case study bottega veneta-Nour Saadeh

Case study : Bottega Veneta ”Stealth” Luxury
Nour Saadeh
16/1/2019
1.Bottega Veneta made a mark by itself because:
Bottega Veneta’s name defines its origin :bottega as a link between artisants
and origins and Veneta as tradition of waving leather
Bottega was managed by 2 persons Renzo for creativity, where they used to
create different designs by using different techniques (dyeing barrels and
sewing techniques)and high quality leather products were used in the
making not to forget crafts ,precision and Tadei for commercial parts where
they used to display their products in hotels and took the exclusivity to be
the first to have their purses in stores.
Interaccio is one of the brand’s signatures because it is about a leather
weaving know how, it is the brand’s signature and something Italians are
known for.
Bottega veneta focused on its traditions by consistency, heritage ,quality,
design, DNA, creativity, production ,authenticity, unique
history,production.They have a history behind their products and precision
in the way they make their products with high quality leather
Bottega veneta comes from an Italian country, from their origins they
created a luxury brand, from their talents and precision and Italians are
known to be owners of high luxury brands and high quality leather, they
have access for raw materials and have great craftsmanship and that’s what
bottega veneta did, it focused on its origins of having good leather, good
craftsmanship, artisanal techniques, and creativity and kept on developing
these points.
It is true that Bottega veneta did not have a logo, (no-logo strategy) but the
fact that the brand is luxurious and Italian makes it known for its high

quality leather, so consumers will spot the style due to their interaccio
technique
Bottega focused on heritage and history of the brand and italy as it did not
change the way it manufactures its products and quality ,it was their main
concern. They cared for their traditional family heritage, they really focused
on their DNA, the basics and the core of their brand, history and everything
they inhabit from their family.they displayed Italy’s history and talents in
crafts and creativity in their products, high precision in manufacturing,
sewing techniques .They displayed what should be expected from the Italian
market
Bottega differentiated itself as its customers are all quality oriented ,
sophisticated,conaisseurs
It is an unsoiled luxury brand, not over exposed in excessive licenses, it is a
brand that is exclusive and the fact that it has no logo and hard to have
makes it an even more remarkable brand between the Italian brands.
Bottega veneta’s motto is “when your own initials are enough which means
that the brand is defined by its name, when we read the name we will know
the origin comes from high quality leather done by artisans and
craftsmanship .the name shows the italian culture and heritage.
Even when Bottega veneta was expanding to different countries, it had its
focus also on its traditional Italian market and benefiting from it (be strong
where it comes from)
In conclusion what is mentioned in the above shows how bottega veneta
made a mark in Italy ,kept its Italian roots and DNA, held the legacy of
being Italian and “made in Italy” ,authentic and exclusive while becoming
global
2. Acquisition of Gucci Group made a difference because:
Before being acquired bottega veneta was losing revenues, abandoned part
of sophistication and is not trendy or fashionable anymore. If bottega didn’t
accept to be acquired by Gucci it would still be ran by a small family

usiness.Even If they lose more revenue they had to be acquired for
exposure.
the brand was managed by two persons for commercial and creativity part.
As the brand grew and market desires and needs became bigger, it needed a
brand management who can implement and design market programs, they
needed someone to measure their brand equity and put the brand on track.
When Bottega veneta was acquired by Gucci the problem was not that they
were focusing on traditional ethics, brand’s position, codes, heritage, DNA,
history,,but it was in reviving the brand, making it more desirable, more
trendy and well communicated to the market. It needed to be rejuvenated.
Gucci hired Thomas Maeir who became a creative part of Bottega veneta ,he
re-established the brand ,created a tote bag that everyone wanted ,every
season.it came a signature for bottega veneta as the tote bag was timeless
and luxurious. So Maeir refocused bottega, restored seventies trends,
reviving the stealth wealth and worked on the creativity of the brand by
creating something new for bottega. Maeir was a good brand manager,he felt
that he could make a mark in the market, he really focused on strength and
weaknesses of Bottega and was able to increase its revenues and brand
recognition
In the different exhibits present in the case study we can see how Bottega’s
rise and how its becoming a market leader in the high end luxury market
Bottega worked on Expanding its product line and worked on improving its
current products. The brand shifted to become recognized as a multiproduct
luxury brand so that it will no longer be seen as a producer of specialized
leather handbags.
Bottega revenues were increasing and its stores were expanding in different
countries specially in the Japanese market in terms of performance and in
the Chinese market due to its fast growing market and expansion plan.In
China, the brand was recognized for its craftsmanship, no bling and
understated refinement so this shows that even when bottega veneta went to

