CHANEL Presented by: Jessica Bercier-History and Competitors Liu Paisha-Sasha-Industrial Analysis Liu Zheng-Leo-Globalization Shu Yue-Alice-SWOT Analysis
History
Gabrielle “Coco” Chanel
Started in 1909
Known for simple and classic looks
Chanel No. 5
Introduced in 1922
Still their most successful perfume today, nearly 86 years later
Coco Chanel
Connection with the Germans
Fashion Oscar in 1957
Even after her death in 1971, she lives on as an icon to many in the fashion industry today.
Chanel, post Coco
Industry Analysis
Global Issue ď Ź
The profit shrink ,especial in cosmetics Reason
ď Ź
Disorder competition in international market Current Situation France & US France : profit down from 2007 to now US: 0.8% growth in 2007 Worldwide *cosmetics sales increase just 3.6% in 2006, not a great change in 2007
Risks
High Duty In China, the customs added 60% to the cost of goods
Different Concepts Compare western countries and China on perfume preference
Fake Goods Difficult to distinguish In every corner, especially in developing countries
Future trend ď Ź
Pay more attention to emerging markets Some brands are just in developed cities, not yet found in small cities, or developing countries
ď Ź
Reducing the price---- cost of good Currently, the cost is too high for average citizens who want to buy it
ď Ź
Expand the man cosmetics market continually Currently, not universal like woman cosmetics
Chanel Competitors
Gucci
Based in the Netherlands
Specializes in clothing, cosmetics, shoes
Strong brand identity
PRADA
Based in Milan, Italy
Fashion leader
Known for its runway shows
LVMH
Louis Vuitton
Based in Paris, France
One of the oldest fashion company in the world
SWOT Chanel Strength
Cloth Fashion haute couture luxury goods perfume jewelry watches beauty products eyeglasses
Chanel production is known for its quality. Some of the cloth is exclusively owned by Chanel. Embroidery Tweed Fabric
Button Decorative Chain
Cloth cont. Cut Lining
Fabric
Camellia and Chanel Logo
Camellia is an important design factor in Chanel’s design.
Chanel’s logo is two C together which has become one of the most recognized labels in the world.
Karl Lagerfeld
The Chanel Chief Designer who is leading Chanel to another peak in its fashion development.
Chanel Perfume No5, No19, COCO, Cristall ， ALLURE , CHANCE, and N°22, CUIR DE RUSSIE, GARDENIA, BOIS DES ILES, UNE FLEUR DE CHANEL and Chanel male perfume: Allure .
Chanel Weakness
Chanel high price
Chanel limited productions
Chanel beauty productions
Chanel Opportunity
Expand business in emerging market more rapidly. Mobile art exhibition in seven cities in China. The first is in Hong Kong. Opening of its largest global franchised store in Tokyo Chanel 2008/2009 winter season
Chanel Threat ď Ź
Chanel counterfeits and illegal use of its double-C logo.
ď Ź
Chanel will face a strong competition in China market and meet a lot of difficulties.
Short-term
Find ways to lower the prices of products in emerging markets Improve its cosmetic line Develop a men’s line of facial products Allocate the investment in expanding emerging market reasonably Pay attention to the fakes and may adopt technology to limit them
Long- term Recommendations
A. More focus on younger generation
More ideas in clothing design
More research in African market
Conclusion
From history to nowadays
Faces opportunity and challenges
Future development