Fashionable move

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Khatuna Khutsishvili/ITP.

Given the fickle nature of the fashion industry, staying ahead of the competition is often considered a laborious task. After all, the brand value of a retailer is directly related to the success of their latest fashion range, with even the biggest of industry heavyweights falling out of favour with customers following a weak or undesirable season.

Although this unforgiving scenario has resulted in the downfall of countless retailers over the years, it hasn't deterred the Hong Kong-based company Giordano from taking up the mantle of providing casual garments at affordable prices for customers throughout the world.

It's simple concept, of course, but the company's business model has evidently worked on a grand scale - from humble operations with a single outline in the early 1980s, Giordano has transformed itself into an international powerhouse with approximately 1800 stores in the Middle East, Asia, Australia, India, Eastern Europe and North America.

"Giordano embodies the contemporary lifestyle of its customers, with simplicity in design and quality in substance," says Ishwar Chugani, executive director for Giordano in the Middle East and Africa. "It's a concept that has found appreciation in all corners of the world. Today, we have established retail operations in over 40 countries, developing brands such as Giordano, Giordano Concepts, Giordano Ladies and Giordano Junior, each with its own individual marketing position and retail identity.

The Middle East has played an important role in the company's success story. Its local operations commenced in 1993 and Giordano has quickly created an enviable niche for itself in the regional marketplace. In particular, it experienced a breakthrough year in 2007, with annual growth rates touching the double figures - the fastest increases in the company's history.

"2007 was a banner year for Giordano in this region," says Chugani. "Globally, our company has been witnessing an average of between 15% to 20% growth rate. So achieving over 30% is a real accomplishment for the management and staff here. It also demonstrates that there is a market for timeless, relevant and easy to mix and match apparel in the Middle East.

Over the next three years, the company is planning to invest over US$13.6 million on renovating and upgrading its existing stores, in addition to opening another 50 outlets throughout the region.

"We've always been keen on reaching out to consumers in this region, which is why the company has been significantly investing in developing new markets, opening new stores and regularly upgrading our existing stores," says Chugani.

"The growth of Giordano in the Middle East has been fantastic and there are no plans of slowing down. By focusing on just one single brand, we have already built a network of 150 stores in 15 countries in the region. By the year 2010, we expect that number to reach 200 stores.

In fact, Giordano's expansion plans are already in full swing, with 12 stores launched within the Middle East last year, including the company's first stores in Egypt and its first outlet superstore in Dubai Outlet Mall. "The plan is set to improve the total shopping experience at Giordano stores and support this by providing more variety to customers," says Chugani.

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