Look Cycle, a French company based in Nevers, Burgundy, is a major player in the design and manufacture of carbon bicycles. The inventor of clipless pedals for cycling, the company is recognised for its know-how, advanced technology and innovative products. Nine countries – including China, for the past 15 years – have chosen Look to equip their national track cycling teams. On the eve of the Tour de France, in which the riders of the Fortuneo-Vital Concept team will be using Look equipment, CEO Federico Musi reveals the secrets of his company’s success
Look Cycle, a French company based in Nevers, Burgundy, is a major player in the design and manufacture of carbon bicycles. The inventor of clipless pedals for cycling, the company is recognised for its know-how, advanced technology and innovative products. Nine countries – including China, for the past 15 years – have chosen Look to equip their national track cycling teams. On the eve of the Tour de France, in which the riders of the Fortuneo-Vital Concept team will be using Look equipment, CEO Federico Musi reveals the secrets of his company’s success
People > Business Insider |
June 30, 2017 / by Philippe Dova
Is being an avid cyclist an essential qualification for the CEO of a group like Look?
Ours is a business where it helps to understand our clients’ passion – to have a feeling for the product that only someone who uses it can. I’ve cycled for a long time. I’m a keen amateur road cyclist and I’ve recently taken up track cycling. As passion is what we sell, it’s good to be able to share it.
What have been the key milestones in the brand’s history?
Despite its English-sounding name, Look is a 100% French company, founded in Burgundy in the 1950s. The brand’s initial success came in 1956 with the invention of the first ski bindings. Then it entered the world of cycling in the 1980s with the clipless pedal, and champions like Bernard Hinault and Greg LeMond achieved victories with it.
Following that, there was the creation, development and manufacture of the first monocoque carbon frame, whose rigidity and aerodynamics made it the world benchmark for track cycling. The unprecedented level of quality it delivered on the track, and then on the road, made it a game changer in the ’80s.
What do you feel are the brand’s pillars of success?
Look is a brand that has always invested a great deal in design and technology to create distinctive products based on engineering, research and development, technological innovation and carbon knowledge.
At a time when almost all carbon bikes are made in China, we have kept our genuine manufacturing plant in France. With our specific know-how, we develop the bikes in our workshops and the wheels with Corima [the carbon wheel specialist and part of the Look group]. And we have always worked with athletes to develop our high-performance products, while keeping amateur users in mind.
Is Look to bicycles what Hermès is to handbags?
Yes and no. Skilled craftsmanship and quality are obviously things we have in common, but cycling is for everyone. We don’t seek luxury clients, but those passionate cyclists hungry for powerful experiences. Although the bikes we sell are quite expensive, our range includes accessibly priced models. Our least expensive model is priced at 2,500 euros.
The bikes ridden by professional cyclists in the Tour de France or the UCI Track Cycling World Championships – which were held in Hong Kong in April and for which we equipped nine national teams, including the Chinese team – cost between 7,000 and 10,000 euros. We are in control of the whole process from A to Z – including engineering and industrialising the product, and making the carbon.
Even if you’re able to afford a custom-made suit, you have to know how to wear it. Can anyone ride a Look bicycle?
Yes, because it’s still a bicycle – a frame and two wheels. But as with all beautiful things, you start to appreciate the quality when the passion for cycling becomes part of your life.
You’re the only company that doesn’t manufacture your bikes in China, yet you equip the Chinese track cycling team. How do you position yourself in this market?
China has become a very important market for us. There are more and more cycling enthusiasts in China, and we have very good visibility there because of our Tour de France team and, above all, the performances of the national track cycling team since the 2008 Beijing Olympics. For several years, we’ve been working very successfully with a distributor in Beijing at getting the Look and Corima brands into premium retail stores. We have a Look store in Beijing. The pedals are available almost everywhere, but the bicycles are sold only at premium retailers.
How many bicycles do you produce each year? Are they all manufactured in France?
The top-of-the-range products are made in Nevers and for the lower 40% of the range, we work with manufacturers in Taiwan. We produce almost 13,000 bicycles each year. 90% of those sold in China are manufactured at our French factory.
Is testing prototypes one of the perks of being the CEO?
Yes, that’s the beauty of this job. There will be quite a few models in each family of the range coming out in 2018.
How would you define Look in just three words?
Performance, thrills, passion.
How would you define Look in just three words?
Performance, thrills, passion.
Elena Chinyaeva is the chief adviser to .art – which oversees the new internet domain extension – on business development and communications. She explains the impetus behind the launch of .art and the growing presence of art-focused websites
Elena Chinyaeva is the chief adviser to .art – which oversees the new internet domain extension – on business development and communications. She explains the impetus behind the launch of .art and the growing presence of art-focused websites
People > Business Insider |
May 26, 2017 / by Natacha Riva
What exactly is .art?
It’s the art world’s exclusive web domain. In addition to .com, .org, .gov and about 20 other older domain zones, the internet of today has many more new generic top-level domain zones [gTLDs] and .art is one of them. Since the onset, the vision of .art has been to create an online ecosystem for art, where everyone from established art organisations to emerging artists can identify themselves as members of the art community, and connect with like-minded individuals and organisations from the art world. .Art was not designed to serve an elite community but everyone, from institutions and artists to companies and individuals from fields as broad as art, design, luxury, tech, education, health, sports and entertainment.
So why start .art now?
