Raphael le Masne, Shanghai Tang executive chairman, will grow the brand globally from Hong Kong

Hong Kong-born international luxury clothing and lifestyle brand Shanghai Tang is planning to further build its global profile as China's ambassador to the world.

The company, now held by major shareholder Richemont group of Switzerland, whose stable includes many of the world's leading luxury brands, plans to double its distribution network within three years. The expansion will continue to be spearheaded from its Hong Kong base.

"We were born in Hong Kong and will stay in Hong Kong," said Shanghai Tang executive chairman Raphael le Masne. "We have never betrayed our mission, which is to stay in China and launch our messages from Hong Kong and Shanghai."

Blue-chip status

The brand's growing status was recently highlighted when Shanghai Tang won admission to the China Trademark Association, China's most exclusive business club, representing the nation's top 300 brand-owning companies. It is the first time a non-mainland company has been awarded such blue-chip status.

The admission adds further recognition to Shanghai Tang as a leading fashion brand in the Western world, Mr le Masne said. "China is now considered to be the factory of the world, but we believe this will change as China starts creating its own added value. We see Shanghai Tang as a role model for Chinese brands in bringing added value to the customer."

Hong Kong is a perfect platform for growing a global brand, Mr le Masne continued.

"Unfortunately, there are not enough brands from Hong Kong on the global market. Apart from Shanghai Tang, we have Cathay Pacific, the Mandarin Oriental and the Peninsula, but with so much international interest now focused on Hong Kong, I wouldn't be surprised if there are more coming.

Production efficiencies

Known in the world’s fashion capitals as the epitome of Chinese style, Shanghai Tang will open more boutiques in strategic locations

"Hong Kong is a fantastic place for building a brand. It is a free trade zone, remarkably efficient, and offers low taxes.  The cost-value ratio means it is cheaper to run staff in Hong Kong than in the United States or Europe, and a major advantage is the very close proximity to China - the factory of the world. We produce in Guangzhou, in the Pearl River Delta, and this means that we can get a sample design done in just a few days, which we couldn't do anywhere else."
 
Shanghai Tang currently has 15 boutiques worldwide including the fashion capitals of London, New York and Paris. The brand plans to enter Tokyo next year, a market Mr le Masne describes as "the last big city with a strong opinion in the fashion world" where Shanghai Tang has yet to make its mark. The brand will also expand its position in Europe and the US, he added.

Mr le Masne stressed that Shanghai Tang is a Chinese brand whose mission is to take Chinese chic to the Western world. "We believe we have set the pace as one of the true added-value brands coming from China."

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