Youngor Acting U.S. largest suit manufacturer HSM expands China market

As the largest suit manufacturer in the United States, Hart Schaffner Marx (HSM) has been unable to open the Chinese market. In the second half of this year, it will use the network channel formed by Younger Garment Co., Ltd. (hereinafter referred to as “Younger”) to make efforts in this market.

The reporter learned yesterday that, at present, Youngor has signed a 20-year agency contract with HSM to introduce its flagship brand “Hart Schaffner Marx” to the Chinese market, and plans to open 100 stores during the year. This is Younger's first agent of foreign apparel brands.

According to statistics, HSM’s apparel is currently ranked first in the United States, and in addition to Hart Max’s suits, it also operates and represents more than 30 apparel brands. At present, Youngor has established a wholly-owned subsidiary, “Hales Lion Mai Clothing Co., Ltd.” (hereinafter referred to as “Leo Lion Mai”) to represent the brand. The company's distribution, sales and other operations center is located in Ningbo headquarters, and the design center is located in Shanghai.

Hao Tiancheng, General Manager of Lions Mai, told reporters that after more than a year of preparation, Hart Marks has opened 10 stores in Ningbo, Hangzhou, Anhui and other places as "trial operations," and actual sales have also been satisfactory. Therefore, HSM decided to focus on the second half of this year.

"Hart Max's fabrics are basically imported. The garments are processed in countries such as Italy and Turkey. Some of these products will also be processed in first-class domestic manufacturers," said Lou Tiancheng. Hao Lions will be positioned in the high-end market in China.

According to the development plan of Hao Lion Mai in China, the store will be mainly opened in the mall, and select key cities such as provincial capitals and municipalities. In 2009, the store will be expanded to 150 and will reach 300 in three years. The sales of each store are expected to exceed 5 million yuan/year. After the implementation period of the three-year plan, the company may make a correction according to the actual situation, and then determine the plan.

Lou Tiancheng stated that HSM chose to cooperate with Youngor, and also hoped to use the current mature market advantages and network channels of Youngor to quickly open the market. At present, HSM has focused its global overseas expansion on the Asian market, while China is the first key region.

“At present, there are not many domestic brands entering the Chinese market. Chinese consumers are not very aware of this, but we think that the potential for development after entry will be great, and of course the competition is also great,” said Lou Tiancheng.

And it believes that with the large number of US companies entering China, the people of these companies themselves are potential consumers of a group of American clothing brands. At the same time, Chinese consumers will also have different requirements for brands, and will further accept American brands after European brands. "We don't worry that we will not have this market."

On the other hand, Youngor also hopes to use agency HSM to introduce more international brands. Lou Tiancheng told reporters that the cooperation with HSM was the first time that Youngor had used a 20-year contract for a single brand. Currently, Le Lion is also a high-end representative of Youngor's brand differentiation strategy.

The relevant person of the promotion department of Leo Lion Mai revealed that as the first international brand of agency, Youngor also hopes to take this as an attempt. "If the brand goes well, Youngor also hopes to bring in more international big brands."