Coach plans China expansion
US leathergoods brand Coach is planning for China to become its number one market in the next three years by expanding its number of stores in the country, the Wall Street Journal has reported.
The company said it is on track to reach $300 million in sales by the end of this year and aims to reach $500 million in sales from China by 2014, said Victor Luis, president of Coach’s international operations. Coach posted China sales of $185 million in 2010.
“We see China as having more levers at its disposal to manage debt, property, and economic turmoil,” Mr. Luis told the newspaper. “We feel the wind at our back right now in China.”
To reach that three-year goal, Coach has laid out plans to open about 30 stores each year for the next few years, mostly in second- and third-tier cities. Locations include far western Urumqi and Nanning in the southwest.
China is already the company’s fastest-growing market, Mr. Luis said. By year-end, Coach will operate 66 stores year in China’s mainland as well as in Hong Kong and Macau.