.Art launched in early December last year, but the preparations started five years ago. Back in early 2012, ICANN [the Internet Corporation for Assigned Names and Numbers] – the controlling body of the internet – announced its new gTLDs programme, which was an initiative to expand the existing system of web extensions to give users more choice in acquiring their internet identities. There were 10 applications for .art – which makes it one of the most contested domain zones ever, as the name is both short and clear in meaning. When it comes to domain name systems [DNS], the shorter and clearer, the more valuable. The popularity of .art has also reflected the fast growth of a relatively new segment of the art market – art online. A few years ago, it was a novelty for a gallery or an artist to have an
online presence, but now it’s a must.
Where does .art stop and .biz or .com start?
As the founder of .art, venture investor Ulvi Kasimov likes to say: “In the digital era, we have a digital dress code.” Different digital identities serve different purposes – anyone can have several. If you’re commercial, you might try to secure a presence on .com or .biz; if you’re creative, you may opt for .art.
How did you acquire the right to administer the .art domain?
The new gTLDs programme in 2012 allowed anyone to apply for any number of domain names, provided they complied with certain rules and paid the necessary fees. We applied for one name only – .art – and found ourselves in the company of nine other powerful competitors. The contention was then resolved through a private auction in July 2015, which we won. Then there was a compliance procedure; finally in 2016, we signed a contract with ICANN for operating an .art registry. Since then, some of our former competitors have become our partners, like the New York-based media platform e-Flux, which has helped .art attract art professionals from around the world by using its strong database of contacts.
How can you determine what gets .art status and what doesn’t? For example, watchmaker Rolex and fashion house Chanel both have art credentials, but neither is specifically recognised as an art-world player.
Registrants are buying .art names for different purposes. At the very least, one can protect its brand or personal name, so that others can’t claim it for speculation or abuse. Google, Apple, WhatsApp, AXA, Bank of America Merrill Lynch and other high-tech and financial giants mostly bought their .art names for protection purposes – often several, for each of their branded products as well.
Other well-established commercial entities – luxury brands among them – are aiming to use their .art sites in parallel with their existing platforms to show their creative personalities or to host special projects. For instance, the Fondation Cartier plans to display a new collection, Absolut [Vodka] is looking to present its long-term history of art engagements and the Bolshoi Theatre plans to upload its video archive.
How did you determine the pricing for .art domain names, given that they’re considerably more expensive – about 10 times more – than pre-existing domain names?
The names sold on .art fall into two categories: personal identities (the names of individuals or organisations) and generic words and word forms. The first-category names are standard and will remain so. During the initial preferred access period from February 7 to May 10, they were sold at US$299 – the price that allowed .art to drive away name speculators while attracting the core, well-established art-related actors.
From then on, when the general access period started, the price for standard personal-identity names went down to the retail price of US$15 to $20, allowing everyone to acquire their personal identities on .art. So, personal identities – what the majority of registrants purchase at .art – have become even more affordable than before.
What’s your favourite art?
The type of art that resonates with me has certain symbolic, conceptualist ways of dealing with form and colour. But I also find the seemingly flat paintings of the early Renaissance and the abstractions of early-20th-century modernism equally appealing and mesmerising, as well as Russian avant-garde. Of the later periods, the work of Jackson Pollock is highly fascinating to me.
Montblanc Asia Pacific president Julien Renard has just been appointed the executive vice-president for sales at Montblanc Brand Management. He’ll work closely with new CEO Nicolas Baretzki to continue building on the brand’s success by offering its customers new product experiences and a growing digital range – all the while maintaining Montblanc’s image of traditionally crafted luxury
Montblanc Asia Pacific president Julien Renard has just been appointed the executive vice-president for sales at Montblanc Brand Management. He’ll work closely with new CEO Nicolas Baretzki to continue building on the brand’s success by offering its customers new product experiences and a growing digital range – all the while maintaining Montblanc’s image of traditionally crafted luxury
People > Business Insider |
April 28, 2017 / by Philippe Dova / Photo: Parker Zheng
Montblanc has just launched the Summit smartwatch. It’s quite a major shift for the brand, wouldn’t you say?
It’s Montblanc’s first smartwatch, with some quite innovative features for a luxury watch – for example, all the messaging applications – and a microphone for voice. We’re developing this line in parallel with our traditional watches, as we can’t ignore the world we’re living in today and we believe it’s important to have an offering for our customers who are looking for more tech-oriented products. In writing instruments, it was in this same spirit that we launched Augmented Paper last year. This is a Montblanc smartpen that links handwriting to digital technology. With its customisable display, Summit is a true Montblanc watch with a price positioning to attract younger customers to the brand.
In which countries do you think this watch will have the greatest potential?
In all countries, generally, but Asian countries like South Korea and China will probably generate a lot of demand. As some of the applications aren’t available in China, we’ll be bringing out a model specifically for the Chinese market in July. Sales of the smartwatch will probably be highest in China due to the size of the market.
What does the Asian market represent for Montblanc?
Montblanc is experiencing strong growth across Asia and the biggest market for us is China, where we have 120 shops out of a total of 230 shops for the Asia-Pacific region as a whole. Our brand is very present and our new shop concept – which keeps the black colour that is part of the brand’s DNA, but with the addition of different materials like wood for a warmer, more luxurious feel – is very positively perceived by our customers, particularly women.
That’s quite interesting, because up to now, Montblanc has tended to be perceived as a men’s brand…
Indeed, the brand is perceived as a men’s brand, but 40% of our customers are women. The Bohème watch line has been hugely successful since it was launched three years ago. In writing instruments, we have also developed a specific offering for women.
Is it difficult for an iconic pen brand to move into fine watches, leather goods and jewellery, which are highly competitive markets?
