Calvin Klein's biggest event in Asia this year, "The World of Calvin Klein," will be held tonight in Shanghai as the famous brand targets the dynamic China market with fashion, lifestyle, home, and beauty products.
Shanghai's fashion elite must still remember the impressive after-party at the Shanghai Science and Technology Museum thrown by Calvin Klein, featuring very handsome male models in very sexy underwear, following last year's China Fashion Awards ceremony.
A year later, the leading American fashion house is back in Shanghai with a much bigger event -- this time a whole "World of Calvin Klein" -- tonight, at a freshly discovered warehouse in the city's north in the Zhabei District, a venue that no one has used before.
"You will be surprised," says Tom Murry, president and chief operating officer of Calvin Klein Inc, in an exclusive telephone interview with Shanghai Daily. "It will be a spectacular setup, the biggest event of Calvin Klein in Asia this year."
Murry, who has visited Shanghai many times, thinks the city is right for the event because it is "one of the most progressive and high-profile cities in Asia, particularly in China."
"I love Shanghai," he says. "I can't believe the changes in Shanghai in the past few years. It is such a dynamic and high-energy place that I very much enjoy going here again."
Murry, who was also one of the speakers at yesterday's China Luxury Summit 2006 in Shanghai, will be attending tonight's event together with a full lineup of Calvin Klein's creative directors, including Francisco Costa, creative director for the Calvin Klein women's collection; Italo Zucchelli, design director for the Calvin Klein men's collection; and Kevin Carrigan, creative director for ck Calvin Klein.
It will be the first time for the company to introduce the idea of "The World of Calvin Klein" to China. A vast diversity of products, including apparel, underwear, accessories, fragrances, and home and beauty products, will be showcased by 75 models to present lifestyle aspects of the brand.
Since opening its first Jeans store on the Chinese mainland in 2001, Calvin Klein has introduced most of its product lines to the country, most recently the bridge line ck Calvin Klein. So far, it has eight ck Calvin Klein freestanding stores (six in Shanghai), 56 Jeans stores and 56 underwear stores on the Chinese mainland.
It is obvious that the company has recently accelerated its store openings in China. In Shanghai, it has launched the three-floor ck Calvin Klein flagship store on bustling Huaihai Road M. in June and opened a new 102 square-meter Calvin Klein Jeans store at the prestigious shopping center Shanghai Citic Square in September. The Beijing flagship store was opened last month at the China World.
According to Murry, the first store for the Calvin Klein collection, the black label business, is also under construction and is scheduled to open in Beijing next spring. The company also plans to introduce its beauty products to China at about the same time.
"China is one of the most important emerging markets in the world and a major focus for us," Murry explains. "The middle class is rapidly growing and so is the buying power. As the affluence continues to grow, we decided to bring in all of our brands.
"There is an emergence of billionaires, too. Pure luxury brands can achieve sales among these wealthy Chinese while more accessible labels will attract those in the emerging consumer class."
He said Calvin Klein's retail revenue reached US$4.5 billion in 2005, about 15 percent of it achieved in Asia. The retail revenue from the Chinese mainland last year amounted to about US$15 million, with a conservative annual increase of 10 to 20 percent.
"Our business is better than it has ever been," he says. "We're doing well in every region in the world, thanks to the increasing brand awareness on the global basis."
In June, designer Francisco Costa was named the 2006 Womenswear Designer of the Year by the Council of Fashion Designers of America.
"All of us are extremely proud of this amazing achievement," Murry says. "The acclaim and visibility Francisco has got with his runway product as well as celebrity dressing help a lot in terms of awareness and image of the brand."
Also, Calvin Klein has partnered again with super model Kate Moss for the fall 2006 Jeans advertising campaign. In 1992, Moss became a worldwide fashion phenomenon when she was first photographed for Calvin Klein Jeans, and the partnership between her and the Calvin Klein brand continued through 1999.
"Kate has an impactful appeal that will resonate in all our markets for Calvin Klein Jeans around the world," adds the president. "Strong creativity and advertising campaigns could effectively spread the fashion message and create demand. This year our media and promotions budget for China will be triple what we spent here just four years ago.
"Our business strategy is consistent," Murry continues. "We will continue to grow the business by brand, in every appropriate category and in every appropriate region. 'Appropriate' means that no growth would negatively impact the brand image."
He says that outside the United States, the company primarily focuses on the opening of freestanding stores. By the end of this year, it will open about 270 freestanding stores in Europe and Asia (roughly 40 will be in China), and the number is expected to reach 390 by the end of 2007.
"Our business is a complicated business that features over 25 product categories sold in over 75 countries and regions," Murry says. "My job is a great challenge but it is also where I get my satisfaction because we are all doing well.
"It took us nearly 40 years to become a four-billion-dollar brand name," he says. "It's our long-term strategy to approach dynamic markets. We believe it won't take us nearly that long to become a force in the minds of 1.3 billion Chinese."
Murry loves playing golf for leisure and he wears Calvin Klein "from inside to outside."
(Shanghai Daily November 3, 2006)