PPR Buys Brioni

[Gus]

I'm not aware that PPR messed up Bottega Veneta. If so, how did they? That brand seems to be doing well under their watch.

 

[Blackhood]

Brioni will change. Its a fact.

If it were doing well --> No sale.

Sale = Not doing well, but someone could change some stuff and make it do well.

Thus sale = change

 

[in stitches]



http://dealbook.nytimes.com/2011/11/08/ppr-acquires-italian-suit-maker-brioni/
bolded portion does not bode well.

bolded seems to read;

we will teach them how to cut costs and make lesser quality items while increasing profit. we will do this by taking advantage of its well established brand recognition and the fact that most people have no idea that this change is happening and wont notice the difference in quality either because they only see the brioni label.

i hope thats not what they mean.

 

[cchen]

I don't know why there's all the hate - seems to stem from a lack of understanding. All of the companies under PPR's luxury group are doing well but also running independently..... I can't really point to any major changes that have hurt the brands in their portfolio. They seem to do a good job of keeping the essence of the brands their acquire

 

[JohnGalt]



bolded seems to read;
we will teach them how to cut costs and make lesser quality items while increasing profit. we will do this by taking advantage of its well established brand recognition and the fact that most people have no idea that this change is happening and wont notice the difference in quality either because they only see the brioni label.
i hope thats not what they mean.

bingo

 

[Viral]

as if any of you are regulars at Brioni..............get over it.

 

[in stitches]



as if any of you are regulars at Brioni..............get over it.

first off, never assume. i know of at least two posters in this thread who have plently of brioni merchandise.

secodly, regardless of that point i have handled and appreciated many of their goods and its something i can appreciate even if i cant afford. no different than a fine car or watch. as such it would be a shame to see any type of drop in the quality of their goods.

 

[Viral]



first off, never assume. i know of at least two posters in this thread who have plently of brioni merchandise.
secodly, regardless of that point i have handled and appreciated many of their goods and its something i can appreciate even if i cant afford. no different than a fine car or watch. as such it would be a shame to see any type of drop in the quality of their goods.

no assumptions made...........please tell me which Brioni showrooms SF posters are regular clients at - it would help me understand all this nonsense. Are they gonna break ties with their SA? OMG, where will they spend their 5K whenever they want a suit?

I have a LOT of expensive stuff, but if I told you how it was acquired or how much I paid you wouldn't even believe me. Does it matter who the parent company is? I'm gonna buy something I really want at 90% off regardless of who owns the company or what their business model is......because I want it in the first place.

Do you think Brioni cares about the posters on SF who happen to have "plenty" of Brioni merchandise???? If so, why weren't they consulted prior to the acquisition???????????

 

[in stitches]

oh boy. it has nothing to do with where you buy the merchandise. one of the members i was alluding to im pretty sure buys from the brioni stores and the other im sure does not. either way, as i said, any consumer who has interaction with their merchandise, regarless of where they buy it, has good reason to worry and be concerned about the future of the brand.

it should matter to you who the parent comany is because as you said, you buy their goods because you want them. wouldnt you be let down if the characteristics of these garments that made you want them so bad disappeared all of a sudden?

brioni is a business, they care about money. thats why they made their decision. i dont know the financials but its likely id do the same in their position. but that is entirely a different issue. the point is, there is fair reason to be concerned with what will happen to the future of the brand. hopefully only good things, but we wont know untill it plays out.

 

[Viral]



oh boy. it has nothing to do with where you buy the merchandise. one of the members i was alluding to im pretty sure buys from the brioni stores and the other im sure does not. either way, as i said, any consumer who has interaction with their merchandise, regarless of where they buy it, has good reason to worry and be concerned about the future of the brand.
it should matter to you who the parent comany is because as you said, you buy their goods because you want them. wouldnt you be let down if the characteristics of these garments that made you want them so bad disappeared all of a sudden?
brioni is a business, they care about money. thats why they made their decision. i dont know the financials but its likely id do the same in their position. but that is entirely a different issue. the point is, there is fair reason to be concerned with what will happen to the future of the brand. hopefully only good things, but we wont know untill it plays out.

the point is this:

First confirm that there is/has been/will be a paradigm shift in quality directly linked to PPR and THEN make comments/assumptions about FACTS.

all these comments are pure speculation with the utterly ridiculous implication that a mass exodus of Brioni clients will occur.......where, as I mentioned, I doubt they are regulars.

 

[in stitches]



the point is this:
First confirm that there is/has been/will be a paradigm shift in quality directly linked to PPR and THEN make comments/assumptions about FACTS.
all these comments are pure speculation with the utterly ridiculous implication that a mass exodus of Brioni clients will occur.......where, as I mentioned, I doubt they are regulars.

im pretty much out of gas here, but i will just say that there is no proof because nothing happened yet. the accuisition just took place. all people here are doing is expressing a concern for the future. was some of it OTT? sure, thats part of the fun.

no one is implying a mass exodus of brioni clients. even if their quality takes a slight turn for the worse i doubt it will be drastic, so most of their clients wont notice many of the differences or care about them anyways. thats all, just some concern for the future.

 

[MikeDT]



I don't know why there's all the hate - seems to stem from a lack of understanding. All of the companies under PPR's luxury group are doing well but also running independently..... I can't really point to any major changes that have hurt the brands in their portfolio. They seem to do a good job of keeping the essence of the brands their acquire

The might keep the essence, but I wonder if they'll keep the quality? I'm sure many of Gucci's and YSL's products come from China these days. Presumably done by PPR to maximise profits from these famous lux brands.

 

[mainy]

How do you triple output in a year of a product with a ton of handwork, without drastically reducing quality? Yeah... doesn't sound good.

 

[shakattk]

This is sad news for a great brand with a family history. It is a sign of the times, much like the resignation of Berlusconi.

But it could be good for business. Brioni was saddled with debt and could have had problems with production and quality. They made my MTM suit pants much too wide this summer.

I think this could be an improvement for the brand. It would be a mistake for PPR to ignore the fact that quality is the most important aspect of Brioni. Based on PPR's past success, I doubt they will make that mistake.

I am suspicious of the forecast to triple production. Demand just isn't there.

 

[in stitches]



I am suspicious of the forecast to triple production. Demand just isn't there.

demand isnt there at their present price point. lower the price point and watch demand go through the roof. that is what i am most concerned about.

there is only one way to lower the price point and still be profitable. you do the math.