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1. GUCCI:- STAYING RELEVANT IN LUXURY
OVER A CENTURY
GROUP NO-6 GROUP MEMBERS:-
DEEPESH ASSUDANI
SOUMYA DAVE
ANJALI DWIVEDI
ASHUTOSH TIWARI
PRADUM SINGH BAGHEL
PRIYANKA BAGHEL
CMTP-1

2. OVERVIEW OFTHE INDUSTRY:-
• 1.Trade name – Gucci
• 2.Founded - 1921; 103 years ago in Florence,Tuscany, Italy
• 3.Founder - Guccio Gucci
• 4.Headquarters – Florence Italy
• 5. Industry - fashion and luxury industry
• The fashion and luxury industry encompasses a wide range of products and services, from high-end
fashion apparel and accessories to luxury goods such as watches, jewelry, handbags and cosmetics.
• 6.Key Players: Major fashion houses and luxury brands dominate the industry, including Gucci, Louis
Vuitton, Chanel, Prada, Hermès, Rolex, Cartier, and many others.

4. KEY HIGHLIGHTS :-
• Brand Revitalization: Gucci underwent a significant transformation under the creative direction of Alessandro
Michele, revitalizing the brand with a bold, eclectic aesthetic that resonated with younger consumers.
• Digital Innovation: Gucci has embraced digital platforms, leveraging social media and e-commerce to connect
with customers and drive sales. Its digital marketing campaigns and collaborations with influencers have been
highly successful.
• Market Expansion: Gucci has continued to expand its presence globally, opening flagship stores in key cities and
tapping into emerging markets such as China to fuel growth.
• Collaborations and Partnerships: Gucci has collaborated with various artists, designers, and celebrities, creating
buzz and attracting new audiences. Notable collaborations include those with Dapper Dan and North Face.
• Financial Performance: Despite challenges in the luxury market, Gucci has maintained strong financial
performance, with consistent revenue growth and profitability, driven by strong demand for its products and
effective marketing strategies.

5. MAJOR CHALLENGES FACED:-
• Duplicate Merchandise: One of Gucci's major problems is counterfeit products. It is quite easy
for counterfeit enterprises to sell their items at lower prices because of technological
advancements.
• Rivals: Prada, Dior,Versace, and others are major rivals in the retail business.They are selling
the same things at various price ranges, putting Gucci's profit in jeopardy.
• Environmental Requirements: Gucci is having difficulty manufacturing some products or
commodities due to rigorous environmental regulations. Gucci's working conditions and
market share may be harmed as a result of these rules.
• Brand reputation :- maintaining and enhancing the brand image is crucial.Any controversies or
negative publicity can harm its reputation and consumer trust.

6. RELEVANT FACTS AND FIGURES:-
• The man behind the brand was called Guccio Gucci - he was 40 years old when he established the brand.
That's where the double G logo originates but interestingly was never designed by Guccio himself, it was
created as a tribute after his death in 1960.
• For the last 14 years Gucci have had a partnership with UNICEF which means a percentage of their profits is
donated to the organisation, helping children to get better education and clean water in third-world countries.
• Before creating Gucci, Guccio Gucci worked as an elevator operator in the high class Savoy Hotel, located in
London. Gucci met several celebrities like Marilyn Monroe and also Winston Churchil. He got
inspired from their accessories and thought of starting his own brand.
• The parent organization of Gucci is the Kering Group and Gucci generated about €9.63 billion in 2019. Gucci
stands at the rank 33 in the global list of best brands set by Interbrand. Interbrand has been rating several top
brands in the world for more than two decades, since 2000.

7. • Gucci introduced one of the most expensive pairs of jeans in the world called ‘Genius
Jeans’. It was priced at about $3,134 in the year 1998.
• There was a time when Gucci was finding it difficult to source leather.Then the company
used materials like bamboo to create products.
• In 2015,Alessandro Michele was appointed as Gucci’s creative director. Under his
leadership, the brand’s sales increased to about 12%. In all this time, Gucci formed an
immense reputation for itself in the Milan fashion week.

8. NEW PRODUCT LINE AND POTENTIAL MARKET :-

10. CHARACTERISTICS OF NEW GENERATION OF
CUSTOMERS AND STRATEGIES TO TARGET THEM
The new generation of Gucci customers tends to value authenticity, sustainability,
and digital experiences.To effectively target them, Gucci can implement strategies
such as:
• Digital Engagement
• Sustainability Focus
• Augmented Reality
• Subscription Services
• Diverse Representation

11. EXPLORATION OF NEW RETAIL FORMATS FOR
GUCCITO CONSIDER.
• Gucci could also consider experiential concept stores that integrate art installations,
interactive displays, and unique events to offer customers a memorable shopping
experience.
• Additionally, they could explore smaller boutique formats focusing on specific
product categories or target demographics, such as Gucci Kids or Gucci Home.
• Gucci could explore pop-up stores in trendy locations, mobile retail experiences like
luxury trucks or vans, immersive virtual reality showrooms, or even collaborations
with tech companies for interactive retail experiences using augmented reality.
• These formats can create excitement, attract new customers, and showcase Gucci's
innovation and creativity.

12. Q1.ANALYSIS OF GUCCI EXPANSION INTO THE
BEAUTY PRODUCT CATEGORY
• Observations after analysis -
• 1.Brand Reputation - Gucci's strong brand reputation has provided a solid foundation for
its expansion into the beauty market.
• 2.Creative Direction - Gucci's creative direction under Alessandro Michele has infused
its beauty products with a sense of artistic flair and boldness.
• 3.Competition from well established players in the market.
• 4.Limited Product Range - Gucci's beauty product range, while expanding, may still be
perceived as limited compared to competitors with more extensive offerings.

13. • 5.Price Point - Gucci's luxury positioning comes with higher price points for its beauty
products
• Suggestions
• 1.Expand Product Range
• 2.Innovative Formulations
• 3.Targeted Marketing Campaigns
• 4.Accessible Price Points

14. Q2. IMPACT OF COVID-19 ON CUSTOMER BEHAVIOUR
TOWARDS LUXURY.
• 1.Changes in consumption patterns/ shopping mindsets
• 2.A tradition to Sustainability
• 3. Growth in the market for luxury rentals and used goods
• 4. Shift to mindful spending
• 5.Online presence and digital interaction