×
461
Fashion Jobs
ESME CONSUMER PVT.LTD
Area Sales Manager
Permanent · Asansol
SUN PHARMA
Manager - Project Management Office(Pmo)
Permanent · Guwahati
ESME CONSUMER PVT.LTD
Area Sales Manager
Permanent · Bengaluru
ESME CONSUMER PVT.LTD
Area Sales Manager
Permanent · Aurangabad
ADITYA BIRLA FINANCE
Sales Manager - Business Loan - Dsa Channel For Gujarat Location
Permanent · Bharuch
NATURES ESSENCE
Area Sales Manager
Permanent · Ahmedabad
DR LAL PATHLABS
Area Sales Manager- Haldwani | dr Lal Pathlabs
Permanent · Haldwani
360 REALTORS
Sales Team Leader/Area Sales Manager/Sales Manager
Permanent · Pune
NIKE
Lead Technical Product Manager, ed&a – Tpmo
Permanent · Bengaluru
PENNAR INDUSTRIES
Sales Manager - Solar Panel
Permanent · Hyderabad
ADIDAS
Manager Information Security
Permanent · GURUGRAM
ADIDAS
Senior Technology Consultant
Permanent · GURUGRAM
ADIDAS
Senior Technology Consultant
Permanent · GURUGRAM
ADIDAS
Senior Manager Information Security
Permanent · GURUGRAM
ADIDAS
Manager Information Security
Permanent · GURUGRAM
DANIEL WELLINGTON
IT Support Specialist
Permanent · NAVI MUMBAI
NIKE
Manager, Product Management, Partners & Marketplace Engineering – Tpmo
Permanent · Bengaluru
BAJAJ FINANCE
Area Sales Manager
Permanent · Bengaluru
CHAMPION JOINTINGS
Area Sales Manager - Banglore - Coimbatore - Chennai
Permanent · Mumbai
CHAMPION JOINTINGS
Area Sales Manager - Hyderabad - Vishakapatnam
Permanent · Mumbai
DIAMOND WHITE CEMENT
Area Sales Manager/ Sales Officer/ Sales Manager- Paints & Putties
Permanent · Begusarai
DIAMOND WHITE CEMENT
Area Sales Manager/ Sales Officer/ Sales Manager- Paints & Putties
Permanent · Begusarai
By
Reuters
Published
Jun 9, 2011
Reading time
2 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Luxury goods maker Prada vs peers

By
Reuters
Published
Jun 9, 2011

June 2 - Fashion power house Prada is the first Italian company to seek an initial public offering in Hong Kong.

Prada
A model presents a creation by Prada during the Milan Fashion Week Spring/Summer 2011 (Photo: Corbis)

Analysts say an increasing exposure to Asia, a focus on leather goods and a strong retail network can be key drivers for growth at Prada and other luxury goods makers.

Here are some facts about Prada and its peers.

GROWTH POTENTIAL

Milan-based Prada, known for its leather handbags and Miu Miu dresses, is among the world's best known luxury goods makers, along with names such as LVMH's Louis Vuitton, PPR's luxury unit Gucci, Hermes, Burberry and Tod's.

With net sales of over 2 billion euros ($2.9 billion) in 2010, it grew twice as much as the luxury sector average, according to research from one of the listing bookrunners seen by Reuters and which was not distributed to the media.

ASIA FOOTHOLD

Greater China and the rest of Asia-Pacific together account for 40 percent of Prada group's sales, more than that of peers.

However, Prada's sales of 646 million euros in Asia (excluding Japan) were less than that reported in the region by Louis Vuitton and Gucci.

Europe remains Prada's biggest market, accounting for 42 percent of sales.

RETAIL BOOST

Prada generates 71 percent of its sales from its own retail network, compared with 54 percent in 2009. That is close to Gucci and Hermes (73 percent and 77 percent, respectively) and ahead of brands such as Tod's (51 percent), Burberry (63 percent), Richemont (50 percent) and Swatch (17 percent).

Analysts say Prada and Miu Miu are under-represented in terms of number of stores in Asia relative to peers, especially in second and third-tier cities.

LEATHER GOODS

Leather goods, which offer higher margins, are expected to be the fastest-growing category for Prada, whose roots are in the leather business. The division accounts for 50 percent of revenue, close to Gucci (55 percent) and Hermes (50 percent).

An equity research note by Goldman Sachs seen by Reuters expects leather goods to account for 53 percent of sales by 2014.

Other luxury goods makers such as Ferragamo, Burberry and Tod's are boosting production of leather bags and accessories.

(Compiled by Antonella Ciancio; Editing by Will Waterman)

© Thomson Reuters 2022 All rights reserved.