Armani takes hold over its business in Mexico and is preparing more openings for its three brands
The Italian luxury fashion group Armani has taken control of its operation in the Aztec country, in full strategic shift in the Mexican market after appointing a new director.
In this new stage, Armani will continue expanding its commercial network in the Mexican market, which currently consists of about twenty points of sale. The company plans to open between three and four stores in Mexico each year.
The new openings will take place in the main cities of the country, where the Italian company already has a presence. In addition, Armani will strengthen its alliance with El Palacio de Hierro, where it operates with EA7 and Armani Exchange.
The group, which began a process of reorganization of its brand portfolio a couple of years ago, is present in the Mexican market with three brands: Emporio Armani, Armani Exchange, and EA7. The latter was the last to disembark in the country, operated until now by the Mexican Sportmex.
Armani's new stage in Mexico will be piloted by Gunter Gonzalez, who joined the management of the company in the country last August. The executive has extensive experience in companies in the sector such as Sociedad Textil Lonia, Louis Vuitton, Lacoste, and Puma.
The changes in the dome of the Italian company began in early 2019 when it lost Livio Proli, CEO of Armani for the last nine years. According to the latest available data, the luxury fashion group posted a net result of 242.4 million euros (268.3 million dollars) in 2017, 10.5% less than in the previous year.
The revenues of Giorgio Armani, meanwhile, stood at 2,330 million euros (2,579.3 million dollars), 7% less than in 2016, when they reached 2,510 million euros. At constant exchange rates, Giorgio Armani's sales fell by 5.8%.
International fashion takes over in Latin America
In addition to Armani, other giants of the sector have dedicated to starting operating in Mexico and other countries of the region directly. The last to announce this movement was Levi's, which took control in Bolivia, Chile and Peru.
In July, Lacoste bought the remaining 50% of its joint venture with Panamanian group Ben Betesh, taking over direct operations in Mexico, Colombia, and Peru.