Market leader in the retail footwear market MTI (Intertop, Plato, Ecco) announced plans to significantly expand its portfolio of clothing brands.
MTI is expanding its clothing business. “The company's strategy is to expand the portfolio of clothing brands. Until recently, we developed only two networks - Timberland and Marc O'Polo, ”said Sergey Badritdinov, Managing Director of the MTI shoe and clothing division, yesterday. According to him, the company is in talks to launch another two or three well-known clothing brands next year. In addition, at the end of last year, a youth multi-brand store Urban United was opened (now there are four outlets). This fall - women's clothing Nao Nao (three stores). “Both networks are represented in the middle price segment. For example, in Nao Nao the average check in is $ 150, this is the level of Marc O'Polo, ”Mr. Badritdinov said.
The MTI group of companies, founded in 1991, is engaged in the distribution and sale of computer equipment, as well as the retail sale of shoes and clothes. It unites 217 shoe stores in Ukraine and 20 in Kazakhstan under the signs of Intertop, Plato, Kidditop, Ecco, Geox and others, as well as clothing chains Timberland and Marc O'Polo. Financial performance was not disclosed. One of the co-owners of MTI, according to market participants, is the president of the company Vladimir Tsoi.
The company decided to develop more actively in the segment of clothing stores, as it is a confident leader in the retail footwear market. The reason for the intensification of the opening of clothing retailers in MTI is the desire to expand the business. With the withdrawal of new clothing brands, the company will focus on the middle class. “Now the share of the middle class in the country is small. But we hope that it will grow, ”Mr. Badritdinov explains.
Clothing and shoe retail have a lot in common, so it’s easy to move from one to another segment, says Dmitry Ermolenko, co-owner of Maratex. “MTI has a well-competently developed concept for shoe sales chains, which is very difficult for multi-brand stores,” he notes. But, according to him, you should not expect quick profits - at least six months later, and a maximum - after two. “Whereas in the mass segment and luxury, the store shows profitability from the first days of operation. Of course, it all depends on the brand, ”said Mr. Ermolenko.
Market participants note that many brands of the mid-price segment are ready to enter the market, but retailers are not ready to cooperate with them. “We receive offers, but we refuse them. These are additional risks that we are not ready to bear, ”said Mr. Ermolenko. According to him, the exception is the River Island network, which the company introduced during the crisis. “We saw the positive results of this brand in Russia, so we decided to open it in Ukraine,” said Mr. Ermolenko. According to the forecasts of the Colliers International consulting company, the majority of clothing and footwear retailers by the end of the 2011 year will reduce their turnover by 10-15% compared to the 2010 year, mainly due to the "subsidence" of sales in the second half of the year. About this writes Kommersant. Ukraine".