While it’s true that there’s less competition in luxury writing instruments, Montblanc remains the definitive leader in that market. We started developing leather 30 years ago, so by then we had a writing instruments offering and a leather offering. Then we developed watches, buying the Minerva factory – one of the most beautiful Swiss watchmaking workshops, where we continue to make our watches by hand in the way it was done before the industrial watchmaking era – and the Le Locle factory.
The two production units have worked together to develop an offering that is very positively perceived by our retailers and our clients. Women’s jewellery, launched at the beginning of the 21st century, was the last stage in our development of the women’s segment. Montblanc’s diversification has been in stages, and has always been done in a strategic, pragmatic, thorough and well-paced manner.
How did Meisterstück become one of the brand’s top writing instruments?
Montblanc’s history with writing began 110 years ago and we have always been about innovation. We have total A-to-Z control over the production of our writing instruments in Hamburg, while the very limited series pieces that we put out each year, as well as the custom-made pieces, are crafted in our artisanal workshop. Research and innovation are what all of these products have in common. We put an enormous amount of work into the materials, technical aspects and the nib.
Which means?
We custom-make the nibs in accordance with the way the person writes, using a unique handwriting analysis system that we invented. For each limited series theme, we create a new ink. For example, Golden Elixir ink contains 24-karat gold. When the ink dries, the gold appears. Our Asian customers really like this unique ink.
What pen do you write with?
A Meisterstück fountain pen. Actually, I have several pens: one to sign with – because we have special nibs for signing – a rollerball for writing quickly and a beautiful fountain pen that I write with from time to time.
What three things would you take to a deserted island?
I’d take my smartwatch to play with, a Montblanc writing instrument and a notebook, so I’d be able to write and pass the time.
How would you define luxury in three words?
Timeless, exclusive, handcrafted – that works for Montblanc. On a personal level, it would be time – because for me, time is a luxury.
Through 20 years of experience, Eric Piras has become an expert in every facet of the tobacco industry – from growing and production to marketing and sales. Today, he’s a key player in the global cigar segment with his distribution company, Cigraal
Through 20 years of experience, Eric Piras has become an expert in every facet of the tobacco industry – from growing and production to marketing and sales. Today, he’s a key player in the global cigar segment with his distribution company, Cigraal
People > Business Insider |
March 31, 2017 / by Philippe Dova / Photo: Parker Zheng
Tell us briefly about the market for handmade cigars.
Premium handmade cigars represent only 5% of total cigar production worldwide, meaning that they accounted for 500 million of the 25 billion cigars produced in 2015. From the tobacco seed to the finished cigar in its wood humidor, there are nearly 400 processes. It’s a true craft. Although there was a time when cigars were reserved for a certain elite, they have been democratised so that it’s now possible to buy an excellent quality handmade cigar for HK$60.
Do cigars have specific designated origins, the way wines do? And does the place where the tobacco is grown affect the taste?
Only Cuban cigars have a designated origin and are made from 100% Cuban tobacco. The main growing areas after that are Nicaragua, Honduras and the Dominican Republic, followed by Indonesia and the Philippines.
Why did your company, Cigraal, ultimately decide to specialise in the distribution of non-Cuban cigars?
We distribute handmade cigar brands from Honduras, Nicaragua and the Dominican Republic because, while 20 years ago cigar lovers only smoked well-known brands, today they are much more attentive to price and taste. It’s the same as with wine – people don’t just smoke a label anymore and the lesser-known, more affordable non-Cuban cigars offer excellent quality for these consumers.
Many people still consider cigars to be a guy thing…
More and more women are smoking cigars. The best example is Maya Selva, the owner and creator of the Honduran Flor de Selva brand.
How should you properly smoke a cigar?
First, you need to cut it with a cigar cutter. Then, take the time to light it with a butane lighter or good matches. A few other tips: Never inhale the smoke. Let the cigar go out by itself – never stub it out. And choose a cigar size that goes with your personality, just like you choose the right size for clothes.
What sort of flavours do you get from smoking a cigar?
First, a cigar consists of three parts: the wrapper, the binder and the filler, which is a blend of tobacco leaves from these various countries. Each brand has its own signature cocktail and its own taste. This taste varies depending on the size, but Nicaraguan cigars generally have a stronger flavour, whereas those from Honduras are much more delicate.
There are three stages. With the opening taste, you get the wood, coffee and chocolate. In the second stage, the flavours can be more powerful. The third stage is when you finish smoking the cigar – normally, when you reach the band. There are handmade cigars for all tastes: light, medium and very powerful. The cigar you smoke depends on your state of mind, your surroundings and the weather.
What foods and drinks pair well with cigars?
Chocolate, coffee and spirits such as rum that come from the same countries where cigars are made. Malt whiskies, ports and sweet Bordeaux wines go very well with cigars. And a fine, robust Pu-erh tea with a medium-strong cigar is an absolutely magnificent pairing.
Are there a lot of cigar collectors?
Yes, especially in Asia. Every year, limited editions sell for sky-high prices. Collectors’ humidors [a cabinet containing 300 cigars] have gone for a million euros at auction. Around the world, they fight over pre-Castro brands like Davidoff that used to be manufactured in Cuba. As with wines, there’s a growing collectors’ market. For some people, it’s an investment. Personally, I’d rather smoke them and enjoy them. Sharing a cigar with a friend is a very special moment that you can’t put a price on.
