Y 3 x Virgin Galactic

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EXECUTIVE SUMMARY What began with one phone call from Yamamoto, led to a ground breaking collaboration so successful that it developed a new potential in the activewear fashion market.

This mission is to celebrate the launch of the Virgin Galactic’s collaboration with Y-3. Designing apparel fit for the first commercial space flight is a pioneering step which fits well into Y-3’s identity. Both companies share the idea of movement and mystery, allowing them to work ideally together while creating new potentials in the sports fashion market.

Consumers will enter the launch event through an interactive and sensory mirror maze. It will allow the general public to experience the motions of traveling through space and time. The aim of the space is to evoke the idea of the impossible, just as this innovative collaboration does.

Celebrating this new technological advancement in Hong Kong, China allows Y-3 to bridge gap between the Japanese and Chinese market. This creates opportunities in new markets while also keeping Yohji’s values intact. We still want to see the perfections in imperfections. The product assortment for this pop-up shop will be minimal, highlighting Y-3’s prototype flight suits and accompanying boots for Virgin Galactic.

TABLE OF CONTENTS COMPANY OVERVIEW

BRAND ANALYSIS

HISTORY

SWOT ANALYSIS

COMPANY PROFILE

BRAND IDENTITY MATRIX

CORPORATE STRUCTURE

CURRENT POSITIONING

COMPANY GROWTH

CURRENT DISTRIBUTION COMMUNICATION & PROMOTION KEY COMPETITORS

STRATEGIC INITIATIVE

PLAN & DESIGN

TARGET MARKET

EVENT LOCATION

CONSUMER PROFILE

EVENT DESIGN

PESTLE ANALYSIS

COMMUNICATION PLAN

LOCATION OPTIONS

PROMOTIONAL PLAN

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COMPANY OVERVIEW 1

HISTORY 2004

2

Y-3 experience became articulated in the brand’s first freestanding flagship boutique in Tokyo

1943 Yohji Yamamoto was born in Tokyo, during the war

1949 Adidas was founded

2008

New York in Febru Septemb

2007

Retail stores in Paris, and Miami

2010

8

k on W. 13th Street uary & in Soho in ber

First Dubai flagship store, Mall of the Emirates & Second Miami flagship at 1111 Lincoln Road, a retail and residential structure on South Beach designed by Herzog & de Meuron

2012 First public exhibit in Japan of artworks by designer Yohji Yamamoto, at Yohji Yamamoto Aoyama store

2018

Virgin Galactic x Y-3

2011 Beijing,

2009

Las Vegas, Los Angeles, Hong Kong, Shanghai, Seoul, and Singapore

Opening of additional Y-3 stores in major cities in the United States, Asia, and Europe, beginning with a London flagship opening in Spring

2013

10th anniversary

‘Ten years ago, together with adidas we created something that did not exist before and completely projected the future. My desire was and is to make sportswear elegant and chic. adidas is a very personal inspiration to me … it enriches my creative life.’

- Yohji Yamamoto, 2011

THE Y STANDS FOR YOHJI YAMAMOTO THE 3 REPRESENTS ADIDAS’ THREE SIGNATURE STRIPES AND THE - SIGNIFIES THE BOND BETWEEN THE TWO

MISSION Adidas and Yamamoto combine the expertise of a huge sportswear business and an avant-garde designer to target a new audience of consumers with a new high end, premium fashion sports niche.

VISION Fusion

VALUE of

the

advancements

technical of

adidas

Born from culture, built for purpose, daringly simple.

with the distinctive vision of designer Yohji Yamamoto

PIONEERING - sophisticated - authentic -

COMPANY PROFILE

BRAND ANALYSIS 1

SWOT

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STRENGTHS

WEAKNESSES

loyal niche following few competitors in terms of aesthetics high profile celebrity endorsements established brand image technical specification with premium aesthetics unique & innovative i.e. Virgin Galactic Yohji’s value and interest in art, creativity & innovation

extremely niche customer few in store customers

OPPORTUNITIES

THREATS

pop up stores sell Japan only labels overseas more artworks released - films, books etc expanding in the Chinese market

no successor to carry legacy forward fast changing style high price point growing counterfeit market foreign currency fluctuations other companies joining niche market

BRAND AS A PRODUCT

BRAND AS A SYMBOL

Footwear - sneakers, high-top sneakers Apparel - shirts, coats&jackets, pants, sweatshirts, tees&polos, dresses&skirts Accessories - handbags, other accessories

BRAND AS A PERSON

BRAND AS AN ORGANISATION

Sophisticated Impactful Fashion forward Elegant Functional Born from culture

Headquarters - Tokyo, Japan Japanese and German values International / Global E-commerce + Brick & Mortar

BRAND IDENTITY MATRIX

LOW PRACTICALITY

POSITIONING Y-3 has created it’s own niche market within the industry.

