- Kristopher Fraser |
Sales growth has been slugglish for Parisian handbag maker Longchamp, but they have a plan in mind to turn that around. The company is setting their sights on China and the U.S. to boost sales, with a focus set on celebrity endorsements and online platforms.
Longchamp, one of the last remaining independent handbag makers in France, is best known for their fold-up Pliage bags. While many other luxury brands and handbag makers already have strong demand in China, brands like Longchamp are playing catchup to capture their share of the market.
Longchamp, whose top market is their native France, took a hit in 2015 after tourism to France declined after terrorist attacks. In the first decade of the 2000s, Longchamp saw sales growth triple, but they have said sales growth has slowed down significantly since.
Chief executive Jean Cassegrain, grandson of Longchamp's founder, has a plan to see Longchamp outpace growth in the luxury sector, with Bain Capital predicting the brand's sales could rise 6 to 8 percent.
According to Business of Style, Longchamp's sales were 658.11 million dollars in 2015, and they are still estimated to be between the 500 million and 600 million dollar mark.
In China, Longchamp currently sells through the country's WeChat platform, but they have plans to launch their own e-commerce platform there in 2019 to help increase sales.
Longchamp has a very wide network of stores, including 1500 points of sale worldwide and 300 of their own stores, with plans to open more stores in the United States in the near future.