Despite the fact that the Jolidon brand has been selling in France for almost two years via franchises, Gabriel Cirlig decided it was time to develop his own store network. After Cannes and Lille, Mulhouse is the third city in France where Jolidon will have its own store.
For Jolidon, France - the birthplace of Coco Chanel and Europe's biggest market on the segment of lingerie and corsetry, worth above two billion euros, has always been the most coveted market. The first two Jolidon stores opened in April - in the centre of Cannes (on an over 55 square metre area), and in Lille, in the Saint Amand les Eaux shopping centre (on a 61 square metre area). From October 15, the Cluj-based company will have three stores in France, after opening a store of almost 100 square metres in the centre of Mulhouse. These will complement the 10 shops the Romanian producer has operated by franchisees.
"The development of our own store network, brand awareness and our covering the entire product range with complete collections has visibly boosted our sales," this is how Gabriel Cirlig, founder of the company set up fifteen years ago explains why he started expansion on the French market in 2008 using his own investments.
Cirlig wants to open a further three stores under Jolidon direct management in 2009; two in Lyon and one in Paris, with the contracts already signed. "We'll open in larger areas, of between 80 and 100 square metres, because these two cities are key points on the French market," says Olga Stanciu, deputy manager of Jolidon, adding that the producer is also in talks to rent a few other shopping spaces in France next year. For 2010, Jolidon's French network should include 40 stores, owned and under franchise.
In parallel with its own stores, Jolidon will further expand its franchise network in France, but "at a much slower pace," explains Stanciu.
Much more openings, 23 new stores involving overall investments worth above 1.5m euros, are scheduled to open domestically. Here, the network includes 75 stores, with another 15 due to be added in the next three months. According to the company, sales in Jolidon's own stores in Romania rose by 47.3% in the first eight months of 2008 compared with a year earlier. This figure should be set against the domestic lingerie market, of no more than 150m euros, according to estimates by Maria Grapini.
Overall, Jolidon operates a network of 123 stores, which includes 34 in Italy, 2 in Hungary and 12 boutiques in France. Own stores now weigh 40% in overall sales, which last year hit 60m euros. In parallel, Cirlig further expanded the brand portfolio and production.
With subsidiaries in Hungary, Italy and France, a portfolio that includes 9 lingerie brands and 2 apparel brands, Cirlig expects the company's turnover to climb by over 30% this year from 2007, to around 80m euros.
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