Bata counts on fashion to grow cash

Bata Shoe Company is betting on the roll out of more stores and introduction of fashionable shoe designs for the middle-class market to grow its income stream.

This is particularly so following new demand brought by optimism over the recovery of Kenya’s economy.

The Limuru-based shoe maker is in the midst of a delicate rebalancing act of trying to attract a sophisticated consumer through trendy products without losing its traditional product range of school shoes, canvas, safari boots and slipper lines.

Still sell

But while these brands still sell, newer and more fashion designs are also helping to grow its profits and revenues.

The brand evolution is being supported by a wide distribution channel from high-end stores to the corner shop as it seeks to increase its branch count this year from 96 to 111.

“Trends in the market place are changing very fast. We want to keep pace by rolling out new brands every 15 days with growing middle class our target,” said the chairman of Bata Shoe Company Mr Thomas Bata.

He was in the country last week on a business review of the African operation of the Switzerland headquartered firm.

“Our reach will also increase significantly over the next three years because we intend to cover the entire breadth of the market,” said Mr Bata.

In recent months, the shoe firm has been busy growing its business by opening new stores at strategic locations, changing its layout and rollout of stylish shoes at competitive prices, notably for women.

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As women get more shoe hungry than men, Bata is focusing on them as a primary market with its flagship Marie Claire brand to keep at bay competition coming from Chinese imports.

It has also rolled out new men brands targeting Kenya’s growing middle class who are developing taste for trendy shoes egged on by proliferation of new media that has brought the Western fashion trends to the country’s door-step.

New demand

With the economy expected to grow at 4.5 per cent in 2010 up from 2.6 per cent last year, Bata shoe is positioning it self to tap the new demand brought home by the creation of more jobs and improvement of household incomes.