HanesBrands enters new South Korea distribution deal for Champion
today Nov 8, 2019
As part of the deal, the number of Champion points-of-sale in South Korea -- including stores, shop-in-shops and e-commerce -- is expected to nearly triple to more than 30 by the end of 2020, the company said.
LF, which directly operates over 1,400 brand stores in South Korea, said the new Champion stores and shop-in-shops will be placed near the country’s major department stores and inside leading shopping malls. LF said it will also distribute Champion products to its ‘Around the Corner’ multi-brand lifestyle apparel stores, and to other parts of its online and store network.
“We are successfully expanding our Champion store footprint throughout Asia by partnering with leading retail operators and distributors,” said Jon Ram, HanesBrands’ group president, global activewear.
“LF is a highly accomplished large-scale distributor that operates a large network of department stores, shop-in-shops, street shops and internet platforms. We are looking forward to the growth that we can generate through the growing power of the Champion brand combined with the retail, e-commerce and brand building expertise of LF.”
The Korean expansion is set to continue over the next five years.
“Champion…is particularly appealing to younger consumers in their teens and 20s,” added Yoo Hyosang, LF’s managing director.
“We believe Champion has the positioning to be an upscale brand in Korea, and we plan to utilize a dual distribution strategy of opening Champion stores and expanding points of distribution in other store channels and online platforms. We are eager to tap the growth potential of Champion in Korea.”
The deal comes as Champion continues to be a star player in the HanesBrands portfolio, accounting for a major part of the company’s revenue growth. Champion has doubled its global net sales in the past three years with strong double-digit compound annual growth rates in the U.S., Europe and Asia. Moreover, Champion saw a 25% increase in global sales for the third quarter, ended September 28, 2019.
Currently, there are over 200 Champion stores and shop-in-shops located throughout Asia, including Japan, China, Thailand, Taiwan and Hong Kong.
Globally, Champion is available in over 300 stores and shop-in-shops. With stores peppered across Europe, the United States, and Australia, Champion has plans to expand its brick-and-mortar presence to Mexico, Central America and South America.
Copyright © 2019 FashionNetwork.com All rights reserved.