Benetton reviews resultsTuesday, 26 February 2008
The Board also resolved to request the Management Board of the Frankfurt Stock Exchange to terminate the listing of the company's ordinary shares on the German stock market.
In 2007, United Colors of Benetton Adult grew by 9.0% as a result of expanding the collections offered to specific market segments. Collections for men, in particular, generated a positive response from consumers, achieving it's target of 20 per cent of total brand sales. This was attributable also to the first dedicated stores and specific corners, both designed to highlight the quality and completeness of the Benetton offer for men.
In terms of the plan to diversify the offer by age band, United Colors of Benetton Children (+15% in the year) focused on prenatal and baby wear for children up to five years old. The new Benetton Baby sign was introduced, which identifies a series of stores dedicated to babies and new mothers. In 2008, the opening of 50 new stores is planned, in a setting carefully designed for this type of purchase and to enhance the products offered.
Benetton further opened its first accessories only standalone boutique in Rome. The strategy for opening new accessory stores, UCB and Sisley, includes a widening of the offer in 2008, in particular with the inclusion of high-end products.
With an increase in sales of around 6% in 2007, Sisley confirmed the growth expectations associated with the new “glamour” identity of the brand, supported by an incisive program of new store openings in Italy and abroad: around 50 new locations in the year.
Sisley's glamour image is characterized by a new style of communication which, through the lens of Scandinavian photographer Camilla Akrans, emphasizes and strengthens the sophisticated and international spirit of the brand.
Alongside the continuous identification of growth opportunities in established markets, five priority growth areas were identified: India, Turkey, Eastern European countries, Mexico and China.
The increase in revenues in Europe exceeded 12% compared with 2006, with particularly significant results in Italy (+11%), Spain (+11%), Greece (+24%), Portugal (+11%) and France (+15%).
Image: Benetton campaign