LONDON – UK apparel retailer, House of Fraser, will begin stocking premium Chinese brands across its 59 department stores as part of parent company Sanpower’s efforts to to enhance the image of goods made in China. Sanpower hopes to use House of Fraser’s luxury reputation and brand recognition to convince UK consumers to consider the burgeoning Chinese luxury goods market. Sanpower purchased House of Fraser in 2014 in a £480m deal, however, the business has struggled in recent times amid an extremely challenging trading period for traditional department stores.
Sanpower Group’s move is part of a strategic supply chain programme designed to create a pathway for premium Chinese brands to access the UK, Europe and rest of the world through House of Fraser.
The initiative supports the Chinese Government’s ‘Belt and Road’ vision, which is designed to boost trade and stimulate economic growth across Asia and beyond.
Under the programme, the new Sanpower Supply Chain and Branding Management Centre will undertake and manage House of Fraser’s trade orders, in a move which it claims will increase the breadth and depth of in-house products and shorten product development cycle and delivery.
Kong Jun, Sanpower’s New Commerce Industry Group CEO, remarked: “This is a great platform for premium Chinese products to reach the UK and further afield across Europe. Chinese manufacturing has transformed in recent years from extensive processing and production into a new era marked by independent designs, proprietary brands and innovation. We are excited to use our tremendous network of resources and cross-border retail expertise to bring the best of Chinese retail to the UK market in a way that brings great value to customers and brands alike.”
Simon Pickering, House of Fraser’s UK global product sourcing spokesman, said: “The traditional image associated with Made in China is changing. Increasing numbers of high-quality Chinese products are becoming popular with British and European consumers. Once these products enter House of Fraser’s sales channel, they will be able to access Europe and the greater global market, given quality and credit endorsement from House of Fraser.”