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~chanel

Marketing strategy of CHANEL

Kholiskhon Yandasheva

STUDENT OF MMT80I


Chanel is a luxury fashion brand that was founded by Coco Chanel in 1910.
The company was based in France, the board has decided to shift their global headquarters to London. Chanel deals with luxury clothes, jewelry, perfumes and other fashion goods. This luxury brand mostly focuses on women’s outfits and accessories.

FOUNDERS


Gabrielle Chanel (Coco Chanel)
Gabrielle Chanel was the founder of the luxury brand ‘Chanel’. ‘Coco’ was a nickname given to her during her time as a songstress.
Pierre Wertheimer
In 1924, Pierre Wertheimer joined hands with Coco Chanel as a business partner for 70% shares in the company. The agreement was that Wertheimer should finance the production and distribution of Chanel’s perfumes. 
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Chanel - Name and Logo


The name of the elegant brand ‘Chanel’ is derived from the founder’s name Coco Chanel. The logo of the company consists of two ‘C’s interlocking each other. This logo was designed by Coco Chanel herself in 1925. There are a couple of reasons being circulated for those two Cs. One reason unfolds is that the Cs stand for the name of its creator Coco Chanel. Another claims that one C represents Coco Chanel and the other stands for Capel (Arthur “Boy” Capel).
Chanel - Challenges Faced

Chanel - Growth


Starting an outlet in an apartment with the help of a friend in 1910, Coco Chanel opened an independent store in 1913. The hat business was extended to sportswear. The number of stores increased along with their product varieties. In 1920, Chanel started the stylish haute couture style of dressmaking. The year 1924 saw the introduction of Chanel’s costume jewelry and signature cardigan jackets followed by the popular Little Black Dress in 1926.
After a setback during WW2, Chanel came back strong with the introduction of gemstone jewelry and iconic handbags in 1954 and 1955 respectively. After Coco Chanel died in 1971, the company lacked a potential creator and designer. But in 1983, with the addition of Karl Lagerfeld, the Godfather of Fashion, Chanel’s innovation and growth were on an uphill phase. By 1990, Chanel became a popular global luxury fashion brand and still continues to be.
We introduce a new fragrance every 10 years, not every three minutes like many competitors. We don’t confuse the consumer. With Chanel, people know what to expect. And they keep coming back to us, at all ages, as they enter and leave the market.

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