Presentazione di PowerPoint

1

IndexBenettons company3History4Supply chain5Logistics6Marketing strategy7Advertisement 11Production methods 16Concept of Agility 19

2

Benetton Group S.p.a. is a global fashion brand, based in Ponzano Veneto, Italy. The name comes from the Benetton family who founded the company in 1965. Benetton has a network of about 6,000 stores in the main international markets. The stores generate a total turnover of 1.6 billion euros (2013).

3

History timeline1965 The oldest of four children Luciano Benetton starts Benetton Group SPA.In 1966, Benetton opens its first store in Belluno and three years later in ParisBetween 1986 and 1989 the Benetton Group enters on stock market in Milan, Frankfurt and New York.In 2014 launches "On Canvas: a new concept store of the brand United Colors of Benetton.

4

Has changed its Supply Chain during the past5

FIRST SUPPLY CHAINSECOND SUPPLY CHAIN

6About Logistics

Benettons Business StrategyThe success of Benetton is based on high vertically integration from production to selling.7Sourcing from Asia, to reduce costs.Full control and coordination of production thanks to 900 subcontractors that only work for Benetton.

Benettons Business StrategyMarketingHomogenous unique shop designs and several shops in the same location contributes to bolster the brand imageStrong image differentiation: importance of colors, good quality, young people, up to date and reasonable prices are putting fashion on an industrial level

Benettons Business StrategySalesShop owners: informal contract based on trust (handshake contracts) and no royalties allow a quick spread of the brand and competition between shops with agents helping develop the business

Benettons Business StrategyNumerous shops and geographical expanding diversify the risk

Effective analyze of the sales to determine fashion trends

Shocking advertisingConceptFeatures-Distinctiveness-Ambiguity-Crossing social norms and taboo

Oliviero ToscaniIf everyone likes a campaign, no one will talk about it. Luciano Benetton

shocking advertising is a type of advertising which uses motives generally accounted to be venturesome for being shown and which could arouse different kind of emotions depending on each receiver.It is possible to distinguish three main elements of the provocation: distinctiveness, ambiguity and crossing social norms and taboos. Distinctiveness is seen as a foundation of every provocation and scandal. Each advertisement similar to the previous one already known in the market is naturally losing its scandalous value. Each advertisement should be ambiguous and allow each reciever to freely interprete its message in case of a content or intention of a creator.

11

Effectiveness of shocking advertising Oliviero Toscani

The typical mechanism of success works as the shocking advertising catches receivers attention and it is a first condition which has to be present in order to determine a success and effectiveness of the advertisement. Press and media which report with interest the scandal at the same time raise the brand awareness

Afterwards, the only thing which needs to be done is convincing the public opinion that the scandal is not aimed to undermine, deny or negate the old values and beliefs, but only defend them in a distinct and unconventional way, which is at the same time very effective.

The company decided not to focus on advertising their products and appeal directly to the market, but to pay its attention to social issues present in the marketplace. Benetton aimed at convincing its buyers that they are in the main point of the company interest and that products they wear are of the secondary importance. They addressed their products to people regardless of the skin colours, sex, class, religion, social background or sexual preferenceToscani asserts that his activity has not been done for shocking. He did not use shock as a tool. He links the receivers reactions with being civilized. Lack of this essential feature causes that people are shocked by those pictures

12

Benetton Advertising - 1

13

In the fall of 1991, Benetton introduced a new photography, making up a part of the Equality campaign. The advertisement depicted a stereotype of good and evil and a moral conflict featuring an angelic white girl with curly hair and blue eyes, who is hugging an Afro American girl, whose hair are twisted into devils horns. Moreover, the angel has a so called dents du bonheur - a lucky teeth; a gap between two teeth, which is considered as a sign of happiness, beauty and wisdom in some cultures. The photographer used this feature in order to emphasize the innocent and angelic look of her. At first sight the photography seems to be shocking and brings a racist association for many receivers, but this picture exposes peoples deeply rooted racial prejudices and tries to challenge them. Benetton is touching again the problem of equality, racism and racial prejudices and this caused that the company is a mighty brand of ethnicity.

The reason for that was successively found in society believes and stereotypes concerning Afro-American people13

Benetton Advertising - 2

14

Unhatethe ad campaign supports the companys unhate foundation think tank and arts research center, designed to organize events and promote acts of intervention towards a more tolerant world.what does unhate mean? un-hate. stop hating, if you were hating. unhate is a message that invites usto consider that hate and love are not as far away from each other as we think. actually, the two opposingsentiments are often in a delicate and unstable balance. our campaign promotes a shift in the balance.Benetton said the photographs of political and religious leaders kissing were 'symbolic images of reconciliation - with a touch of ironic hope and constructive provocation - to stimulate reflection on how politics, faith and ideas, when they are divergent and mutually opposed, must still lead to dialogue and mediation.'campaign image of Pope kissing Egyptian imam

14

Pros and cons 15Memorability / Brand recognition Innovation in communicationChallenge stereotypesCost effectivenessExploitation of negative issuses Religious feelings infringement No consideration of cultural sensibilities nor historical context of targeted countries

Production MethodsAt the moment Benetton has 22 factories operating, 15 of which are located in Italy and one each in Spain, Croatia, India, Portugal, Tunisia, Slovakia and Hungary.16

The Company utilizes almost 900 subcontractors in Italy to perform one or more steps in the production process.

17

The Company's manufacturing processes utilize modern technology and automatization to reduce costs and accelerate its execution.

In addition the "contractor system" allows Benetton to keep its production costs significantly below some of its competitors.18

Concept of Agility Lean vs. agile dilemmaBenetton decided that it would not use colored fabric to make garments - rather it would make all the garments in one natural color and then dye all of them in the color that was selling.19

This innovation was called "tinto in capo" which is the Italian for dye upon the garment

20

Thanks for the attention21