China who has a different culture and values, it is still perceived the same
way, so Maeir was doing a great job as a brand manager
Bottega not only cared to expand but also took advantage of its origin and
focused on where it started by building shops for them in Italy.
True the brand was available in different stores and markets around the
world but it kept its exclusivity and no logo because it is something that
differentiates it from other competitors, it makes it more exclusive and more
unique. Bottega Veneta’s luxury leather was by its own a signature. To
maintain its exclusivity, Bottega changed its target market into consumers
who are more connaisseurs, who were interested in the story behind the
brand and the making of it rather than showing off, and that’s a huge
differentiation from its competitors. Bottega now had a different image, she
had a consistent message ,design, function, innovation and it moved
upmarket and started selling its pieces at a higher price
Bottega also started to advertise by targeting specific consumers in their ads,
also they created a web series where consumers will be engaged and feel a
sense of belonging and share with them an experience. Because of Maeir,
Bottega is now advertising and keeping consumer’s engagement while being
exclusive and luxurious
It is smart from Gucci to keep bottega with its traditions because it was
unique by its no logo design and intrecciato. If these weren’t present, the
brand would have looked like any other luxury brand
In conclusion Bottega acquired by Gucci was a huge shift because they kept
their traditional heritage and origins while expanding to different markets,
becoming well known but also exclusive with high revenues, different target
market and rejuvenation.

3. French multi brand conglomerates should buy Italian brands because:
Kering and LVMH are big well known conglomerates , reputable , leaders
and managers for the biggest luxury brands. When Italian brands are bought
by such companies, they become globalized, more known by the world, they
will become labeled as luxurious just by belonging to these brands so they
will have a competitive advantage for the brand’s reputation
Help brands like Italian brands who have a good manufacturing, DNA,
heritage, history but are not able to grow because of investment and
conglomeratic premium,
It helps brands to be positioned in consumer’s mind by differentiating brands
from each other
They expand and improve brand’s performance.
LVMH, Kering, give brands the ability to grow internationally while
reserving their true identity, mission, vision and the message behind their
products. These conglomerates guide brands and help them to expand and
become global when it comes to distribution and logistics.
Alone a brand cannot become global it needs a brand management
companies who can take the brand and integrate it in the market without
making it lose its value or exclusivity.
We can see through these French conglomerates how these Italian brands are
evolving by revenue, expanding through stores opening in exclusive
areas(Bulgari) , through product variety(Bottega vendetta),recognized
products(Emilio Pucci)
These conglomerates offer conglomeratic structure, approach to talent
management, back office synergy and knowledge of suppliers along with
conducting sources.
French conglomerates are known for managing where is Italians are known
for the design so together they can create a powerful brand .French multi
brand conglomerates are a profitability and advantage for all the Italian
brands because they both complete each other and they need each other to
excel as they balance each other, keep consistency of brands while being
management globally
Bottega Veneta can now show its stealth luxury because it became stable in
the market with a defined niche market

4. Italian entrepreneurs should build more Italian brands for the following reasons:
Italian brands focus a lot on their traditions, DNA, heritage, origins, history,
quality of the product
Italy is known to be the top in fashion luxury brands and the fact that a brand
is from Italy or made in Italy, makes it have a competitive advantage over
other brands due to its precision in crafts, high quality leather, creativity and
the fact that Italy is the most dominant when it comes to luxury brands:
Bottega Veneta, Gucci, Versace…and Milan a capital of Fashion.
By investing in Italian brands nowadays,new brands will rise and they will
have a young vision, fresh new designs and ideas .they will look and think
of the market differently than its ancestors .If Italy continues to produce like
its traditions and we have young designers and craftsman then Italy wil
become rejuvenated and will conquer even more the fashion luxury industry
Italian artisans and craftsman are very talented and recognized so they are
easily found and they can create high end creative luxury products. The
stitching, craft and leather makes the product more appealing and authentic
Italy has the largest share of Europe’s fashion manufacturing output and it
keeps growing so we can see how Italian brands are still successful and
known with increasing revenues.
Italian brands are varied with different type of products from sunglasses to
bags, shoes, clothes,, so in case they want to expand their line,
Italians have quality sustainability and strong and rigid start