Br and Extension El izabeth Pamboukian
Tar get Consumer
5
Pr oduct Str ategy
8
Placement Str ategy
7
2 Mar ket Anal y sis
4
3
F inancial Per f or mance
6
Pr omotion Str ategy
9
1
Company Over view
Pr icing Str ategy
10
People
Ref er ences
GUCCI
is an It alian luxur y br and known f or its elevated quality f ashion and leather goods. The company is r eg ar ded as one of the top 100 br ands inter nationall y and is cur r entl y consider ed the highes t selling It alian f ashion br and. Gucci oper ates 550 s tor es wor ldwide and is r anked the 28th mos t valuable br and by F orbes.
GUCCI
cur r entl y has a wide var iety in pr oduct assor tment, r anging fr om: APPAREL (W OMEN, MEN, CHILDREN, AND B ABY) ACCESSORIES JEWELRY & WATCHES SHOES HANDB AGS BEAUT Y (MAKEUP AND FRAGRANCE) DÉCOR OS TERIA
1921 Gucci f ounded by Guccio Gucci as a leather shop
1974 F ir s t Gucci r eady -to-wear collection
1955 Gucci is tr ademar ked
1953 Guccio Gucci dies and his thr ee sons, Aldo, Vasco, and Rodolf o t ake over the br and
1982 Gucci goes on s tock mar ket & Guccio’s gr andson Maur izio becomes the new pr esident
1968 Gucci opens a shoe boutique in N ew Yor k
1975 Gucci launches f ir s t per fume “Gucci Nº 1”
1986 IRS inves tig ates the br and and Aldo goes to pr ison f or 1 year
1994 Tom For d is appointed cr eative dir ector
1989 Da wn Mello is appointed cr eative dir ector
1993 Maur izio sells his 50% shar e, ending the f amil y owner ship
2015 Alessandr o Michele is appointed cr eative dir ector & Mar co Bizzar r i is appointed CEO
2004 Tom For d and Domenico lea ve Gucci
1995 Domenico De Sole becomes CEO and tr ansf or ms company to become public. Maur izio is mur der ed.
2005 Fr ida Giannini is appointed cr eative dir ector
2017 Alessandr o launches “Gucci Gar den�
Gucci is owned by par ent company Ker ing Gr oup
Alessandr o Michele, Cr eative Dir ector of Gucci
Mar co Bizzar r i, CEO of Gucci
Fr anรงois-Henr i Pinault, Chair man and CEO of Ker ing Gr oup
Jean-Fr anรงois Palus, Gr oup Managing Dir ector of Ker ing Gr oup
Wholesale 14% $1.3B
Sales By Channel
Online (Gucci.com) 10 % $929M
Dir ect In-Stor e 76 % $7B
2017
2015
Revenue $6.94B
Revenue $3.91B
2016
2014
Revenue $4.36B
Revenue $4.90B
2018
2013
Revenue $3.98B
Revenue $9.29B
Revenue Tr ends
34% 42%
-2% 2 013 $3.98 B
11 % 2 014 $3.91B
12 %
2 015 $4.36B
2 016 $4.90B
2 017 $6.94B
2 018 $9.29B
Strengths
Opportunities
Str ong br and image and inter national pr esence br ings exposur e. Lar ge celebr ity f ollowing incr eases br and satur ation. Incr eased number of Dir ectl y Oper ated Stor es (DOS), t aking mor e contr ol of the dis tr ibution pr ocess. Associations with automobile br ands add value.
Can t ap into mor e global economies wher e ther e is an emer ging mar ket f o r luxur y pr oducts. Concentr ation on mor e sus t ainable pr actices and mater ials can benef it br and image.
Maint ai ning br and image ma y be expensive. Has alr eady hit peak r evenue gr owth r ate, slowing futur e gr owth potential.
Extr emel y competitive mar ket positioning incr eases dif f iculty in maint aining mar ket shar e . Celebr ity endor sements can be r isky in case of celebr ity outbr eak which ma y damage the br and. Counter f eit and f ake mer chandise can lead to decr eased br and value.
Weaknesses
Threats
Top 5 Pr oduct Categor ies Pet Appar el
$45-$195
-
$435-$560
$45-$100
$24.99-$560
Collar s & Leashes
$95-$185
$315-$480
$260-$330
$35-$180
$39.99-$375
A ccessor ies
-
$150-$435
-
$14-$280
$12.95-$280
Toy s
-
-
-
$9-$35
$12.95-$26.95
Car r ier s
-
$2690-$2940
-
-
$75.99-$150
Co mpetitor Pr icing Anal y sis
Paula Lee
A ge: 36 Location: Hong Kong Education: Hong Kong Univer sity, B.F.A . Mar keting Occupation: Chief Mar keting Of f icer of South China Mor ning Pos t HK Income: $200,000 Relationships: 3 year boyfr iend Br ands: Chanel, Balenciag a, Louis Vuitton VALs Pr of ile: Exper iencer/A chiever Inter es ts: Bor n and r aised in Hong Kong, Paula is a s tr ong and deter mined woman. She is t alented and har d wor king in ever ything she does. She is also a ver y cultur ed per son as one of her many passions is f ood. She know s all of the bes t r es t aur ants in the city and owns a cat that she tr eats as her son.
Atef Shalah
A ge: 27 Location: N ew Yor k , United St ates Education: Columbia Univer sity, B.F.A Civil Engineer ing Occupation: Civil Engineer Income: $200,000 (f amil y income is $1M+) Relationships: single Br ands: Gior gio Ar mani, Burber r y VALs Pr of ile: Innovator Inter es ts: A tef was bor n in Saudi Ar abia and comes fr om a f amil y of money. He moved to N ew Yor k to get his degr ee and decided to s t a y and wor k as a civil engineer in the Big Apple. He is single, but loves to spend time with his fr iends who like to go out and go to Yankees g ames. But he also enjoy s spending time in his bachelor apar tment and pla ying with his Fr ench bulldog.
