Meet the high-end Luxury Fashion House - GUCCI

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Gucci is one of the most recognizable fashion houses you must have heard about in the fashion industry. The brand offers different designs, from a minimalist design to its sexy campaigns. In recent fashion history, Gucci has successfully remained the pinnacle of excessive glamour. However, it hasn’t always been that way. That’s why it is vital to explore Gucci history and understand how the brand became so successful over the years.

Gucci was founded in Florence, Italy in 1921 as a leather goods manufacturer before it became like a luxury brand and the fashion designer and business name Guccio Gucci was the creator of Gucci, he just used his name and it became a family business. In 1953,( the year he died), there was a huge loss in the company but it also was a huge win because they opened up their first shop overseas in Ney York City, and there his son took over the company. Gucci has the most retail stores than any luxury brand with 520 stores worldwide and in October 1995, Gucci officially went public for 22 dollars a share. As of today it has a head quarter in Milan, Paris, London, Hongkong, and Ney York City.

Strengths

Gucci has been successful in creating a very robust value chain for its supplier and retailers. In the fashion industry sector, Gucci has also been successful in creating a strong and sustainable brand image and equity. Gucci is now operating more than 400 direct operated stores and it has expanded its family with more than 10,000 employees working worldwide. Under the CSR initiative, it has also partnered with UNICEF. It is at top of everyone’s mind when it comes to luxury clothing because of its successful or robust marketing and advertising strategy. It has a very diverse product range varying from apparel, watches, wallets, clothing, etc.

Weaknesses

The company is bound to invest in huge amount to retain and maintain its brand image. Due to cheap copycat or fake products, the company has to incur losses. They have also been criticized on their market strategy for using sexuality in their most of the advertisement. 

Opportunities

They can continue to grow and open more stores because they’re so reputable and they make so much money, they can continue to grow. The company should also think about tapping emerging economics like India, China, etc, that have good growth in luxury markets. It should also invest to capture the youth segment with its innovative and creative designs and products.

Threats

It’s not like Gucci is only the option in the luxury brand sector, there are others too which means a competitive market that leads to a limited market share and growth for Gucci. As the company has a global presence, it is likely to get affected by fluctuation, pandemic, recession, etc.

Marketing Objectives

Gucci has dominated its market share in the luxury sector, as a result of the high quality of products provided by Gucci. Continuously introducing new products and designs will have a better chance of success. New products/designs are often introduced by

Final Thoughts

The fashion industry has an ever-increasing demand, and top brands are rolling at a breakneck pace to meet these demands. Gucci is amongst the top fashion brands and has maintained its spot despite the emergence of new brands.