Prada Replaced The Helmsman When He Took Office,

        As the third generation successor of Prada group, Miuccia Prada has written many milestone legends in the history of clothing. At the recent Prada group shareholders' meeting, it was officially announced that Lorenzo Bertelli, the eldest son of Miuccia Prada, would take over Prada group and hold 50.5% of shares.

Prada changes young helmsman

Prada spa, a group affiliated to Prada, recently held a general meeting of shareholders in order to make decisions. When submitting the proposed contents and listing the list of group shareholders and relevant information, the annual income of Miuccia Prada was unexpectedly disclosed, which caused a lot of discussions.

As a century old luxury brand, it is also a listed company. In addition to being CEO, Miuccia Prada is also a creative director. As the core of the group, what is her salary? According to data, the annual salary of Miuccia Prada in 2020 will reach 980000 (about 7.64 million RMB), including the pension of government welfare planning, 24% 2c000 of health insurance, and additional bonus of $27000.

Patrizio Bertelli, the other half of Miuccia Prada, is also chief executive officer, with an annual income of 980000.

One of the most important contents of this shareholders' meeting was the appearance of two sons, Lorenzo Bertelli. As the eldest son of Miuccia Prada, now 33, he has joined Prada group as marketing director, responsible for the sales analysis and strategic planning development of the brand.

This means Prada will become the luxury goods giant led by the post-80s generation. In contrast, LVMH group is still dominated by Bernard Arnault, 72, and Kaiyun group and Hermes are also in power after the 60s and 70s respectively.

Loss of brand in 2020

In March this year, prada released its brand 2020 performance report, which disclosed that it had a loss of 54.14 million euro in the first year after listing.

As of December 31, sales fell 24% year-on-year to 2.423 billion euros. Among them, retail sales decreased by 18% year on year; Wholesale sales decreased by 49% year on year; E-commerce sales soared by more than 200%. The annual net loss was 54.139 million euro, while Prada's net loss in 2019 was 256 million euro, which was the first time Prada had a loss since its listing.

Patrizio Bertelli said the continuing impact of the epidemic, the stagnation of tourism and the urgent need for economic recovery will have a significant impact on Prada group's decision-making in 2021.

This time, let the eldest son Lorenzo Bertelli succeed, also in order to realize the younger group. Can this "young" helmsman bring new development opportunities to Prada group?

The new official takes office

As early as 2018, Lorenzo Bertelli officially became the digital communications director of Prada group, and one year later, he was promoted to the director of marketing. During the epidemic in 2020, he was also involved in the formulation of most of Prada group's decisions and initiatives.

Last year, Lorenzo Bertelli was paid 186000 yuan (about 1.45 million yuan) and a performance bonus of 35000, according to the general meeting of shareholders.

In the past two years, Lorenzo Bertelli has been responsible for three major projects planned by Prada group, including "renewable nylon project, miu miu antique clothing renovation series, and Miuccia Prada and Raf Simons working together". These big initiatives, indeed, have received a warm response from the market, and their exposure and topic coverage have been greatly increased.

Leading Prada's transformation

Joining the secondary market

In recent years, the booming second-hand luxury market has made Prada's classic hobo popular again, resulting in the situation that a package is difficult to obtain and the price is constantly rising. Lorenzo Bertelli also saw new business opportunities. He set out to let Prada get involved in the second-hand business, so that the group can further improve the sustainable development of products while achieving the goal of ＂.

Cooperation with LVMH and Lifen group

Lorenzo Bertelli is far sighted. He has made Prada cooperate with LVMH and Richemont group to jointly launch aura blockchain consortium, a global luxury blockchain, to help consumers inquire about product authenticity. The concept of win-win cooperation, play thoroughly!

Develop online and e-commerce channels

The outbreak of the epidemic, so that luxury consumers have transferred to the online. In order to meet the shopping experience of consumers, gucci launched a long-distance shopping service Gucci live. Prada also launched virtual reality projects in YouTube VR and veer channels, allowing users to use VR skills to browse Prada's spring 2020 new products closely and understand the relevant production process.

This has also contributed to the revenue of online e-commerce channels. In 2020, prada group's e-commerce channel revenue increased by more than 200%, three times that of 2019.

Attach importance to Chinese market

In 2020, China's Asia Pacific market will return to strong growth in the second half of 2020, rising 19% at a fixed exchange rate. For a time, Prada's performance in October and December returned to the level of 2019.

In order to better grasp the development of the Chinese market, prada group customized a long-term development strategy for the steady growth of the Chinese market at the beginning of this year, and will expand and implement a "new creative retail mode" in Shanghai, namely: Online Limited 24-hour Limited stores, low-end flash stores, immersive retail space, etc.

For example, a limited time shop with the theme of "Prada outdoor garden" was recently opened in Rongzhai, Shanghai.

Use cross gender models

        Prada has experienced a "spokesman black hole" in Asia. From idol in South Korea to Zheng Shuang in China, the image ambassadors of brand official publicity were all caught in negative news, and Zheng Shuang even made Prada's share price fall below once.

After eating out of the image ambassador, prada announced in the United States that inter gender model hunter scfaher has become the latest spokesperson for Prada Galleria handbag. This move is considered to support the LGBT movement and to please young Americans.

Patrizio Bertelli said in an interview: Prada is expected to return to its pre epidemic level by 2021! Although Prada is a luxury brand in the head, the recovery rate is slightly easier than other brands. However, the impact of the epidemic is still continuing. Several consulting companies have issued research reports, saying that if the luxury industry wants to return to the level before the epidemic, it will be at least around the beginning of 2023.

Prada wants to return to performance in 2021, which means doing more than the industry average. When Lorenzo Bertelli, born in the 1980s, was replaced as the helmsman, prada began to take the direction of younger development, and the achievements made so far are very impressive. It is imperative for luxury giants to carry out younger reform.