Ferragamo's special-edition Chinese New Year handbag for the year of the horse. (Ferragamo)
Although China’s crackdown on official gifting placed a major dent in the country's luxury sales growth in 2013, Salvatore Ferragamo S.p.A.’s just-released year-end financial results demonstrate that it’s possible for some brands to avoid the trend.
According to Ferragamo's preliminary consolidated revenue figures for the 2013 fiscal year, Asia-Pacific growth gained a boost y=from 20 percent year-on-year growth in China’s retail channel, causing the region’s share of the brand’s total global sales to rise by 10 percent for the year. Sales must have picked up at the end of the year, as half of this growth was achieved in the fourth quarter. The region now comprises 37 percent of Ferragamo’s global sales.
These numbers contributed to the company's 9 percent annual global growth at current exchange rates. According to a previous statement by the company, Chinese travelers provided a major boost to sales outside Asia. Sales in the wholesale and travel retail channel grew by 14 percent compared to 2012.
According to Ferragamo CEO Michele Norsa in an earlier statement to Reuters, there’s a simple reason that the company’s sales have defied the anti-corruption policies: its premium leather goods products aren’t being bought for official “gifting” purposes. "Shoes are our core category and in fact a shoe is not a gift, shoes are something you buy for yourself," he said.
For Chinese New Year, the brand is offering several special-edition year of the horse products, including a gold handbag, scarf, tie, and keychains.