Famous Company "Crocs" Became an Outsider of the International Market
OREANDA-NEWS In the second quarter of 2018, Crocs Corporation's profit fell by 44%. Crocs is a world-famous manufacturer of rubber shoes.
In August, there was official information: the company closes its last own factories. Now crocs will be produced at different enterprises of other companies. The Vice President and chief financial officer were dismissed.
In 2002, three friends brought the innovative shoes from crosslight to the boat show in Florida. And not lost: the owners of yachts bought two hundred pairs in few hours. Inspired by the success, young people founded the company. It was named Crocs, as the first model is very similar to the crocodile face.
The fashionable world did not meet a new shoes. Croslite shoes called "ugly shoes" and "rubber hooves for massmarket". However, yachtsmen and ordinary consumers were delighted. Lightweight and durable flip-flops are not rubbed calluses, they could be worn on the bare leg, and even a strange design came to the buyers taste. By 2007, the company was selling 50 million pairs of shoes a year.
The European market Crocs was released in 2005. In 2008 products began to sell in Russia.
However, very soon on the international market began to appear a large number of fakes.
The investigation showed that the counterfeit comes from China. Shoes are made using molds, equipment and components stolen from the official Chinese factories of Crocs, and sell five to ten times cheaper than the original.
In 2010 alone, Crocs seized $ 70 million worth of counterfeit shoes and accessories from Filipino traders. And in 2012, 18 Chinese citizens were given 46 years in prison for releasing and distributing fake crocs.
Crocs has been operating at a loss for the last few years. By the end of 2018, it was decided to close about 160 retail stores. In 2017, at the helm of the company stood a new CEO. Financial Director appointed a native of the Internet-owned giant Amazon Shoe retailer Zappos.
The company is set to restart the brand, at the same time managers warn: the company will continue to focus not on style, but on comfort and practicality. This should help the advertising campaign under the slogan “Сome As You Are”, which was the face of Hollywood actress Drew Barrymore.
Already there is the first successes. Despite the losses, the company's shares have grown by 43% since the beginning of the year, and more than doubled in the last 12 months.
The New York Times calculated the dynamics of the value of the company's securities and the rate of the most popular cryptocurrency bitcoin. Long-term investments in Crocs are much more profitable.
Комментарии