Louis Weedon Changed The Palm &Nbsp For Yogurt; The Luxury Brand Took The People'S Route

Louis Weedon changed the door to sell yogurt.

Replacement of President LV

Recently, LVMH, the world's largest luxury goods group, announced that its brand LV chief executive is about to change.

Jia Shijie, the former president of Yves Carcelle, left office after 21 years in LV, and the new president Constance (Jordi Constans) came from the food giant Danone Group.

Constance will take over as Jia Shijie's executive director at the end of next 2013. Everyone is waiting to see how Constance, who sells yogurt, will take the helm of the global leader.

The old man retired.

The news of Jia Shijie's resignation made the outside world feel a bit sudden because of the frequent commercial promotion in the near future.

In fact, Jia Shijie is 63 years old, and Constance, the new president, is only 47 years old.

There are also rumors in the industry that Jia Shijie and LV chief designer Jacobs are different. Substitution is the ultimate solution.

Today, LV's image, strategy and even the soul of the whole brand can be said by Jia Shijie.

The image of LV was only a dusty heavy suitcase. Today, LV has become the most representative luxury brand in France.

Arnold, the chairman of luxvin group, and Jia Shijie, the luxury goods giant, praised Jia Shijie. Because of the contribution of Jia Shijie in the 1990, LV became the iconic brand of the whole road.

LVMH group's Golden Rooster LV set a turnover of 6 billion euros last year, according to HSBC Holdings, 60% of which contributed from the Asian market, while LVMH, which belongs to LV, had a total revenue of 20 billion 300 million euros last year.

Some analysts estimate that LV's gross profit margin is 50%, which is the growth engine of Lu Wei Ming Xuan.

According to an industry insider who works at Dior brand under Lu Wei Ming Xuan, many of LV's brands are acquired through acquisitions, so they are independent and have little or no connection with each other.

The role of the group is very weak, but it is to do some supplementary work for the brand. The brand president's power is very large, which determines the fate of the brand.

In China, the offices set up by the group are even smaller.

Over the years, Jia Shijie has been unique and different from his CEO rivals. He is directly involved in the creative team and takes part in new product launches.

Jia Shijie's photos with the stars in the first row of the fashion show often appear in various magazines.

Jia Shijie is still the one who led LV to enter China 20 years ago. In recent years, he even went to China's two or three line cities to join in the shop.

In a public appearance in Beijing this year, he revealed that he was letting his son learn Chinese.

Yogurt catcher

"Can I buy yogurt with LV logo later?"

When the news came out, there was a slightly sarcastic comment by consumers.

There will be a fairly long handover process for Jia Shijie. He will remain to assist in the end of 2012.

Someone commented: he wanted to help the new president adapt to how to sell $6000 a name bag instead of selling $1 a box of yogurt.

Hand in hand to Constance is a "cash cow".

Constance will start training with Jia Shijie next year. In the past, he would only sell $1 yogurt, and he had to learn how to make a $1000 package.

Constance is a Spaniard and is different from Jia Shijie's "fashion man". His career and fashion are hardly intersect.

In 1990, Constance joined Danone in various functions such as marketing and sales.

Constance has worked for Danone for 21 years and has sold a brand of yogurt such as Dannon, Actimel and Activia, but he can be regarded as a layman in the face of boutique, but in the fashion world, he has no name.

A manager with a working experience in the FMCG industry is in charge.

In January last year, Danone official website published an exclusive interview with Constance. He described the culture of the food industry as "humility" and "continuous self doubt". He encouraged employees to develop "openness, agility and flexibility".

During the financial crisis, Constance led the Danone dairy sector through the difficulties by cutting the selling price of its best selling products.

He also learned about consumers' preferences for Danone yogurt through market research, and collaborate with bloggers on the Internet to carry out word of mouth marketing.

Constance returned to his alma mater in April last year to give a lecture at Iese Business School. He talked freely about his emphasis on innovative business philosophy. He stressed that "avoiding production of useless things" also mentioned that the economic crisis is the "best time for innovation" and "a little more entrepreneurial spirit" will help overcome the global economic difficulties.

And "innovation comes from good communication" is essential to create an endless stream of corporate culture.

However, Constance's philosophy can be applied to LV's operation in the Chinese market, and investors are somewhat uneasy. After all, the yogurt marketing expert has no record of success in the emerging market.

Burke, chairman of New York Robert Burke Associates, said: "LV has successfully conquers the Asian market and has won the brand name in Asia."

For Constance, "how to maintain the outstanding achievements" will be a serious learning topic.

Looming people's line

The risk that this change brings to LV may be lower than the imagination of the outside world. LV management talents and their respective functions, chief designer knows fashion, chief operating officer understands industry, President can put more energy on strategy execution, a president who can not understand fashion can make up for this defect with the help of people around him, and exert his advantage in management.

Foreign media commentaries believe that Constance's experience in the mass market will help LV win more consumer groups.

LV may earn more profits among a lower income group of customers.

According to the industry view, in the face of the global economic downturn, Lu Wei - Hin hopes to help LV win a wider group of customers with a leader who has experience in the mass market.

Analysts pointed out that replacing Jia Shijie, who has been in charge of LV for 21 years, was a challenge.

Jia Shijie has pformed LV from a luggage manufacturer to the world's leading fashion label. LV bags are no longer exclusive products of the middle class.

Though it comes from the dairy industry

Constance's outlet also reflects the new trend of luxury goods industry from the consumer goods industry, the large consumer goods such as Danone, Unilever and P&G. The successful expansion of the territory 20 years ago to the emerging market has become the object of the luxury industry.