Michael Kors announces to close 125 stores

In the cold winter of the Great Depression, the physical store closed wave after wave. The red moments of Michael Kors decided to close in the next two years 100-125 full-price retail store, and behind it is probably not only the decline of the retail department store industry, there are light luxury brand is difficult to escape the “popular, the rapid performance Down “the vicious circle.

Recently, the US luxury brand Michael Kors (Michael Kors, MK) released its first quarter results, which fell 11.2% to 1.06 billion US dollars. Excluding the impact of the new shop, same-store sales fell 14.1%, a net loss of 26.8 million US dollars, while the same period last year net profit of $ 177 million, can be described as “worlds apart.” In the face of a significant decline in performance, MK announced that this year will close up to 125 stores, according to the current total of 827 stores, equivalent to 15% to close.

2014 – 2015 MK this light brand suddenly fire up, swept the same level of Tory Burch, Kate Spade and Coach and other brands. In addition to fashionable design and cost-effective products to consumers like, the crazy shop expansion for its sales growth contributed a lot of strength; but now the myth of sales has been shattered, not only the performance decline, even the stock price than the highest When the down a lot.