Tod

The luxury footwear industry is getting cold. The Tod's group's performance is in the doldrums. Even its Roger Vivier, known as "square shoe", is losing its aura.

After a year of pformation and innovation, Italy luxury group Tod's still failed to produce satisfactory answers in 2018.

In the 12 months ended December 31st, Tod's Group sales fell 2.4% to 944 million euros compared with the same period last year, which has been the third consecutive decline in the group, which is mainly affected by the revenue reduction of wholesale channels, core shoe business and leather goods sector.

As the group's core business, Tod's brand sales fell 3.3% to 498 million euros, down 11 consecutive quarters.

By category:

Tod's group footwear sales fell 1.9% to 743 million euros, a fixed exchange rate of about 758 million euros in the previous year.

Sales of leather goods and accessories Department fell 5.3% to 128 million euros, reducing 3% to 131 million euros at fixed exchange rates.

Sales in the clothing sector decreased by 2% to 67 million 300 thousand euros, and fell 1.7% to 67 million 500 thousand euros at fixed exchange rates.

By Region:

Tod's group's sales in Italy, the local market, fell 5.4% to 282 million euros.

In Europe, except Italy, sales fell by 0.5% to 244 million euros.

Sales in the Americas fell 6.5% to 73 million euros.

Tod's group is also facing challenges in the most potential luxury market, Greater China, with sales reduced by 0.9% to 210 million euros.

Sales in other parts of the world increased by 0.9% to 131 million euros.

It is noteworthy that RogerVivier's performance has been on the decline, and last year's sales decline increased to 173 million euros from 3.2% in the first three quarters, which means that the brand has declined for four consecutive quarters.

Although the Group Chairman and chief executive officer Diego Della Valle said in the earnings report that the strategy of launching new products was launched monthly, the first batch of products of Tod'sFactory had achieved the expected effect after being put into the market, and stressed that the continuous decline of Roger Vivier's revenue last year was mainly affected by the decrease of European tourists.

But judging from the recent performance of Tod's and RogerVivier, the statement of Diego Della Valle looks more like a self comforting argument.

Whether it is revenue performance or contribution to the group's total turnover, the two brands that should have synergy between Tod's and RogerVivier are now losing their growth momentum.

Investors believe that the Tod's group's sluggish performance is enough to explain everything. Since last year, the group has repeatedly heard the news that it will be sold.

Tod's group has owned Roger Vivier's production and distribution franchise since 2003, and the brand usage cost is about 12% of the wholesale sales. RogerVivier has been a strong driving force for the group's performance. Its annual revenue growth has been as high as 52%, which has attracted wide attention from the industry.

In 2015, Tod's group bought up all the shares of Roger Vivier from GoussonConsultadoria e Marketing S.r.l at a cost of 415 million euros.

Some people pointed out that Tod's group's acquisition of Roger Vivier ownership reflected from the side that the group had foreseen that Tod's would encounter a bottleneck period at that time, so RogerVivier was the "performance straw" that they had to keep at all costs.

According to the fashion headline data, Tod's brand has slowed down since 2015, and then began to decline in 2016. As of 2017, RogerVivier sales growth has been stable at a double-digit level.

Roger Vivier is known as the shoe lining Faberg Ye. He was born in 1907, and he had a strong interest in shoes since he was 17 years old. In 1930, RogerVivier met with actors and actress such as Moulin Rouge, Mistinguette and Jos e phineBaker, and made the first pair of shoes for them. After that, he opened his first shoe store in Paris at the age of 30, and formally opened up a fashion career.

In 1945, Roger Vivier became the first designer to apply pparent plastics to shoes.

In 1953, 16 years of RogerVivier entered an important turning point in our career.

First, the queen Elizabeth S invited Roger Vivier to design shoes for coronation. In the same year, the French luxury brand ChristianDior began to produce shoes and appointed Roger Vivier as the first shoe designer.

In 1954, Roger Vivier designed Aiguille high heeled shoes and Virgule heels and other artistic works.

10 years later, RogerVivier, which has already gained a certain reputation in the industry, opened its first fashion shop in Francois I Street, Paris in 1963, and launched the series of comma high-heeled shoes. At the same time, it continued to work for brands like Balmain, Patou, Nina Ricci and YvesSaint Laurent.

