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United Colors of Benetton

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sarah sarah

on 18 January 2013

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Transcript of United Colors of Benetton

What are the limits of social communication for commercial development? WHO IS BENETTON ? The brand/ 1 > Benetton is a global fashion brand
> Founded in 1965 in Treviso (Italy)
> Present in 120 countries with a network of over 6,500 stores
> Turnover > 2 bn
> The group produces over 110 million clothes every year, over 90% in Europe. Strategy/ 3 > Benetton Group use the value created to capitalize on an image = “Feeling of us”

> At the first, based on picture of young people that showing a difference skin with color, wearing with colorful outfits

> In next time, Benetton changed their advertising. They present itself in showing the real world that the topic are winder, war, Aids, pollution and other social Target/ All people, all origins with a preference to young adults
(18-30 years) Marketing-mix/ 5 > Price : Middle price , but higher than competitors like Zara or H&M

> Product : Clothes with many colors, international vision and Italian tradition

> Place : Retailers private

> Promotion : Controversial Communication (Billboards and press) 4 SWOT/ Benetton: 40 years of communication Second cycle (2000-2010) The Breakdown Third cycle (2011) The renewal Benetton : Campaign Unhate The Partnership between Toscani and Benetton First cycle (1984-2000) 1. 2. 3. Timeline of Benetton's communication 2010 2000 1984 United product Free speech and the right to express it United people 1.The Partnership between Toscani and Benetton 2.The Breakdown 3.The renewal Benetton 2011 Second Step (2000-2010): The Breakdown > real break : the departure of Toscani
> Its advertising image in the hand of Fabrica students

What is Fabrica ?

- The Benetton Research and Development Communication Center
- A school founded in 1994 in order to be a laboratory of trends and innovation for the brand
- A new business strategy and communication less provocative 2001 New campaign in collaboration with UN Volunteers > A former member of a street gang, now fights against violence; a transvestite distributes condoms amongst prostitutes…

> They are differents but they have the same feeling of commitment to the weak and suffering.

> Talks about 'real people', touching on important issues for a civilized society. Perception and results People divided in 2 parts :

1. Negative reactions : campaign not credible, From "Ethical Consumer Guide "the Benetton Group is almost dead last.

2. people welcomed this initiative from Benetton to focus on real problems.

In 2001, Benetton has returned to growth, even if the turnover is less than 1992 2002 2003 Food for life Benetton continues to show problems in the world with the World Food program -> against hunger in the world

Pictures demonstrate the link between the problems of malnutrition and various social aspects of existence

Several important themes were treated during this campaign:
- Food for education (children in Afghanistan),
- Food for work (Afghan women)
- Food for peace (Warriors in Sierra Leone)
- Food to go home (Afghan refugees)
- Food for protection (Cambodian girls and African prostitutes)
- Food for stability (children Liberian refugees) 2003: Food for life Perceptions and results This campaign confirms the new face of Benetton's communication

- Partnership with humanitarian organizations

- Financed entirely by Benetton to 15 million euros :
gives credibility to his action.

- Difficult to criticize the lack of involvement of Benetton in humanitarian actions, especially when it is backed by the UN.

- Skeptics still see a method to retrieve customers

- Company figures are decreases. 2004 James and over apes New campaign in collaboration with UN Volunteers
for the International Year of Volunteers (co-branding) > In 2004, Benetton wants to draw attention to the risk of extinction within the next ten to fifteen years of great apes if nothing is done to protect them.

> These monkeys are all survivors. Their parents were murdered, often in their eyes by smugglers.

> The company has also taken the precaution here to take a moral, Jane Goodall, a messenger of peace to the United Nations and world renowned chimpanzee expert. 2004: James and other apes 2008 Microcredit Africa Works > In 2008, the brand continues its battles but with less provocation.
> Posters promote a microcredit project in Senegal Africa Works.
Benetton shows us a new face of Africa: Africa working, fighting poverty, wealth and values, ​​takes its destiny Perceptions and results Beyond the additional sales that automatically generate a massive visibility campaign, Benetton :

- Positioning the brand at the heart of trends (desire for a more balanced world) in rich countries...

- Promotes individual economic initiative as a development lever (which is not insignificant politically ...)

- Takes dates in emerging countries of Africa as a united and dynamic brand that lives alongside Africans before start trying to sell them products. Fondation Unhate Founded by the Benetton Group

Objective : the creation of a new culture against hate, building on Benetton’s values.