Gérard Dubois opened his first boulangerie-pâtisserie in Hong Kong in 1991. A quarter of a century on, La Rose Noire is one of Asia’s most renowned bread and pastry brands, and employs more than 1,300 people. Its factories, which use six tonnes of flour a day and 80 tonnes of butter a month, deliver to businesses in more than 45 countries. Passion by Gérard Dubois shops are popping up all over Asia – and the Swiss artisan baker has built an empire by staying creative and respecting the traditional values of his profession.
Gérard Dubois opened his first boulangerie-pâtisserie in Hong Kong in 1991. A quarter of a century on, La Rose Noire is one of Asia’s most renowned bread and pastry brands, and employs more than 1,300 people. Its factories, which use six tonnes of flour a day and 80 tonnes of butter a month, deliver to businesses in more than 45 countries. Passion by Gérard Dubois shops are popping up all over Asia – and the Swiss artisan baker has built an empire by staying creative and respecting the traditional values of his profession.
People > Business Insider |
February 24, 2017 / by Philippe Dova / Photo: Roy Liu
How did your Hong Kong adventure get started?
After five years learning to be a baker, pastry maker and confectioner, I was hungry to discover the world. I left my native Switzerland at age 22 and spent ten years working for the Hilton International Group in Europe and then in Asia. I came to Hong Kong in 1988 as the regional pastry chef for Asia. I was earning a very good salary, but I quickly realised that there wouldn’t be much opportunity for further advancement. I didn’t want to coast along in this job until I reached retirement, so I partnered with a friend and on August 26, 1991, we opened La Rose Noire in Pacific Place.
There weren’t many bakeries in Hong Kong at that time…
There was Délifrance and there were a few local bakeries, but not that many customers for bakeries. Fortunately, we didn’t just do bread – the concept was quite close to that of my Passion shops today. We very quickly had lots of hotel managers wanting to buy bread for their establishments. In 1994, I opened my first manufacturing unit in Kowloon to enable sufficient quantities to meet the demand from hotels and airlines. Two years later, we expanded and moved to Kowloon Bay, where we still are. Today, around 100 bakers and pastry-makers work there day and night to supply breads and pastries to most of the hotels.
Is that only for the Hong Kong market?
Our Hong Kong production site only supplies the Hong Kong market. When China entered the WTO 15 years ago, we opened a factory in China, then a second one, and we made all of our export products there. Last year we employed more than 1,100 people there. A few years ago, when our Western clients no longer wanted to buy foods made in China, we opened an export factory in the Philippines – keeping the factories in China solely for the Chinese market. This market is developing very nicely and I sold the Chinese part of the business last year.
Why did you choose the Philippines?
It’s a country where it’s easy to work. Filipinos speak English, so language isn’t a problem. We’ve set up the La Rose Noire Foundation there to help young people from disadvantaged backgrounds, too – we fund a primary school, a middle school and a training centre where young people learn the baking trade so that they can find work afterwards.
How many countries do you export to today and how extensive is your product range?
We export to 45 countries and we offer 500 high-quality frozen products: an extensive range of breads, macarons, pastries and so on. For example, each day we export 100,000 mini-macarons and 500,000 tart shells from the Philippines.
Who are your clients?
We sell to most of the big-name hotels, restaurants and pastry businesses in Europe, Canada, the United States, Dubai, Australia, Japan and Korea – countries where labour has become too expensive to make these products in the traditional way. That’s why we make them in the Philippines with French flour, yeast, butter and fruit purées, and then dispatch them. La Rose Noire macarons are found in some of the world’s most luxurious places.
How do you market these products?
We’re very creative and we devote considerable resources to research and development. Every three months, we launch a new line of innovative products. We have 30 people around the world working with our distributors. They come back and visit the factories every six months to learn about these new products. They then return to Dubai, New York, Sydney and Paris and market these products to our distributors.
How can you be sure these products will be a success?
We test them with the customers at our Passion shops. If the test is successful, we launch the product globally.
Are the Passion shops a return to your roots?
I’ve always been obsessed with producing quality goods. The idea behind the Passion shops was to go back to being a true boulangerie-pâtisserie, making the products on-site. I had opened almost 20 La Rose Noire outlets in Hong Kong supermarkets. I was producing bread of the quality I wanted, but over the years managers always wanted me to do it cheaper and faster by no longer making the bread on the premises. If this is the case, then there’s no way we can guarantee the quality. As La Rose Noire was identified as a mass retail brand, I started Passion four years ago. Today, we have ten shops including one in Macau and one in Manila.
What’s next for La Rose Noire?
Developing the Passion franchise in Asia, creating new product lines and increasing our presence in South America, where we opened up last year. I’m thinking of opening a third factory in the Philippines this year because we’re starting to make our own couverture chocolate. I thought of developing chocolate in the Philippines because we have a very strong presence there with our factories and our foundation. I want to have my own 69% cocoa content organic chocolate, made entirely from Philippine cocoa beans that are produced by Philippine farmers. We buy all of our cocoa from them for the development of our La Rose Noire 69% cocoa content AOC chocolate. Besides making all our own breads, pastries and ice creams, we’ll have our chocolate line, made with our own chocolate.
What’s the secret of your success?
Work, innovation, creativity, quality, good logistics management – and above all, the team. My key associates have been with me for 25 years and we’re like a family. I could never have made it without them.
Laurent Boillot, the chairman and CEO of renowned fragrance house Guerlain and skincare brand Cha Ling, on the sweet smell of success
Laurent Boillot, the chairman and CEO of renowned fragrance house Guerlain and skincare brand Cha Ling, on the sweet smell of success
People > Business Insider |
February 3, 2017 / by Philippe Dova
Is February a big month for Guerlain in China because of Valentine’s Day?
