In 2018 OTB, the group founded by Renzo Rosso and the owner of brands such as Diesel and Marni, revenues dropped of 3.2% to 1,439 billion euro.
Revenues in 2017 were 1,58 billion.
Group CEO Ubaldo Minelli said the company went through a voluntary reset phase in 2018 and it is due for some M&A soon, also involving 200 million euro investments in 3 years. The company will also open 180 stores in 2019 only.
Diesel brand alone weights 60% of the group turnover. And it’s struggling to find growth.
The US company branch filed for Chapter 11 in 2018.
It is unbelievable how such a (once) cool brand has gone through very challenging times when the biggest trend in these times is streetwear and Levi Strauss is seeing its successful revamp.
The recipe for a come back is not focusing the group on new M&A nor store openings.
It’s the revamp and the deep relaunch of a jewel like Diesel.
Stop and reboot.
#BrandStrategy is key.
It’s the only way a prestigious group can come back and thrive.
If Levi Strauss successfully started growing double digit, why can’t Diesel?
Cultural change is key.
#CultureMarketing can support the Strategy Reboot.
3 steps are crucial:
– Strategize and Plan
Now or never