The foundation core principles :
the fight against hate and discrimination
the support of new generations
the dissemination of the social impact of Art Foundation Unhate Unhate Campaign Germany chancelor -
President of France Leader of North Korea – President of South Korea China’s leader – President of the USA Benetton’s rebirth ? The kissing nun ad (1991) > Dust the brand image with social network

> Shock for sale

> Raise awareness The Unhate campaign objectives Perceptions and results
> President of the Italian Association for Catholic Viewers Luca Borgomeo asked for the immediate withdrawal of the campaign.
> The vatican denounced it as an unacceptable provocation, and said it would take legal action to stop the distribution of the photo montageBenetton withdraw this ad under the pression

500 millions hits
top trending Twitter topics
3,000 news articles and 600 TV reports in over 60 countries Microcredits Africa Works The new Unhate campaign:
Unemployee of the Year > Represent the unemployed youth

> Offering 5,000 of seed money to 100 young, Unemployed would-be entrepreneurs The Pope and Egyptian Imam > Benetton promotes multiculturalism and peace between peoples.

> Ads show young people from different cultures and races.

> Ads focus on products 1984-1988 "All the colors of the world" Logo = point knitting Slogan = mean the widest range of colors sweater The image = the clothes worn by the models Focus on product 1985 1986 1987 "United colors of Benetton" > Globalization strategy: Ads is standardized and uniform

> Reach a maximum of individuals while minimizing Cost

> Creating concepts exportable worldwide= appearence of political antagonism

> Benetton convey a message of peace and reconciliation between people Perceptions and results Benetton create its own image, its own style and differentiate themselves from competitors.

sharp increase in the recognition rate (survey CB News & Ipsos)

In 1990,
> International dimension with an export product rate of 60% (against 2% in 1975).

> Present in 100 countries with 6,500 stores, 3,000 employees.

> On the stock market to Toronto, Milan, Frankfurt and London. 1989-1992 > Benetton's advertising take a new turn

> Concept wear down, Product became more usual, competition increase sharply.

> Problem of coordination with the winter and summer collection in the world

> Benetton advertising no longer show the product and become more militant. 1989 1990 1991 1992 Perceptions and results Ads have been criticized because of their connotations

Benetton is accused

- to compose idyllic images
- to claim that wool sweaters is enough for gathering people.
- to convey message with racist side

> Appearance of Boycott movement against the brand
> Turnover increase but slightly > Meeting of contrasts: image-message more conceptual
> Based on taboos, on the impossibility of co-existence
> The brand is more involved

Benetton wants:

- to foster the cohabitation of opposite, to break down barriers, and ensure dialogue.

- to unite differences under a single flag, its flag

- to convey a positive message 1992-2000 The language of Benetton communication changed Radically.

This phase = social policy.

Benetton and Toscani become "spokespersons".

Messages are negatives.

Benetton is not trying to "sell dream" but show the reality 1993 1994 Free speech and the right to express it Scandal of planetary proportions.

Photo of real, high-drama situations.. Toscani wants to show violence, crime, disease, war and natural disasters.

There is any connection with the product

Toscani transgress a golden rule in communication= associate the brand with a negative event.

Some campaigns were a lot controversial. Perceptions and results These campaigns have adverse effects on the company.

Critics accuse Benetton:
- To exploit human suffering for commercial development and profit
- To use Human Suffering and turn it into a fashion statement
- To enter in intimate moments

In 2000, the balance is very bad:
- Benetton exit the top 100 of brand realised by interbrand
- From 1996 to 2001, the net result of clothing part decrease by 15%
- The number of shop in the world has declined from 7000 to 5500
- The debt has increased by 100 million euros to 640 million euros

Resulted in the cancellation of significant commercial contracts (400 Sears stores across the USA)

The relationship between Toscani and Benetton end after this campaign We, on the death row (2000) Many associations and people stand against Benetton 2 6 Key date/ In 1982, Luciano Benetton met the famous photographer O. Toscani.

They will choose to uphold the image on the garment, the message on the product. Introduction To conclude... After several years during which its communication policy was more conformist, the Italian brand Benetton, on top of the fashion of 2011, come back to a provocative advertising. In fact his last campaign "Unhate" which is based on a photo montage showing the powerful of this world a kiss recalls the "scandalous" kiss of 1991. The aim of Luciano Benetton, which was associated with photographer Oliviero Toscani in 1994 to create the company Fabrica has always been to fight against all forms of discrimination. After several years with a communication policy more conformist, the Italian brand Benetton come back in 2011 to a provocative advertising to increase their sales who decreasing in recent years... But this campaign ,unhate, cause many scandalous and controversies

The balance is hard to find between the denunciation of through our society and respect the sensitivities of each. So we can doubt the effectiveness of this campaign to boost sales Benetton.

What are the limits of social communication for commercial development? American cemetery during the Gulf war Murder by the mafia Immigration Victim of AIDS Tattoo HIV 2012 Social communication must be determined
> not go against people's beliefs
> the pictures should not be difficult to see

The consequences can be important for the company
> negative impact on the brand reputation
> customers can turn away from the brand
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