Elle CEO sure of Asia's potential for his firm
FABRICE PLAQUEVENT, chief executive of Elle International and chairman and CEO of Lagardere Active Enterprises, yesterday expressed his strong belief in the Asian region as maintaining great business potential for Elle fashion products.
He said the group had also seen the potential of e-commerce business in Asia and other parts of the world.
“E-commerce is now contributing between 6 and 7 per cent of the group’s overall business,” he said. “From my experience in the past ten years, our revenue from e-commerce has doubled every three years,” he added.
“E-commerce is also one of the major driving mechanisms to the growth of our Elle business in Japan and China,” said Plaquevent, adding that the group also believed in the strong potential of e-commerce in Thailand as well.
Plaquevent heads the Paris-based diversified business group Lagardere Active Enterprises, which is listed on the French stock market. The group operates television, radio, Internet, broadcasting and content production businesses, as well as one of the most upscale women’s magazines in the world.
He said Elle had granted more than 150 licences for Elle brand fashion products around the world, covering many categories, including men’s and women’s apparel, fashion accessories such as bags, shoes, lingerie, swimwear, watches and glasses, as well as stationery, home decor, makeup and beauty products.
In Thailand, Elle started granting licences to ICC International about 25 years ago. “About US$1 billion in sales of Elle branded fashion products have been achieved annually in terms of retail value. Almost 70 per cent of those sales are from Asia-Pacific, especially Japan, South Korea, Thailand, China, Vietnam, and Indonesia,” Plaquevent said.
He said the remarkable cooperation between the Elle team in Paris and its Thai licensee ICC International had created a strong drive for business growth in Thailand and elsewhere in Asia. The group has provided maximum support to ICC International and that will promote a win-win situation for the two partners.
Boonkiet Chokwatana, executive chairman of ICC International, said the company had been selected by Elle to be its showcase for Southeast Asia in terms of product design, retail shops, and product innovations, especially apparel.
He said ICC International posted about Bt700 million in sales of Elle fashion products in Thailand last year. This was less than 10 per cent of the company’s total sales of about Bt13 billion.
“However, we believe in the potential of the Elle brand and its products in Thailand. We also started to export the brand into neighbouring countries such as Myanmar, Cambodia and Laos, to test those markets. We aim to increase annual sales of Elle fashion products to Bt1 billion within the next three years,” he said.
Boonkiet said ICC International was developing its e-commerce business, which currently contributes only 3 per cent of its revenue.
“We want to increase the contribution of e-commerce business to 10 per cent within three years,” he said.
Boonkiet said the economic and political difficulties in Thailand had affected the company’s fashion-product business, which would see growth no higher than 5 per cent this year.
