The luxury shoe brand Kurt Geiger achieved record profits, defying the overall trend of diminishing demand in the broader market.
The company reported profits of £40 million for the year ending in February, as more consumers turned to “affordable luxury” options.
These results stand in contrast to its more expensive rivals, who are facing declining sales, including Burberry, which has recently dropped out of the FTSE 100.
Kurt Geiger’s sales have also been positively impacted by its expansion in the United States, where it intends to open four new stores this year.
Neil Clifford, the CEO of the fashion brand, remarked: “While other brands raised their prices even when consumers were struggling, our approach has been different.”
“We have dedicated significant effort and creativity into our products while keeping our prices lower than those of our competitors, and I believe that strategy is paying off.”
This update arrives during a downturn in the luxury market, as shoppers become more budget-conscious.
For instance, Michael Kors reported a significant drop in UK sales last year as customers cut back on their spending on high-end items.
Furthermore, Selfridges announced job cuts in May due to the withdrawal of tax-free shopping benefits and decreased luxury expenditures.
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