Own and operated stores are a favoured brick & mortar channel, but heavy on investment. In comparison, partner (aka franchise) retail is a capital-light strategy and often far more profitable.
While luxury brands clearly prioritise growing own and operated retail, successful premium brands (i.e. VF or LEGO) invest in growing both. But professionalising partner retail remains a challenge for many brands.
Are Peloton’s recent struggles due to managerial hubris or indicative of deeper issues with its business model? Brand strategist John Ensminger unpacks the Peloton story.
The essence of growing brand distribution successfully have changed post covid and supply chain crisis. Still, many brands bank future growth on old strategies.
49% of fashion executives signal that supply chain disruptions will be the top issue for 2022. This article explores why and provides tips how to mitigate these challenges.
Online managers, you have to be very strong now: You didn’t invent the marketplace. The department store industry did. And, you are at risk of getting the same low margin virus as they did.
The fashion supply chain has a global crisis, the worst in decades. Deliveries experience delays every day, and costs are rising exponentially. (more…)
Why Store-nostalgia Won’t Suffice: 7 Changes in the Retail Landscape You Don’t Want to Miss in Your Upcoming Strategy Iterations
This article offers seven thought-provoking impulses on how to navigate the post-Covid retail landscape. Spoiler alert: You will need to get your online strategy up to scratch!
International sales growth remains mostly volatile post pandemic. But as financial reports show, growth rates have decreased for many. Be it in the US or in Europe, especially domestic-bound retailers and brands stumble.
Global expansion in sales and distribution competence has become a lifesaving strategy feature, but allow me a question first:
Everyone loves LEGO for the great brand experience they create for all of us. This strength makes them grow from one record year to another.
I’m honoured assisting them in growing international partner retail and own retail since eight wonderful years.
In the middle of global store lockdowns, 100+ lifestyle brands announce the opening of new flagship stores.
Versace, Puma, Under Armor, Gucci, Saint Laurent, Montblanc, Adidas, Lacoste, Dior, Hermes, Supreme and more report new flagship store openings. All that adds up to retail investments of US$ 200m (assuming standard buildout cost and store sizes) in a time when the internet is booming.
There was an almost sinister feeling of relief in the boardroom. Until a firm voice cut through the silence with a final question: Well done fleet review team. But which 5 stores are the most productive, which are the 5 least productive and why? (more…)
Our research and industry dialogue ‘Future in Brand Distribution’ has been off to an enlightening start. Four weeks in, executive talks and our online survey have already returned much valuable inspiration on the future of the lifestyle industry.
The sentiment we encountered in the industry dialogues was generally positive and energising, even though many still find themselves in lockdowns. It seems as though the Covid-19 pandemic not only gave a boost to digital transformation but also liberated some of the brand industry’s best creative thinking.
Key learnings of 30 years brand strategy and planning. Tips how to improve your brand growth planning, today.
Regularly media reports that companies take a zero-based budget (ZBB) approach, and cite respective studies. In light of Covid19 pandemic, many brands applied cost-cutting exercises to adjust their strategy and planning.
How are these snapshots for a future in brand distribution?
“2025 retail rents will be like 2020 flight routes: back to the 1980s.” “The future is social commerce, digital market places are an interim hype, for brand industry’s e-com latecomers.” “In five years, an office workspace and business travel will be recruiting incentives.” “Grandpa tells me, his company used to pay him for sourcing travel to adventurous rural locations.”
With trade and travel restricted, and industries’ CO2 footprint under the microscope, what does “deglobalisation” mean for Global Sourcing Fashion?
If you believe in the mainstream news, we are reaching the end of globalisation and entering deglobalisation.
The Brand Business Model for many established brands and retailers has sadly not been enough to deal with the Next Normal
It’s failed to stop many closures even before the pandemic, and Covid has only accelerated this trend.
22,144 readers, 3 new authors, updates from China, India and Europe, and 14 greatly diverse posts. It is great to be back with our best quarter ever. Thank you to all for contributing, reading and promoting. Post Covid, the best read in brand and retail.
We are living in-between most interesting times
As we wrap up our post-lockdown publishing, we realise the industry mood is somewhat in-between. In-between first and second lockdown. In-between a return to office or of stay at home office for good. In-between going on international travel or staying put. Slowly we start to see, in-between could be the new normal for some time to come.