In 1965, Roger Vivier's classic Belle Vivier square shoe was released.

In 1998, Roger Vivier died at the age of 91.

In the next two years, RogerVivier fell into a quiet period of nearly 6 years. It was not until 2003 when it signed a licensing agreement with Tod's group that it returned to the market and appointed Bruno Frisoni as the creative director.

Some people in the industry pointed out that after Roger Vivier left, Bruno Frisoni successfully gave the brand new vitality.

BrunoFrisoni has said in an interview that although he and RogerVivier himself do not know each other, they have a lot in common. They all have high enthusiasm for things such as fashion, shoes and shoes that can make people more beautiful. They like to tell stories through shoes. In his eyes, every pair of shoes designed by Roger Vivier is like "a poem, a piece of art."

Before joining the Roger Vivier, Bruno Frisoni has been responsible for many years of design work in luxury brands such as Jean Louis Scherrer, Lanvin, ChristianLacroix, Yves Saint and so on, and subsequently created its own shoe brand with the same experience.

BrunoFrisoni, who took over the power of Roger Vivier, innovated on the basis of preserving the classic style. Compared with the design of the last century, the square silver buttons and special heels of the brand hardly changed much.

In addition to ordinary shoes, RogerVivier has also launched a series of advanced customization under the guidance of Bruno Frisoni.

With the return of style in 60s, Roger Vivier again caught the trend of the ride.

Twiggy, Ines de laFressange as a neutral style icon of fashion icon to become a designer's inspiration, the classic style just caters to the demand of white-collar workers in the workplace. RogerVivier is almost the most common commuter shoe in the advanced workplace, and is also the first choice of consumers' wedding shoes.

As a "rigid demand", it guaranteed the sales volume of Roger Vivier to a certain extent.

In addition, the "KOL" products at home and abroad have swept the Chinese social network rapidly.

In 2005, RogerVivier opened its first store in Hongkong and officially entered the Greater China market. Currently, there are 18 stores in mainland China.

It is undeniable that Roger Vivier did win more breathing time for Tod's group, but Tod's has not been able to get out of the mire so far, and RogerVivier has begun to lose its market. Earlier, some people in the industry said that RogerVivier is one of the few brands that can follow the classic brand elements for a century. However, in the face of the luxury shoe industry with lack of innovation and overproduction, it is obvious that the "invariable change" approach can not satisfy the younger generation's pursuit of freshness.

BethGoldstein, an analyst at NPD, a market research firm, said that increasingly busy urban life requires women to keep moving. Sports shoes have replaced high heels as the first choice for women to buy shoes in recent years. Sales of shoes with the height of 3 inches or higher are the fastest.

Market research firm Edited data corroborated her view. In 2017, the stock of high-heeled shoes increased by 28% in the United States, and widespread unsalable sales were widespread.

In contrast, the growth trend of sports shoes will remain at two digits. In BethGoldstein's view, the rapid growth of sports shoes is closely related to the choice of sports products as a lifestyle choice.

According to the analysis, sales of footwear in the United States surged from 365.34% to 16 billion 100 million dollars between 2010 and 2018. This figure will increase to 20 billion 190 million US dollars in 2021, while the sales of leather shoes and other footwear will continue to decline.

This is undoubtedly a blow to RogerVivier with high heels and single shoes as its main products.

In the face of increasingly fierce market competition, BrunoFrisoni, who joined Roger Vivier for 16 years, suddenly announced its resignation in February last year. It was replaced by Gherardo Felloni, the designer of the shoe making family in Italy.

In response, BrunoFrisoni responded by saying, "change is good, and 16 years is a long time."

Like Roger Vivier, the famous way of Gherardo Felloni started from the Dior fashion house, and was responsible for the brand shoes design when it was the creative director of John Galliano and RafSimons. After returning to Miu Miu in 2014, she became the design director of footwear, leather goods and jewelry, and had worked for brands such as Prada, Prada and so on.

Most of the works of Gherardo Felloni are mainly gorgeous styles, and shoes designed for Miu Miu are loved by consumers.

