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PROJECT

BU1263: DISTRIBUTION
MANAGEMENT TEAM
MEMBERS-
AMANDEEP SINGH(202000860)
slides from 3 to 10
ROHIT SAINI(202000951)
slides from 11 to 19
INTRODUCTION

• Guess began in France, with the brothers opening their first


business. The brothers decided to open a second store in
America after the success of the first.
 
• MAG was the name of the French business, which opened in
1977. When the brother arrived in America, the second
business, GUESS, opened in 1981.
 
• Guess is still a popular company with a wide range of items.
Watches, shoes, perfume, children's clothing, and much
more.
Distribution and Supply chain Goals
• Guess boasts the world's largest supply chain, with products
shipped from North America to Asia.
 
• By concentrating on product responsibility, being good water
stewards, and lowering greenhouse gas emissions, GUESS hopes to
incorporate sustainable practises into its operations.
 
• In 2016, the Associate Engagement Program was developed to
encourage a global sustainability attitude within the organisation.
Company thinks that teaching our employees about environmental
and social concerns is critical to encouraging them to work toward
the company's sustainability goals in their respective fields.
 
• Guess employs recycled cotton to help the environment and
safeguard natural cotton, which is becoming increasingly scarce.
For their goods, they primarily focus on creating man-made fabrics.
 
• In 2019, the company sourced 10% of its resources from more
sustainable sources, and it is working hard to meet its objective of
20% sustainable materials by 2021
Distribution Partners
• Guess' merchandise is sold under a variety of brand names,
including Guess, Guess?, Guess U.S.A., Guess jeans, Guess? and
Triangle design, Question mark and Triangle Design, a stylised G,
Guess Kids, Baby Guess, Yes, G by Guess, Guess by Marciano, and
Marciano. Jeans, pants, overalls, skirts, dresses, shorts, blouses,
shirts, jackets, and other denim and cotton clothes are included in
the collections.
 
• Guess licences the production and distribution of a variety of
products that complement its fashion lines, such as eyewear,
watches, purses, and footwear.

• On January 31, 2009, retail operations accounted for 46.7 percent of the
company’s net revenue, with wholesale activities (14.2 percent),
European operations (34.3 percent), and licensing operations accounting
for the remain 34.3 percent (4.8 percent).
Channel of Distribution
• Guess has a well-developed distribution network.
• Licensing agents and wholesalers are the direct-to-consumer channels for their goods.
• Retail storefronts and e-commerce websites are examples of direct-to-consumer
possibilities.
 
• Guess has 450 locations in Canada and the United States, with 380 locations in Asia and
Europe and 190 concessions outside of these two nations.
 
• Guess sells its products through worldwide and domestic wholesale channels, and its
distributors and licensees operate in over 800 locations across the world.
Warehousing and Storage
• Probably, the company's items are made in many countries. For
example, they make their clothing in Bangladesh and Pakistan and
then ship them to Los Angeles since these countries provide lower-
cost raw materials.
 
• It's likely that the corporation does not have its own warehouse in
every country. They hire a third-party logistics company to store their
merchandise and transport them from one country to another.
 
• Only Los Angeles, California, in the United States, has a warehouse
to store their items.
E-commerce
• Guess sold its products through a network of subsidiaries and
approved third-party distributors, both online and off. A variety of
restricted conditions were included in Guess' agreements with
distributors.
 
• Use of the Guess brand name in online search advertising is
prohibited.

• Online sales without prior approval are prohibited in general.


 
• Minimum-price obligations.
 
• Cross-border sales restrictions inside the European Union.
 
Customer Fulfillment

• Guess has four different delivery methods to get their product to clients. They sell a
wide range of items, including perfume, watches, clothing, and shoes. These products
are delivered to clients by the wholesalers listed below.
 
• Retail, Wholesale.
 
• Outlets in Europe.
 
• Licensing partners are people who help you get your product into the hands of the right
people.
Efficiency and Effectiveness
• Guess's global performance is excellent. It makes numerous
efforts to improve its efficiency, such as collecting input from
clients via an online portal and retail outlets. They also take
the survey every year in order to improve.
 
• The quality of results obtained from tasks done by both
employees and management is defined as effectiveness.
Guess perfume and clothing are extremely popular
throughout the world. These are of superior quality, which
may explain why they have grown in popularity around the
world.
Agile/Adaptability
Guess is a well-known brand that emphasises the implementation
of new business procedures and strategies.
 
• Using laser technologies to reduce chemical usage.
 
• Candiani Denim uses two cutting-edge dyeing processes in
Italy that save water, energy, and waste.
 
