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| Over the years, Groupe SEB has built up an extensive sales network comprised of around 60 subsidiaries that provide direct access to most of the world’s major markets. This broad-based presence has given us industry-leading expertise of the world’s distribution channels and formats—from small local sales outlets to hypermarkets, as well as mail-order operations and franchise retailing. |
Entering new markets and adapting to local conditions
Expanding in the global marketplace has enabled Groupe SEB to develop in-depth knowledge of all major distribution networks. We have leveraged this acquired experience to:
- Establish an extensive local presence.
- Develop a network adapted to specific market needs.
- Diversify risk.
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At a time when consolidation in the retail sector is accelerating and the global leaders are playing an increasingly dominant role, our ten biggest customers account for roughly 35% of sales. Other retail channels—especially alternative distribution channels—are also being developed to optimise our sales presence around the world. Strategy is tailored to business conditions in local markets, which may include convenience stores, open markets, dedicated corners in department stores, mobile shops, tele-shopping, e-commerce, etc.
(Photo Tefal-shop in Turkey) |
With the acquisition of Lagostina, the Group gained an entry into the proprietary store segment where it intends to develop through different concepts. Capitalising on the success of Casa Lagostina, this approach has been extended considerably with three types of stores:
- Home & Cook factory outlets (inventory destocking).
- Home & Cook High Street (city-centre stores in emerging countries where retailing is still relatively unstructured).
- Villa Gourmet (upscale neighbourhood stores in mature markets that showcase products, services and expert advice).
The Group currently has a network of 250 proprietary outlets.
These “alternative” distribution channels, which also include shopless sales like tele-shopping, mail order and e-commerce, are a recent development for the Group. They currently generate around 10% of revenue and as a supplement to traditional networks offer growth prospects.
(Photo: Casa Lagostina) |
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A tailored approach
The wide variety of retail formats available today represent a major opportunity for Groupe SEB, which, as a multi-brand operator, can build its presence in a manner that is both relevant and differentiated.
Our multi-brand strategy is supported by a special approach to retailing that focuses on aligning the brand, the product and the distribution channel.
By taking into account the identity and values of each of our brands, we’re able to base our positioning on consumers expectations and motivations, in order to optimise our approach. |
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Krups, Lagostina and All-Clad—the premium brands—are very clearly positioned and sold through highly selective and very demanding channels that are growing fast. These brands are backed by exclusive product ranges and dedicated sales teams.
Moulinex, our leading entry-level brand, covers a broad array of products that are sold directly through mass retailers. |
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Tefal and Rowenta also take a broad-based approach but are more flexible, tailoring their line-ups to the chain’s assortment or price points. For example, Tefal’s Jamie Oliver range will be sold mainly through specialty channels or department stores. |
| We are continuing to deploy this tailored approach, which is more developed in some countries than in others because of its dependence on the local market’s configuration. Today’s more demanding retail environment requires highly personalised customer service supported by impeccable quality and reliability. It’s up to us to adapt and develop the sales and marketing resources that will drive our success in all of these promising retail channels. |
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