Like RogerVivier herself, Gherardo Felloni prefers to use stones, feathers, snake skin, silk and satin for his design works to show luxury.

After taking office, Gherardo Felloni said it would add more modernity to the brand on the basis of respecting the classics and traditions created by Roger Vivier.

He revealed that joining the RogerVivier was a dream after he joined the company. Roger Vivier had a profound influence on the French shoe industry from 40 to 50s.

After the entry of Gherardo Felloni, the first series is the Roger Vivier2019 spring summer series, which is divided into 5 different units. It shows different life styles of women in different styles.

On the basis of classic elements such as BelleVivier, Virgule heel and so on, the series integrates luxurious elements such as feather, jewelry, silk and leopard. At the same time, it also introduces Viv'vRun sports shoes and a series of handbag accessories featuring square buckle.

Out of the love of song and dance drama, Gherardo Felloni arranged the conference room of Roger Vivier 2019 spring and summer series as a "HotelVivier" Hotel, displaying products of different themes in 5 rooms, and touring exhibitions in New York, Tokyo and Hongkong. "Fashion can not be predicted, you must let people feel that you exist all over the world", Gherardo Felloni added.

When it comes to the problem that Roger Vivier is a French brand but is led by Italians, Gherardo Felloni believes that this will not affect the brand's own genes. Although he and DiegoDella Valle are Italian, all the other businesses are done in Paris except for the production of products in Italy.

It is reported that the market reaction of Gherardo Felloni's first series of products after Roger Vivier has exceeded expectations.

In October 25th last year, RogerVivier announced that Chinese female star Tang Yan was the spokesperson of the brand China. He also provided Tang Yan's wedding shoes with the latest product advertisements.

However, from the latest performance data, GherardoFelloni and Roger Vivier need to go through a period of running in.

Tod's group is grateful that the Hogan, the two largest brand, has been restored to 1.1% to 206 million euros last year after some rectification.

At the end of 2017, the brand updated its Chinese name of WeChat public number to Haug and joined Tmall in opening flagship store with Tod's. WeChat also opened WeChat small program store last year, aiming to find new growth opportunities in China.

Diego DellaValle admits that the management team of the group is ready to face a painful period of pformation and put all the resources and financial resources necessary to grasp the important opportunities in the market to achieve stable and long-term development. It also holds that investors and analysts should focus their attention on the long-term development of Tod's group rather than single quarter or one year's performance.

What it means is that Gucci's parent company, Kai Yun group, may have seen the risk of a single shoe brand market. It has been looking for buyers for its sole shoe brand SergioRossi since 2010. It was finally sold in December in 2015, and it was the Investindustrial of Italy investment company.

Coincidentally, the Italy luxury goods group SalvatoreFerragamo, which is also dominated by footwear products, has been sold for three degrees due to its low performance.

Mergermarket has revealed in a report that SalvatoreFerragamo has approached private equity funds because of its sluggish performance and plans to seek sale or delisting.

Although the group spokesman denied the news immediately, the swing of the brand is now the consensus of the industry.

Vivarte, a French fashion group with its 100 year old shoe brand Andr ye, has been losing money in recent years because of the sluggish fashion retailing market. Over the past year, 4 brands have been sold and liabilities are as high as 1 billion 500 million euros.

The brand of the same name, founded by JimmyChoo co-founder Tamara Mellon in November 2013, was also bankrupt at the end of 2015 by its luxurious costumes and accessories.

In January 2015, due to the failure to complete the independent expansion, the luxury brand StuartWeitzman was purchased by Coach parent Tapestry group for 600 million US dollars.

In addition, the footwear brand Christian Louboutin and GiuseppeZanotti have been weakening in the market in recent years.

Some analysts have pointed out that the luxury shoe brand relies heavily on classic styles and single product structure, and the industry trend is changing rapidly. The slow updating of products can lead consumers to lose their freshness.

Behind the bad performance of luxury shoe brands is the changing trend of the industry. Now they prefer to focus on accessories with more potential for growth.

More and more smart consumers also feel that handbags are more worthy of investment than shoes.