News • 20.08.2021

CLAIM 5: New growth strategy

HUGO BOSS presents plan to increase sales

HUGO BOSS store New York from the outside
Source: HUGO BOSS

HUGO BOSS has introduced its new 2025 growth strategy ‘CLAIM 5’ and provides its mid-term financial ambition. Over the next five years, the Company is fully committed to strongly accelerate top-line growth, claim its position in the consumers’ minds, and win market share for its strong brands BOSS and HUGO.

To deliver on its vision and ambition of becoming the premium tech-driven fashion platform worldwide, and one of the top-100 global brands, HUGO BOSS introduces its ‘CLAIM 5’ strategy, which puts the consumer at the core of its business activities more than ever before. ‘CLAIM 5’ is based on five strong pillars: Boost Brands, Product is King, Lead in Digital, Rebalance Omnichannel, and Organize for Growth. It also includes a bold commitment to sustainability, together with a strong executional road map and a clear plan on empowering people and teams.  

CLAIM 1 – Boost Brands

To strongly elevate brand relevance, the Company is refreshing BOSS and HUGO – from logos over marketing, to brand new designs in retail and digital. As such, customers will experience both brands in a completely new look and feel. To become the leading power brands, it is the ambition to achieve around EUR 2.6 billion in BOSS Menswear sales and to double BOSS Womenswear sales to around EUR 400 million by 2025. This will be realized by enhancing the overall perception of BOSS as a lifestyle brand, increasing brand relevance, and strongly focusing on digital. 

Two clearly distinguished marketing strategies – with a strong focus on digital as well as exceptional collaborations – are set to create excitement among consumers and unleash the full potential of BOSS and HUGO. Overall, incremental marketing spend will be more than EUR 100 million between now and 2025. 

CLAIM 2 – Product is King

With product at the center of its new strategy, HUGO BOSS will create products to be worn 24/7 across all different wearing occasions. While casualization and comfort are key, HUGO BOSS will strongly invest in its price-value proposition to ensure premium quality as well as high levels of innovation and sustainability. In doing so, the BOSS brand will foster its unique positioning in the premium/affordable luxury segment. To become the first touchpoint for younger consumers, the HUGO strategy builds on a broad range of commercial and contemporary pieces reflecting the authentic and unconventional HUGO style. 

CLAIM 3 – Lead in Digital

Digital is key in ensuring a personalized omnichannel consumer journey. The 2025 strategy therefore includes a strong commitment to further digitalizing the Company’s business activities along the entire value chain, from trend detection and digital product development to AI-enabled pricing capabilities and the global rollout of digital showrooms. This also includes establishing a digital campus to further expand the Company’s digital capabilities and to improve the consumers’ experience by leveraging data. The HUGO BOSS Digital Campus, based in Metzingen, Germany and Porto, Portugal, will strengthen the Company’s online activities as well as analytical, technical, and executional capabilities. It extends HUGO BOSS’ digital know-how with immediate effect by combining the Company’s own expertise with that of experts on data execution. Overall, HUGO BOSS will step up its investments into digital by more than EUR 150 million by 2025. 

CLAIM 4 – Rebalance Omnichannel

To translate brand power into all consumer touchpoints, HUGO BOSS will rebalance its distribution footprint and strongly accelerate its omnichannel activities in the years to come. In this context, the Company aims at ensuring a seamless brand experience across all consumer touchpoints. The Company’s digital ambition includes a strong commitment to all digital touchpoints – from its own website hugoboss.com to its online partner businesses, including digital pure players, leading marketplaces as well as bricks and clicks. 

HUGO BOSS will also unleash the full potential of retail. In this context, around 80% of own stores are set to be refurbished during the next three years already, with overall investments into brick-and-mortar retail targeted to total around EUR 500 million for the period until 2025. 

CLAIM 5 – Organize for Growth

HUGO BOSS will drive growth across all geographies while further balancing its global footprint. In Asia/Pacific, revenues are set to grow at a low-teens compound annual growth rate (CAGR 2019-2025). Mainland China will continue to be of particular importance, with the Company putting a strong focus on the Chinese consumer also in the years to come. HUGO BOSS is equally committed to fostering its leading position in premium apparel in Europe. Key markets such as Germany, the UK, and France are all set to strongly contribute to growth by unleashing their full potential in retail. In the Americas, revenues are projected to grow at a mid-single-digit CAGR between 2019 and 2025, as the Company will strongly push the 24/7 brand image by fully leveraging the casualization trend in the important U.S. market. 

‘Organize for Growth’ also means leveraging the Company’s existing operations infrastructure as the future platform for speed and growth. HUGO BOSS will therefore foster modular and digital product creation, continue to shorten lead times, increase flexibility in production and logistics, as well as push digitalization to further increase the overall efficiency and flexibility of its supply chain. 

