How Can Moncler Fashion Up When The Down Jacket Starts?

Compared with luxury feather down brands, Moncler may be more willing to become a high-end fashion brand.

On the evening of February 20th, Moncler held second fashion shows in the MonclerGenius warehouse of the long history central railway station warehouse in Milan, which further expanded the momentum of the creative cooperation project and aroused widespread concern in the industry.

The brand has released 10 cooperation series, inviting British designer Richard Quinn, 1017 ALYX 9SM founder MatthewWilliams, original Celine designer Veronica Leoni, original MSGM and Acne Studios men's wear designer, etc., and also cooperate with Italy luxury leather brand brand to design handbag series.

Once the fashion show was released, it received a heated response again. Up to now, MonclerGenius has praised more than 280 thousand of its official Instagram in the third quarter, and foreign media praised it as the most creative show of Milan fashion week. Moncler chief executive RemoRuffini shows that Moncler is striving to establish deeper contacts with consumers and meet its many fashion needs. "MonclerGenius can be regarded as a global statement, creating a common sense of value, interacting with global consumers effectively, and providing consumers with unique shopping experience through all contacts."

Last year, the young designer Richard Quinn, who was personally presented by the queen of England, applied her signature printing design to Moncler down jacket. PierpaoloPiccioli combines its most recognizable gorgeous high fashion language with Moncler feather features, with matte nylon as its fabric, and a blend of African fabric textures that bring rich diversity. CraigGreen continues to use tubular as design language in this series, thus creating a shape that can be reduced or stretched, and explore the high protective performance of down garments. The latest series Moncler has even launched a pet dog fashion crossover series with luxury pet fashion brand Poldo.

In February last year, Moncler first launched a new cooperation project, Moncler Genius, which works with the founder of Teng Yuan Hao, the founder of Fragment Design, the pioneer of British Simone, Craig Green, the founder of Palm Angels, the 8 designers, and the new creative director.

The third quarter of MonclerGenius continued the previous high degree of concern, proving that the creative cooperation model launched by Moncler is beginning to work. The reason why the industry attaches great importance to it is that the MonclerGenius project is a radical update on the creative mode of luxury brands in recent years.

RemoRuffini said earlier, "consumers are tired of the constant fashion rhythm. But I still believe that some practices in the industry are necessary, which helps us create a sense of authority. But we should be close to consumers and divide the gap between us and consumers. I don't even know how many consumers will see our show. We have to think of some new ideas. "

In November 2017, Moncler suddenly announced that the brand will cancel the high-end fashion series Gamme Bleu and Gamme Rouge, designed by Thom Browne and GiambattistaValli, because of the strategic adjustment. Remo Ruffini explained that the decision was made out of brand innovation and sustainable development. The GammeBleu and Gamme Rouge series have been launched for over 10 years, and the idea is outdated.

At that time, some people suspected that Moncler had abandoned fashion because of the limited business returns of high-end fashion business, but the launch of the MonclerGenius project broke the market doubt. In fact, the Moncler Genius project further strengthens the fashion strategy of the brand.

Some analysts have pointed out that the launch of MonclerGenius has largely broken down the seasonal shackles of down garment products. Even in the off-season June, once consumers miss or will be hard to get, they will prolong the period of concern that only winter in the whole year. This mode combines the concept of limited time limit in fashion cooperation and the new drop mode on the street, which constantly provides consumers with freshness. At the same time, it also focuses on the pursuit of a sense of scarcity among young people. It is also equivalent to brand marketing once a month for brands, and keeps the topic of social media for the brand.

More importantly, the MonclerGenius project provides another possibility for the fashion industry, not only a creative director, but also a creative direction for every brand. With the help of many designers' energy for brand empowerment, MonclerGenius can break the potential problems of aesthetic fatigue, ultra fast rhythm, and brand design quality that may result from a single creative director, effectively enrich the connotation and diversity of brands, and continue to provide consumers with fresh experience and inspiration.

Just like the slogan of Moncler Genius this season, "One House, Different Voices" (one house and many voices), MonclerGenius is becoming a hub for creativity to realize the vision of brand beyond season, age and taste. Looking at the list of Moncler Genius projects, from the PierpaoloPiccioli of high fashion style to the trend of Matthew Williams and CraigGreen, and to pet dog fashion, the brand cooperation partners are highlighting diversity from both the designer's own age group and target consumer group to the product category covered.

