By 2022, the company expects to increase Group sales by an average of between 5% and 7% per year on a currency-adjusted basis. Sales are therefore expected to outgrow the projected growth of the relevant market segment for HUGO BOSS in the coming years. Four key drivers are particularly crucial for further growth:
Quadrupling of sales in the Group’s own online business targeted
The company sees great growth opportunities in expanding its online business. In the coming years, this sales channel is expected to contribute to achieving company objectives with significant above-average growth. Exploiting the potential of the own online store hugoboss.com and expanding the concession model in the online business are expected to contribute to this substantially. The Group plans to quadruple its sales in its own online business by 2022.
Significant improvement in retail sales productivity
HUGO BOSS aims to increase retail sales productivity by an average of 4% annually by 2022. Along with an optimization of the store network, accelerated renovation of existing BOSS stores, expansion of omnichannel services and improvements in product range are expected to contribute to this.
Above-average growth in Asia
The Managing Board is convinced that the Group still has considerable growth potential particularly in Asia. Sales in the region are expected to increase on average at a double-digit percentage rate per year by 2022, with China playing a key role. In doing so, the share of sales from Asia will increase from around 15% currently to 20% in 2022. In addition to the optimization and expansion of the local retail network, the online business, also in cooperation with various multibrand platforms, should contribute to above-average sales growth in particular.
Significant sales increase for HUGO
The company sees great potential for its HUGO brand. In the coming years, the focus on the dynamic contemporary fashion segment should contribute to above-average growth and therefore also to achieving company targets. This entails taking full advantage of the potential of the HUGO brand in the casualwear segment. Furthermore, additional HUGO stores with a unique store concept will be opened, and the HUGO brand will increase its social media activity.