• Fabrics made from recycled fibres are made by Cone Denim® in
Mexico and the United States.

• Guess has implemented Omni channel techniques all across the

world.

• E-commerce is a term that refers to the sale of goods and


services over the internet.
Destination Sourcing of Materials
• Guess sources materials such as cotton, garments, and other accessories from a variety
of vendors, with whom it has had long-term relationships.
 
• Guess obtains materials from 355 vendors in 27 countries, with the majority of the
material coming from China, Guatemala, India, Mexico, North America, Asia, and
Europe.
 
• Guess sources 12.39% of its total apparel and accessory sourcing from India in 2019.

• In order to enhance cotton purchasing, Guess implemented a responsible sourcing


Policy on cotton in 2019.
 
• Guess is a multinational brand with sourcing teams in the United States and Europe.
 
• Denim products were sourced from Mexico, while non-denim items were sourced
from China.
Quality Control
 
• The quality control programme at Guess ensures that the
products are of the highest possible quality.

• Before the goods are manufactured, Guess inspects the


prototypes and raw material quality.
 
• Materials are checked at random in the line.
 
• In Europe, the REACH regulation limits the use of hazardous
chemicals.
 
• To obtain premium organic cotton, guess source cotton through
the Better Cotton Initiative
Global Competition

• Guess competes with apparel stores, manufacturers, and distributors both locally and
overseas.
 
• Calvin Klein, Gucci, Uniqlo, and Lacoste are among the Guess competitors. All of these
brands are high-end items.
 
• The corporation now has to compete on a global basis, thanks to technological
advancements.

• Some competitors employ novel marketing tactics, such as enlisting the assistance of
celebrities to promote their products.
Process Management

• Guess has introduced a new process management system in


order to optimise integrated product design and production
processes.
 
• Guess use a fully automated digital laser technology that
reduces chemical and water consumption.
 
• Nanotechnology is being used to save water by adding
enzymes directly to textiles to break down colours rather
than using a larger washing cycle.
Supply Chain Best Practices
• Many new technological procedures and methods, such as
Water Saving Technologies, have been implemented by
Guess.
 
• Guess is launching a Wardrobe Recycling Program in
collaboration with I:CO. California started a RESOURCED
Program on June 18, 2018, with plans to extend
internationally by 2020.
 
• Guess introduced Vendor Net® Omni channel
Technology, which is utilised to fulfil online orders from
its physical stores.
 
• The LED light conversion project undertaken by Guess
resulted in a 25% reduction in energy consumption.
Supply Chain Best Practices

• Guess also integrated an ERP system with the news WMS.


 
• Guess introduced a new product lifecycle management (‘‘PLM")
system to improve supply chain efficiency.
 
• Guess introduced an automated laser technique that uses less
chemicals and water.
Supply Chain Challenges
• Changes in market demands and client expectations are only some of the issues
that Guess faces.
 
• The rising worldwide cost of labour and raw materials is also an issue for Guess.
 
• The acquisition of materials is also changing as the market changes, posing a
challenge for the supply chain.
 
• Delays in delivering materials to clients, as well as delays in receiving raw
materials on time, are key challenges.
 
• Guess has a hard time balancing time and resources to reach out to customers with
more specific demands.
 
 
REFERENCE

https://www.marketing91.com/marketing-mix-guess/#:~:text=Guess%20has%20a%20strong%20distribution,stores%20and
%20e%2Dcommerce%20portals
 
􏰁 https://www.annualreports.com/Company/guess-inc
 
􏰁 https://sustainability.guess.com/protecting-the-environment/#:~:text=In%202019%2C%20the%20company%20sourced,be%
20more%20sustainable
 
􏰁 https://sustainability.guess.com/protecting-the
environment/#:~:text=In%202019%2C%20the%20company%20sourced,be%
20more%20sustainable%20by%202021.
 
􏰁 https://sustainability.guess.com/protecting-the
environment/#:~:text=In%202019%2C%20the%20company%20sourced,be%
20more%20sustainable%20by%202021.
 
􏰁 https://zh-cn.facebook.com/resiliencedevelopmentcompany/posts/guess-what-happened-when-we-lowered-stress-and-reduce
 
d-anxiety-in-our-resilient-/1048808068657708/

 􏰁 Marketing Mix Of Guess - Guess Marketing Mix and 4 P's (marketing91.com)


 
􏰁 www.google.com/search?q=guess+e+commerce&rlz=1C1CHBF_enCA920CA920&oq=guess+e-commer&aqs=chrome.1.6
9i57j0i22i30i457j0i22i30j0i10i22i30j0i22i30j69i60.26503j0j7&sourceid=chrome&ie=UTF-8
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