Style, product range, price positioning the secrets to Ganni’s success
What lies at the heart of Ganni's success? This was the question that Retviews, the data analysis solution devised by digital consulting firm Lectra, has strived to provide an answer to. Over the years, the Danish women's ready-to-wear label, created in 2000 by gallery owner Frans Truelsen and later sold to Ditte and Nicolaj Reffstrup, has managed to emerge among other premium fashion brands thanks to its cool Scandinavian style and the support of a key player like L Catterton, the private equity firm co-founded by LVMH. The analysis by Retviews sheds light on Ganni’s winning strategy.
A unique, versatile product range
According to Retviews, Ganni stands out primarily for the composition of its collections, notably for its extensive selection of dresses. The latter account for 19% of Ganni’s range, compared with 7% for Acne Studios, 14% for The Kooples and 15% for Isabel Marant.
An approach that is consistent with the label’s style, mirroring the casual-chic attitude of young Scandinavian women, and is also evident in the wide choice of colourful, directional patterns, which are featured in 43% of Ganni’s range.
The label also places a strong focus on its footwear products, which account for 20% of its accessories line. However, the Danish label features only 8% of sneakers among its footwear, compared with a 25% to 45% share among its direct competitors. Ganni is more focused on boots and moccasins, a product category that, according to Retviews by Lectra, has been highly successful with consumers in recent seasons.
Ganni has also opted to feature 91% of its boots in rubber, a material that has become prominent in the last few years at various luxury labels, among them Italian label Bottega Veneta. Ganni’s boots are priced below those of its competitors.
Attractive price positioning
While other premium labels have increased their prices in recent years, according to Retviews, Ganni has stood by its original positioning, selling contemporary items at prices that are more affordable than those of its direct competitors.
Although entry-level prices remain relatively similar among competitors, Ganni differentiates itself with its prices in the mid to high-end segments, with products priced between €145 and €1,295, compared for example to prices from €390 to €3,800 for Isabel Marant.
Also, according to Retviews, Ganni remains competitive thanks to a collection consisting of 1,678 items, as opposed for example to 2,836 items for Acne Studios, as well as to its commitment to sustainable fashion.
Ganni, whose revenue grew by 1.3% in 2020, to approximately €100 million, has expanded its sustainable range, notably by creating a collection called ‘Re-Cut’, made using upcycled fabrics, and by launching a clothes rental service to limit over-consumption.
To go even further, Ganni has also heralded its plan to replace leather with more environmentally friendly, plant-based alternatives within two years.
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