SWOT

Ok guys I have found quite a lot on swot. But you need to help me with segregation. I mean a few
things are confusing whether it will come in strengths or opportunities. And please check is it is
relevant to our thing. And just add more points if you find it. Later on we would finalise the best 5 to 6
points for each of the sub heading.

www.hbs.edu/faculty/Pages/item.aspx?num=48519

Strengths: http://www.jimmychooplc.com/about-us/strategy and jimmy choo annual report

Continued and consistent growth ahead of market.

Strong performance outside uk.
Revenue growth of 7.2% in 2015 to 317. 9 million pounds. This has been increasing every
year as jimmy choo is outperforming its competitors. Through this revenue the groups
plans to open 10-15 new stores per year round the world.
Shoes is the main and flagship product of the brand and is also the main driver for the
revenue.
http://www.independent.co.uk/news/business/analysis-and-features/jimmy-choo-theworlds-most-valuable-shoemaker-2076499.html
Market outperformance: jimmy choos client insight, design approach and systems that it
has developed as a specialist will enable then to outperform wider luxury market jimmy
choo has right specialist resources know how, skills and people to excel in this attractive
and complex category. (is it a strength or opportunity).
Dedicated and experienced management: the group is run by passionate and experienced
management team with a degree of focus on execution which they believe can only be
achieved by a pure play luxury goods company. http://www.jimmychooplc.com/aboutus/business-model
Leading design team that drives product authority: Jimmy Choos design team of twelve is
led by Sandra Choi, who has been Creative Director for the Group since its inception.
Jimmy Choos design team has a proven track record of developing Sandras conceptual
visions into beautiful products multiple times each year through a structured process
encompassing line plans, designs, prototypes, edits and pre-launch samples.
Merchandising excellence: http://www.jimmychooplc.com/about-us/business-model
(strengths or opportunity)
Bespoke supply chain for product excellence: http://www.jimmychooplc.com/aboutus/business-model (strengths or opportunities).
360-degree communication strategy that fuels the brand:
http://www.jimmychooplc.com/about-us/business-model (strength or opportunity)

Weakness:

Majority of the revenue comes from footwear segment. The brand is not well preferred by
the customers in other luxury segments.
In 2001, Jimmy choo sold its shares to a private equity firm Equinox Luxury Holdings Ltd.
Later on Lion capital acquired majority stake in 2004. In 2007, the company was sold to
TowerBrook capital partners. Later on again in 2011 the company was sold to Labelux
group (which integrated into its parent company JAB holdings). In 2014 the company went
public, however till Feb 2015 the market value was 653 million pounds which was only 100
million pounds more than what JAB holdings had paid for it. Jimmy choo had a good growth
rate such that every 2-3 years the firms wanted to sell their stake and a new company
would come in. this is an ongoing trend since 2001. These private equity firms do not have
long term view for the company and just want to make money and leave.
http://www.forbes.com/sites/forbestreptalks/2016/10/13/jimmy-choo-founder-tamara-mellon-on-going-bankrupt-and-startingover/#4aad7e9533b3
http://www.bloomberg.com/news/articles/2015-02-11/investor-trio-brews-coffee-deals-for-billionaire-siblings

Opportunities:

Mens remains the fastest growing category for industry as well as choo.
Ongoing expansion of retail and wholesale channels.
Opportunity to expand in the other products that it offers like fragrances, handbags etc.
One opportunity given below.
Wholesale entry: exploring jimmy choos potential franchise opportunities in new markets
where it has limited presence, particularly in Latin America and eastern Europe, alongside
continued development of our existing business.
Luxury shoe market growth: Luxury shoes continue to be a fast growing segment of the
luxury market with an estimated sales compound growth rate from 2011 to 2014 of 7%,
compared to the luxury market excluding shoes which had a compound growth rate of 5%
over the same period. (company report).
Accessories are key: Over recent years, consumers have been buying ready-to-wear
apparel from high street retailers and then upgrading their wardrobe with luxury shoes,
bags and other accessories. (entire page 28)

Threats:

Slowdown in the key luxury markets such as Russia and china, along with currency led
fluctuations in the shopping patterns experienced in Asia and the USA likely to affect
Europe and the UK luxury market as well. (
Tamara Mellon, the co-founder of jimmy choo who left the company in 2012 after the
dispute with the parent company Labeluxs senior management started her new brand
TAMARA MELLON in 2013. However, her company filed for bankruptcy in December 2015.
In September 2016 it was revealed that she is suing Jimmy choo for $4 million Manhattan
civil suit for spoiling her relationships with Venice and Florence leather suppliers and
forcing them to enter into a contract that ended their terms with Tamara Mellon and her
company. This case would potential spoil Jimmy choos brand image and shift the attention
of the company towards the case along with financial loss is not in their favour.
http://nypost.com/2016/09/08/jimmy-choo-gets-sued-by-its-co-founder-amid-fashion-week/
Since jimmy choo is quite a new brand and sales turn over in comparison to its large
competitors. Also it majorly depends on its footwear section. It would be a big threat if the
competitor like Salvatore Ferregamo and Burberry expand their footwear section.

New Trade Regulation Negotiation to be discussed between the EU and BritainUncertainty

Brexit? Unknown impact to Jimmy Choo

A. In 2015 jimmy Choo was rated as gifted by L2. It was mainly because of its new
website. L2 is a member based business intelligence firm that benchmarks the digital
performance of brands. Its flagship product Digital IQ includes sector-specific research that
helps brand understand how their sector is affected by digital world and a comprehensive
deep dive into a brands performance relative to its competitors. This deep dive measures
brand specific strengths, weakness and opportunities to improve the impact of digital on
its business. This digital IQ measures brands across 1250 data points against 4
dimensions: 1. Site and e-commerce, digital marketing, social media, mobile and tablets.
Brand scores are indexed to an average of 100 and assigned into one of the 5 classes:
genius, gifted, average, challenged and feeble.
Jimmy Choo revamped its website that now features exclusive videos, editorials and news based
contents to engage the customers that goes to the level beyond e-commerce.

It introduced Choo world to the brand enthusiasts on social media and an email blast that
targeted a more precise audience. Jimmy choos incorporation of content will help the
brand build deeper ties with core customers who are already familiar with that of the
products the brand offers.
Basically jimmy choo made the website very engaging for its customers.
Source: https://www.luxurydaily.com/jimmy-choo-merges-web-site-renovation-with-pinteresttrend/

B. Page 44 of company report. Risk management.

B. Celebritys favourite brand (where will it come)

http://www.futuremarketinsights.com/reports/global-luxury-products-for-kids-market