You don’t get the same spike in fragrance sales as in France for Valentine’s Day, although it’s beginning to exist as a holiday. We are very clear about the fact that our fame as a brand in Asia is limited to an elite group of people who have knowledge of fragrances, of French culture and of luxury culture, and who know Guerlain from their travels to France. China is the most promising Asian country in terms of growth and we have just initiated a project to fast-track the development of our fragrance business internationally, with China being one of the target markets.
What will this development consist of?
Two projects are under way. The first is a 15-year deployment of a network of stores dedicated exclusively to fragrances, like the one we opened on the rue Saint Honoré in Paris. They will showcase the 110 Guerlain fragrances and will offer an entirely new type of customised consultation. This concept will be deployed worldwide – and specifically in China, where we are currently looking for locations.
And the second project?
In the shorter term, in March we have the international launch of a fragrance aimed at a more general audience – it’s similar to what we did in 2012 with La Petite Robe Noire: a new name, a new juice, new advertising. We’ve modernised one of our heritage bottles, used fine materials made by some of the [LVMH] group’s subsidiaries and we’ve partnered with a well-known personality in order to achieve awareness very quickly. Basically, we want to see the Guerlain flag flying in as many places as possible worldwide.
Does the international clientele demand new products on a fairly regular basis?
We were fortunate with the success of La Petite Robe Noire, which is why we waited five years to launch this new fragrance instead of three years, which is the usual time between launches.
What is the secret of a fragrance’s global success?
Fortunately, there is no secret. The fragrance industry is comparable to the movie business; you can bring together the best director and the best actors, and you still can’t be sure of a big hit at the box office.
How is Guerlain positioned in the cosmetics market?
Guerlain’s reputation has been built around fragrances, but in 1828, the company’s original expertise was in skincare products. Today, our revenue breakdown is one-third fragrance, skincare and make-up. The latter two shares are the fruits of the last 15 years, with a very strong expansion in Asia driven by the cosmetics markets. We have two cosmetics lines: Orchidée Impériale, which tops fragrance as the biggest revenue earner, and Abeille Royale, which is experiencing very robust growth in China.
The market is extremely competitive and we are achieving differentiation with quality products developed through continuous research. Beauty products represent a very substantial market – and it’s one that is growing every year in Asia. For example, for every 100 euros of products sold through select channels, skincare products account for 75 euros, make-up accounts for 20 euros and fragrances account for only five euros.
How many years of research go into a new make-up product or a new skin cream?
For Orchidée Impériale, launched in 2006, it took us four years of research to find the right anti-ageing molecules in LVMH’s laboratory. This laboratory is our strength – a real blend of synergies and diversities, bringing together the best of the group’s cosmetics brands. It allows us to pool our expertise and have a dedicated, integrated centre on a miniature scale. All of the technology around Orchidée Impériale and Abeille Royale is a bit like LVMH’s Fort Knox.
Where are all of these products manufactured?
In France – specifically, in Chartres, where we opened our new, ultra-modern pharmaceutical standard production centre in 2015. This is also where we manufacture the products for Cha Ling’s Esprit du Thé line.
Tell us about Cha Ling.
It’s a Franco-Chinese start-up, part of the LVMH group. Guerlain is the incubator. It’s a very high-quality detoxifying and anti-pollution skincare line containing molecules from forest pu’er tea. After five years of research conducted at the LVMH laboratories, Cha Ling was launched in Paris at the Bon Marché department store in 2016 and in Hong Kong, where we opened two stores in January and September. In May, we’ll open a store in Shanghai – our first in Mainland China.
What fragrances do you wear?
I kind of skip around the various Guerlain fragrances, but I tend to come back to Guerlain Homme Boisée. I’m also terribly lucky right now to be testing a men’s fragrance that Guerlain might be launching two or three years from now… but that’s a secret.
Luca Martines, the president off-season of global internet fashion retailer Yoox, which sells overstock items from top luxury brands at discounted outlet prices, discusses Chinese market trends as well as consumers’ attraction to black and purple
Luca Martines, the president off-season of global internet fashion retailer Yoox, which sells overstock items from top luxury brands at discounted outlet prices, discusses Chinese market trends as well as consumers’ attraction to black and purple
People > Business Insider |
December 9, 2016 / by Charles Oliver
Your title at Yoox Net-a-Porter is “president off-season”. What does that mean?
As president off-season, I oversee the operations of both Yoox and The Outnet, the two off-season multi-brand stores of the group.
What has been the largest single transaction on Yoox to date?
The most expensive item ever sold on Yoox was to a Chinese customer, a female: a Dolce & Gabbana leather jacket purchased for €17,400.
Can you share how Yoox’s market penetration has improved in China, and how it has been taking market share from Tmall and Xiu.com?
China plays an important strategic role for the group as one of our fastest-growing markets. Since Yoox.cn was launched in 2012, we have tried to gain increasing market share in China’s incredibly competitive landscape through a balanced mix with an international touch and a local approach.
Our current strategy goes into the direction of diversifying our offering in comparison to our main local and international competitors. Our success is built on providing our customers with the best possible shopping experience – through strong attention to service and a focus on mobile, as well as by entertaining them with unexpected synergies and collaborations with global and local designers and influencers. I have no doubt that the recently launched Yoox website and native app will positively contribute to consolidating our market share in China, meeting the sophisticated demands of Chinese customers.
What can we expect from Yoox.cn going forward?