PET S
Gucci Pets Br and Extension
The global pe t car e mar ket size was es timated at USD 131.7 billion in 2016 and is expected to gr ow. The global pet car e mar ket is es timated to r each USD 202.6 billion by 2025. In 2017, 68% of Amer ican households owned some sor t of pet.
Gucci Pet Leash $400
Gucci Pet Collar s
$350 $400
$450
$500
Pr oduct Line
Gucci Dog Scar f $200
Gucci Plush Squeaky Pur se Toy $80
Gucci Pet Appar el $120
Gucci Squeaky Bone $50 Gucci Por celain Pet Bow l $150
Gucci Plush Squeaky Snake $70
Pr oduct Line
Gucci Pet Str oller $4900
Gucci Pet Car r ier $2290
Pr oduct Line
Top 5 Pr oduct Categor ies Pet Appar el
$45-$195
-
$435-$560
$45-$100
$24.99-$560
$90-290
Co llar s & Leashes
$95-$185
$315-$480
$260-$330
$35-$180
$39.99-$375
$350-$500
A ccessor ies
-
$150-$435
-
$14-$280
$12.95-$280
$150-$350
Toy s
-
-
-
$9-$35
$12.95-$26.95
$50-$100
Car r ier s
-
$2690-$2940
-
-
$75.99-$150
$2290-$4900
Pr icing Str ategy
Gucci Pets
will be a vailable in:
Exclusive Select Gucci Stor es
such as mos t popular s tor es and in cities with lar ger pet communities
A Pop-Up Stor e
pr omotes pr oduct and cr eates s tr ong br and a war eness
Online Gucci .com
br ings a vailability to all cus tomer s (lar ges t selling channel)
Select Depar tment Stor es
such as Sak s and N et- A -Por ter will car r y limited pr oducts
Gucci Pets
will be adver tised and pr omoted thr ough:
In-Stor es
this includes in-s tor e signage, window displa y s and exclusive events. Select s tor es in cities with higher pet populations will ha ve a pet par lor and exclusive events wher e pets can tr y on mer chandise and ha ve their photos t aken by a phogr apher on-site.
Gucci Social Media
will pr omote mainl y thr ough Ins t agr am.
Online Gucci.com
br ings a vailability to all cus tomer s (lar ges t selling channel).
A dver tisement Campaigns
Gucci Pets will ha ve separ ate adver tisement campaigns which will be pr omoted in-s tor es, thr ough social media, and in pr int .
Employee Repr esent ation E ach e mpl oye e w i l l we ar a br o o ch f eat ur in g a dif f er en t ani m al o n i t and p i n i t to t he i r u n if o r ms to spar k co nve r s at i o n abo u t t he i r new pe t lin e. Employees w ill also o f f e r t r e a t s f o r v i s i to r s w i t h pe t s wh ich w ill be s to r ed be hi nd co u nte r s .
Br and Inf luencer s
Doug the Pug (3.8M F ollower s)
Br yanBoy (685K F ollower s) and his dog Bettina Buf f e (2.3K F ollower s)
Chiar a Fer r agni (16.5M Follower s) and Matilda F er r agni (308K F ollower s)
Pr omotion Str ategy
Thank you!
Bone | A sophis ticated line designed f or your dog with you in mind. (n.d.). Retr ieved fr om https://www.max-bone.com/
MONDOG. (n.d.). Retr ieved fr om https://s tor e.moncler.com/en-us/dogwear_ cod1467965770840 4362.html
Br ulliar d, K., & Clement, S. (2019, Januar y 31). How many Amer icans ha ve pets? An inves tig ation of fuzzy s t atis tics. Retr ieved fr om https://www.washingtonpos t. com/science/2019/01/31/how -many -amer icans-ha ve-pets-an-inves tig ation-intofuzzy -s t atis tics/?nor edir ect=on&utm_ter m=.e5e9f46bb86d
Pet Car e Mar ket Size Wor th $202.6 Billion By 2025 | C AGR: 4.9%. (2018, Mar ch). Retr ieved fr om https://www.gr andviewr esear ch.com/pr ess-r elease/global-petcar e-mar ket
Gr oup and Br ands’ key f igur es. (n.d.). Retr ieved fr om https://www.ker ing.com/ en/f inance/about-ker ing/
The Pup Shop: Designer Pet Appar el & A ccessor ies. (n.d.). Retr ieved fr om https:// www.r alphlaur en.com/home-f or-the-pet-pup Sak s F if th Avenue. (n.d.). Retr ieved fr om https://www.sak sf if tha venue.com
Gucci aims to cut wholesale dis tr ibution. (2018, Jul y 30). Retr ieved fr om https:// cpp-luxur y.com/gucci-aims-to-cut-wholesale-dis tr ibution/ United St ates - number of pet, by species, 2017/2018 | St atis tic. (n.d.). Retr ieved fr om https://www.s t atis t a.com/s t atis tics/198095/pets-in-the-united-s t ates-by GUCCI® Of f icial Site | Explor e the Wor ld of GUCCI® Online. (n.d.). Retr ieved type-in-2008/ fr om http://www.gucci.com/ Vuitton, L. (n.d.). LOUIS VUITT ON . Retr ieved fr om https://www.louisvuitton.com/ L uxur y F ashion - wor ldwide | St atis t a Mar ket F or ecas t. (n.d.). Retr ieved fr om https://www.s t atis t a.com/outlook/21030000/100/luxur y -f ashion/ wor ldwide#mar ket-r evenue
Special Thank s to Photogr apher Ashley Stucker
Ref er ences