Luxury Giants Adjust Strategies

Here world clothing shoes The Xiaobian of the hat net tells you that luxury magnates are adjusting their strategies to meet market challenges.

A few days ago, the luxury giant Kai Yun group announced the first quarter of fiscal year 2014, reporting period sales of 2 billion 400 million euros, only 4.1% year-on-year growth. Among them, the two most popular brands, Gucci and Puma, have seen no improvement in their business.

According to the financial report, in the first quarter, Gucci recorded only 0.3% of comparable sales growth, less than 0.5% of analysts' forecasts, and sales fell by 3.2% to 838 million euros based on actual exchange rates. In the first quarter, Gucci only added a store to 6 stores. By the end of March 2014, the total number of global outlets was 475.

Jean-MarcDuplaix, chief financial officer of Kai Yun group, said after the earnings report, the sales of Gucci in China are still shrinking, but "the situation is improving".

Besides, Puma Continue to drag on the group's sports and lifestyle sectors. Puma's revenues totaled 730 million euros, down 6.6% from a year ago, down 0.4% from the base.

Under this premise, Kai Yun group will reorganize the luxury sector from May, set up the Department of luxury goods - advanced customization and leather goods, and the Department of luxury watches and jewellery. The heads of the two departments will report directly to the chairman of the group.

Previously, Kai Yun group began to slim down in 2010 and gradually sold its other businesses, focusing on luxury and sports brand management. It has sold The Sportsmans Guide Inc, online golf retailer The Golf Warehouse Inc, big code clothing brand OneStopPlus, children's clothing and home department Cyrillus and Vertbaudet catalog mail order business, Nordic home textiles and so on. Clothes & Accessories Brand Ellos and Jortex.

As an old rival of Kai Yun group, LVMH group is not idle. Although LVMH sales in 2013 amounted to 29 billion 100 million euros, an increase of 4% over the same period, an organic growth of 8%, and a net profit of 3 billion 436 million euros, which was basically the same as in 2012. But the sales of Louis Weedon (Louis Weedon store) in China in 2013 only increased by about 1%.

LVMH continues to maintain a "good luck" strategy, regardless of the local French brand, or Spain, Switzerland, the United States, Italy and so on, have its luxury brands, almost no competition in the brand breadth. Last year, it acquired Loro Piana, the top brand of the wool textile industry.

Within the group, LVMH reorganized its watch and jewellery department. When the Francesco Trapani, head of the original watch and jewellery department, left office in March 1st, the clock department will be replaced by Jean Claude beaver, chairman of the board of directors. He will also be responsible for the other two clocks and watches brands of the group. He is responsible for the real time, and the jewellery department is temporarily responsible for the group's general manager, Antonio Belloni.

LVMH promoted beaver, obviously obviously valued his marketing ability to watch brands, especially in the past two years when the performance of high-end watches was bleak. The Swiss Watch Industry Federation recently announced that the export of Swiss watch industry has been seriously affected by the sharp fall in sales of high-end watches in China.

When LVMH made a big adjustment to the watch and jewellery department, Rolex group, the leader of Swiss watch group, also changed hands. Rolex has dug up CEO Dufour (Jean-Frdric Dufour), who is responsible for the real time brand from LVMH, to take over Marini, a 64 year old Gian (Riccardo Marini). In the 5 years of LVMH, Du Fu has achieved good results in the revival of the real time table of the mechanical watches. In 2013, sales in real time reached 1 billion yuan, and the sales scale in 5 years increased by almost 10 times.

The replacement of CEO is Rolex's third win in 5 years since 2008. Dufour is the sixth head of Rolex since its establishment in 110 years. The frequent replacement of CEO reveals that Rolex has encountered a thorny problem in its top management: lack of core helmsman.

Rolex Group sales ranked third in the industry, but the brand only Rolex (Rolex) and Tudor (two), and the group's sales mainly come from the high-end Rolex brand. In 2013, Rolex's sales volume was about 22 billion yuan, while the sales of Tudor in the middle end was only 1 billion yuan. Although the brand value of Rolex is at the top of the list, there is still a gap between the whole group in terms of brand composition and sales volume and the Swatch group (Swatch), the industry leader. In the middle end brand competition, Swatch group wins Rolex group. With the further narrowing of the growth rate of the high-end watches, Rolex group will catch up with Swatch on its scale, and it will surely develop the middle end brand Tudor. Rolex hopes that Du Fu's experience in brand management will help Rolex group get better development.

In addition, consolidating the existing brand At the same time, luxury brands are trying to extend their brand names from clothing accessories to service brands, and further to lock in consumer groups by selling lifestyle, extending luxury consumption to every aspect of life.

In mid March, Prada announced its successful acquisition of 80% of Angelo Marchesi Srl. The company owns the Milan dessert time-honored brand Pasticceria Marchesi. It is reported that the sweet shop was founded in 1824, is a senior pastry family. Its high quality pastry, chocolate, bread and other foods are known for many years, and have been loved by Milan residents and tourists for many years. The acquisition of dessert shops is one of Prada's strategies to strengthen its brand. It aims to broaden the field of development and further consolidate the brand image.

The acquisition of sweet shop is not only a strategy of Prada. As early as last year, Prada and another luxury brand giant Louis Weedon launched a battle for dessert shops in Milan. In the end, Prada failed to win the Louis Vuitton group and failed to acquire the famous sweet shop Cova in Milan, which also has a history of nearly two hundred years. It is reported that Louis Weedon acquired Cova80% stake, the transaction amount reached 33 million euros.

In fact, luxury brands extend to every field of life is no longer a case. In Seoul, South Korea, Hermes opened a coffee shop with brand branding from architectural style to product details. Gu Chi also opened the same brand coffee shop in Italy, Florence, Tokyo, Japan and Shanghai in China; Chanel had a restaurant called Beige in Tokyo, Japan; besides, Versace, Bvlgari, Armani and other brands opened hotels in famous resort resorts such as Australia's gold (gold monopoly) coast, Bali Island and Dubai.

No matter what the future is going to do, it will be great. Luxury goods As for cards, one thing is obvious: the days that easily win consumers' pocket money are gone forever.