RM Williams coming to China
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Boot retailer RM Williams will open stores in China later this year, according to a report by the Australian Financial Review.
The decision to expand into the fast growing consumer market was made by brand-owner L Catterton Asia, with chairman Ravi Thakran telling the AFR he expected at least a 50 per cent lift in earnings and a 40 per cent increase in sales supported by the expansion.
The Chinese market has been rapidly proving its worth to retailers, with Starbucks China vowing to double its store-countover the next five years and Prada sales slipping in every market barring China, where it saw a modest 4.6 per cent growth.
A recent report by Azoya Consulting and Frost & Sullivan found that 87 per cent of local brands view the market as a lucrative opportunity – with over 500 million online shoppers in China.
The study found that Australian retailers are moving to invest in their owns paths to the Chinese market, hoping to sell directly to the consumers rather than through e-commerce platforms.
Questions & Answers
Q.When will RM Williams stores open in China?
When will RM Williams stores open in China?
RM Williams is planning to open stores in China later this year. This move signifies their expansion into the fast-growing Chinese consumer market, as decided by brand-owner L Catterton Asia.
Q.What are the anticipated financial benefits of this expansion?
What are the anticipated financial benefits of this expansion?
Chairman Ravi Thakran expects at least a 50 per cent lift in earnings and a 40 per cent increase in sales. These projections highlight the potential financial growth from entering the Chinese market.
Q.How are other international brands performing in the Chinese market?
How are other international brands performing in the Chinese market?
Starbucks China plans to double its stores in five years. Prada also saw 4.6 per cent growth in China, while its sales slipped in all other markets, demonstrating the market's strength.
Q.How do Australian retailers generally view the Chinese market?
How do Australian retailers generally view the Chinese market?
A recent study found 87 per cent of local brands consider it a lucrative opportunity, with over 500 million online shoppers. Australian retailers are aiming to sell directly to consumers there.
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