Arcadia owner Sir Philip Green has said that fashion retailer Topshop’s launch in Hong Kong yesterday is a “stepping stone” to a further roll-out across China as the group works to strengthen its offering across emerging markets.
Yesterday, Topshop opened a 14,000 sq ft store in Hong Kong’s central business district, becoming the latest retailer to expand into the flourishing Chinese market following recent launches from Abercrombie & Fitch and Victoria’s Secret.
Such strong demand is driving significant rent increases in the country and Green noted that high costs make scouting for suitable locations particularly complex.
“It’s been hard as most retailers will tell you, finding the right location in Hong Kong, at a sort of sensible price,” The Telegraph quoted Green as saying.
“It’s very, very tough. So this just came up, and fortunately we were able to put it together very quickly.”
Success in the region has spurred on plans for further expansion and Green said that the retailer is keen to launch two flagship stores in the cities of Beijing and Shanghai, though highlighted the importance of knowing the local market to ensure growth.
“I’d like to have a flagship in Beijing and a flagship in Shanghai. If we can find 2,000 to 3,000 square meters – we’d like to have a Topman as well – if we can find two locations, off we go.”
Green also told the Financial Times: “Giving away a big country on day one – why would you do that?
“You need some local expertise, but I’m not afraid to open one or two on my own.”