Japan has a host of fast growing fashion retailers. One of the most consistent is Trinity Arts which is using the large cash pile of new parent Adastria to rapidly expand existing chains and launch new ones, including for overseas markets.
Trinity Arts looks set to continue its rapid growth of recent years. In FY2012 sales jumped 57.6% (almost the same as the year before), the third highest growth rate among specialty chains behind GU and Mash Style Lab, and for FY2013 ending February is expecting a further 30% jump in sales. It added 90 stores during the year, but same store sales also rose a healthy 10.5%. Now part of Adastria Holdings following its merger with Point two years ago, Trinity Arts is increasingly looking like the main growth engine for the holding company given Point’s maturity and management changes in the last two years.
Trinity Arts’ key brands are Niko and… and Studio Clip. Niko added a net 21 stores in FY2013 bringing the total to 99, producing estimated sales of ¥17.5 billion up 36.7%. Studio Clip added 42 stores, a total of 126 stores and forecast sales of ¥15 billion, up 55%. Trinity Arts sees capacity for 250-300 stores for each brand in the medium term and also plans to increase the number of larger stores for Niko given its diverse merchandise covering clothing, foods and homeware.
This financial year, Trinity Arts is hoping to see its new chain, Bayflow emerge as a third pillar of growth for the company. 20 stores will be opened in FY2014, with 80 operating within three years. Smaller station stores will be around 230 sqm, but larger SC stores will be between 600-900 sqm. Bayflow has been designed with overseas expansion in mind; currently Trinity Arts has a few Niko stores in Hong Kong with plans to launch in South Korea this Spring.
For FY2014 Trinity Arts plans to open 100 stores and forecasts sales will increase by 50%.
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