WWD reports here, that Salvatore Ferragamo has signed a 13-year license to launch a luxury collection of timepieces.
The line will be launched in April at Baselworld, but an initial flash of two or three models will be available in about 80 stores in November.
The company will target 500 stores in 60 countries – including 200 Ferragamo boutiques – and expects retail sales of $195 million in five years.
50 percent of the company’s customers are Asian. And they will be even more numerous in the future, considering Asia as the countries from Istanbul to Siberia.
This is the first watch license for Ferragamo, although there was a previous production agreement with a very limited distribution.
The only other license the company has is for eyewear.
Ferragamo said the license was part of the new course of the family-owned firm, which has “evolved and entered into its third phase, with an IPO in the cards, probably next year, when we are ready. There is no rush, we want to reinforce the company and give freedom to the 60 family members to stay or leave.”
The watches will retail for between $1,300 and $6,500, with limited edition models with diamonds priced up to $39,000. One of the models shown at the presentation was a round travel clock in a stainless steel case retailing at $780.
The licensee has been expanding its luxury segment over the past three years, with the addition of timepieces for Versace in 2004, Vincent Bérard in 2006 and Valentino in January.
Ferragamo is on track with its retail strategy, with 30 boutiques planned to open this year, including seven in the U.S., six in China and three in Russia.