In 1941, at the top of the humble brown building on the edge of the Manhattan Garment Industrial Zone, the founder of the COACH Coach Handbag, Myers and Lilian Kovan, found the baseball gloves, the longer the cortical, Of the characteristics, and the use of this feature in other leather products, so the creation of the COACH Coach handbags brand. COACH Kouchen female package cortical good and durable characteristics by the American consumers like. In the middle of 1990, COACH Coach handbags has become the first brand in the US market, around 1995, its turnover has reached 500 million US dollars.
US COACH Coach handbags
90s of last century, professional women’s dress style has changed, fashionable, leisure wind gradually replaced the traditional rigid and serious suit, the old-fashioned briefcase also began to become fashionable handbags. Also at this time, from the mainstream brands in Europe, like LV, Gucci have entered the US market, these luxury brands fashion design, bright colors, and continue to launch the new season.
With the times of change and competition intensified, COACH Coach handbags performance began to stagnate. “Business Week” has commented: “COACH Coach handbags durable, but conservative and rigid, is a popular brand is out.” Survival crisis prompted COACH Coach handbags bent, in 1995 took office chairman and CEO Lewis Frank (Lew Frankfort), made the determination of change.
In 1996, designer Reed Krakoff joined COACH Coach, a creative director of product design and vision, and led Coach to complete a series of eye-catching product innovations. In order to better show their products to consumers, Krakow also vigorously transformed the Coach store design style and display rules. Before 2000, COACH Coach handbags store looks like a library, Krakow will store the main colors into white, with a larger inside, more bright display space, through the street window can also See COACH Coach handbags introduced new products.
At the same time, in order to meet the new goods every month shelves, COACH Coach handbags all the world’s stores will be based on the requirements of the headquarters, unified adjustment of the product placement, with the new handbag style matching accessories, such as silk Towels, wallets, etc., and even the store’s music also need to synchronize the replacement.
2001 COACH Coach handbag design team launched the brand’s first letter C as the logo of the double C printing, the first time to use the dazzling color as a double C printing, so that consumers can clearly feel, Coach not And then a dull color will only produce “mother bag” brand. Since then, this is known as the Coach logo handbag Signature series, become COACH Coach handbags the most popular design, sales have been high, accounting for 60% of its overall turnover.
In 2000, the glow of the new COACH Coach handbags listed on the NYSE, COACH Coach handbags began to introduce more fashion accessories throughout the line, including shoes, belts, sunglasses, etc., which also means that Coach from a bag manufacturing company Transition to the sale of fashion products brand.
COACH Coach handbags has maintained a superior quality, durable and solid, enough to become a luxury brand conditions, but compared to the traditional European luxury brands, COACH Coach handbags average price of less than half of them. With the unique consumer insight, COACH Coach handbags cut the consumer boom in the prevalence of emerging consumer trends, so, COACH Coach handbags made a clear and impressive brand positioning: “at your fingertips Of the luxury “.
Boston Consulting’s marketing expert Michael Silverstein, through a global consumer survey, found that traditional market segmentation of rational indicators such as purchasing power, risk awareness, culture and lifestyle, has been difficult to clearly describe Consumer preferences for consumption. Because more and more consumers are willing to spend more money on certain categories in exchange for better products or services, and are willing to save on some aspects in order to save money in other categories to buy more High-end products. Fashion products is one of the high consumption of the category, more and more women prefer to live frugally have to buy gorgeous expensive handbags.
In the trend of consumption polarization, the consumption of luxury goods is no longer the privilege of the top rich. Although the European luxury brands in the world are staged with high prices as advertised brand positioning, but compared to low prices not only did not let Coach positioning high-end brand image dust, but become COACH Coach handbags competitive advantage. For those who have both luxury consumer demand and no too much disposable income, COACH Coach handbags just cut their desire for consumer upgrades, which allows COACH Coach handbags can attract a wider range of consumers.
In the US market, LV and other European luxury brands are locked in the family income is 3% of the total income of consumers, while the COACH Coach handbags can be the scope of potential customers to expand to the top 20% of customers in the family income. In the luxury consumption of Japan, COACH Coach handbags known as the “brand-name entry package” or “the first brand-name package.”
So accurately positioned in a strong demand for emerging markets, coupled with a competitive operating model, so COACH Coach handbags from 2000 onwards, the income from the initial 500 million US dollars rose to about 3.2 billion US dollars. And even under the impact of the 2008 economic crisis, lowered the brand’s gross margin, still able to become the world’s luxury goods industry, one of the highest proportion of profit.