The next five years will witness major evolutions for Yoox, both in terms of creativity and technical innovations. The new release and native app, launched in mid-September, are just the first steps of an exciting new era for us. In terms of technology, our focus will be developing a mobile-only approach. Content-wise, our aim is to surprise our audience with unexpected collaborations, limited editions and special projects, together with a curated editorial style and compelling graphics. Both assets aim to satisfy the needs and expectations of a demanding and constantly connected generation, who are used to purchasing quickly and instinctively in an overly stimulated environment.
One odd paradox in China is that it’s been a tough market for most Western luxury and fashion brands to crack digital, yet the Chinese
consumers are the most advanced in terms of mobile e-commerce. Has it been hard to crack?
What you say is absolutely true, but we have turned a challenge into an opportunity – and then into a competitive advantage. Amongst our founding values are “people” and “technology”. In fact, the male and female chromosomes Y and X in our name embrace the two zeroes of binary code, representing technology. With this in mind, the Chinese customers represent our perfect audience because they are the most connected and tech-savvy. From its debut in China, Yoox.cn has placed the customer at the centre of its strategy, offering a fully localised shopping experience featuring, for example, local payment systems and dedicated customer care, connected via email, mobile and WeChat.
What are the biggest surprises about how China uses Yoox versus the rest of the world?
Well, quite interestingly in terms of demographics, Yoox’s Chinese customers set two records globally. On the one side, Yoox.cn has the highest rate of active male customers; on the other, it attracts the largest portion of customers under 35 years of age, making the average age of Chinese customers our youngest worldwide. This trend obviously results in increased mobile orders, with younger generations more inclined to navigate and purchase on Yoox through mobile phones and tablets. Speaking of buying preferences, there’s no big surprise. Chinese customers’ preferences are similar to the rest of the world – shoes are the best-sold items for both men and women.
Chinese consumers are moving or have moved away from luxury brands into niche, lesser-known labels. Are you experiencing that shift and how has Yoox responded?
From our big data, we have observed the same trend. Chinese customers are becoming more sophisticated and willing to experiment by exploring emerging fashion brands, rather than just seeking the most established ones. This shift started in the first-tier cities such as Shanghai and Beijing, and then has spread rapidly to the second- and third-tier cities.
What is the next natural step for Yoox? What aren’t you doing now that we can expect to see soon?
In the near future, our focus will be on providing an increasingly customised shopping experience, tailor-made to the tastes of each specific customer and by means of personalised mobile propositions.
What made you decide toredesign the Yoox site? What logic, analytics or insights revealed the necessity to do that?
Always placing customers at the centre of our initiatives, our wish was that of promptly satisfying the requirements and desires of those who visit our store, searching for their seasonless style favourites. Our goal was to provide customers with a unique, impeccable shopping experience in which they can effortlessly access all they are looking for – through a simplified navigation with style suggestions reflecting tastes and interests, efficient service and customer care – and entertaining them while they are at it with a compelling new layout and editorial content.
What has been a trend you never anticipated in terms of China’s e-commerce shoppers?
Chinese customers move in a very similar direction to that of all other customers; what is different is the speed at which they move. Our great challenge will be that of travelling with the same rapidity, more than facing a trend that we had not anticipated. Desires and behaviours are in constant evolution and so is the digital media attitude. I have also been very impressed by how WeChat has revolutionised social media, creating a gateway to so many different services.
What trends or micro-trends are emerging right now among Chinese users?
Chinese customers are definitely the most tech-savvy and mobile-connected. Just to give you an idea, Chinese users enjoy surfing Yoox.cn on their mobile devices while going to work on public transport, from 7am to 8am, but they also shop via tablets later in the night, around 2am. In terms of preferred purchased categories on Yoox.cn, on the contrary, a clear trend sees female customers in China buying shoes, dresses and tops, while men opt for shoes, tops and trousers. Their preferred colour: black; their passion: purple.
Fashion designer Ma Ke, who runs her own brand Wu Yong and creates bespoke garments for Chinese First Lady Peng Liyuan, shares her approach to fashion and the overwhelming power of Chinese design
Fashion designer Ma Ke, who runs her own brand Wu Yong and creates bespoke garments for Chinese First Lady Peng Liyuan, shares her approach to fashion and the overwhelming power of Chinese design
People > Business Insider |
October 28, 2016 / by Zhang Mengyi
How did you decide to start your own brand?
I studied fashion design and acting in university, and learned that although China was the largest clothing manufacturer in the world, there were no recognised designer brands. I thought I should try to create China’s own designer brand – that was my dream.
I went abroad early in my career and the comment I heard most was that “Chinese don’t know about creation – they only copy.” I felt humiliated and angry. I knew that we had exquisite craftsmanship and wisdom, and that we could be as good as other countries. I worked for three different garment companies before starting my own brand – Exception – in 1996 with
my partner.
What did you have in mind when you started designing?
I only wanted to follow my heart. As for the style – it emerged gradually. It was a process of getting to know myself; I am what I design. I left
Exception in 2006 and started my second brand, Wu Yong [which translates as “useless”].
In fact, 2006 was an important year for you. You started Wu Yong and were invited to do a show at Paris Fashion Week.
In June 2006, the then-president of the Chambre Syndicale de la Haute Couture, Didier Grumbach, came to my office in Zhuhai and invited me to be the first Chinese designer to present at Paris Fashion Week. I went to Paris Fashion Week in 2007 and showed 27 garments inspired by the lives of Chinese farmers and artisans. I was aware that what I had designed had nothing to do with fashion. But Paris has the biggest appreciation and acceptance for any kind of art and creation.
After the show, you were invited to be part of another big show.
