CHANEL

CHANEL
Presented by:
Jessica Bercier-History and Competitors
Liu Paisha-Sasha-Industrial Analysis
Liu Zheng-Leo-Globalization
Shu Yue-Alice-SWOT Analysis
History

Gabrielle “Coco” Chanel

Started in 1909

Known for simple and
classic looks
Chanel No. 5

Introduced in 1922

Still their most successful perfume today,
nearly 86 years later
Coco Chanel

Connection with the Germans

Fashion Oscar in 1957

Even after her death in 1971, she lives on as
an icon to many in the fashion industry today.

Chanel, post Coco
Industry Analysis
Global Issue

The profit shrink ,especial in cosmetics
Reason

Disorder competition in international market
Current Situation
France & US
France : profit down from 2007 to now
US: 0.8% growth in 2007
Worldwide
*cosmetics sales increase just 3.6% in 2006,
not a great change in 2007
Risks

High Duty
In China, the customs added 60% to the cost of goods

Different Concepts
Compare western countries and China on perfume
preference

Fake Goods
Difficult to distinguish
In every corner, especially in developing countries
Future trend

Pay more attention to emerging markets
Some brands are just in developed cities, not yet found in
small cities, or developing countries

Reducing the price---- cost of good
Currently, the cost is too high for average citizens who
want to buy it

Expand the man cosmetics market continually
Currently, not universal like woman cosmetics
Chanel Competitors
Gucci

Based in the Netherlands

Specializes in clothing, cosmetics, shoes

Strong brand identity
PRADA

Based in Milan, Italy

Fashion leader

Known for its runway shows
LVMH

Louis Vuitton

Based in Paris, France

One of the oldest fashion company in the
world
SWOT
Chanel Strength
Cloth Fashion
 haute couture luxury goods
 perfume
 jewelry
 watches
 beauty products
 eyeglasses
Chanel production is known for its quality.
Some of the cloth is exclusively owned by
Chanel.
Embroidery
Tweed Fabric
Button
Decorative Chain
Cloth cont.
Cut
Fabric
Lining
Camellia and Chanel Logo
Camellia is an important
design factor in Chanel’s
design.
Chanel’s logo is two C together
which has become one of the
most recognized labels in the
world.
Karl Lagerfeld
The Chanel Chief
Designer who is
leading Chanel to
another peak in its
fashion development.
Chanel Perfume
No5, No19, COCO, Cristall，ALLURE , CHANCE, and
N°22, CUIR DE RUSSIE, GARDENIA, BOIS DES
ILES, UNE FLEUR DE CHANEL and Chanel male
perfume: Allure .
Chanel Weakness

Chanel high price

Chanel limited productions

Chanel beauty productions
Chanel Opportunity




Expand business in emerging market more
rapidly.
Mobile art exhibition in seven cities in China.
The first is in Hong Kong.
Opening of its largest global franchised store
in Tokyo
Chanel 2008/2009 winter season
Chanel Threat

Chanel counterfeits and illegal use of its
double-C logo.

Chanel will face a strong competition in China
market and meet a lot of difficulties.
Short-term





Find ways to lower the prices of products in
emerging markets
Improve its cosmetic line
Develop a men’s line of facial products
Allocate the investment in expanding
emerging market reasonably
Pay attention to the fakes and may adopt
technology to limit them
Long- term Recommendations

A. More focus on younger generation

More ideas in clothing design

More research in African market
Conclusion

From history to nowadays

Faces opportunity and challenges

Future development