In recent years, the luxury market has been experiencing a real boom. This boom is the consequence of the recent democratization of luxury brands. The democratization of luxury brands has made it possible to develop accessories that have become more accessible.
This phenomenon has resulted in the expansion of businesses and has increased the customer base. With a turnover of 12.46 billion euros, Christian Dior SA happens to be one of the largest luxury groups in Europe. This group is involved in different spheres of activity such as clothing, wine & spirits, leather goods, perfumes, cosmetics, etc.
Inspired by LVMH, the Dior Group has developed many prestigious brands like Dior and Vuitton, by combining creativity and originality. As part of this study, our focus will be on finding the answer to the question: What strategy has the Dior group come up with in order to find new sources of growth and development?
Creating new lines of accessories at lower prices, relative democratization of the product and brand image
Development of a men's collection in 2001
Development of sectors such as luggage
Diversification of clientele:
The new ranges have lower prices, allowing the group to reach a new and younger population with purchasing power below that of traditional customers. This implies an increase in the total number of customers, but with less frequent purchases.
Reach younger customers (18-35 years)
Tags: Product diversification of Christian Dior, Christian Dior expansion strategy, Democratization of luxury brands
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[...] • Product development can be an advantage over the competition: it shows the dynamism of the brand to keep its competitive edge and its desire to innovate, to have the image of a brand always in motion, following the air time Finally, the leaders of the group felt a Dior "on diversification" of the brand and decided to give up ten of them (about sixty controlled) to refocus on its historic target so as not to tarnish the image of the brand and give an impression of "derivative" The growth of the group results from different points: - Increased sales in the Fashion and Leather Goods (Louis Vuitton). - Dior Homme, Jewelry and Shoes support the growth of the group thanks to strong growth. - Recovery in clean costume jewelry. - Increased profitability and profitability (lower financial charges and abandonment of the least profitable brands). - Pricing strategy: price adjustments in order to reach a broader customer base while remaining in the high end. - Strategy of product diversification and branding. - Continuation of the strategy at the distribution network (resumption of boutiques, international development network). [...]
[...] ⋄ Relationship ⋄ importance of ⋄ Competence of Marketing customer service sales staff. Communication ⋄ Events: creating ⋄ Perfume cannot Charlize Theron world reflects settle over time, for ⋄ I love. values and brand use of muses to choice. embody the product and continue the success. ⋄ campaigns revolve around the evocation of brands and strong resonance. Conclusion Observed through this analysis that the group Dior applied different strategies to attract a clientele always more and wider, while trying to retain their original target. [...]
[...] Through a strategy of globalization, innovation and diversification, the group was able to meet the differing needs of their new customers by offering new product lines, while maintaining consistency in their policy of diversification. The group was able to choose activities consistent with their image. Other brands previously had risky strategy. The Dior group will face the risks inherent in this strategy and therefore should not abandon its initial target that has a high purchasing power and represents the heart of the turnover of the group Dior. [...]
[...] corresponding to a Pre-test the need. Initiative products before of the creator the sale. ⋄ Customers return to classical values updating, reinterpretation of the concepts, work on the evolution of the vials. Price ⋄ Represents ⋄ A perfume is a ⋄ Reviews I imaginary value product with a love: attached to the strong highly product and brand. personality recommend ( . ) ⋄ Price not fixed (imaginary value because it relative to and strong spirit releases a lot competition. Diorness). [...]
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