Burberry brings Italian leather expertise in-house - Supply Management
Burberry is taking over one of its accessory suppliers as it looks to develop the category © PA
Burberry is taking over one of its accessory suppliers as it looks to develop the category © PA

Burberry brings Italian leather expertise in-house

18 May 2018

Luxury fashion brand Burberry is buying one of its leather goods suppliers to take greater control of that part of its supply chain, the company has said.

The luxury leather-goods designer and manufacturer CF&P, which is based in Italy, will be sold to Burberry later this year.

CF&P has provided leather goods to Burberry for over 10 years, and will now be part of a centre of excellence for the company’s leather goods, covering prototyping, innovation, engineering and product coordination, according to Burberry. “This will give us greater control over quality, cost, delivery and sustainability of our leather goods,” said Burberry CEO Marco Gobbetti. 


The operations will remain at the current CF&P facilities in Scandicci, near Florence in Italy, with almost 100 staff transitioning over to Burberry.

The news was released ahead of the financial results to 31 March, which showed a 3% increase in sales, a slight operating profit and a cumulative saving of £64m.

Leather handbags and accessories are a focus of development for UK-based Burberry.

Christopher Bailey, the designer credited with reinventing the brand, recently left the company, having held the post of both chief creative designer and CEO, and in the last 12 months, the company has appointed a new chairman, CEO and designer.

“This acquisition is a major milestone for us and a statement of our ambition in this strategically important category,” Gobbetti said. The purchase is expected to help speed up delivery to market of leather goods.

An analyst from Jefferies, Flavio Cereda, told reporters that the news is positive, indicating a welcome focus on what he referred to as Burberry’s ‘messy’ supply chain.

Burberry set out in 2017 a transformation plan that included making savings and efficiencies through procurement and core processes, and implementing end-to-end category management of key product categories. It is transforming its leather goods with new handbag launches from spring 2018.

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