The American retailer intends to implement ambitious plans to increase profits and expand its global presence by 2025.
Company Guess Inc. unveiled its plan for the next five years during Investor Day at InterContinental Times Square in New York. The roadmap for five years includes a number of strategic steps that relate to increasing the value of the brand itself, deepening relationships with customers, expanding the brand's presence in different countries and improving the functionality of products.
The company plans to increase sales by $250 million and operating income by $150 million by 2025. According to Carlos Alberini, chief executive officer of Guess, the company has developed a "plan based on current development trends in the regions, with a clear path to achieve double-digit operating margins, mainly through improved operating efficiency."
The company intends to optimize the brand architecture, in accordance with the distribution of consumers into three groups - the older generation, millennials and generation Z. To influence young buyers, the brand will expand cooperation with celebrities and social media stars. This will be one of the most important steps towards strengthening the importance of the brand in the global market.
The brand announced that all changes will be at the center of the interests of the buyers, changes in processes and chosen platforms should lead to a comprehensive experience for buyers without any problems. The company will expand its distribution routes, improve logistics and overall infrastructure, optimize the channels for obtaining raw materials, as well as the inventory storage system, and pay attention to improving the efficiency of development and production processes.
It also announced the expansion of the range of products, including taking into account the needs of customers in different regions. This and other steps should ultimately lead to an increase in the brand's presence on a global scale.