Just Raised The Price To Ascend The Quality Blacklist, How Does The Coach Of The Performance Increase Float?

The problem of clothing pilling can be very small, but as a high-end product quality problem can not be ignored.

In December 3rd, the Shanghai market supervision micro signal announced that the Shanghai municipal market supervision bureau had sampled 255 batches of luxury clothing, silk garments and women's skirts, of which 56 batches failed. In addition to Tory Burch, DKNY, BOY London, Tommy Hilfiger and other brands in the list, the reporter noted that before this rarely appeared in the domestic quality sampling blacklist Coach, this time was not spared.

Although compared to other brands of fiber content is not qualified, including extractable heavy metals and even carcinogenic substances can be decomposed carcinogenic aromatic amine dyes and other issues, Coach products failed to qualifying as a cause of pilling, the seriousness of its problem is not high, but involved in the "quality inspection incident" for last month just announced the earnings report, China's market performance of Coach is not good news.

In November 6th, the first quarter sales of the us light luxury brand Coach Tapestry group fell 1.4% to $1 billion 360 million, and net profit was $20 million, much lower than the US $120 million in the same period last year, but exceeded analysts' expectations. In its earnings report, the group pointed out that the high profit margins Coach handbags in China and Europe offset the downturn in the North American market. Coach chief executive, Joshua Schulman, said in an interview last year that the Chinese market is expected to become the largest source of revenue for the brand in the world.

Perhaps because of the great potential of China's luxury goods market, Coach has just completed a price increase in October. The Beijing Commercial Daily reporter has been visiting Coach Shuang an mall store to learn that since October 17th, except for the latest and individual styles, the price of products in Coach stores has almost risen by 10%. The consultant said that the price increase was due to exchange rate changes, but this argument is not convincing enough. The industry speculating that perhaps raising prices is one of the ways to enhance brand image of Coach, because since 2014, Coach has been trying to transform itself from "accessible luxury" to "modern luxury".

One side is the high profit and upscale product sales brought by product renewal design. On the other hand, the quality of brand products that consumers have trusted for many years is questioned. It is not difficult to explain why the blacklist on Coach has aroused public concern.

Beijing Commercial Daily reporter noted that the discussion about Coach in social media is not low. For example, it is one of the few young people who know most about the social platforms such as bean micro-blog and so on. They have many brands such as "premium, good quality, high cost performance" and other related posts and topics. In addition, there are not a few box opening stickers and videos of spontaneous grass planting such as little red book, jitter and so on. Brand camellia, Todt bag, vegetable basket and roaming bag are once at the forefront of the list.

Although the Coach product has been criticized, the overall quality of brand products has been recognized by consumers. An industry insider told reporters: "compared with many brands of the same grade, Coach's bags and women's wear series can be regarded as a series of conscience, workmanship and cortex exceeding expectations. That's why Coach has been well known and well-known in China. "As for the incident, she quipped:" since you have to sell more expensive, then use anti pilling fabric. "

Reputation and the popularity of social marketing today, the establishment of brand reputation is not easy. The quality of the product is not terrible at the first time. The terrible thing is that the brand behind the pilling reflects the despising of the quality and the consumer panic and distrust caused by it. This point is obvious to Coach, who wants to do something in China.