This luxury activewear market was not that significant before. Yohji recognized the prevalence of health conscious shoppers and rising trend of athleisure. He found a market opportunity and made sportswear elegant. Many luxury brands followed in lead with their own activewear labels.

LOW PRICE

Yohji brings his rich imagination and sartorial aesthetics to Y-3 and infuses it with adidas’ advanced sportswear technology. Other luxury brands may have included an activewear label into their brand, however, most still lack the advancement and experience that stems from adidas. For this reason, Y-3’s designs and collection is comparatively most practical and functional.

CURRENT DISTRIBUTION PHYSICAL (around 110 stores) AMERICAS ASIA EUROPE MIDDLE EAST OCEANIA DIGITAL y-3.com Adidas Barneys NY Nordstrom Mr. Porter YOOX FORWARD END. Clothing

Y-3’s own e-commerce site is powered entirely by YOOX now.

They took care of the the idea & implementing of creative concept, the technological platform, the entire Interface and UX design, global logistics, customer care and global online marketing.

How the distribution works: PORT LOGISTICS GROUP

- YOOX bulk ships to PLG warehouse in NJ

- Just in time inventory solution

- sorts, re-packages & ships from US

- PLG restocks and catalogs returns

- reduced shipping costs = higher margins

- enables better pricing & faster service

PLG WAREHOUSE MANAGEMENT SYSTEM - systematic communication with YOOX creates seamless flow of real-time data - improves inventory utilisation and quality control - more timely & accurate orders - localised products & improved margins

Y-3.com

COMMUNICATIONS & PROMOTIONS Their communications and promotional strategy is incredibly well conceptualized throughout all channels. Due to their effective omni-channel presence, any content

by Y-3 is recognizable instantly.

In terms of store design and retail concept, the brand maintains a cohesive international signature with their modern, monochromatic, and minimalistic style. The retail experience is conceptualized to create a sense of movement and mystery. Japanese influence is subtly evident with the use of a continuous black surface flowing through the contrasted white space.

The same Y-3 logo is used for the display picture of every social media that they utilize. Y-3 black logo with a sand-like textured background. All three channels of communication link to each other, allowing users to go straight from one to the other.

1.7m followers

15,555 subscribers

341,661 people

Their most used social media channel is Instagram. Their Instagram feed is highly visually appealing with posts well planned out and a clear brand identity speaking through it. The posts usually depict striking and engaging shots from the runway, campaign shoot and product shots. Everything posted is visually intriguing and dynamic which allows for large audience engagement. Their Facebook has similar content to Instagram, however, they provide more information about the products and its launch dates on Facebook. There’s more area to inform and educate, therefore, they take advantage of this space to do so. Although, probably the least updated their youtube feed is quite strong too.

Yamamoto’s creativity follows through into other form art such as installations and films. This is evident throug youtube channel and the films created for Y-3. Their yo channel mainly consists of campaign films and runway sh however, it celebrates Yohji’s values once a while. Durin 10th anniversary, they showed short clips depicting Yohji an beliefs, values and ideas. These clips were around 30 sec to a minute long each, keeping the audiences attention a as leaving them intrigued for more. These are the same v shown on their Facebook as well. Their Instagram has sh more commercialized clips of the same content.

ms of gh the outube hows, ng the nd his conds as well videos horter,

COMMUNICATIONS & PROMOTIONS

2013 INTERACTIVE CAMPAIGN The entire 10th anniversary campaign, from design to marketing, celebrates the essence of Y-3 and its values. Their runway show and collection merges seamlessly into the marketing campaign for Y-3’s 10th Anniversary. The concept of “future thrift” focuses on upcoming generations and the possibility of the intersection between technology and tradition. Sticking to the typical Y-3 sport-style with voluminous silhouettes, energetic graphic patterns and unforgettable footwear, but with concept of time passing incorporated into these designs. The idea of "walking backward into the future” highlights their level of innovation from day one.

