// Hotel Chocolat sets eyes on Japan expansion
// The confectionery retailer entered a strategic partnership with Tokyo-based Eat Creator
Hotel Chocolat has set its eyes on expansion in Japan as it teams up with Eat Creator Corporation.
The confectionery retailer entered a strategic partnership with Tokyo-based Eat Creator for growth capital, supply expertise and advice on optimising its brand for Japanese consumers.
As part of the deal, Hotel Chocolat will hold 20% equity in the newly established vehicle and will retain brand loyalty revenues.
The partnership includes 21 Hotel Chocolat stores and their information database of over 200,000 Japanese customers.
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“Our new partner is well equipped to optimise the brand’s potential for Japan, bringing proven expertise, new capital and a natural alignment on brand values,” Hotel Chocolat co-founder and CEO Angus Thirlwell said.
“We are looking forward to combining the ingredients of Eat Creator with the ingredients of Hotel Chocolat into a powerful recipe for our next chapter in Japan.”
The expansion plans come after Hotel Chocolat swung to a £9.4 million loss from a £3.7 million profit last year.
The retailer said at the time it would cut back on discounts this Christmas as a result of the slump, which it attributed to one-off charges due to US store closures and the restructuring of its Japanese joint venture.
The business said without the Japanese impairments, and other one-off charges, its pre-tax profit reached £21.7 million.
