Yakov Honigman, an owner of the Honigman & Sons Ltd. and TNT fashion chains, is heading overseas. Sources inform ''Globes'' that he plans to set up a chain in Austria this year. Honigman & Sons plans to a link-up with a local company that will obtain a franchise on the label. Hongiman later plans to enter the Far East. Yakov and Micha Honigman jointly own Honigman & Sons, which has 150 stores across Israel.
Honigman is also reviewing plans for the launch of a new chain in Israel, now that the Honigman and TNT labels have reached nationwide saturation. Honigman & Sons posted over NIS 300 million in sales in 2005.
Hongiman & Sons invested $2 million in advertising in 2005, divided among its TNT label for youths and the Honigman label for women, which has been rebranded in an attempt to lower the target age of customers from 40-plus to 35.
Honigman previously told “Globes” that he was considering floating the company on the stock market or bringing in a private investor to finance planned business development.
Last year, Honigman & Sons conducted a thorough study, before zeroing in on a market that would be easy to operate in. Honigman’s seriousness about heading abroad is also reflected by the establishment of a new post of business development manager at the company. This manager is responsible for thorough studies of markets together with an external consultant.
Honigman said last year that 2005 would be the year of planning for international expansion. International business will be largely based on Honigman’s TNT youth label.
Honigman & Sons manages a women’s fashion chain, the TNT fashion chain for youths, the Honigman Kids chain for children, and the Virus label, a surfing fashion for children that operates out of the children’s stores.
Honigman is following in the wake of other Israeli fashion chains that are already operating internationally, including Fox Weizel Ltd. (TASE:FOX), Castro Model Ltd. (TASE: CAST), Matim Li Stores Ltd., Crazy Line Ltd. amd Lee-Cooper Jeans franchisee Fresh Concept Marketing Ltd. None of these chains has opened stores in Austria.
Published by Globes [online], Israel business news - www.globes.co.il - on February 13, 2006