Business News March 2018

TFL publishes every month business news with focus on the leather industry, on a worldwide basis.

Shoe prices increased in 2017

Prices in the textile and leather goods retail trade increased less than the overall indices. According to the Federal Statistical Office, prices for shoes, however, rose above average. In 2017 compared to 2016, in the retail price index the trade with garment increased from 106.5 to 107.9 (+1.3 percent). In the shoe trade an increase from 107.3 to 109.7 (+2.2 percent) was calculated; the leather goods trade the index rose from 109.4 to 110.6 (+1.1 percent):

Kavat founds German subsidiary

Swedish shoe manufacturer Kavat will launch an own limited liability company in Germany. As of March, Christian Adams will be the responsible Country Manager for all activities on the German market. Together with CEO Magnus Ericson he will also become the joint Managing Director of Kavat Germany Ltd. In the newly created position Adams will be responsible for the distribution as well as for all operative decisions in the DACH region.

MyTheresa founders launch online business

MyTheresa founders Susanne and Christoph Botschen are launching an online shop for designer shoes. The site "Martha Louisa" is already online, however, it will only be activated later on. The offer will comprise designer brands such as Dolce & Gabbana, Prada, Gucci, Gianvito Rossi or Valentino as well as smaller labels like Aeyde, Trademark or Vibi Veneza. Three years ago, the two MyTheresa founders have sold MyTheresa for 150 million Euros to the Neiman Marcus Group.

Reno group wants to buy Surf4Shoes

The Hamm-Reno group is obviously planning to enter the online market place business. The shoe dealer from Osnabruck wants to take the over the majority of the surf4shoes ltd. This information emerges from a report to the Federal Cartel Office. According to the report, the HR group wants to take over more than 50 percent and the exclusive control of the online dealer.

ISPO under the sign of digitalisation

The snowy winter has increased the interest in winter sports products at the sport specialist fair ISP taking place from the 28th to 31st January and thus, caused the corridors to be full during the four fair days. However, with 84,000 specialist visitors from 120 countries fewer guests than in previous year (2017: 86,841) attended the fair. Besides the latest sport equipments the 2,801 enterprises presented news and trends from the sectors outdoor and health & fitness. The fair focussed on the growing digitalisation of the sports branch that was reflected by the new event format ISP Digitize.

Another record year for Skechers

The American lifestyle brand Skechers has had another record year. The turnover in 2017 rose by 16.9 percent to 4.16 billion Dollars. Strongest growth sectors were international wholesale (+24.3%) and the worldwide retail business (+21.9%). The wholesale turnover on the US market, however, declined by 4.1 percent. The turnover of the company owned stores rose by 7.2 percent. At the end of the year there were 2,570 Skechers Stores worldwide.

Bally becomes Chinese

The Chinese textile and garment giant Shandong Ruyi Group has acquired the majority of the fashion enterprise Bally. The previous Bally owner JAB, behind which is the German billionaires family Reimann, will keep a minority share. There has been no information about the sales price.

Puma surpasses 4 billion in sales

For the first time in company history, the sports goods manufacturer Puma SE has reached a turnover of 4 billion Euros. After adjustment for currency effects the turnover rose by 15.9 percent to 4.136 billion Euros (+14.0% in the reporting currency Euro). The operative result (EBIT) improved by 91.7 percent to 244.6 million Euros. Shoes remained the product segment with the strongest growth rate and showed an increase in turnover for the 14th quarter in succession.

Micam with stable result

After four days, on the 14th February, the Italian shoe specialist fair Micam has closed with stable visitor figures. In total 44,227 visitors attended the 85th edition of the fair at the fair grounds Rho in Milan. 383 less than in previous year. 60 percent of the buyers came from abroad. Again Russia was the strongest visitor group (+22%).