November 28, 2012 CAPITAL MARKETS DAY 1 COMPANY, 2 BRANDS, 1 MISSION UDO GREISER CPO

Transcription

1 November 8, 01 CAPITAL MARKETS DAY 1 COMPANY, BRANDS, 1 MISSION UDO GREISER CPO

2 The changing attitude and behavior of consumers today is developing towards ONE COMPANY, ONE MISSION EXECUTIVE SUMMARY Early adopting instead of fashion following Bigger interest in appearance Increasing value-consciousness & price sensitivity Brand loyalty Becoming faster by category management. Defining a percentage of newness in collections, sharper focusing on target group. Higher share in Asian production, reconsidering sourcing footprint. Strengthening the price value ratio. Consistent handwriting and branding concept on products. Reliability in fit and quality.

3 The changing attitude and behavior of consumers today is developing towards ONE COMPANY, ONE MISSION EXECUTIVE SUMMARY Early adopting instead of fashion following Bigger interest in appearance Increasing value-consciousness & price sensitivity Brand loyalty Becoming faster by decreasing lead time. Sharpening key looks inspired by catwalks. Optimizing supply chain, by bundling, designated supply chains, etc. Sharpening brand image, by product statements, marketing measures, key looks. 3

4 AGENDA Emerging consumer & markets 1 Latest consumer patterns & behavior Development of BONITA and TOM TAILOR Next steps for BONITA Next steps for TOM TAILOR 4

5 1 THE EMERGING CONSUMER Increasing awareness of fashion and trends Due to new media and fast fashion vertical retailers (Zara, H&M, etc.) consumers getting more and more aware of the latest fashion and trends. This also triggers a bigger interest in their appearance. 5

6 1 THE EMERGING CONSUMER Bigger interest in appearance Fashionable clothing is used as a form of self-expression, impacted by changing lifestyles and desire to follow fashion leaders and trend setters. Today s fashion consumer actively respond to their social environments. 6

7 1 THE EMERGING CONSUMER Increasing value-consciousness & price sensitivity Structural changes in the global economy leave the consumer financially constrained and more value conscious. Additionally, greater transparency will allow less tolerance among the rising middle class in terms of quality and sustainability. 7

8 1 THE EMERGING CONSUMER The German consumer Once I am convinced by a brand, I stick with it. If the consumer is satisfied with a brand and its performance he will become a LOYAL customer 69% When it comes to apparel, the internet is my channel 45% of 58% choice. 53% 88% When I shop for apparel I initially look out for brands I already know. Spiegel Outfit Study 7 (011) Even if I like a piece a lot, I still request value for money is spent on average by Germans on apparel each year. For me it is important that a brand has its own character. 8

9 AGENDA Emerging consumer & markets 1 Latest consumer patterns & behavior Development of BONITA and TOM TAILOR Next steps for BONITA Next steps for TOM TAILOR 9

10 Retail excellence meets product excellence 10

11 BONITA IS ON TRACK! Product and assortment Service quality Store atmosphere Top-5 Top-5 Top-5 Gerry Weber ,6 459 Gerry Weber 194 Gerry Weber 8,5 but consumers Ulla and markets never Wöhrl 455 Popken 191 Wöhrl 8,3 stop moving! P&C 454 Jeans Fritz 188 Esprit 8, Esprit 45 SinnLeffers 186 Zero 8, Average 419 Average 170 Target value 7,3 Source: Top-Shops 011 (TextilWirtschaft) Note: Based on survey of c. 3,000 customers 11

12 TAKING THE NEXT STEPS Early adopting Analyze bestselling Optimize supplier articles. portfolio. planning process. Trend Bundle production scouting. Standardize & shorten Differ production time for different products. Fashion degree Evaluate competition steadily. Increase share of newness. Asian production. Reduce parallel Decrease creative planned collections. Reconsider sourcing input from supplier. footprint. Increase individual BONITA design input. Price-Value volumes. Increase share of Brand Provide a clear handwriting. Label products consistently. Install branding concept. Open Online shop. 1

13 TAKING THE NEXT STEPS Lead time improvement, offering more newness Month Today months Development start POS Target Define 3 clusters Cluster 1 Cluster Cluster 3 Collection development Collection development Collection development Production Production Production Transport Transport Transport POS 13

14 TOM TAILOR IS ON TRACK! Brand awareness Brand ownership Willingness to buy % 93% + % % 49% +7 % % 76% +50 % Esprit % +7 % % % % s. Oliver +8 % stop s. Oliver moving! +0 % s. Oliver % % Esprit % +0 % % % +35 % % but consumers and markets never Esprit % 78% +35 % Marc O Polo % 90% +13 % Marc O Polo % 7% +7 % Marc O Polo % 57% +9 % Tommy Hilfiger % 86% +5 % Tommy Hilfiger 011 9% 00714% +15 % Tommy Hilfiger % 57% +36 % Source: Spiegel Outfit study 7.0 (011); Spiegel Outfit study 6 (007) 14

15 TAKING THE NEXT STEPS Early adopting Fashion degree Price-Value Brand loyalty Decrease lead time. Install different timelines for different products. Take fastest article as bench mark. Plan basic article with longer lead time. Plan fashion items with shorter lead time. Take inspiration from catwalks. Sharpen key looks. Be more flexible to react faster on trends. Decrease repeats. Bundle volumes at suppliers. Provide designated supply chains for different products. Plan off peak season production. Provide a clear handwriting. Sharpen brand image. Plan regular product statements. Take marketing measures, e.g. TV- Spots, Polo events. 15

16 Sales Sales TAKING THE NEXT STEPS Lead time improvement Weeks Today Development 3-6 weeks Production Transport & Logistics Development start POS Development Production Transport & Logistics Goal Quick Response Devel opm ent Production Trans port POS 16

17 WRAP UP Consumers and markets never stop moving. BONITA and TOM TAILOR have different systems to react on market trends, but one view on emerging consumer markets. Optimized supply chains provide a strong back-up in fast changing markets. Clear positioning of the brands and concentration on market will keep the consumer loyal and provide market needs. TOM TAILOR presence Joint presence 17