REDTAG underpins positive GCC sales forecast

Declining oil prices, a strong dollar and political instability continue to cause concern for retail analysts who speculate that the region will experience a turbulent year ahead, prompting many brands to adopt strategies to ride the storm and protect profit margins.
That is, perhaps, with the exception of the region’s fastest growing grassroots fashion brand REDTAG, which on Sunday said it has extended its celebrity ambassadorship agreement with popular Arab artist Cyrine Abdel Nour for 2017/18.
This move by REDTAG is in contrast to the more conservative approach adopted by many of its competitors, as the battle for market share in the competitive value-fashion category intensifies.
REDTAG has gained strength across the region to emerge as one of the fastest-growing brands in the value-fashion category, opening 21 stores in the past 12 months alone.
Following over a decade of unprecedented growth across the region, REDTAG has become a major player in the fashion retail arena with 190 stores in 12 markets, 114 of which operate exclusively in the retail brand’s largest market Saudi Arabia.
It is not just womenswear that REDTAG are leading the race with. The variety offered for the entire family — from babies to maternity, menswear and homeware — ensures it maintains a strong presence in almost every category across the Kingdom.
Investment in expanding its geographical presence across the Gulf is at an all-time high. This, says COO David Pidgeon, is part of a broader, long-term business strategy: “We understand the same predictions and forecasts about the regional economy as anyone else, and we recognize that all six GCC (Gulf Cooperation Council) economies will experience some form of slowdown during 2017, and that our consumer will remain cautious.”
He added: “As a home-grown brand we are committed to this market, and will continue to invest throughout the region with more store openings and an ongoing investment in promoting the REDTAG brand.
“Through respectful and continuous engagement with the 7-million-plus members in our RT Rewards loyalty scheme, we will ensure we deliver what they need in terms of brand, product and quality. And while we must be cautious in our approach, we must also invest in laying the foundations to future-proof the business for what might be slower, albeit positive, overall growth despite market turbulence and the impact of macroeconomics.”
Revealed as the face of REDTAG in late 2015, Abdel Nour’s collaboration with the value-fashion brand has gone from strength to strength, and won REDTAG a whole new legion of Arab fans while endearing the already popular sweetheart star even further to her loyal followers.
“I am delighted to see my partnership with REDTAG evolve even further this year,” said Abdel Nour.
“Since our partnership began in 2015, REDTAG and I have worked together to bring to life the real meaning of fashion for everyone every day, with collections that are on trend and on budget, and most importantly made for the women of the Middle East. I very much look forward to unveiling what promises to be another exciting REDTAG seasonal collection for summer 2017.”
While REDTAG continues to satisfy customers across the GCC with on-trend collections several times a year in addition to lucrative seasonal sales, and now the continuation of its popular celebrity campaign, the company also ensures that it connects with existing customers via digital media, where it maintains a strong and widespread presence on social media platforms such as Facebook, Twitter, Snapchat and Instagram.

Source: Arab News