MONCLER GORE - TEX CAPSULE ONE
Dwyer
MSc Strategic Fashion Management
Management

Leader: Kirsty Nevett 1977 Words


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This report will use a combination of primary and secondary research to analyse the Market Sector in which Moncler is categorised and provide a detailed summary of Moncler’s marketing mix and positioning, while also proposing a new collection of Moncler branded outerwear and a supplementary marketing and advertising strategy for this collection. The investigation of Moncler’s market sector will include an analysis of the luxury fashion market, exploring important points including the size and recent financial trajectory as well as key marketing trends in the year 2021. This section will also analyse Moncler’s internal and external business environments in the form of SWOT and PESTEL analyses. The next section will include a summary of Moncler’s marketing mix and positioning, highlighting key information such as Moncler’s products and services, unique selling point, and recent financial performance. Also included is a detailed characterisation of Moncler’s target consumer, a brand map displaying key competitors in the market, and a summary of Moncler’s distribution methods. Finally, is a proposal for a new line of Moncler luxury outerwear, including a product overview with a proposed pricing scheme and distribution approach, as well as a detailed marketing and advertising campaign for the new line of products employing a variety of strategies ranging from advertising to social media marketing and a PR event.
The purpose of this report is to analyse Moncler’s current standing and performance in the Luxury Fashion industry and to take a closer look at the marketing and communication strategies they have employed to build success in recent years. Additionally, this report was written to introduce a proposal for a line of Moncler outerwear products and to outline a marketing and communication strategy for the promotion of this new collection. Sources including, but not limited to, The Business of Fashion, Forbes, Statista, LS: N Global, WGSN, and The Moncler Group’s financial reports were used to supplement the content of the report. The first limitation with regards to research that must be taken into account when reading the report is the timeframe; the research for this report was conducted over the course of about 10 weeks however, a longer period may have revealed additional insights. Another limitation is the lack of recent financial reports from the Moncler group, although there is financial data from the first half of the 2021 fiscal year, Moncler has not yet released its annual report for 2021 and consequently, financial data from Moncler’s 2020 Annual Report was used to construct a more complete picture of Moncler’s recent financial performance. The most prominent form of research conducted for this report was online research from online publications, e-books, online marketing reports, and financial data. In addition, some primary research was conducted in the form of an internet survey sent out to a cluster sample of individuals ranging in age from 18 to 23. The marketing objectives of this report are as follows: firstly, to capitalise on the ‘Gorpcore’ utility sportswear trend that has grown massively in popularity in 2021 by releasing a line of new products that fall into this category of outerwear. Secondly, to increase the number of consumers in the Millennial and Generation-Z age groups. And finally, to build on Moncler’s growth over the past decade and continue to cement Moncler as the go -to brand when it comes to Luxury Outerwear.
As of 2020, the luxury fashion market has been valued at 110.6 Billion USD. (Luxury Fashion market-global outlook and forecast 2021-2026)
In 2017, the global activewear market was valued at 351.1 Billion USD, it is expected to grow to around 550 billion USD by 2024 with a CAGR of 6.5% from 2018 to 2024. (Das and Prasannan, 2017)
• Topped Dow Jones Sustainability indices for the 3rd consecutive year (Zargani, 2021)
• Q3 Revenues increased by 55% from 2020 to 2021 (Singh, 2021)
• Considerable social media presence
• Good reputation for high quality products
• Revenue generated across a variety of geographical regions (Monclergroup.com)
• Acquisition of Stone Island gives a platform to reach younger consumers
• Increased digitisation (Borrelli and Dempsey, 2020)
• Multiple points of sale (retail, online, wholesale)
• Heavy reliance on availability of highquality raw materials
• Low product diversification
• Many competing brands
• Very high price-point
• Travel restrictions due to COVID-19 can negatively affect revenue stream in certain regions
• Increase in product counterfeiting could potentially damage the brand’s reputation (SWOT & PESTLE.com, 2021)
• Demand for luxury goods positively correlates with macroeconomic conditions (SWOT & PESTLE.com, 2021)
Moncler was established in 1952 by Rene Ramillon and Andre Vincent. The name Moncler is an abbreviation of Monestier-deClermont, an alpine village close to Grenoble, and the location in which Moncler was created. Moncler’s core values are authenticity, excellence, talent, and pursing sustainability (The Business of Fashion, n.d.).
Moncler aims to innovate and develop as a luxury goods brand while remaining authentic to its heritage. The customer is the central focus of all of Moncler’s business decisions and their most important asset. (The Business of Fashion, n.d.)
