Prada Revenue Growth Of Two Years Negative, Asia Pacific Region Fell 16%

Surrender in the 2014 fiscal year

After the worst grades,

Luxury group Prada (

In the 2015 fiscal year, it failed to save itself.

Prada announced its initial sales in the 2015 fiscal year ended January 31, 2016, dragged down by the Asia Pacific market, and the group revenue fell 0.2% to 3 billion 545 million euros compared with the previous two consecutive years.

According to the financial report, Prada has not failed to turn the tide over the past year, and the major markets in the Asia Pacific region have even worsened.

Although the group stressed that the Chinese market had improved in the four quarter, the Asia Pacific market (excluding Japan), which dominated the Greater China region, fell by 16% compared with the same period last year, or more than 2014 in the 2014 fiscal year.

According to Bain consulting, in 2015, Prada opened only 3 stores in China, less than half of its plan to open stores last year.

In the face of bad performance, Patrizio Bertelli, Prada group's chief executive, again made similar explanations after emphasizing the global economic, political and exchange rate instability in the 2014 fiscal year.

Since 2011

Since listing, Prada regards the Chinese market as the gold market. According to the data of Paris bank, Prada is currently the fourth luxury group that relies on Chinese consumers. The income from Chinese consumers has reached 35% of the group's revenue.

Changes in the Chinese market are particularly important for Prada group.

However, in the past two years, the scale of China's luxury goods market has been shrinking. In the winter of luxury goods, Louis Weedon group, Kai Yun group and Boboli group have taken various measures to deal with them, and can sustain their performance growth. Compared with the decline in performance for two consecutive years, Prada has become one of the worst performing luxury goods groups.

Previously, Swiss banks gave Prada a "sell" rating at a record low price, and questioned the group's policy of pushing the price range of 1600-3500 euros leather products to add more uncertainty to the group.

Insiders said that compared with other luxury goods groups, Prada has invested heavily in the Chinese market, and over reliance on the Chinese market has made the group unstable.

The crazy expansion in the past has made the brand overexposed. Although the younger Miu Miu has performed well, the group's core brand Prada lacks innovation.

While other luxury groups are developing digital marketing, testing water suppliers, optimizing stores and reshaping brands, Prada's response is far from perfect and relatively low.