The interactive aspect began straight from the runway, with a livestream on their official Y-3 website.

Multiple camera and perspectives allows the digital audience to capture and share looks instantly from the show. This aspect of interactive experience followed through to their online 2013 film campaign. It explores the main culture of the brand through distortion, movement and transformation. An interactive interface displayed on the Y-3 website allows the users engage with the film and its sound by pressing different buttons that deconstructs, distorts and stretches the film visually. Every interaction is unique and provides a different result as it is dependent on the user's interaction with the keys. It also appeals to most senses, giving the audience the full experience. The entire communication and promotional strategy was incredible successful individually and as whole that year especially. The audience could get the full experience with dynamic effects even digitally. They clearly know how to reach all aspects of their market, as it is likely that the younger end of their target market may not be able to afford NYFW.

KEY COMPETITORS T by Alexander Wang

D&G Comme Des Garรงons Raf Simons Dirk Bikkembergs Polo Ralph Lauren T by Alexander Wang Lululemon Moncler Givenchy for Men Hugo Boss

Hussein Chalayan x Puma Comme Des Garรงons x Nike

Maison Martin Margiela

BRANDS

COLLABORATIONS

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STRATEGIC INITIATIVE

TARGET MARKET DEMOGRAPHICS 20-34 years Successful professional / rich teenagers Urban Creative Active PSYCHOGRAPHICS Progressive Divergent Sophisticated Dynamic-thinking Enlightened Aspires to make an impact, be successful & multi dimensional CONSUMPTION HABITS Loves art, museums and exhibitions Fashion to represent professional success Is socially consicous Loves to shop

Oscar Kwong 25 years old Works at Net-A-Porter Inquisitive person Is a sneaker aficionado Quite physically active Constantly on the move Is on the Red Shoe team (dance company) Enjoys creating 3D sculptures Does not compromise on style Dynamic and ever-changing lifestyle

CONSUMER PROFILE

PESTLE ANALYSIS

POLITICAL

ECONOMICAL

The Hong Kong government is focused on the growth and flexility of its economy.

Labour laws are strict, however, it won’t be a threat for Y-3 as they can afford the costs.

Due to the “one country, two systems” policy, HK has its own authority over legislation, judiciary and administration. A possible threat would be the ongoing struggle for power between Hong Kong and China.

Although it is significantly autonomous from China, Chinese politics still do affect HK. The business climate is still favorable there and suitable to US, especially due to US dollar anchoring.

Hong Kong is often known as the model of liberal economics, due to their positive economic conditions. Luxury consumption is more dependent on tourist expenditure, with people from Mainland China traveling to purchase these luxury items. China’s anti-corruption policy could slightly hinder the amount of tourist entries. However, due to disposable incomes and the decreasing pressure on import prices, consumption of luxury products remains steady.

SOCIAL

TECHNOLOGICAL

With such a diverse and eclectic mix of cultures and values, it is becoming a growly popular site for creatives. The art scene is growing in Hong Kong massively, with places like PMQ and K11 becoming more popular. Hong Kong is prided for its “east meets west� culture, which would be a smart choice for Y-3 to promote in.

Especially to bridge the gap between Hong Kong and Japanese markets. Consumers are definitely becoming more conscious in term of purchasing choices, with more emphasis placed on the values of creating an experience, sustainability and being socially aware. They prefer spending on functional and comfortable fashion products with consideration of value-for-money.

Hong Kong is incredibly advanced in this sector, with state-of-the-art technology used from retail to transportation and everything in between. In a country were efficiency is part of the culture, online shopping is an increasingly popular channel, especially in the retail industry. With an highly advanced and educated population and skillset, HK would be an ideal location to innovate and create. HK’s tech potential is strong and if explored further it could be an incredible opportunity. Incorporating digital technologies and linking the online world to the pop up event will be a massive opportunity for increased exposure and success.

PESTLE

(continued)

LEGAL

ENVIRONMENTAL

The rule of law, civil and press freedoms, open government, and high professional standards come from its British influence.

The tax system is simple, and relatively low.

Hong Kong is effective and transparent trade policies and taxations. Since its highly dependent on international finance and trade, there are no tariffs on imported goods. In terms of advertising, the legislation is not comprehensively regulated.

