Guccis Turnaround Repositioning and Rebuilding the Company June Cotte Jessica Zhang
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In the last year, I had the opportunity to work for Guccis repositioning as a marketing and strategy manager, where we were trying to build a stronger foundation for the brand. The task was daunting, but I was proud to help guide the process forward, ensuring that the brand remained true to its roots while modernizing and adapting. My personal experience led me to identify a few crucial areas that required rebuilding. First, I identified the need to reposition the brand to appeal to the younger, digital-savvy, and eco
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Guccis Turnaround Repositioning and Rebuilding the Company June Cotte and Jessica Zhang The world was ablaze with news of Gucci turning around with the help of a new chief executive, Tom Ford. his comment is here The press had dubbed it “the turnaround, the rebirth” and the company’s stock soared in value by a quarter within a month. However, as I’m an accountant at a bank, I’ll only be talking about what happened afterward. The company that started back in the
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A few months ago, Guccis turnaround was in question. They had made a major loss, and investors had pulled their funding. The company’s core product line, the iconic leather handbags, had undergone a radical overhaul from their traditional designs, to more eco-friendly, sustainable ones. It was no longer the “Chanel handbags,” but the “Fendi handbags.” It was the “Coco Chanel handbags.” It was a drastic shift for the company,
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Firstly, Guccis current marketing strategy is old, and it lacks a modern and innovative strategy. The current marketing strategy revolves around old concepts, such as promoting products through billboards, radio ads, and TV commercials. These strategies were successful in the 1990s but no longer work today. Adopting new digital marketing strategies can help Guccis gain more customers. The company’s current online marketing efforts are limited and unproven. 2. Rebuild the Company
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Guccis turnaround repositioning and rebuilding the company was a significant challenge for the company’s management. The company was facing various challenges that affected its ability to remain profitable. The management realized that the turnaround had to be immediate and comprehensive. Guccis aimed to revive itself and make it better than before. The management decided to take a unique approach to the turnaround. They embraced the “sense” and started changing their business model. Guccis also began the process of rebuilding the organization by hiring a team of consultants
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I worked with Guccis from 2012 to 2015. I had the privilege to be a part of the company during a period of profound change. Guccis had become stagnant, facing several challenges: brand confusion, poor brand differentiation, slow innovation, weak sales, and weak profitability. The company’s strategy was flawed, and the leadership team was unable to implement a comprehensive turnaround strategy that would enable Guccis to position itself for the future. In February 2012,
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Guccis Turnaround Repositioning and Rebuilding the Company At the turn of the century, Guccis turnaround was a bleak reality as its growth had stalled, its brand reputation suffered, and it struggled to meet customer demand due to price and quality concerns. However, amidst all these challenges, Guccis began to navigate a path of repositioning and rebui-l-ing the company. site web We did this by focusing on two key pillars: new market segmentation and innovative brand identity development. By