Second Hand Luxury Bag Store "Milan Station" Performance Fell 35%

It is understood that Milan has 9 stores in Hongkong, and Hongkong is its base camp.

Milan's Hongkong sales fell 23.9% to HK $344 million last year.

AI Bao people should be familiar with Milan station.

The trading brand was founded in 2001. There are stores in Hongkong, Macao, Shanghai, Beijing, Guangzhou and other cities. There are also official flagship stores on the line. The main business is to recycle and sell second-hand bags, leather goods, clothing, etc.

Recently, the Milan station released the first half performance report, the group's total revenue was 400 million yuan, down 35%, a loss of HK $48 million, compared with a net loss of HK $53 million in 2014, a decrease of 9%.

To put it simply, it is like thousands of songs that can be sold in Milan station, and for those who can't afford a brand name, they can buy their favorite bags on cheaper prices, which is favored by more customers in the early days.

Milan has 9 stores in Hongkong, Hongkong is its base camp, but its performance is not good.

According to the financial report, Milan's sales in Hongkong last year dropped 23.9% to HK $344 million.

The biggest reason is related to the downturn in the overall retail industry of Hongkong last year. The number of mainland visitors to Hong Kong has slowed down overall, and the retail industry has been seriously affected.

Coupled with the rise of cross-border electricity providers, overseas travel is becoming more and more convenient, and people who buy luxury goods directly in Europe are also few. Of course, many consumers like to run to Japan and South Korea to "cure all diseases".

Faced with such an embarrassing situation, Milan is trying to remedy it.

The bag is the most important product category of Milan station, which accounts for almost all of the group's total revenue.

Milan has opened up new sales channels last year: auction.

This way allows sellers to enjoy higher bargaining and profit margins, hoping to attract more people to sell bags.

On the other hand, Milan station has introduced more middle end brands to cater for more consumers.

In November last year, it injected HK $12 million into Wei Shi, and it had 14 retail chains, mainly selling THANN brand skin care and home spa products.

Now, Milan station also plans to acquire shares of THANN51%. It is expected to open 4-5 THANN retail stores in Hongkong this year.

Milan station wants to expand its business and make its business more integrated. This is not a bad thing, but now it is still a long time to get the results back in the bad environment of Hongkong's retail industry.