Strategy  Brand, Business, Internationalisation

At the Speed of Style

How partnership and passion, not to mention a breakneck pace, built a fashion empire­

In the beginning, CHARLES & KEITH were just like any local footwear store. But all that changed when they saw a gap in the market and decided to act.

Can you tell us about the making of this global phenomenon?

We had the privilege of crafting the CHARLES & KEITH brand system and developing their franchising model. Finding the right local partners overseas was also critical to their UCCA—bringing to life stylish footwear at lightning speed. Through careful market research, identifying key markets of interest, market challenges, and opportunities, we helped the brand develop a chameleon-like ability to adjust product offerings based on demographics rapidly.

How did the brand get its start? 

It began with two brothers: an older one (now CEO) with a head for business and a younger creative one with an eye for design. As teenagers, they helped out at their family store; in 1996, they opened their own. In the beginning, it was just like any local footwear store. But all that changed when they saw a gap in the market and decided to act.

What was the gap? 

Back then, the market saw local brands as affordable but unfashionable and imported brands were stylish but expensive. It was the 90s. (Laughs) Brands from overseas did not fit Asian feet well. It almost sounds silly saying it, but women needed shoes to be trend-forward, reasonably priced, and designed for their feet.

We found that the key to CHARLES & KEITH’S continue growth was through a franchising model with the right overseas partners, combined with their product positioning targeted at the different customer demographics.

What did they do? 

The brothers pivoted away from affordable, low-quality merchandise and embraced a different business model. Keith took charge of the design, while Charles drove the business and supply chain. A year later, they launched an inaugural shoe collection: high-fashion, contemporary footwear for Asian women.

It took the industry by storm. Stylish, affordable, and fast, the brand cemented its position in the market with speed. In fact, CHARLES & KEITH sold so well that the fledgling brand emerged relatively unscathed from the crippling Asian crisis of the late 1990s.

Wow.

To the market, CHARLES & KEITH became synonymous with trendy, well-designed shoes, bags, and fashion accessories. To the industry, the quick response of the Wong brothers to fast-fashion trends became legendary.

Can you talk about their design process?

The brand’s response to fashion trends is almost prescient, going from design table to launch in as little as a fortnight. As many as 20 new styles go into CHARLES & KEITH stores weekly—more than a thousand per year. Keith and his design group visit the world's fashion capitals regularly to develop high-street designs at this astonishing rate.

What about production?

They maintain a constant flow of new merchandise through stringent supply chain management and the design team’s proximity to manufacturing in China. Partners such as L Capital Asia, the private equity fund backed by French luxury group LVMH Moet Hennessy, also enhance their supply chain process, product development management capability, and market access knowledge, especially for the Chinese market.

Did you play a role in their global expansion? 

Amid growing international demand, CHARLES & KEITH looked to us to uplift the brand for a global market, as well as create a business model that was scalable for global expansion.

After understanding CHARLES & KEITH, their unique core competitive advantages, current business model, as well as their aspirations as a brand, we found that the key to their continued growth was through a franchising model with the right overseas partners, combined with their product positioning targeted at the different customer demographics.

30 years later—how do they keep it going?

Over the years, they shortened supply chain processes and refined their product range. Overall, the overseas experience has kept the company agile and versatile. In their journey from shoe store ownership to presiding over a glamorous and growing worldwide brand, the Wong brothers credit a management team that is at once united and extremely agile.

Which brings us to CHARLES & KEITH today. 

The unique ability of CHARLES & KEITH to bring accessible fashion merchandise quickly to market is what fuelled their international expansion, and the brothers’ complementary nature remains key to their success as a global brand. Since 1998, when it launched in Indonesia, The brand has grown at a sharp pace and is present in prominent shopping districts around the world.

Says Mr. Charles Wong, “The fashion industry is fast-paced and filled with challenges; therefore adaptability plays an important role today. Not only is it crucial to adapt to rapid change, but the ability to solve problems and make the right decisions is also needed. We continually improve and reinvent ourselves while striving for excellence every step of the way.”

If you’re ready to make waves, let’s talk.