Superdry to launch in China
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Superdry was paraded down a catwalk in Beijing to officially launch the company in China.
The launch event showcased some of the key product lines at the British Embassy Residence.
The Rt Hon Sajid Javid MP, Secretary of State for Business, Innovation and Skills was at the event, as well as a strong representation of a number of current and former Chinese government officials.
Mr Javid said: said: “We are delighted to see British brand Superdry join forces with Trendy International Group as they continue to further their international expansion in mainland China.
“For decades, fashion has been at the core of British culture, something Superdry knows only too well. 2015 marks the UK-China Year of Cultural Exchange and both markets have a great deal they can share with each other.
“Chinese consumers have a huge appetite for British brands so Superdry is well placed for success. Good luck to both SuperGroup and Trendy International as they embark on this auspicious partnership.”
The agreed partnership to bring Superdry, the premium British lifestyle brand to China, will see an investment of up to £18 million (180 million RMB), on a 50:50 basis across a minimum period of 10 years. The joint venture was evolved from an initial introduction from the UKTI.
The Chinese apparel market, with a current total retail value of $351 billion, presents an immense opportunity for the Superdry brand, particularly as it is forecast to become the largest apparel and footwear market in the world, overtaking the US this year.
Euan Sutherland, CEO of SuperGroup, said: “Today marks a significant milestone in our joint venture with Trendy.
“2015 marks the UK-China Year of Cultural Exchange and both markets have a great deal they can share with each other.”
“We are excited at the prospect of entering this market with such an established and experienced partner. We look forward to gaining a deep understanding of the Chinese market and customer, and this launch marks another significant step in Superdry becoming a global lifestyle brand.”
The partnership with Trendy, a highly experienced retailer which already operates 3000 stores across China, will offer invaluable market insight and knowledge.
Trendy will utilise their expertise and knowledge of the Chinese market and consumer to manage the joint venture, with a focus on operations and logistics in China, whilst SuperGroup will provide support from the UK, concentrating on brand guidance and merchandising.
Both Trendy and SuperGroup believe Superdry has the potential to flourish in this market as it already has the appropriate product offering, pricing model and infrastructure for effective delivery in China.
For Superdry customers it is about attitude, not age nor demographic. The Superdry product is contemporary and fuses vintage Americana and Japanese-inspired graphics with a British style. With an increasing demand for British brands abroad, Trendy sees Superdry as well-placed.
Jacky Xu, founder and chief executive of Trendy International Group said: “We are delighted to be working with the SuperGroup team to launch Superdry in China.
“Superdry is an innovative British brand, which we believe will sit well amongst our existing brands and have great appeal in the Chinese market.
“Today, there is an increasing shift in consumer tastes in China, as individuals are moving away from the luxury brands to those more influenced by pop culture.
“We believe Superdry is well placed to take advantage of this shift, presenting an excellent opportunity for our new partnership.”
Questions & Answers
Q.What is the expected financial commitment from Superdry and its partner for this venture?
What is the expected financial commitment from Superdry and its partner for this venture?
The agreed partnership will see an investment of up to £18 million, or 180 million RMB. This investment will be made on a 50:50 basis by Superdry and Trendy International Group, across a minimum period of 10 years.
Q.Which government officials attended the launch event for Superdry in China?
Which government officials attended the launch event for Superdry in China?
The Rt Hon Sajid Javid MP, Secretary of State for Business, Innovation and Skills, attended the launch. A strong representation of current and former Chinese government officials was also present at the event in Beijing.
Q.How will the responsibilities for managing the joint venture be divided between SuperGroup and Trendy International Group?
How will the responsibilities for managing the joint venture be divided between SuperGroup and Trendy International Group?
Trendy International Group will manage the joint venture, focusing on operations and logistics in China, using their market expertise. SuperGroup will provide support from the UK, concentrating on brand guidance and merchandising for the partnership.
Q.What opportunity does the Chinese apparel market present for Superdry?
What opportunity does the Chinese apparel market present for Superdry?
The Chinese apparel market, currently valued at $351 billion, offers an immense opportunity. It is forecast to become the largest apparel and footwear market globally this year, surpassing the US, indicating significant growth potential for Superdry.
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