Hi I’m here with Remo Ruffini, chairman of Moncler Company. I believe that Moncler is a very interesting case. It's a French brand that was acquired by a visionary Italian entrepreneur. And it is a company that went to one of the most successful IPO in the fashion industry. It is definitely positioned in the luxury segment, however it could also be defined as a premium brand because of the very high level of specialization as a manufacturer of down jackets and sportswear. It is a brand that was able to stay true to it's identity and roots. But the meantime is a very dynamic business model. More and more international and integrated into retail activities. So, Mr. Ruffini, what is the recipe of Moncler's success? What makes the brand to be so special? >> Now, I think the most important thing was the origin of this company. I bought this company in 2003, and the country was founded in Grenoble in 1952. This is, I think, was something very strong to have on hand, you know, because there, it is a DNA, the story because the company starting in 1952, really an expedition business. the, the jacket was in every big mountain as Himalaya, Karakorum, Alaska, and for me it was very important when I started to, to work on this brand to understand what's going on with the the brand in this period. Then the company was very interested because we moved from, you know, from huge down jacket, because in that time to go to Himalaya you need only big down jacket. They move on the technology, because in 1968 they sponsored the French national ski team on the Olympics in Grenoble. This was a turning point for the company because they really went from a jacket into the technology. That was the strongest period for the company. And after, as you know, in the 80s was the same as the 70s. It was very popular in the city, you know, for a younger bunch of generation. I mean in Milan, in Paris, in Tokyo, in around the world, whatever. They every in part of the world. And for me, when I start work with, you know, it was important to understand all the story, all the period of this company. Then we start to redesign the company. We really think about the heritage, the mountain, the, the expedition. Then we went into technology. We start our Grenoble Collection that is a real, real technical and sport collection, used for skiing. And then I understand this, I soon understand, the jacket needs to go into the city. You know what I mean? So and this is, you know, the period is totally different than 40, 50 years ago. The people traveling, you need the special product, very light with the technology innovation and I start from this attitude and really I do love all the business. >> So, it's very contemporary brand because of the kind of idea of customers you have in mind. So people traveling, people living in the city, but yet it is very connected to the roots. >> Sure, all is connected, well first of all I think, you know I never have in mind a customer, or the client, I always say the jacket was the first down jacket in the world. And we have to make jacket for everybody, starting from the kids, 15 years old that go skiing, that go snowboarding going to the ladies who love to wear the jacket in the, in the good dinner in the night and the men they use every day on top of the suits, the businessmen. That's our strategy's quite different than the other company because we're really keen, you know, we really care about all our customer. We really care about the energy in our store, the energy. You know, when we see people, you know, 15 years old or 70 years old as well, they use our jacket. But also when we talk about our campaign, our advertising, we don't, we don't have to talk with the one, one segment of customers. We really talk, we try to talk with everybody, that's why we are, we try to be in some way unique. Yes, indeed, you are, because it's also difficult to define if Moncler is more competing into the luxury, fashion segment, active segment, because you're a little bit a combination of all of them. >> We are very concentrated on jacket, first of all, and we, we, we talk a on the different market, as you say, you know, technology for us is very important because for sure, you have to go skiing with our jacket. But at the same times, you know, as I say, you know, you have to travel, you have to go. One day in Hong Kong is like 35 degrees. And then you fly back to Europe is below three. The means you need something very easy you can put in the luggage. You can dress on top of your suits on the meeting, important meeting in London. Means you have to think about every customer and how they use the jacket. >> You, you refer to the energy you must have in the store. How important is retail for Moncler? >> As I say, I bought the company 2003. At the beginning I really worked to redesign the organization, the production, the supply chain, it was very important. And after that I say, you know, Moncler was a jacket for a customer. I, I need some, something, you know, to show my concept and my strategy to my customer. And in 2008, I opened my first store starting from the best luxury resorts. Ski luxury resorts. I started with Coretina and you know some Moritz and then you know ever, every good location so we have the stores. So. And the first one in the city was Paris. That was a turning point for the company because we didn't have the possibility