Can Gucci's Performance Myths Continue?

Last week, according to the world clothing and shoe net,

At the forum held by the association, Gucci CEO Marco Bizzarri talked about some of his methods and insights in the management of fashion industry.

The annual growth rate is close to 50%, and sales volume exceeds 6 billion euros for the first time in 2017 years.

The revival is close to a myth.

This was founded in 1921 in Florence, Italy.

Its Kering, a parent company, has generated revenue and has continued to break through the best performance of the group.

From the end of 2013 to the end of 2014, the luxury market continued to slump, and the global luxury brands such as Gucci, Louis Vuitton, Hermes and Chanel did not perform well, of which Gucci sales were the most obvious.

Marco Bizzarri was in danger and became CEO of Gucci in January 2015, opening the road of brand revival.

His first strategic decision was to appoint Alessandro Michele as the new creative director, laying the foundation of Gucci's younger aesthetic in the past two years, and providing a source of power for the innovation and pformation of enterprises.

However, Marco Bizzarri also mentioned that the aesthetic pformation of Gucci is actually the embodiment of its internal cultural pformation. He stressed the importance of being brave in taking risks and being enthusiastic about change: "the change in enterprise positioning and product aesthetics comes from thinking about what we want to do and thinking about why we should do so."

We need to abandon fear and express our attitude. "

Marco Bizzarri points out that this is not only reflected in the change of brand products, but also in the customer fit strategy, he said in an interview last week. "E-commerce platform and social media enrich our channels of contact, interaction and connection with customers.

We are telling the public that Gucci is sincere and passionate. We are using our culture and way to connect with them. "

Last month, Gucci responded to the parkland campus shooting in Florida, joined the anti gun movement and donated 500 thousand euros to the March for our lives.

This is the rare voice of large enterprises on political issues.

For Marco Bizzarri, it is not particularly difficult to make this decision, because in 2016 Gucci experienced 6.12 Orlando shootings personally.

"Corporate neutrality will come to an end."

He added: "today, we need companies to become leaders to express our attitudes and positions."

Marco Bizzarri's position seems to indicate that Gucci will voice on more social issues. Gucci is not satisfied with the product and the establishment of contacts with customers. It aims at deepening the life of the younger generation, representing their attitudes and opinions, thereby enhancing the sense of brand belonging.

According to CEO Francois-Henri Pinault of Kai Yun group, more than 50% of the sales of Gucci come from young customers aged 35 and below, who occupy half of the luxury consumption.

"This means that our main customer groups are concentrated between 25 and 35 years old."

He said so.

Catching the hearts of the younger generation and enhancing brand identity seems to be the core secret of Gucci sales growth. The following is a review of Gucci's brand strategy over the past two years.

The Alessandro Michele, which was appointed in January 2015, brings new brand recognition to Gucci. Its retro and gorgeous design attracts more young customers to the brand.

Michele advocates a vague concept of gender. He also loves bees, tiger heads and coral snakes as totems to join his designs.

In the Gucci2018 autumn and winter show, he incorporated different concepts of race, culture and social class into his design concepts, such as Sikh head towels and everyday work clothes.

What is even more shocking is the two young models holding their own head models in their arms, which is a metaphor for people's struggle for self cognition.

In Michele's words, we need to "care about our heads and our minds".

In the modern society with the popularity of social networks and the explosive development of information technology, young people are facing the dilemma of losing. Breaking the traditional rule boundaries and looking at themselves, finding their own totem seems to be a new benchmark for interpreting fashion.

Alessandro Michele has broken the stereotype conservative impression of luxury goods. When Gucci is endowed with the brand new connotation of "innovation", "tide" and "boldness", the young people's pursuit of Gucci has been traced in the past two years.

The millennials are trying to express their self cognition in society through the connection with brands.

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In terms of publicity and promotion, Gucci also has no influence at all, and makes full use of the star effect to brand.

Gucci has become the hottest brand in recent years, whether it is the airport or the red carpet, you can see a star wearing Gucci figure.

Even in the biggest bowl of the annual celebration of the United States, Lady Gaga also appeared in Gucci, showing the close ties between brands and celebrities.

