Domestic market trips up Coach
US-based leathergoods brand Coach has reported that sales fell 7% in the quarter ending March 29 to $1.1 billion, which it blamed on weakness in handbag sales in North America and the Easter holiday falling late in the calendar.
CEO Victor Luis said: "During the third quarter, total sales declined as weakness in our North American women's bag and accessories business continued to offset strong growth in men's, footwear, and robust sales gains in Asian markets and Europe.
“At the same time, China results remained resilient with total sales growing over 25% and comparable store sales rising at a double-digit rate.”
The company presented at New York Fashion Week for the first time in February. “The strong editorial response to creative director Stuart Vevers's inaugural collection brought Coach into the fashion conversation," added Mr Luis.
The big leathergoods brands have generally reported slowing rates of growth over the past few months. UK-based Mulberry last week announced it would reduce its prices to attract mid-range buyers and distinguish it from rival Burberry.
