Coach 2011 Annual Report Download - page 8

TABLE OF CONTENTS
approximately 63%, 18% and 6% of total net sales, respectively. Beginning with the first quarter of fiscal 2013, this segment also includes
Coach-operated stores in Malaysia and Korea.
North American Retail Stores — Coach stores are located in regional shopping centers and metropolitan areas throughout the U.S.
and Canada. The retail stores carry an assortment of products depending on their size and location. Our flagship stores, which offer the
broadest assortment of Coach products, are located in high-visibility locations such as New York, Chicago, San Francisco and Toronto.
Our stores are sophisticated, sleek, modern and inviting. They showcase the world of Coach and enhance the shopping experience while
reinforcing the image of the Coach brand. The modern store design creates a distinctive environment to display our products. Store
associates are trained to maintain high standards of visual presentation, merchandising and customer service. The result is a complete
statement of the Coach modern American style at the retail level.
The following table shows the number of Coach retail stores and their total and average square footage:
Fiscal Year Ended
June 30, 2012 July 2, 2011 July 3, 2010
Retail stores 354 345 342
Net increase vs. prior year 9 3 12
Percentage increase vs. prior year 2.6% 0.9% 3.6%
Retail square footage 959,099 936,277 929,580
Net increase vs. prior year 22,822 6,697 36,543
Percentage increase vs. prior year 2.4% 0.7% 4.1%
Average square footage 2,709 2,714 2,718
North American Factory Stores — Coach's factory stores serve as an efficient means to sell manufactured-for-factory-store product,
including factory exclusives, as well as discontinued and irregular inventory outside the retail channel. These stores operate under the Coach
Factory name and are geographically positioned primarily in established outlet centers that are generally more than 30 miles from major
markets.
Coach’s factory store design, visual presentations and customer service levels support and reinforce the brand's image. Through these
factory stores, Coach targets value-oriented customers who would not otherwise buy the Coach brand. Prices are generally discounted from
20% to 70% below full retail prices.
The following table shows the number of North America Coach factory stores and their total and average square footage:
Fiscal Year Ended
June 30, 2012 July 2, 2011 July 3, 2010
Factory stores 169 143 121
Net increase vs. prior year 26 22 10
Percentage increase vs. prior year 18.2% 18.2% 9.0%
Factory square footage 789,699 649,094 548,797
Net increase vs. prior year 140,605 100,297 71,073
Percentage increase vs. prior year 21.7% 18.3% 14.9%
Average square footage 4,673 4,539 4,536
Internet — Coach views its website as a key communications vehicle for the brand to promote traffic in Coach retail stores and
department store locations and build brand awareness. With approximately 76 million unique visits to the coach.com e-commerce website in
fiscal 2012, our online store provides a showcase environment where consumers can browse through a selected offering of the latest styles
and colors. Our e-commerce programs also include third-party flash sites and our invitation-only factory flash site.
Coach Japan — Coach Japan operates department store shop-in-shop locations and freestanding flagship, retail and factory stores as
well as an e-commerce website. Flagship stores, which offer the broadest assortment of Coach products, are located in select shopping
districts throughout Japan.
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