The added value of the MonclerGenius project for the brand is considerable. In addition to providing fresh feelings for existing fans, the project can also take this opportunity to attract new consumers. When Moncler gives cooperative designers full play to the designer's DNA clothing, paying the bill is not only the original consumer of Moncler, but also the loyal followers of more designers. As Valentino creative director PierpaoloPiccioli mentioned in his interview, for him, this project is all about creativity and self expression.

From the point of view of the product itself, placing the classic feather down material in the new design and application context can bring more possibilities to the product itself. The latest season MonclerGenius launched the pet dog high fashion series, and in the Moncler 1952 series cooperation with Valextra handbags, all expand the product category.

In light of the recent debate over the relationship between star creative director and brand, Moncler's attempt is also instructive. Some analysts believe that the golden age of star creative director may have passed. But in fact, the demand for good ideas is rising. If MonclerGenius is successful, it means that the golden age of brand reliance on single star creative directors may be over. In a rapidly changing market environment, they need to more flexibly mobilize and apply the whole industry's high quality creative power.

In fact, MonclerGenius has something in common with the Gucci digital creativity project. Although the latter does not produce products, it also achieves a short period of brand leaping through collective creativity. For example, in March 2017, Gucci launched the digital creativity project #TFWGucci, inviting and promoting Meme around the world (meaning "passing the cultural gene through imitation"), and created a series of watch series such as LeMarch des Merveilles.

According to the fashion business express data, a week after the start of the project, 30 #TFW related posts issued by the GucciInstagram official account were accumulated about 2 million times. The average interaction rate of #TFW project 0.5% is more than that of Gucci account. Through content marketing and the establishment of contacts with young people, Gucci has further consolidated the Gucci's unique brand image in the eyes of consumers and spanformed it into consumption.

The essence of luxury is to sell creativity, but the power of individuals is limited. Therefore, when luxury brands provide platforms for more people to share and produce content, they will be able to break through the limitations of their creativity and achieve the scale effect of collective creation, thereby providing the source with constant creativity and effective interaction. This has broken the traditional creativity and marketing mode created by a single team for many years.

In addition to the level of creative production, Moncler also customize the consumer experience around the Moncler Genius project. On line, MonclerGenius keeps a consistent and unique visual image on the website and social media. It is mainly black with the same color as the shop decoration. It brings the readers a sense of stimulation while striking the bright yellow, at the same time, it deepens its impression of the brand.

MonclerGenius projects are open to the public in the form of exhibitions every quarter. Last October, the project was released through different immersive video devices. Every designer uses video media to convey his creative thoughts and spirit through visual narration. In this season, the new MonclerGeinus series was launched in February 24th from the MonclerGenius building and opened to the public in Milan. Different series are placed in different rooms, each room has different themes and is closely linked to the clothing series, giving participants a unique and immersive experience. According to brand estimates, ten thousand people participated in the first day of the event.

At all levels, MonclerGenius's goal is not to pursue business considerations, but to emphasize craftsmen and craft spirit and art projects, so that Moncler can further complete its business strategy from outdoor brand to luxury feather down brand and to high-end fashion brand.

Founded in 1952, Moncler started with its outdoor mountaineering products such as tents and sleeping bags. At that time, the brand had nothing to do with luxury. Later, in 2003, the brand was acquired by RemoRuffuni, a clothing family, and gradually became fashionable and formally entered the luxury industry. At that time, the brand had annual sales of only tens of millions of euros.

Since taking office in 2003, RemoRuffini has really revitalized Moncler. According to fashion headline data, Moncler's gross revenue rose 18% to 873 million euros in the first three quarters of this year. During the period, the sales growth of Moncler in Asia and the rest of the world, including China, was the most significant. It recorded 32% to 339 million 100 thousand euros, accounting for 39% of total sales. It has become the largest market of the brand, mainly due to the strong sales performance in the mainland of China, while the Korean market has extended double-digit steady growth. Its sales in the Americas and Canada surged 10% to 138 million euros over the same period last year.

At the end of 2013, Moncler was listed on the Milan stock exchange. Investors who bought Moncler shares had doubled their total returns, beating all listed peers, including Hermes. But rival CanadaGoose's performance in the capital market is also fierce. Since its listing in March 2017, CanadaGoose's share price has risen by about 5 times from its original $12.78 per share to $55 today, with a market capitalization of about $6 billion.