The week after, I received an invitation from Paris Haute Couture Week. I did agree to do it, but made it clear that it would be my only time. So I presented Wu Yong’s Luxury of Austerity line and became the first Chinese designer to show work there.
Wu Yong was described as “anti-fashion” and you said you wanted to be an artist.
My show at Paris Fashion Week attracted attention from museums around the world; they invited me to do exhibitions. I had the chance to be a real artist so I could get away from the commercial world forever. But I didn’t, because there were other things I cared about. When I did research and toured rural areas in China, I was moved by the lives and stories of farmers and artisans. I wanted to help them preserve their traditions of craftsmanship.
You opened a “life-experience” space in Beijing named Wu Yong. What was the inspiration?
After Paris Haute Couture Week, I came back to Zhuhai and wanted to give myself some time to concentrate on the things I was passionate about. In 2012, I had accumulated enough original designs to share with the public. That’s when I decided to transform Wu Yong from a NGO into a social enterprise and look for a space to present our work.
You worked in Zhuhai for many years, so why did you choose Beijing as the brand’s home base?
It was just my instinct – I think Wu Yong is more suitable for Beijing. It has deep-rooted Chinese cultural heritage.
After 2013, you became known as the designer for Chinese First Lady Peng Liyuan. How did this influence your work and daily life?
I am who I used to be – I haven’t changed. The First Lady came to me when I was looking for Wu Yong’s space in Beijing in 2013. We had known each other for many years; she wore my designs in the late ’90s and loved them. Then she invited me to do the designs for her first official visit abroad.
Are you still doing designs for her?
Yes, and also working on Wu Yong. I design most of the clothes the First Lady wears during her official visits abroad, but not all of them.
You provide people with a kind of lifestyle that focuses on the most commonly used material, skills and textures from the past.
I think we Chinese haven’t put on our own clothes for a long time. I was born in the 1970s during the Cultural Revolution. Clothes were very simple at that time. I remember a Chinese lady looking at my Chinese-style garments, asking me whether she was suitable for that style. I was shocked, because she had no confidence in Chinese style. The power of fashion is enormous. I always say that what Wu Yong is doing is like helping a man with amnesia find his memory.
Besides nature and traditional craftsmanship, what other sorts of things inspire you?
My biggest inspiration is Chinese culture. Also, you must have a free soul to create. My inspiration comes from the inside, not the outside.
How would you describe yourself in three words?
I can’t – it’s like blowing your own trumpet. Instead, I would like to say what kind of person I want to be. First, a warm person who can bring warmth to those around me. Second, a simple person who doesn’t have so much confrontation or hesitation. Third, an innocent person who isn’t influenced by the outside world.
For many years, Chinese couturier Grace Chen kept a low profile as the most in-demand designer for China’s business and political elite. But she’s stepping out of the shadows with the recent launch of her Shanghai-based headquarters, and plans to expand her house into a full-fledged global brand
For many years, Chinese couturier Grace Chen kept a low profile as the most in-demand designer for China’s business and political elite. But she’s stepping out of the shadows with the recent launch of her Shanghai-based headquarters, and plans to expand her house into a full-fledged global brand
People > Business Insider |
September 30, 2016 / by Natacha Riva
We hear you’re planning to open a space in Hong Kong. How soon and where in the city might that happen?
We haven’t decided on the exact location yet, but we are looking for a certain type of space that will work for the brand. We are aiming to open the store in 2018.
Your business in China is one that’s completely private. Why choose to set up a bricks-and-mortar space in Hong Kong?
Hong Kong will not only be the window for us to open to local customers in the city, but also a convenient location for our clients in southern China and the Southeast Asia market. Southeast Asia is very important for us. Our style is perfect for the high-society customers in this region.
How would you compare the style of Mainland Chinese women with that of Hong Kong women?
I have to say there’s a big difference. When I talk about Mainland Chinese, I’m more referring to Beijing or Shanghai. I think Mainland women are more sophisticated, while Hong Kong women are more trendy.
You’re Chinese-American and spent a lot of time in America. What surprised you most with the general US conceptions – or misconceptions – of Chinese women and their fashion?
The general US misconceptions of Chinese women can be described in two different ways. First, they’re viewed as overly sexy; Chinese women to them are like sex slaves. All they can see is how exotic and sexy Chinese women are. The second is that they’re completely unattractive, nerdy, plain, hard-working, with no idea of how to be interesting and fun.
You’re renowned as a dresser of the top power players in China. How did that come to be? Who was the first such person you dressed?
I was the first Mainland Chinese student to attend the world-famous fashion school FIT [in New York]. I then worked in New York and Hollywood for 15 years, where I built up a good reputation for understanding Chinese fashion. I have a circle of friends in the industry, as well as the fashion media and the high-end business world. So when I returned to China and started my own brand, they were all eager to help introduce me to new customers. My first power-player client, a congresswoman, was introduced to me by Du Yuzhou, the former head of China’s ministry of the textile and apparel industry.
My mentor is Professor Li Keyu, who taught me throughout my master’s degree. She is the most decorative and most respected custom designer in China. I was also the first fashion designer to hold a personal exhibition in the prestigious China National Gallery in Beijing – that was in 1995, right before I went to New York. So, it’s fair to say that all my exceptional academic and professional experience has prepared me for success today.
How would you describe your brand in three words, ideas or concepts to someone who doesn’t know it?
Power dresser for the world’s elite women; modern Chinese glamour; and 靜,深,富 – which is our aesthetic philosophy: “serenity, profound, glamour”.
You once said China’s designers should lead, not follow – “that China has a DNA; it has meta-luxury in its history.” Is that a blessing or curse for today’s Chinese designers?
