11 Nov Skechers Transitions South Korean Business
Skechers, a global leader in lifestyle and performance footwear, is transitioning its business in South Korea from a third-party distributor to a new joint venture with Luen Thai Enterprises.
LS Networks distributed Skechers in South Korea from 2009 to 2016.
The new Korean joint venture, Skechers Korea Co. Ltd., will enable Skechers to use its sales and marketing strategies to further expand the brand in one of its self-proclaimed “key international markets.”
“Skechers footwear has been available in South Korea for more than 15 years. In that time, we have developed a great footprint with a network of more than 55 Skechers stores and built the brand through strong marketing campaigns, including utilizing the talents of exceptionally popular endorsees like K-Pop stars Sistar and EXO in Skechers marketing campaigns,” said David Weinberg, COO and CFO, Skechers. “With a dedicated team from our previous distributor, LS Networks, and the knowledge and acumen of our Skechers China team, we believe we can profitably grow our business in South Korea and truly penetrate the region with a strong presentation from our vast collection of men’s, women’s and kids’ footwear.”
“We’ve been very pleased with the consumer response to the Skechers product in South Korea,” added Sung Hun “Scott” Lee, previous senior GM of Skechers’ Korean distribution partner and now president of Skechers Korea Co. Ltd. “Through my time with LS Networks, I’ve seen firsthand how Skechers has grown in Korea, most recently through the Skechers D’Lites craze that started here in 2015 and spread through Asia and then around the globe. Now as part of the Skechers global team and with key members of my previous team transitioning with me, we’ll have the direct resources, support and insight to really take the business to the next level.”
“By forming a joint venture with Skechers that combines our global expertise with their unique insight in this market we’ll be able to more efficiently build the brand and more effectively directly target merchandising to the unique tastes of consumers across South Korea,” said Willie Tan, CEO, Skechers Asia joint ventures. “We expect this will strengthen our business not only in South Korea but further synergize the business across Asia.”
The network of Skechers retail locations in South Korea currently includes 57 concept and outlet stores — 13 of which are owned by the company.