Company Predicts Continued Growth Throughout The Mainland In Coming Years, Despite Continuing Global Recession
We have written extensively over the past few months about western luxury brands continuing to grow in China despite difficulties in their traditional markets — North America, Europe, and Japan — and how second and third-tier cities are key to these luxury brands’ China strategies. This week, Gucci announced plans to open 2-4 more new China locations by the end of 2009 — while this may sound like a pretty insignificant number, given the size of the country, in these slower economic times it is big news. Currently, the brand has 28 locations in China — with their newest one opening this weekend — and Gucci appears undeterred in their growth plan by uncertainty in the global economy, as the company sees China as poised to lead future luxury consumption.
The Guardian posts this week on the company’s long-term China strategy, which sees the company projecting upwards of 40 stores within the next few years, as it scales back its presence in slowing developed markets and focuses more intently on cracking (and sustaining a presence in) China: