Diesel

Deanna Dewitt Caitlin Zimbrick Lauren Stewart

Diesel …you buy the brand not the jean

International Brand Diesel - prêt-a-porter male and

female seasonal collection, mainly focused on denim

55DSL- sportswear DieselStyleLab-limited edition pieces Diesel Kids- babies, kids, teens;

bright colors & modern gutsy lines

Licensed products: Diesel shades, shoes, time frames, fragrances and cosmetics, writing tools, and jewelry

History-“ The Haute Couture of Casual ”

1978-creation of Diesel brand name 1985-Renzo Rosso complete acquisition of the company 1990-inception of the global marketing strategy 1995-one of first clothing companies on the internet 1996-Diesel’s first flagship store on New York City’s Lexington Avenue 1998-”Advertiser of the Year” award 1999-Diesel’s product lines;

Diesel Kids 55DSL

2003-ranked no. 15 among worldwide luxury brands Leader in pioneering new styles, fabrics, manufacturing methods and

quality control

Growth

Over 80 Countries Over 5500 points of sale 300 mono-brand stores

(200 are company-owned and the others are partnered with local distributors)

Throughout all 5 continents Headquarters: Molvena, North Eastern Italy Employs 3,400 employees worldwide Renzo Rosso- Ranked no.5 -most influential people

in the retail industry

Target Customer

Stylistic men and women: ages of 20-35 years Annual income: $50,000-$100,000 Large, urban cities; U.S. & 80 other countries Bridge/ better price zone Independent entrepreneur or innovator who follows their own

unique path in life This eccentric man or women is largely unaffected by fashion fads

and spends a significant amount of money on quality fashion-forward clothing

Its in the brand… http://www.diesel.com/#/home/

Diesel’s Marketing Mix

product price place promotion

Marketing mix Products

Several different apparel lines:~DieselStylelab (upscale)~55-DSL (sportswear)~Dieselkids

License name for:~Accessories including eyewear~Footwear~Luggage~Perfume/cosmetics

STAPLE PRODUCT: Diesel is best known as one of Europe’s top manufacturers of designer jeans

Marketing Mix Price

Diesel Jeans range from $100 to $300 a pair

PlaceDiesel products are available in more than 5,500 chain and department stores in 80 countries worldwide

In the U.S., Nordstrom, Urban Outfitters, Bloomingdales, Barney’s New York

By 2003 there were 200 company owned and operated Diesel Stores worldwide

~Feature jeans and DieselStylelab line

Location near you…

Portland Store:

The Cellar Building

Phone: 503-241-1355

30 NW 12th Street

Portland, OR 97209

Marketing Mix Promotion

~Promote products mainly online www.diesel.com

and in high-end magazines such as:

Elle

Vogue

Current Campaign: Global Warming Ready

They are known for their socially and politically

racy ad campaignsw

ww

.die

sel.c

om

Competition

Primary competitors for denimEarl Jeans

Seven for all Mankind

True ReligionChip and Pepper

Paper Denim & Cloth

Other Competitors include:

Giorgio Armani, Benetton Group, Calvin Klein, Donna Karan, etc.

Diesel

Strengths Weaknesses Opportunities Threats

StrengthsDiesel Website One of the 1st clothing companies to have major

presence on the internet, opening it’s site in 1995.

Contains information about all diesel product lines with a complete archive of diesel advertisements.

Advanced flash media player and interactive 3-D graphics. Interactive Diesel experience

StrengthsIndividuality

Prides itself in quality, uniqueness and design Buttons, embroidery, washes

40 different styles and 50 washes every year

Exclusively made in Italy which allows incredible attention to detail and design

StrengthsExclusiveness

Exclusive distribution strategy. Shrunk from 10,000 retail outlets to only 5,500-Intentionally!

Exclusivity of brand Not “mainstream”

Greater control over merchandise and marketing Increased revenue

2001 revenue increased by 40%

StrengthsAdvertisement Advertise clothes very differently than anyone else

Create stories around pictures

Choose quirky, unusual topics that can be perceived in many ways

Weaknesses Expensive

Diesel jeans sell from $100- $300 Only a select group can purchase their

merchandise

Cannot purchase merchandise on the website Loss of sales

Opportunities “Global Warming Ready” First thing you see on the diesel website is: “Global Warming

Ready?”

Global warming report video, a link to StopGlobalWarming.org, and a list of the top 10 things you can do to help global warming.

Responding to consumer concern and also reach the eco-friendly market

OpportunitiesDiesel and L’Oreal Teaming up with L’Oreal to create a fragrance line

Launch a line of fragrance aimed at the youth market

Attract possible new customers

Offer customers a wider variety of merchandise

Increase sales

Opportunitiesother ventures…

The pelican Hotel-A fifties’ Art Deco hotel in South beach.

The Diesel Farm-production center for wine and olive oil.

Brand awareness

Threats Competitors

Energie, G-star, Seven for all Mankind, True Religion, Citizen of Humanity

Trade Barriers

Changing Trends Majority of sales comes from designer jeans. If designer

jeans go out of style diesel could see a very large drop in sales

BibliographyWeb Sites

Apparel Search.com. (2006, January). Search directory: Diesel Jeans. RetrievedFebruary 15, 2007, from http://www.apparelsearch.com /definitions/Fashion /Brands /Diesel.htm.

Diesel SPA-Affino. (2007, January 20). Diesel Propaganda: Press Pack. Retrieved January 20, 2007, from http://www.dieselpropaganda.com.

Pitman, S (2006, January 6). L’Oreal to make fragrance for Diesel fashion house. Retrieved February 28, 2007, from Cosmetic Design Web site: http://www.cosmeticsdesign .com/news/ng.asp.

True-Religion.com (2006). True religion apparel adds to Expanding branded store base. Retrieved February 28, 2007, from http://phx.corporate-ir.net/phoenix.zhtml.

Internet article based on a print source

Edmondson, G (2003, January 20). International-European Business: Diesel is Smokin’ [Electronic version]. BusinessWeekOnline

Europe News (2007, February, 26). Waiting for a relapse. [Electronic version] The EconomistSimpson, G (2007, February 20). Case study: L’Oreal’s software makeover [Electronic version]. BuisnessWeekOniline

The Environment (2007, February, 22). Green sums [Electronic version]. The Economist