Tourists are spending elsewhere in Europe, says the British leather goods and accessories brand, whose 70% approximate sales are in the UK.
Mulberry’s comparable retail sales outside the UK rose +1% while in UK fell -7% in the 10-week period to June 2. Thierry Andretta, CEO, Mulberry, says the products have been sold at full price during the period, with no discounting, and he remains confident about a turnaround in the near future as the proportion of sales in the domestic and international market will soon reach a 50/50 ratio.
With these new entities established in China, Hong Kong, Taiwan and Japan, the international pace is said to have increased by gaining more audience. Mulberry has also announced a new majority owned business in South Korea to develop the Korean market with SHK. “Our international business is growing and following the completion of this set up phase in Asia, we will focus on omni-channel, digital partnerships and marketing investment in the region”, said Andretta. “Following another period of cash generation, our balance sheet is strong. Although the UK market remains challenging, we will continue to invest in our strategy to develop Mulberry into a global luxury brand to deliver increased shareholder value.”
Mulberry hurt by declining sales in home market – International Leather Maker. (n.d.). Retrieved June 16, 2020, from https://internationalleathermaker.com/news/fullstory.php/aid/5608/Mulberry_hurt_by_declining_sales_in_home_market.html