American maker and designer of luxury handbags and accessories Coach plans significant China expansion with 100 stores or more to be opened across the mainland by the end of the year.

The expansion will support its aim to generate at least US$300 million revenue from Greater China in the fiscal year ending June.

“We believe China will surpass Japan as our number two market within the next few years. We’re looking forward to that as a milestone,” said chairman and CEO Lew Frankfort.

“We are building a multi-channel distribution model in China, including flagships, retail stores, shop-in-shops and factory stores.”

Frankfort, who joined Coach in 1979, hopes that as a dual-listed company (New York and Hong Kong), Coach will catch more awareness in China market including Taiwan, Macau and Hong Kong.

Coach, founded in 1941, earned a revenue of US$4.16 billion in fiscal year ended in July. It entered China in 1988 initially through a distributor and took over direct retailing in Macau and Hong Kong between 2008 and 2009.

As at the end of December, Coach had 80 stores across Greater China, 65 of them in the mainland.

GB