PPR Group Formulating Future Development Strategy For Brioni Brand

The future development of PPR group for Brioni brand is mainly the introduction of accessories series to open the Asian market.

PPR bought a 100% stake in the brand from the Brioni brand family. The estimated purchase price is about $481700000.

This is the third acquisition of PPR group since Volcom and SowindGroup this year.

In the interview, CEOPinault refused to announce the specific sales targets of Brioni, but said it plans to expand the scale of Brioni brand several times, just as the group's changes to BottegaVeneta, YvesSaintLaurent and other brands.

Brioni brand has just welcomed the 65th anniversary celebration of its brand last year, and its sales volume reached 225700000 dollars in 2010. The annual output of the suit is 50000.

"Men are more and more fond of buying luxury goods and starting to buy their own products," Mr. Pinault said. "Bain&Co and FondazioneAltagamma predict that men's purchases are expected to rise by 9%-10% while women's purchases increase by only 7%-8%."

The luxury department of the PPR group always likes to choose new designers for a long history brand, but it is unclear whether a new creative director will be appointed for the Brioni brand.

In Pinault's view, the existing design team is very talented and has superb skills.

PPR group and Gucci, YSL and other brands cooperate in the production of men's clothing, but Brioni's grades are even higher.

A Gucci suit sells for about 2065-2752 dollars, but Brioni's suit sells for 2752-4955 dollars.

Brioni's business is mainly concentrated in Western Europe and North America. These two places account for 68% of the total revenue, but there are only a dozen shops in the Asian region.

Brioni has been choosing investors since 2009, hoping to bring further development to the brand.

The largest shareholder in the past was the descendants of the founder of the company, NazarenoFonticoli, GaetanoSavini, AntonellaDeSimone and so on, while FrancescoPesci will continue to be the brand CEO.

Many stars, such as JohnWayne, ClarkGable, MattDamon and so on, all wore Brioni suits, and President Obama also chose this brand suit.

PPR's performance in the third quarter was very good, with revenue rising by 7% to $5 billion 460 million.

Its brand Gucci, Balenciaga, AlexanderMcQueen and other sales increased by 23.1% to $1 billion 810 million.