Italy's Geox puts best foot forward in Asia

       Geox, the Italian footwear brand known internationally for shoes that "breathe",expects to double sales in Asia Pacific next year with the Thai operation a part of the growth.
       The business of Geox has grown very well in Asia when compared with other parts of the world, particularly the US,where the recession has curbed demand,said Mario Moretti Polegato, the president of Geox.
       In 2008, the company sold 20 million pairs of Geox shoes worldwide. Of the total,36.2% came from Italy,46% from the rest of Europe, while North America contributed 5.9% and the rest of the world 11.9%. Only 3% came from Asia.
       But the company expects Asia's share will rise to 5% this year and double in 2010. It intends to achieve its goal with the launch of new product lines, new marketing and store concepts. The company sees huge potential in Asia because the number of middle-income customers is expanding, along with improvements in quality of life and the size of Asia's population.
       "We entered the footwear market only 14 years ago but have become one of the leaders in this sector and rank second in the worldwide market. There is a huge market potential for our young Geox brand to expand in the future," Mr Polegato said.
       The success of Geox rests on the technology of the shoe that breathes but also Italian know-how, style and design.
       "The economic downturn will benefit Geox because in these tough times, customers will look for quality products with fashion and comfort content," he said, adding that the company had international patents that protected it in more than 100 countries.
       Mr Polegato said the company believed in the potential of Thailand, the first country Geox chose when it first entered Asia.
       Thai customers have good taste and Italian fashion brands are among their favourites item, he said, adding that the breathable shoes were also very suitable for Thailand's climate.
       AA Footwear Co Ltd is the distributor and producer of Geox in the Thai market.The Italian company has also hired a subsidiary of Saha Group, one of the country's largest footwear and consumer product manufacturers, to produce some Geox shoe models for export. Mr Polegato did not disclose the quantity ordered from Saha Group.
       "Though there are political problem,we are optimistic about Thailand, where the demand comes from both local people and tourists. Political problems take place in every country, even Italy. But we are confident we will continue our businesses," he said.
       The company plans to open 150 new Geox shops this year, down from 245 opened in 2008.
       Geox had net sales worldwide of 892.5 million last year. Its net sales were 482.9 million in the first half of this year and full-year sales are expected to be on par with last year because of the poor global economy.