supply chain mgt aind swot analysis of tommy hilfiger

1. SUPPLY CHAIN
MANAGEMENT
ON TOMMY HILFIGER

2. Parent Company Philip Van Heusen Corp
Category Footwear and Apparel
Sector Lifestyle and Retail
Tagline/ Slogan For the People
USP Cool American Style
STP Segment Consumer seeking a new
interpretation in Classic
American Style.
Target Group Urban upper-segment
young men and women.
Positioning High Quality,
Quintessential American
Style.

4. PRODUCT RANGE
• QUINTESSENTIAL AMERICAN STYLE
Since the launch of the Men’s Sportswear collection in 1985 the Tommy Hilfiger
product offering has expanded to encompass a complete premium lifestyle.
The Tommy Hilfiger flag logo is recognised around the world as the symbol for
high quality, quintessential American style with a classic, cool twist. Specifically
targeting the 25 to 45 year old consumer, the Tommy Hilfiger label appeals to
those seeking a new interpretation on classic American style.
• THE COLLECTION
The Tommy Hilfiger collection consists of casual sportswear and accessories for
men and women that reflect the classic American cool brand mission.
Products include men’s, women’s, and children’s apparel, footwear, swimwear,
accessories, fragrances, home and bedding products, and luggage. Tommy Hilfiger
products are sold at dedicated retail stores, department stores and specialty
stores worldwide.

5. SUPPLY CHAIN AND DISTRIBUTION

6. STORES CONCEPT
 In the establishment of the brand, retail stores
have played a key role.
 Ever since the launch of the first store in 1997,
more than 200 stores have opened all over the
world - and we’re still growing.
 Anchor stores are built in key locations and
franchise stores have been established around
these anchor stores.
 Tommy Hilfiger and its partners operate over
350 stores worldwide.

8. FRANCHISE STORES
• COMMON VALUES
• Tommy Hilfiger has more than 1,000 retail stores across the globe. All
their stores are in premium locations delivering a “Classic American
Cool” shopping experience to our consumers.
• A third of our stores are run by franchise partners with a consolidated
experience in the fashion industry and retail know-how with a strong
knowledge of the local markets. The Tommy Hilfiger franchise
partnership merges global brand management with local retail
excellence.
• Commitment and winning attitude are the common values shared by
their franchise partners.
COMPLETE PACKAGE
• They offer the franchise system throughout Europe, Middle East and
Africa and we provide a complete package that covers all aspects of
franchise management. Fully developed and detailed store concept
designed by Tommy Hilfiger.
• Store Project Management, Buying support, Retail Marketing, Visual
Merchandising, Learning and Development, Performance Management
and Store Operations support.

11. • After partnering iconic fashion designer Tommy Hilfiger for 25 years to
create a global fashion brand under the designer's name, Mohan
Murjani founder of Murjani group, is exiting the brand in India.
• Tommy Hilfiger Group, currently owned by clothing conglomerate PVH
Corp, had bought out the 50 per cent stake of the Murjani Group
in Arvind Murjani Brands (AMB) which has sub licence for its products in
India.
• The brand has also acquired Murjani Group's license for Tommy
Hilfiger trademarks in India. Murjani had perpetual licensing rights for
Tommy Hilfiger. Though Tommy Hilfiger did not disclose the terms of
the deal, it is believed to be between $50 million to $60 million
(aroundRs 250 crore), according to sources in the know. Mohan Murjani
could not be reached for the comments.
• For the Murjani Group, which had given up the franchises of
two luxury brands Jimmy Choo and Gucci, this is the third such exit.
Mohan Murjani partnered with Hilfiger in 1985 to launch the American
designer’s brand and company in the United States. In 2004, Murjani
launched the Tommy Hilfiger brand in India and had perpetual rights
in the country. Murjani later sublicensed the apparel, footwear and
handbags businesses to AMB and separately sublicensed other
product categories to other companies.
MANUFACTURING IN INDIA

12. SWOT ANALYSIS

13. STRENGTHS
Strong Recognition being a Global Brand.
Strong distribution Network globally.
 Presence in more than 90 countries and more
than 1000 retail stores in North America, Europe,
Central and South America andAsia Pacific.
 Cool, American Style designs by reputed
designer Tommy Hilfiger.
 Associations and promotion from popular
celebrities.
 Advertising and brand visibility is very popular.

14. WEAKNESS
 Segment has huge competition from
established brands hence brand switching is
high.
 Brand Protection and Maintenance Costs are
high.

15. OPPORTUNITIES
 Innovation in apparels.
 Expansion of product line and Services.
 Increasing amount ofdisposable income
in emerging economies.

16. THREATS
Intense Competition from international
brands.
Economic slowdown which will
cause reduction in demand for premium
priced products.
Constantly changing fashion trends means
inventory issues.

17. KEY LEARNINGS
• To know how supply chain management works
• Importance of supply chain management
• How supply chain helps in maximization of
sales and profits.
• To know the strengths, weakness,
opportunities and threats of the company.