2020 Revenue: Asia: EUR 717,860,000 EMEA: EUR 501,883,000 Americas: EUR 220,666,000
Total Revenue: EUR 1,440,409,000
Total income: 300,351,000 75,6% or EUR 1,089,496,000 from Retail 24,4% or EUR 350,913,000 from wholesale (Monclergroup, 2020)
First Half 2021 Revenue: Asia: EUR 282,551,000 EMEA: EUR 187,774,000
Americas: EUR 95,215,000
Total Revenue: EUR 565,549,000
Total Income: 50,189,000
or EUR 418,407,000 from Direct-to-Consumer (DTC) Sales
or EUR 147,133,000 from Wholesale
Being a luxury fashion brand that is best known for their outerwear, Moncler’s key competitors are mostly sportswear and outerwear brands, as well as some other luxury fashion brands that produce similar items.
The majority of advertising would be billboards strategically placed in areas known for high-end shopping and retail
Billboards will be put up on the same day in every city
Will be placed in major cities all over the world, areas with large amounts of pedestrian traffic to maximise their effect. For example:
Oxford Circus, London
Times Square, NYC
Sunset Strip, Los Angeles
Champs-Elysées, Paris
Yonge-Dundas Square, Toronto
Shibuya Crossing, Tokyo
An example of what the billboards would look like
• Digital Marketing will be primarily carried out on the Moncler Instagram account
Instagram stories function will be used to show a look book of the collection ahead of release
Links to sign up for the Moncler email list and be notified when the collection releases will be attached to each story post
• All Instagram story posts related to the collection will be placed in a ‘Story Highlight’ for easy access
After the collection is released, a series of Instagram posts, one for each item in the collection, will be posted to the
Customers will be able to shop the collection directly from these posts using Instagram’s shopping function
• Promotional video for the collection posted to the Moncler YouTube channel
• Video would show the gear being worn and used for outdoor activities such as hiking in various extreme weather conditions and outdoor locations
Fig 8.1 Fig 8.2
• Video would use the song Hurricane by Kanye West as it relates to the thinking behind the collection and will create an association between the song and Moncler
Email will be sent to all email list subscribers ahead of the release notifying them of the release date and allowing them to view the look book
Another email will be sent out at the time of the release with a link to shop the collection online and information about in-store shopping
be a
Pop-up experience event: Store simulates harsh weather in which the clothing is meant to be used. For example, one area has rain, another area has strong wind, another area has snow. Key press, VIP clients, and influencers will be invited to come into the store and try on the clothing, testing how it holds up in each of the weather conditions. Guests will be asked to help share and promote the event/products on their social media pages.
• Devices like these will be used to recreate extreme conditions: artificial snow machines, rain shower heads covering the ceiling of a room, large industrial fans for windy conditions
• A large-scale immersive event with a high-profile guest list will be useful to generate press for the collection’s release as well as overall brand awareness
In conclusion, after the disaster of a year that 2020 was for many luxury fashion houses, going into 2022 Moncler is looking to build up the same momentum they had prior to the beginning of the pandemic. The analyses of both the luxury goods market sector and Moncler’s marketing mix and position will give an idea of the luxury fashion market’s trajectory in the next five years and lay the groundwork for Moncler’s evolution as a brand going forward. The campaign proposed in this report will help Moncler in achieving this goal by allowing them to take advantage of one of the most popular outerwear trends of 2021 before other luxury brands. This collection will allow Moncler to appeal to a larger consumer base, increasing the brand’s popularity amongst younger generations such as Millennials and Generation-Z. Additionally, it will allow Moncler to continue to be one of the more innovative luxury fashion houses in the modern day and an industry pioneer for new trends. And lastly, by continuing to capitalise on the newest trends in outerwear before competitors do, Moncler is gaining momentum towards becoming the most popular luxury outerwear brand.
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Fig 1.1
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Fig 2.1
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Fig 2.2
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Fig 2.3
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Fig 2.4
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Fig 3.1
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Fig 3.2
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Fig 3.3
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Fig 3.4
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Fig 3.7
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Fig 3.8
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Fig 3.9
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Fig 4.1
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Fig 4.2
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Fig 4.6
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Fig
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Fig 5.2 Own Creation
Fig 5.3
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Fig 6.4 Own Creation
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Fig 7.4 Own Creation
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Fig 8.3 Own Creation
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Fig 8.8
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Fig 8.9
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• Primary research survey sent out online to a cluster sample of individuals ranging in age from 18-23
• Answers from this survey were used to determine the most effective distribution method for the collection, as well as lay out the marketing objectives, and decide on the most effective marketing communication and advertising strategies to employ for the collection