UK-based luxury retailer Burberry expects to increase its average retail space in China by 15 per cent in the second half of the year as it acquires the remaining franchised stores and opens new outlets.
Burberry’s total revenues (excluding Spanish operations, which are currently being reorganised) rose to $1,011 m in the first half of FY 2010, an increase of 17 per cent year-on-year. The retail division experienced particularly strong growth of 20 per cent.
Burberry has recently acquired direct control of its Chinese operations, which will help to further improve its understanding of local consumers, enhance sales and consolidate its position in the country’s growing luxury market.
Despite global economic pressures, Verdict Research, a leading authority on retailing, believes that if Burberry maintains its highly responsive way of doing business and continues to invest in its operations in Asia, it should be well placed to achieve robust growth this year.
–IndiaRetailing Bureau