Behind the Moncler is the rise of the entire luxury feather category. Luxury goods are not ordinary commodities. Most of the time they satisfy not only the functional needs of consumers, but the psychological needs, so their pricing includes a large number of brand premium. As a functional product, the feather down products become a very special category in the market after being added to the luxury property, which is less affected by the weather changes than the ordinary down garments, and is more resistant to the weather instability. When consumers buy luxury feather products, they are not entirely from the practical demand point, which is the same as people who drive Land Rover in the city and buy hermes bags.

But Remo Ruffini is not satisfied with the short-term bonus of luxury feather goods category. He will take a longer view and hope to create a more unique competitive advantage. Fashion is his solution.

In 2006, he invited Valentino original creative director Alessandra Facchinetti to launch the high-end product line Moncler Gamme RougeLine for the brand, and the high-end men's Gamme Bleu formally launched in 2009. For the recognition of more fashion people, Moncler has been in Paris fashion week and Milan fashion week.

Since then, Gamme Rouge and GammeBleu have entered the regular schedule of Milan fashion week and Paris fashion week. Although the group did not disclose the specific sales data of the two series, in 2015, Moncler performance exceeded market expectations many times, stimulating the stock price to rise more than 50% in the first four and a half months, and the large shareholder Eurazeo sold Moncler3.34% shares, making a profit of 188 million euros. In 2016, RemoRuffini also reduced its cash holdings. It has proved that the capital market has gained substantial returns from the rise of Moncler and luxury feather.

In the past 10 years, Moncler has been working hard in the field of high fashion, effectively balancing the seasonal limitations of luxury feather products. Remo Ruffini said in the interview, "the value and uniqueness of Moncler has also been spanformed into a model. However, we are creative and unique. I believe that if consumers need lightweight clothing to keep out the cold, they will think of Moncler, otherwise Moncler will not achieve fame in this competitive industry.

Fashion is also the main difference between Moncler and its biggest competitor, CanadaGoose Canada goose. In contrast to the Google trend of Moncler and Canadian geese in the past five years, we found a very interesting phenomenon. Although Canada goose has a higher overall search index and a higher peak than Moncler in the winter down season. But in the off-season summer, the search index of Moncler is higher than that of Canadian geese, which proves that Moncler has gradually broken the seasonal limitations. At the end of last year, Moncler first entered the tropical Mexico market.

Compared to relying on a single product to become the focus of social news, and Canada popular geese, Moncler cut a relatively small market (nichemarket), but this niche positioning will bring more lasting vitality to Moncler. However, no matter in the brand matrix and the layout of the incremental market, Moncler's action seems to be slightly slower. In the face of CanadaGoose's step by step, if Moncler can't take countermeasures in a short time, it is likely to face a threat. From this perspective, MonclerGenius, which accumulates sound in short time, also plays an accelerator role.

The fashion of Moncler embodies the ambition of RemoRuffini to stay in the luxury fashion industry for a long time and expand. It is impossible for him to fail to realize that the trend of luxury feather down can not be eternal. So it is an option for him to buy a variety of brand names to fight against volatile tastes.

In fact, Remo Ruffini has indeed focused on other potential brands in the industry. In October last year, he bought the Italy dress brand Attico by ArchiveVehicle. Archive Vehicle is an independent company controlled by Ruffini PartecipazioniHolding.

According to the latest analysis of Reuters, Remo Ruffini is expected to become the "Italy version of BernardArnault (LVMH group boss)" and will make Moncler a luxury Empire like the next LVMH. On the one hand, the luxury industry in Italy has been in a bottleneck for the past two years, and many brands have been sold for sale. In contrast, Moncler has no burden to spanform family businesses and is more flexible in adapting to the new trend of luxury industry.

Moncler good economic conditions and independent status can provide a solid foundation for the group to vacate energy acquisitions. If RemoRuffini can overcome the internal competition in Italy's luxury goods market and defeat buyers from abroad, such as Kai Yun group, which is eyeing Italy brand, then he may step out of a new way to become a Italy version of BernardArnault.

RemoRuffini is clearly aware that future luxury brand competition is no longer a single market and a single product competition. Product mix and layout of the global market are becoming more and more important. More than that, breaking the brand of a single creative way will also seize the initiative in the market.