rate, it decreased by 12% compared with the same period last year. Net profit was US $183 million, a sharp decrease of about 39% compared to the same period last year and a US $297 million in 2013.

Sales in North America dropped 20% to $785 million from $983 million in the same period last year, while direct sales in North America dropped in the same quarter, while same store sales decreased by 22% compared to the same period last year, including the decline in sales of the same store by about 6 percentage points due to the reduction of promotional activities by official online stores.

International sales decreased by 1% to 421 million US dollars from 425 million US dollars in the same period last year.

According to the constant exchange rate, international sales increased by 5%, which is in line with expectations.

Sales in China increased by 13%, and sales in the US dollar increased by 12%.

According to the constant exchange rate, Japan's sales fell by 7%, and the sales volume converted to US dollars decreased by 18% compared with the same period last year, reflecting the weakness of the yen.

Sales of direct operations in other Asian regions were recorded at a constant rate, while sales in Europe continued to be strong, showing double-digit growth.

On the other hand, sales of 17%~19% in North American department stores declined, while sales at international wholesale outlets increased and shipments increased.

stay

Experts, Zhou Ting, President of the Institute of wealth and quality research, does not see that Coach has any practical measures to save the whole brand, and the external competition is fierce.

Zhou Ting told reporters if

To be able to do well in the concept of "cost performance", there are still certain opportunities in the long run.

First of all, in adhering to the quality, Coach must do "cost-effective" and continue to enrich products; secondly, it can continue to follow LV to enhance the quality of individual store services, experience and upgrading of individual stores.

In addition, Coach has announced high-level personnel pfers to streamline and strengthen business units and global marketing and digital teams in North America.

AndreCohen, a fast growing Coach in China and Asia, and President and chief executive officer of China and Asia, will be promoted to President of North America.

In addition, DavidDuplantis, incumbent global digital and customer experience president, will increase global marketing and customer intelligence analysis.

The former North American retail business President FrancineDellaBadia and former StephanieStahl, which are responsible for global marketing and strategy, will leave the group in February.