While British luxury brand Mulberry reported a loss in the first half of 2022 in the UK market, the lifestyle brand saw sales rebound in China and the overall Asian Pacific market despite covid restrictions.
According to data released by Mulberry, its China retail sales grew 6% year-on-year. In the Asia Pacific market, digital sales grew by 23% year-on-year to 3.3 million USD, supported by local fulfilment centres in Japan and the development of strategic partnerships, including China’s homegrown digital marketplace Tmall.
CEO of Mulberry Thierry Andretta stated that the growth in China was not only due to an increase in digital sales but also the opening of a distribution centre in Shanghai, which has facilitated deliveries during the recent lockdowns. The surge in China helped Asia-Pacific retail sales rise 1% overall to approximately 14.6 million USD.
In addition, the handbag maker attributed Asia’s growth in sales to new store openings as well as the launch of digital platforms in China and South Korea. Specifically, the brand opened stores in China’s Nanjing Deji Plaza in April and a pop-up in the Korean city of Gwangju in May.
Since the end of the financial period on October 1, Mulberry has opened a new flagship store at the Battersea Power Station in London as well as launched a duty-free store in Hainan, Greater China. As of December 2022, Mulberry owns 10 physical stores within Greater China and 50 stores in the Asia Pacific region.
“Looking ahead, we are confident in our ability to execute our strategy and to continue to invest across the group. We are well placed for the festive trading period and will continue to drive the business forward to the benefit of all stakeholders,” stated CEO Thierry Andretta, who remains bullish about the brand’s future in China.