to show to our customer that we are not only jacket. The people remember the jacket came from the 70s. You know super colorful, super bright, you know with the logo on the shoulder. And we showed to our customer it was a jacket company but we have a complete concept with different product. And starting from, as I say from. A super light jacket you can use all year round. Going to the ski jacket you can use as well today on the slope on the ski slope. My, in New York, for example, when it's raining or snowing I think is, with our taste, I think with our style, we can use world wide. That is in some ways quite, quite important. And after that, you know, retail is very important. You know now our company's facing a new adventure because basically it’s 60% retail and another 40% wholesale that I really care a lot about to sell as well because also give you a lot of energy because you compete with the best brands in the world, you talk with the best clients, you feel the good wholesaler for sure. I think this was but you know, I really feel retail is something coming from really the, the heart of the company because you really build up you, what you want. Your, your energy. And then it's easy to talk with the customer. >> So do you think that a company should have a mix of channels between retail, wholesale and as well e-commerce? Me, I trust a lot on that. You know many luxury companies say wholesales aren’t important anymore but. As I say, you know, if you remain with the best if the best wholesaler, the best multibrand store. I think it is very difficult in some way, because when you have, for example, in a city like London, New York, you have a different store you know, your direct stores, then it's very different to good specialty store, but if you have the chance. Or if you have the idea of remaining, I think is a incredible good opportunity. And for our industries e-commerce is not strong as we as everybody think. But I think for the near future I think for the younger generation the next five six year they start to buy a lot in e-commerce. That's why we invested a lot money also in our e-commerce platform and our digital organization inside the company. Because we think in the near future would be very strong channel. >> My the last question that probably everybody asked. What about summers? Because as as we said everyone carries world famous for down jackets. But then, especially in the retail environment, you have to sell all over, all over the map. Even when it is 40 degrees outside. >> That's right. I mean when I start, you know? The first retail my store, my first store. I was in the mountain. Then, when I start, the first one was in Paris. I soon realized that I have to work 12, 12 months a year. That's around 2009, 2008, 2009. I, with our R&D department we started this jacket that is super light. Is, the first one was little bit more than 150 grams. And this was a key, it was a turning point for a summer collection. You know, you can really sell easy this jacket also in summer you can use in the you know the Riviera, in Saint-Tropez and Portofino in the night. like a sweaters, like a cashmere sweater. And I think this collection is very successful. They give us a possibly to wear the good, for sure, not as big as the, as the winter campaign, but, you know, since spring/summer, we have. February, March and April very strong, in the case of this super light jacket. And then, you know, we're not, you know, our company is very clean, is very, you know, we're not care to, to work at. For me the most important thing, is not to betray my roots. You know, I think I want to be Moncler's in July and August, whatever. And then our season is, winter season is very long starting in the middle of June. We don't make any sales. I mean so it's really a good job since the beginning then we go up to with the winter until middle of February then we start our, you know, let's say we say long season jacket I mean i’ts a big project i’ts not the only jacket. The middle of February. They go until April, May, and then this season is end. >> So, you said something very inspiring to me, that you don't want to betray your brand. But for these, I just have the last one very last question. How does the stock exchange have an impact, the fact that you now you are listed is somehow. Pushing you to go or in a specific direction, or do you still have the possibility to control the company? >> No, basically they didn't push me in some way, but, since the beginning I was very clear with them, I mean, I don't want to betray, as I say, the roots of the company, I think they’re really the value of this brand. I want to make my own strategy. I want to continue like this. Because, you know our summer campaign is 20, 25% of our turnover. They always say you have big possibility to, but I don't want. You know? I don't want to put, have any white shirts in my store. With my logo, I can sell thousand pieces every day. But I mean it's not our business. I think that the most important things for us is control of the the brand, control of category, control of product category and staying very true with my roots. With the idea, with what my customers have in mind of moncler A successful brand is what you want but above all is what you don't want. Thank you very much. >> Thank you very much. >> It was very inspiring. >> Thank you. Thank you.
