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DIESEL

For Successful Living


Branding Strategies for a n Up-market Line
Extension in the Fashion I ndu str y
HISTORY
• 1978-creation of Diesel brand name (Italian company)

• 1985-Renzo Rosso complete acquisition of the company

• 1995-one of first clothing companies on the internet

• 1996-Diesel’s first flagship store in New York City’s Lexington


Avenue

• 1998-advertising industry awards - “Advertiser of the Year”

• 1998-UK’s most influential fashion magazines for men “Fashion Brand of


the year”

• 1999-Diesel’s product lines;


• Diesel Kids
• 55DSL

• Leader in pioneering new styles, fabrics, manufacturing methods and


quality control.
Segmentation/Targeting
• Geographic
• Region-International
• Density-Urban cities(U.S. & 80 other countries)
• Demographic
• Stylistic men and women: ages of 16-35 years
• Annual income
• Hip generation-high school/college students/ young professionals (passionate
or innovator who follows their own unique path in life)
• Psychographic
• Lifestyle
• This eccentric man or women spends a significant amount of money on
quality fashion - forward clothing
• Behavioral
• Loyalty Status
Diesel’s Marketing Mix
product . price . place . promotion
Product

DIESEL

DIESEL STYLELAB
Kids Division
D-DIESEL 55 DSL

LICENSE
PRODUCTS

DIESEL DIESEL
Foot wears Shades
DIESEL DIESEL
Fragrances Time Frames

DIESEL
T-Shirts ,Shirts , Sweat-shirts,
Luggage, Cosmetics , Accessories
Price
Premium Pricing –Premium quality , Dynamic Lifestyle
Diesel Jeans range from $100 to $300 a pair

Place
Diesel products are available in more than 5,500 chain and department
stores in 80 countries worldwide
(U.S., Nordstrom, Urban Outfitters, Bloomingdales,
Barney’s New York , Poland, Israel)
Promotion
• Promote products mainly online www.diesel.com and in high-end magazines
such as:
• Elle
• Vogue

• Events:
• Radio Station (DIESEL.U.MUSIC)
• DIESEL WALL
• DIESEL ART

• Advertisements: Create stories around pictures (unusual topics that can be


perceived in many ways):
• “MAKE MY WAY”
• Current Campaign: Global Warming Ready
SWOT ANALYSIS

S O
Diesel is a strong brand. It There is an opportunity for a
went from only a jean brand to high-­end
‐ casual wear line
major fashion label. in the market.

Diesel pays great attention to StyleLab would help manage


product placement among Diesel's most important assets,
actors, musicians and their designers. In doing so
celebrities without paying the designers are free to experiment
stars or giving anything away. with new fabrics and cuts.

Style Lab offers wearable StyleLab could focus on


clothing from a “ laboratory of previous D-­Diesel

surprising style” for customers. customers who still like the
It’s more exclusive, refined, brand and its values but felt
expensive and innovative in its D-­Diesel
‐ had become too
use of designs and materials. mainstream.
SWOT ANALYSIS

W T
The profitable market for Style It is hard for many
Lab in high casual wear is consumers to justify
uncertain. spending $150 on a pair of
jeans.

Multiple horizontal extensions Other companies could begin


of Diesel could dilute its using new styles and fabrics to
identity therefore Diesel could compete, taking a portion of the
suffer from its own success. original market

Diesel ads were too highly StyleLab was positioned at


involved and often confusing the lower end of high casual
to consumers. They required wear, competing with Miu
wit and involvement to be Miu, Prada Sports, CP
deciphered. Company and D&G.
Has diesel remained true to its
original identity?

 Diesel original identity :


– rebellious, uncommon, sense of h um or

 Well exploited from1991 to late 90’s

 Problem : the bra nd is losing its originalty


–victim of its success – the brand started to be
conventional d u e to the evolution of the market

 Solution : StyleLab a n d D-Diesel

 Upper range jeans – ne w consumers – ne w market


Basis of the branding decision

4
Core Value 1

Market

3
2 segmentations

Design,
characteristic and

2
3
price of products

The terminal of
1

4 each
distribution
Branding Strategy
 D-Diesel and StyleLab have roots in common :
Creativity, freedom, global outlook and thoughtfulness.

 But different positioning and price strategy:

StyleLab  more exclusive, more expensive, more


innovative
 Target consumer :
• The past buyers of D-Diesel that look for more
exclusiveness
• People looking for cutting-edge style
 D-Diesel and StyleLab lines had to be clearly differentiated
while having a common link with Diesel’s core identity
Branding Strategy
 D-Diesel and StyleLab lines had to be clearly differentiated
while having a common link with Diesel’s core identity
 Endorsement Strategy :
 StlyleLab can benefit from the fame of
Diesel (quality, durability, design)
 Reduce the cost of the launch
(communication)
 Ensure credibility and visibility

 The Logo:

 Diesel implement the branding strategy of


token endorsement, which is defined as
“the endorsement is mentioned in the
communication in plain text, with small
fonts and relatively far from the StyleLab
logo”.
Thank you!

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