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Giorgio Armani

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saba ali

on 10 October 2015

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Transcript of Giorgio Armani

Presented By:
J-SID Consulting
Saba Ali
Ian Angelone
Jessica Bascone
Denise Lease

Porter's Five Forces Model
SWOT Analysis
Information Technology

Threats Of New Entrants
Bargaining Power Of Suppliers
Threats Of Substitutes
Bargaining Power Of
Business Model

Many suppliers available
Low cost to switch suppliers
Volume is critical to suppliers


Individual consumer has less impact
Distributors buying in bulk could have impact
Competitive Rivalry

Difficult to establish a line
Brand recognition and loyalty exists
Low - Medium

Counterfeit products exist
Increased popularity of middle-priced items
Strategically using applications dealing with computers, and telecommunication to transmit and receive data to create value for a firm.
Mega trends of Information technology in today's Information Age
IT Megatrends in today's Information Age
Social Media
Armani Tweet Talks - Fashion experts and fans

Facebook - Spring 2012 "Make the cut" design contest: collected data based on facebook fans' vote, a 12 piece collection was born.

Big Data
Should be an essential part of the business
Important to analyze and use this data to make every day business decisions or forecast the future

Cloud Computing
The practice of using a network of remote servers hosted on the Internet to store, manage, and process data, rather than a local server or a personal computer.

Armani currently uses the Oracle System.
Consumerization of IT
In 2011 A|X recently launched the A|X VIDEOMIX App on Itunes. You can play with models, create your own fashionshow and share with friends.
Value Chain Improvements
Shopping through mobile
Online Armani stocks its digital shelves according to consumers choice
-offer in store pickup, store locators

-S.p.A. (Societa per Azioni) means Shared Company
-Corporate brand
-Giorgio Armani is the Sole Shareholder
-Company carries no debt
-In 1989 Armani began buying some of their suppliers
-Strategy is creating sub-brands
-Europe, North America, China
-Headquartered in Milan Italy
-Armani was "finding inspiration in the marriage of eastern minimalism and Western Luxury" after exploring these new markets
-two fold strategy
1. capture market
2.transition to GA
-Armani is a classic example of a differentiator
-High prices for high quality
-Two Fold Strategy
-"Life Customers"
-"Good, Better, Best"
-Recent campaigns include a luxury home project in Beijing, a partnership with Fossil and Armani Hotels
-Accessories, A company with enough capital for hotels should design some smaller, more accessible items.
-Market Research led by big data analysis software investments
-A solid succession plan
"Giorgio Armani S.p.A.: Private Company Information." Bloomberg.com. Bloomberg, n.d. Web. 07 Oct. 2015.
"Giorgio Armani S.p.A. - Company Profile, Information, Business Description, History, Background Information on Giorgio Armani S.p.A." Giorgio Armani S.p.A. - Company Profile, Information, Business Description, History, Background Information on Giorgio Armani S.p.A. Reference For Business, n.d. Web. 07 Oct. 2015.
GALLONI, ALESSANDRA. "The Future of Armani." WSJ. Wall Street Jounal, 23 May 2012. Web. 07 Oct. 2015.
"Designed in Italy, Made Elsewhere: Armani and China." Want China Times. N.p., 19 July 2011. Web. 07 Oct. 2015.
Marketing Brand Infrastructure
UNICEF Tap Project - provide clean water

Acqua Di Gioia Interactive App
What is Social media? - Allows us to connect and share content easily.

How does Armani use this?
Online Shopping - ability to conduct a transaction via internet from the comfort of your home

your Management Information Systems (MIS)
We will use
to find
the needs, motivations, and behaviors of the fashion industry, retailers, and consumers.
Product Information Management Systems (PIM)
We will use our systems to give consistent, accurate and up-to-date information regarding all our products to your supply chain and all media resources.
Computer - Aided Manufacturing Software (CAM)
We will keep you current with the newest state-of-the-art software programs that will enhance your production process while continuing to produce high class products.
Giorgio Armani born July 11, 1934
1957 took job as merchandiser for LA Rinascente
Became fashion designer for Hitman before beginning freelance in 1970
July 24, 1975 launched Giorgio Armani S.p.A. which partner Sergio Galeotti
Popular film American Gigolo spikes popularity
1980's clothing was a symbol of success
1981 opens first store in Milan
1985 Galeotti dies
Continued to expand an empire
1990's 200 stores & annual sales
of $2 billion
2010 opened first hotel in Dubai

Product Strategy: high class & luxury
-exclusive design & style
Product Lines: Range from fashion wear,
cosmetics, fragrances, home goods
Brand Strategy- unique and personality based
-Product Lines:
-Giorgio Armani
-Giorgio Collezioni
-Emporio Armani
-Armani Jeans
-Armani Exchange
-Customer age range 18-65
-Each subsegment targets different customer base
-Haute couture
line hollywood
"Think how liberating it is for a designer to make one dress, perfectly, to satisfy only one customer..."
-Over 3000 employees
-All levels of employees in retail locations
-Intern positions
-Shift of management after being ill
-Closest Assistants:
Silvana Armani
Pantaleo Dell'orco
Top competitors:
Gianni Versace
Kering Holland (the parent company who sells Gucci, St. Laurent & Sergio Rossi)
Jumeirah (Hotels and Resorts)

Continue to extend globally
Continue to include itself in a middle income market
Alliance with new market.
Digital Market

Existing Competitors
Counterfeit Products
Low Cost Fashion Copycats


Armani is a well known Name and Brand
High Quality Items are Produced
Loyal Customers

Potential Weaknesses

Not keeping up with current technology
Catering only to the High Class Market
Not continuing to produce a differentiated product
"Researcher Uses Technology to Predict Fashion Trends." Researcher Uses Technology to Predict Fashion Trends. N.p., n.d. Web. 09 Oct. 2015.
Full transcript