At the same time, HUGO BOSS will intensify its sustainability efforts to deliver both meaningful and measurable impact as well as emotional engagement with the consumer. The Company’s ambitious sustainability targets include the aim for climate neutrality within its own area of responsibility by 

2030 and throughout the entire value chain by 2045. In addition, HUGO BOSS will put particular emphasis on establishing an end-to-end circular business model. In this context, the Company aims to enable eight out of ten products to become circular by 2030. 

Source: HUGO BOSS

related articles:

popular articles:

Thumbnail-Photo: One-third of consumers will increasingly use buy online, pickup-in store...
13.04.2021   #coronavirus #services

One-third of consumers will increasingly use buy online, pickup-in store services

Consumer surveys on order pick-up preferences and BOPIS

The global pandemic has drastically changed consumer behaviors – most notably, the way in which we shop. In fact, U.S. ecommerce sales increased more last year than they have in the past two decades – and Buy Online, Pickup In-Store ...

Thumbnail-Photo: More than just a technical gimmick: augmented reality in retail...
05.05.2021   #e-commerce #brick and mortar retail

More than just a technical gimmick: augmented reality in retail

How to bring your retail space to your customer's home

When the shop doors have to remain closed due to pandemic regulations and customers switch to online offerings, the digital shopping experience from smart devices should be made as eventful as possible. This is where the use of artificial ...

Thumbnail-Photo: Digital signage creates more time for customers at 3...
20.06.2021   #customer satisfaction #digital signage

Digital signage creates more time for customers at 3

Telecommunication company 3 relies on electronic price tags

The staff members in the telecommunications company 3's stores do not have to worry about updating product information or prices, as all the stores have installed electronic price tags from the IT company Delfi Technologies. The stores can ...

Thumbnail-Photo: Attracting passers-by, not influencers
27.05.2021   #digital signage #POS marketing

Attracting passers-by, not influencers

How to attract customers with content marketing and digital signage at the point of sale

You think modern content marketing on digital screens at the point of sale (POS) is reserved for big brands and not for small retailers? Not at all, says Nils Drosin, Co-Founder and CEO of 4Dmagic. He is convinced that if retailers use their ...

Thumbnail-Photo: Shopping experience with interactive digital signage applications...
25.05.2021   #digital signage #brick and mortar retail

Shopping experience with interactive digital signage applications

Using lift & learn features and smart mirrors to activate customers

The advantage in traditional stores: customers can examine the items and pick them up. The advantage in e-commerce: There is a wide range of products and information. With the use of digital signage solutions, these two advantages can be ...

Thumbnail-Photo: New type of pedestrian drive
14.06.2021   #e-commerce #customer satisfaction

New type of pedestrian drive

Carrefour partners with La Poste to launch the Pickup drive

Carrefour has teamed up with La Poste via its subsidiary Pickup to create a new nationwide partnership to launch a new Pedestrian drive business model. Henceforth, customers will be able to visit “Pickup drives” to access several local ...

Thumbnail-Photo: Transformation of supply chain network
23.07.2021   #logistics (software) #supply chain management

Transformation of supply chain network

Kroger and KNAPP expand the Great Lakes Distribution Center

The Kroger Co. and KNAPP, provider of intelligent automation and specialized software solutions, announced their agreement to deploy, expand, and enhance the capabilities and capacity of the retailer's existing Great Lakes Distribution Center in ...

Thumbnail-Photo: Exploring fashion in a different way
17.06.2021   #sustainability #fashion

Exploring fashion in a different way

Museum Pass holders can visit the Fashion for Good Museum in Amsterdam for free

Museum Pass holders can visit the Fashion for Good Museum for free – good news now that all museums can physically open their doors again! After the registration with the Museum Register at the end of last year, the registration with the ...

Thumbnail-Photo: Gen Z shopping journeys start on Social Media...
28.05.2021   #online trading #e-commerce

Gen Z shopping journeys start on Social Media

Findings reveal generational shopping preferences: purchases are mostly made on third-party websites

Leading digital experience platform provider Optimizely (formerly Episerver) today announced new survey data revealing the nuanced preferences of Gen Z and Millennial consumers as we begin to emerge from the pandemic. The survey, which polled 1,000 ...

Thumbnail-Photo: It takes two: closing the sustainability-attitude behavior gap in fashion...
18.05.2021   #online trading #sustainability

It takes two: closing the sustainability-attitude behavior gap in fashion

Zalando wants customers to keep sustainabilty in mind

Recently, Zalando published a report sharing consumer insights and recommendations on how to close the sustainability attitude-behavior gap in fashion. Therefore, Zalando launched a value-based browsing experience and further invested in Pre-owned ...

Supplier

Delfi Technologies GmbH
Delfi Technologies GmbH
Landgraben 75
24232 Schönkirchen
Navori Labs
Navori Labs
Rue du lion d'or 4
1003 Lausanne