Hugo Boss Competitive Presentation October 1st, 2009 Prepared By: Bassem Al Masri October 22nd2009
Core Identity The brand stands for innovation, creativity and progress The brand implements stringent design and quality standards to produce superior products that deliver value for money. All the brand collections adhere to a lifestyle philosophy featuring a distinctive brand signature The country of origin for the brand is Germany
Extended Identity The main fashion brand, BOSS, is modeled by a chisel-chinned hunk with the long hair of a racecar driver. He doesn’t look like he would be anybody’s boss though, more the maverick loner than a dynamic leader with your destiny in his hands. The women counterpart is a striking and arrogant-looking and in her late twenties The BOSS consumer no longer worries about "making it." He has achieved a success level that is beyond the norm, allowing him to enjoy the most luxurious cars, yachts and private jets the world has to offer. Men who choose BOSS are to be admired and envied in equal measure The essence of Hugo BOSS fashion: Confidence, Power, Masculinity. Personal and professional goals achieved with easy self confidence The BOSS consumers have fun, enjoy life and take risks. They don't care about rules but live their life on their own way. Independent, unconventional and modern. Creative people who are on the move. HUGO is the look and feel of London, Berlin and New York — the style for individualists.
Value Proposition Functional benefits include high-quality, fashionable clothing with European design Emotional benefits of this brand are that it makes you feel like the consummate sophisticate, for whom only the very finest fabrics and tailoring will do Self-expressive benefits include its ability to allow your self-expression to have a strong sense of character
Brand Positioning Luxury BOSS Selection BOSS Black Price Degree BOSS Orange HUGO BOSS BOSS Green AvanteGarde Oriented Design Classic – Elegant Fashion Casual Lifestyle Premium Fashion Degree
Brand Strategy Highlights Has high brand awareness – 90 – 100% amongst target audience Has high share of buyers within target group 40 – 60& at BOSS Black/Selection/Hugo 15 – 30% at BOSS Orange/Green Further leverage existing strengths to continue growth with BOSS Black in premium men’s wear Expand the share of business done with: BOSS Selection to underline core competence in men’s wear (full canvas) Make sure that women get the same attention as men already enjoy To make a more visible fashion statement with the shoes and accessories range To avoid cannibalization, the focus will be on stand alone positioning for each brand in comparison with the past where brand architecture showed overlapping and similar price positions
Unlock the brand potential by developing retail strategies that will: Gain more control over brand and product presentation Unlock potential in major growth markets with focused retail expansion in the right format Intensify online shopping in key markets to benefit from growth story Control factory outlet business more closely Focus on geographical expansion to drive business outside Europe to: Be less dependent on mature markets in Western and Central Europe although there is still market share to gain Benefit from double digit growth in emerging markets in Asia, Russia and Eastern Europe Find the right access to mature markets such as the USA and Japan to capture the full momentum of the premium market Brand Strategy Highlights
Deliver sustainable and profitable growth by: Monitoring and improving profitability of own retail Managing trade partner profitability more stringently Reducing net working capital to a healthy level Decreasing complexity in operations, sourcing and manufacturing as well as the supply chain Performance initiatives launched in in anticipation of weakening market conditions: Strengthening cost cautiousness and tight monitoring of cost drivers Retail turnaround Sourcing & manufacturing Fine tuning the regional price structure Net working capital optimization Brand Strategy Highlights
Exclusivity is embodied in the BALDESSARINI collection, supplemented by top quality home accessories. BALDESSARINI customers share a passion for detail, superior quality and the finest fabrics Positioned in the upper market segment, the luxurious BOSS Selection men's wear line represents the premium world in the BOSS brand universe. The interplay of sophisticated design, exclusive materials and beautiful tailoring guarantees clothing of the highest standard for customers of distinction Men’s Collection
Function is addressed by the BOSS Green collection for the modern, active man. Technically optimized sportswear and sporty daily wear is combined with functional fabrics in stylish multi-functional clothing of the highest standard for dynamic outdoor and the latest leisure activities. Men’s Collection
Assurance is provided by BOSS Black with a collection that consistently offers the right outfit. Up-to-date styling, sophisticated tailoring and superior quality meet the high demands of the successful man, at home in the world’s metropolises. BOSS Black, with a focus on youthful design and high-quality workmanship, links sophisticated elegance with value for money. Men’s & Women’s Collection
Trends are set by the sporty BOSS Orange line with its men’s collection for individualists by making a distinct fashion statement in the casual market. Attention to detail and a variety of combination possibilities provide a new interpretation of the usual BOSS quality. Men’s & Women’s Collection
Avantgarde is the word for the trendy HUGO collection for men and women. The cut emphasizes the body, fabrics are innovatively combined and the look is unconventional. This is fashion for individualists who want to make a statement with their outfit. Men’s & Women’s Collection
Ad Campaign Advertising campaigns visualize the HUGO BOSS brands. A new global advertising campaign embodying the collection philosophy is developed seasonally for each brand in cooperation with top photographers and leading art directors. The campaign motifs are used in print, poster and catalog advertising around the world. TV commercials are additionally leveraged to promote the successful HUGO BOSS fragrances
PR-Press Coverage The goal of HUGO BOSS communication and marketing is to ensure a globally consistent corporate and brand presentation. Within this framework, corporate communication concentrates on the company's activities and image. Coverage in national and international print media, along with interviews and press conferences, serve to reinforce and refine this image. The balance sheet press conferences, shareholders' meetings and bulletins on strategic issues complement the mandatory stock corporation disclosures as further pillars of the Group's corporate communications Brand communication focuses on the activities and image of the HUGO BOSS brands. Product PR in fashion and lifestyle media, film and VIP wardrobing, and interviews with designers all help to bring the brands to life. The website at www.hugoboss.com covers all areas of corporate communication, and serves as a popular source of information for anyone interested in HUGO BOSS
PR-Sponsorships Partnership with the arts and the art world began more than seven years ago. Since then, there have been numerous notable exhibitions and, in conjunction with the Guggenheim Foundation, the HUGO BOSS PRIZE has been established, which has evolved into an internationally renowned art award. Projects bearing a particular relevance to the company - featuring contemporary artists such as Jeff Koons, Dennis Hopper and Frank O. Gehry - add breadth and depth to the arts program, and infuse the HUGO BOSS brands with aesthetic values. In the sports sector the focus lies on Formula One, IRL, golf, tennis, and skiing. All of these sports epitomize the attributes of the BOSS brand: they are successful, dynamic and international.