Not only that, Gucci has done enough in the street trend, but we can see that many fashion bloggers often wear Gucci out of the street.

Last year, Li Yuchun became ambassador to Gucci global brand. According to her, the common characteristic between her and Gucci is to refuse to stick to the rules and constantly challenge herself.

Alessandro Michele is personally shaping the stage for her concert, showing that Gucci attaches importance to brand ambassadors.

Brand ambassadors, celebrities and other public figures have drawn the distance between luxury brands and customers, enabling them to build an emotional bridge with the younger generation and become a huge boost to brand promotion.

In addition, Gucci's development in the network platform and digital marketing also takes precedence over its peers, which is undoubtedly another reason for its success.

According to the 2017 American fashion brand digital index report, Gucci has beaten 89 other competitors to become the most successful luxury brands in the digitalization. The top five are Gucci, Michael Kors, Fendi, Burberry and LV.

"Digital competitiveness" includes online websites, e-commerce, digital marketing, social media and mobile phone development.

The digital creative project promoted by Alessandro Michele, with Instagram as the platform, has launched a series of online activities. The high exposure frequency has kept the Gucci fever continuously fermented on the network and maintained the brand's activity. This digitalization strategy undoubtedly gathered the eyes of the public, especially the young people.

Gucci is to link online promotion with offline experience, develop a full channel value chain, and create a comprehensive consumer experience for customers.

Younger team

In an interview, Bizzarri revealed that he formed a committee composed of young people under 30. Their task was to discuss the problems discussed by the executives in their daily meetings and to give their opinions from different angles.

He often had lunch with young staff and asked them to make three suggestions for improving the company.

For example, Gucci's "zero fur" strategy was put forward by the Committee. The committee also suggested using another method to tailor the leather used for the package so as to reduce the waste of raw materials.

In addition, Bizzarri never talks about sales with Michele. He prefers to let him do what he is best at - design.

Creative and emotional performance is another reason for Gucci's success.

Bizzarri once said, "you can't add any restrictions to creativity."

"Millennials have their own unique taste in new things. They are easily attracted by the relationship between content, emotion and personalization.

They focus on personal emotional expression and sustainability.

Bizzarri commented on the younger generation.

Compared with other brands constantly changing their brand labels, Gucci is more willing to listen to the aspirations of customers, integrate customer's real and emotional needs into brand design, and bring brand values closer to younger customers.

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Creativity is always the core of Gucci, and the Gucci corporate culture that promotes the intrinsic creativity of an enterprise includes "respect, happiness, enthusiasm, empowerment and tolerance."

Bizzarri has promoted the development of enterprises with unique management mode. Although the future of the luxury market is still foggy, his team is ready to serve generations of young customers.

Bizzarri bottom-up management mode, giving grass-roots staff to management feedback opportunities, such a management model has proved to be very effective in practice.

Once such pparent and open management mode is popularized, it will attract more talented people, and this kind of corporate culture often needs a lot of time and energy to create, so it is often difficult to be duplicated.

There are various signs that Gucci's brand pformation is from inside to outside, and the open enterprise culture has enhanced the innovation power of Gucci, and has won the younger generation's popularity with the help of digital trend and star trend, and created the performance myth of Gucci's nirvana rebirth.

However, the surge in Gucci over the past two years is not without precedent. From Burberry to Prada, even Gucci has experienced amazing sales growth. However, when the market is saturated and people's tastes change, growth will vanish instantly.

In the past, enterprises have made the same mistake, that is, the success of the past can be continued. What they need to do is add flowers to the market and constantly increase production.

However, today's young fashion fans seem to lack the sense of brand loyalty. They may secretly identify the next "wall", ready to "go out of the wall".

It is still unknown whether Gucci's retro style can continue to win the favor of consumers. Perhaps the minimalist wind will come back unconsciously. Fashion is like an eccentric child. It is difficult to predict and please. So keeping up with the dynamics of consumers and building a stronger emotional connection with consumers becomes a proposition that the fashion industry needs to think about.

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