Japan to take up slack from Cath Kidston China

As Cath Kidston China scales back because of diluted profits, the British handmade accessory chain is rolling out an expansion in other parts of Asia.

It’s prime focus is Japan, where it plans to nearly double its presence over the next three years. South Korea and Thailand are the next two markets flagged for growth.

CEO Kenny Wilson says the company plans to expand to about 55 stores in Japan, a decision based on two independent studies. Known for its flowery prints, the brand is likely to pop up soon in prime spots such as Tokyo’s Shibuya and Shinjuku shopping districts as well as cities like Chiba and Shizuoka.

Cath Kidston also plans to bolster its online presence by creating synergy between its physical stores and e-commerce shop.

Wilson believes the brand’s initial success in Japan comes from its “pretty, feminine, cute and colourful” products. “I think people in Japan like our business, because they love handcraft.” Each Cath Kidston print is hand drawn.

Meanwhile, the brand has been growing about 20 per cent on average across Asia Pacific and expects the demand for design-focused accessories to increase against a backdrop of continued economic growth.

It has upped its output of leather products, tapping into the business market, while collaborative items with Disney have also helped boost sales.

As high rents cut into profitability, the company has shifted its strategy in China. This will see it close more shops and concentrate on e-commerce.

You have 7 articles remaining. Unlock 15 free articles a month, it’s free.