Burberry goes back to basics as it bids to reach £5bn in annual sales
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Burberry goes back to basics and outlines plans to reach £5 billion in annual sales by focusing on its British heritage
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Burberry boss Jonathan Akeroyd outlined plans to reach £5bn in annual sales by focusing on his British heritage.
In a bid to revive the luxury fashion house’s fortunes, he said it would double sales of its leather goods, shoes and women’s clothing.
Akeroyd also promised to boost online sales and increase the company’s focus on accessories.
Sales drive: Burberry has recruited the likes of Shakira (pictured) in its battle to overtake the likes of LVMH, Gucci owner Kering and Hermes
The 54-year-old, who joined from Versace in April, set up his booth as Burberry uses singer Shakira in its battle to overtake LVMH, Gucci owner Kering and Hermes.
Burberry has lagged behind a booming luxury sector, with sales up just 11 percent in the six months to October, to £1.3 billion.
LVMH’s most recent update showed revenue growth of 19 percent, while Kering posted a 23 percent increase.
The company has gone through a turnaround to bolster its luxury credentials.
In a positive sign, profits rose 31 percent to £251 million in the six months to October.
It was held back by a poor performance in China, where sales fell. Shares are up 2 percent, or 40p, to 2043p.
Global Data analyst Pippa Stephens said, “It’s still underperforming its top luxury competitors.”
Akeroyd said, “Burberry has a very strong platform to build on.”