Black Yak looks to sweep Europe, China

Premium mountain wear brand aims to earn 4 trillion won in Europe sales in 2020

By Park Si-soo, Park Jin-jai

Jung Woon-suk, president of Black Yak, said the mountain wear firm will have 800 outlets across China by 2015. / Courtesy of Black Yak

Mountain climbing is known to have originated in Europe. Given this, it might seem natural for European brands to lead the markets in mountain clothing and climbing gear.

However, for Black Yak, a leading outdoor sportswear manufacturer in Korea, this is something of an old-fashioned view. The company is now flexing its corporate muscles in the mountain wear segment ㅡ with a “Black Yak” product range.

“We are establishing a business presence in Germany, Austria and Switzerland, three core outdoor sportswear markets in Europe,” Jung Woon-suk, president of Black Yak, said in a recent interview with The Korea Times. “These three counties are considered to be the birthplace of mountain climbing. A successful debut in these markets is normally viewed as a harbinger of Europe-wide success, and more broadly, global success.”

The combined sales of outdoor sportswear in the three countries accounted for nearly 35 percent of the entire Europe’s 9 trillion won ($8.07 billion) last year.

“We will open four flagship outlets during the first half of the year, each of them will be located in Germany, Switzerland, Austria and Turkey, respectively,” Jung said. “Our goal is to position Black Yak as a premium brand because the quality and design of our products never falls behind that of major European brands.”

The firm’s sales goal in Europe for this year is 5 billion won, less than one percent of the firm’s total sales of 510 billion won last year.

“This is our first year in Europe. That may be a good start,” he said. “We will continue to make efforts to position ourselves as a premium brand until 2015. If this plan goes smoothly, we will be able to rake in 4 trillion won in sales only in Europe in 2020.”

China is another market of interest, he said.

“Currently China’s mountain wear market is valued at some 2 trillion won. This is forecast to swell to 10 trillion won in years to come as Chinese demand for premium sportswear grows rapidly,” the president said.

Black Yak earned 50 billion won in sales last year from 250 outlets in China, many of which are located in Beijing and Shanghai. It will open 550 more by 2015 to post 500 billion won in sales by the target year.

“Our stores are currently concentrated in Beijing and Shanghai to woo customers with relatively strong buying power so that they can afford to our products,” he said. “We will continue to expand into less developed regions in northern and southern part of the country.”

Jung said there is a “sizable room to grow” in the Chinese market, citing the dominant dress code among Chinese people.

“It’s not a surprise to see Chinese people going to work and doing other daily tasks while wearing casual outfits, not suits and ties,” he said. “We will appeal to Chinese customers with products designed to look casual and comfortable to wear.”

The president said Black Yak’s competitive edge in the global market lies with its 27 patented design concepts.

“The shape of a yak’s head is the core design concept,” he said, referring to the long-haired bovine species found throughout the Himalayan region and the Tibetan Plateau. “You may feel powerful, energetic and wild while looking at this animal. That’s the feeling we want to deliver to customers. That’s Black Yak-style.”

Kang Tae-sun, who founded the company in 1973, adopted the yak as the corporate symbol and core design concept after he encountered a black-haired yak while ascending a Himalayan mountain in 1993.

“I was instantly mesmerized with this yak, covered with long and wild black hair,” Kang was quoted as saying in a self-written article. “I felt strong energy from it.”

Marking its 40th anniversary in March, Black Yak is moving to establish a charity foundation to help children of low-income families and launch environment protection campaigns. The foundation will open in May, for which the company plans to raise 3 billion this year and 10 billion won by 2015.

“Black Yak has earned a lot from society,” Jung said. “The time has come for us to do something for it in return.”