It’s definitely a blessing – it gives us confidence and a backbone. Fashion and luxury have to be enriched by history and culture. Fashion design only in technical terms is shallow and meaningless.
What is power-dressing today in China and how does that compare with several years ago, when you returned from the US?
China has entered into an era where people are eager to upgrade everything in their lives – and fashion is one of the most important aspects of this upgrade. For me, power-dressing is much more accepted and important in 2016 than it was in 2009. Our brand is at the forefront of the most significant revolution in modern Chinese history. This is what Chinese say: 天時, 地利,人和。
Who are your favourite designers and why?
Alexander McQueen for his out-of-this-world creativity, and Oscar De La Renta for his understanding of elegance and sophistication.
What’s the best business advice anyone has ever given you?
My friend, who is the boss of a very successful Chinese sportswear brand, once told me: “Grace, you know, you can only make your business successful when you don’t have money – as you have more of a drive to succeed and be the best.”
The president of Moët Hennessy’s Estates & Wines, Jean-Guillaume Prats, on bringing new sparkle to China’s wine consumers and the company’s much-anticipated first vintage from Shangri-La
The president of Moët Hennessy’s Estates & Wines, Jean-Guillaume Prats, on bringing new sparkle to China’s wine consumers and the company’s much-anticipated first vintage from Shangri-La
People > Business Insider |
August 26, 2016 / by Timothy Chui
You have a global remit, spanning wineries in Spain, France, the US, New Zealand, Argentina, Australia and China. How much time do you spend in China?
I go every four months – in total, four weeks in China every year. It’s impossible to be everywhere at once. Our wines are fantastic because they’re made by the local team – they’re made by the guy who turns the lights on in the morning and off in the evening. It would be a big mistake to tell them what to do. My job is to provide them with the equations, the vision, the strategy, the financial means and the distribution to take our great vineyards to market.
What is Moët Hennessy’s big focus for the China market in 2016?
We’re out to build the category of sparkling wine consumption in China. As of now, it doesn’t exist. We have big priorities with Chandon China and our sparkling wine grown and bottled in Ningxia. We’re looking to promote everyday drinking of sparkling wines, focusing on young millennials and the upper middle class.
Seems like you have a tough sell ahead of you – Western spirits and wines have been embraced by Chinese consumers, but growth in champagne and sparkling wine consumption has been muted.
We want to help consumers understand a new ritual of consumption: how to drink the wine, how to celebrate life, how to use it in mixology in cocktails, should you have it with food, should you have it in the evening. Red wines are already popular as a great complement to food and we want to position sparkling wine as a means of celebrating a special moment, as an aperitif, after dinner or by the pool.
How does Moët Hennessy plan to bring about this shift in attitudes?
It’s all about innovation – like talking to a young graduate from university and asking them, instead of having a glass of beer, why not have a glass of sparkling wine? We want to tap into the pride of drinking well-made Chinese products that are recognised around the world. We want to encourage consumers to use our sparkling wines in mixology: blend it with something else as a cocktail, add an ice cube, in a plastic cup, by the pool, with your friends at a BBQ. We want to create a new ritual of consumption, and demystify the perception that it’s pompous and difficult to understand and by that, encourage an evolution of the product so it’s more appealing.
Research suggests champagne and sparkling wines are too tart for consumer tastes in China. How do you overcome this barrier?
Chinese consumers find sparkling wines may be too acidic, or lacking concentration and sugar, but you can create blends with new products that we have in mind. What’s coming will mirror our strategy in Argentina and California, where we have blended our sparkling wines with late-harvest grapes, with oranges and cocktails to create a new ritual of consumption. We will also engage the market through social media,
ads, platforms and brand ambassadors while educating celebrities, trendsetters, and culinary and hospitality schools. Education is all about talking to people and giving them the tools to understand the difference between a cabernet and a merlot.
Can you tell us about Moët Hennessy’s first vintages of Ao Yun, grown in the oft-thought mythical but very real Shangri-La region?
Every country in the world consuming fine wine is also producing great wine, with one exception: the UK. So where can you produce fine wine in China? We looked at weather, rainfall, hours of sunshine, temperature variance between day and night, and irrigation access. We found the very northern part of Yunnan, along the Mekong River, was suitable. We’re developing extraordinary wine in a place only 10km away from Tibet and 20km from Burma, in a region very remote and 15 years ago accessible only by horse. Since then, the Chinese authorities opened the road, with the first vineyards planted in 2002. There had been vineyards there since the 1850s, but they were all razed between the World Wars. The area is much smaller than Burgundy, but the wines have already received very high ratings and praise from critics.
Most of China’s locally produced wines never leave the country. Will this be the same for Ao Yun?
Our first vintage will only be 24,000 bottles, with 36,000 planned for a second run. Production will remain small, with 60% destined for export and 40% for domestic consumption. It’s been available in the US, with the UK, Switzerland and France receiving their first shipments in June, while the official launch was held at the French Consulate in Beijing on June 6.
What is your outlook for wine consumption as a whole in China for the rest of the year?
I don’t see the market immediately returning to what it used to be five or six years ago, with high rollers and spending on very expensive red wines. You see the same consequences in watches and cars. That being said, red wine consumption will still go up with new consumers. That’s why we’re on a mission to create a category for bubbles and sparkling wine, and talking to the Chinese so they’re proud of a locally made Chinese wine. China has a long history of culture and arts, and all these assets usually go well with the consumption of fine products. It’s a question of providing the Chinese consumer the access to an extraordinary product – and then making sure they understand it.