However, applying trade descriptions that are misleading or false would be a criminal offense under the Trade Description Ordinance. For consumer protection companies cannot make any false claims, promotional methods or advertisements.

All four seasons are present throughout the year. Hong Kong’s climate can be temperate and subtropical. Air and light pollution is a massive problem in Hong Kong due to the mix of neighboring factory emissions, lack of nature and public transportation. Due to pollution, waste, water and the growth of the business and economic sectors, the ecology of HK has had an adverse effect.

However, the fashion and textile industry is slowly making changes due to a mix of consumer and government pressure.

LOCATION OPTIONS - PMQ Central & Western District Located on 35 Aberdeen Street, Central, it is easily accessible from both Sheung Wan and Central MTR stations. What is now HK’s current most hipster and artsy hub once used to be a Police Married Quarters (PMQ). Originally in 1862, it was a campus for the Queen’s College Central School. PMQ consists of three different buildings, the two former quarters Blocks A and Block B (named Stauton and Hollywood) as well as the Junior Police Call (JPC) Building. It has now been converted into a central creative spot with workshops, design studios, stores as well as temporary events, markets and exhibitions. With around a 100 creative, design and food enterprises there, the venue has a good amount of foot traffic. The weekends especially are filled with musical performances, design galleries and creative events. Once a month, they transform the group floor courtyard into a weekend night market with open-air concerts, food and activities. This energy and positive vibes this brings in, encourages even more foot traffic and all types of creative and shoppers to the hub. The demographic here is diverse with a mix of cultures and values, from people age 20 to 50. It is a very internationalized location with the balance of local traditions and values.

LOCATION OPTIONS - K11 “The World’s First Art Mall” Located on 18 Hanoi Road, Tsim Tsa Tsui (TST), it is a 6-floor building. The aim was to create a shopping venue with an art culture and environment around. The focus was the elements of art, people and nature. This is evident through the interiors and decors within the mall. However, the assortment of stores and brands in the mall are more commercialized and generic rather than creative. The goal to head in an innovative and artistic direction was not successful as it is still not incredibly popular amongst the creative and modern community. Consumers are less likely to travel just for K11 but would probably visit while passing by, especially as it is right next to the TST MTR station exit. People in that area would be aged 25 - 60 with a mix of some artsy passerbys with typical mall shoppers and local people. It is a more localized and traditional area than PMQ.

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CREATIVE SOLUTION

- Art, people, music and culture - people choose to travel here - already buzzing with creatives and professionals - better mix of local and international - allows for Y-3 to appeal to both market segments - Night Markets once a month

LAUNCH PARTY - 1st March - Dance performances - Spacebar - Mirror Maze Launch INSTALLATION - Entire March - Interactive multi-sensory experience - Exhibition of products designed

EVENT LOCATION

EXTERIOR

The actual mirror maze will be located inside the exhibition space in PMQ. This is the view from outside when the curtains are open.

INTERIOR

Mirror Maze A maze that leads people through a warped journey OPEN ENTIRE MARCH 2018 of time and space through distorted mirrors maze to an event space and exhibition. The walls are bendable, allowing for more distortion and an interactive touch. The last leg will lead to an area that has product assortment of the new flight suits, boots and limited edition jackets.

EVENT DESIGN

PRODUCTS

For pre-event promotions, there will be a flash mob held a day before the launch of the event in TST, near the Space Museum and right in front of the Star Ferry. This location has a lot of foot traffic and passer bys who stop to watch such happenings everyday.

It is not uncommon for people to dance or sing there. On the morning of the event, the same flash mob will take place in the middle of Central, HK. It is also a very happening and busy location with large amounts of foot traffic. There are many luxury stores nearby and a large adidas store right there, so the target market is probably already there. It is only 10 minute walk from the event location, PMQ. The flash mob will encompass around 10 - 15 people doing contemporary, dynamic dance in black clothing. At the end of both the flash mobs, the invitations will be thrown up into the air for people to catch. There will also be staff handing out invitations throughout the dance and after.

Pre-Launch Flash Mob

PROMOTIONAL PLAN

Print Advertising

PROMOTIONAL

Social Media

PROMOTIONAL PLAN

Lookbook

PROMOTIONAL PLAN

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REFERENCES