DUBLIN--(BUSINESS WIRE)--Research and Markets (http://www.researchandmarkets.com/research/fkzfqq/michael_kors) has announced the addition of the "Michael Kors Holdings: How to design a winning growth strategy" report to their offering.
Michael Kors operates in the luxury end of the fashion and retail sector. It engages in the design, marketing, distribution, and retail of branded goods. The company started as an American luxury sportswear house in 1981, and in about 30 years transformed into the global luxury accessories, footwear and apparel brand, with a global presence and stores in most prestigious cities in the world.
Highlights
- The global luxury goods retail market, worth $226.6bn in 2012, continues to create growth opportunities. It is expected to grow at a compound annual growth rate (CAGR) of 7.8% towards 2014. Growth is primarily driven by leather goods, shoes, accessories and jewelry & watches categories. Asia was the fastest growing luxury market in 2012.
- Accessories and footwear generate most of Michael Kors' sales and appeal to a wide variety of demographics; the company's target customers are 25 to 54 years old, with annual income above $50,000. Kors' further growth strategy includes targeting a younger, affluent demographic, often overlooked by luxury brands.
- North America is Kors' largest geographical market. It is also pushing to build its presence internationally, mainly in Europe and Asia-Pacific, with revenues in - Europe growing at 182.6% and sales in Japan increasing from $1m in 2011 to $10.2m in 2012. The company has an innovative approach to marketing and is an example of omni-channel retail.
Your key questions answered
- What is the size of the global luxury goods retail market and its primary drivers of growth? Which regions are increasing at the fastest rate?
- Who are the main competitors? What is the size of Michael Kors business? What is Kors' growth strategy? What is Kors' rate of revenue growth?
- How to target wealthy consumers of all age groups?
- How to allow the expansion into more affordable territory without diluting the value of higher-end goods?
Key Topics Covered:
OVERVIEW
GLOBAL LUXURY GOODS MARKET CONTINUES TO CREATE GROWTH OPPORTUNITIES
- Global retail sales of luxury goods increased in 2012
- Luxury goods market is expected to grow strongly towards 2014
- Leather, shoes and accessories are driving luxury sales
- Asia was the fastest growing luxury market in 2012
- Luxury market is cyclical and dependent on consumer spending habits
- Fast response to changing fashion and retail trends is essential
- Luxury fashion competitive landscape
FROM A SPORTSWEAR HOUSE TO GLOBAL LUXURY BRAND
- Michael Kors - luxury retailer present in the most prestigious cities in the world
- From a luxury sportswear house to a global accessories, footwear and apparel brand
- Combining elegance with sporty attitude to target wealthy consumers of all age group
- Kors brands target a broad customer base, keeping luxury image at the same time
- Kors' collections prices range from $20 to $4,000
- Kors collections are carried in leading department stores throughout the world
- Retail segment generated a majority of Kors' business in 2012
- Kors had a total of 237 retail stores, with 71 open in 2012
- Kors wholesale segment reached 2,677 department and specialty stores in 2012
GROWTH DESPITE SLUGGISH ECONOMY
- Despite sluggish economy Kors is growing its revenues at a double digit rate
- Robust revenue growth in all channels
- North America is Kors' largest market, generating vast majority of retail and wholesale business
- European sales increased at a triple digit rate in 2012
- Revenues from Japan increased by $9.2m in 2012
- Kors is targeting younger affluent demographics
- Kors' number of stores increasing at a double digit rate
- Kors spending on advertising up by 14.6% in 2012
- Omni channel approach and innovation are important elements of Kors' marketing
- Responsive design system to capitalize on 425 million smartphone Facebook visitors a month
- Kors marketing efforts resulting in huge y-o-y Facebook fan base growth
CONCLUSIONS
- Multi-channel growth strategy and successful brand management
-
Successful penetration of new geographical markets and reach for wider
audience
For more information visit http://www.researchandmarkets.com/research/fkzfqq/michael_kors