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OVERVIEW

The Moncler brand was created in 1952 in Monestier-de-Clermont, a small village in the mountains near Grenoble, aiming at creating padded sleeping bags and tents for the mountain. A few years later, in response to the needs of its employees working at high altitudes, the Company produced the first down jacket for extreme climates. This vocation to protect from the cold has evolved over the years becoming a global phenomenon and a sporting luxury icon.

In 2003, Remo Ruffini bought the Brand however, the Company was in great economic difficulty. Since then, an important path of repositioning and development of the Brand was initiated through which Moncler products take on an ever more distinctive and exclusive style selectively expanding globally through also a network of directly operated stores. Moncler’s integrated and flexible business model is geared towards having direct control of the phases that add the greatest value with an increasingly attention to all sustainability-related themes.
Moncler is present in all major markets both through the retail channel, consisting of directly operated stores (DOS*) and the online store, and through the wholesale channel, represented by multi-brand doors, shop-in-shops in luxury department stores, airport locations and online luxury multi-brand retailers (e-tailers).

 

* Including free standing stores, concessions, travel retail stores and factory outlets.

HISTORY

The origins of the name lie in its very roots: Moncler is in fact an abbreviation of Monestier-de-Clermont, a mountain village near Grenoble. Here, entrepreneur René Ramillon and Andrè Vincent founded the company in 1952, which would go on to produce the renowned down jacket, creating garments conceived to protect workers who wore them over their overalls and that offered high resistance and protection against the harshest climates and that were put to the test in a variety of expeditions.

BUSINESS MODEL

Moncler’s integrated and flexible business model is geared towards having direct control of the phases that add the greatest value, putting the pursuit of ever-increasing quality, the satisfaction of consumers and the adoption of stringent sustainability standards.

COLLECTIONS
DOWN
THE DIST PROTOCOL
PRODUCTION
DISTRIBUTION
MARKETING AND COMMUNICATION
BRAND PROTECTION

Moncler’s success is based on a unique brand strategy that pursue the development of innovative products that are strongly “anchored” to the DNA of the Brand in which heritage, uniqueness, quality, creativity and innovation coexist.

The Moncler Man and Moncler Woman collections are at the core of the Brand, responding to the needs of different consumers and to multiple uses.

The “Archive” consists of products inspired by Brand’s first collections that follow two different developments: one inspired by the development of models that reflect the iconic styles , the other with a more creative approach that has the goal of acquiring a younger and more trend-driven clientele. The “Sport Chic/Edit” line is intended at a more sophisticated client, less concerned with trends. The “Matt Black” line is inspired by a cosmopolitan consumer looking for a more contemporary style.
There’s also the collections for boys and girls, “Moncler Enfant“, set for young consumers, from 0 to 14 years.
Moncler Genius collections take on a strategic relevance. They bring together different interpretations and visions of the Brand under the same “roof” that continue to generate new creative energy, while always remaining true to the Brand’s uniqueness.
The Moncler Man, Moncler Woman and Moncler Genius collections are completed by Moncler Grenoble, which has become a technology and style innovation lab for the sporty consumer with an interest in performance, design and innovation. The Moncler Grenoble collections are identified in products related mainly to winter sports with functions of use ranging from skiing and snowboarding to other sports such as trekking and hiking. In particular, the ski/snowboard collections are split into High Performance, products guaranteeing maximum performance, Performance & Style, for the sporty consumer who also cares about design and Après-Ski for a complementary moment of use compared to the first two collections.
The Moncler collections are rounded off with footwear and leather goods (bags, backpacks and accessories) lines, a sunglasses and eyeglasses line (Moncler Lunettes) and a fragrance that will be launched by 2021.
Moncler’s team of fashion designers works under the supervision of Remo Ruffini, who sets design guidelines. The Moncler Style Department is assisted by the Merchandising and Product Development teams, which help create the collections and “transform” the designers’ creative ideas into the final product.

Throughout its history, down has been at the heart of Moncler outerwear.
A combination of lengthy experience and continuous research and development has enabled the Company to gain unique expertise in this area, both in terms of knowledge of down as a raw material and of the garment manufacturing process.
Moncler ensures that all its suppliers comply with the highest quality standards: only the best fine white goose down is used in the Brand’s garments.

Fine-down content and fill power are the main indicators of down quality. Moncler down contains at least 90% finedown and boasts a fill power equal to or greater than 710 (cubic inches per 30 grams of down), resulting in a warm, soft, light and uniquely comfortable garment.
Down is purchased from Europe, North America and Asia. Each batch of down is subjected to a two-step checking procedure to assess its compliance with 11 key parameters, set in accordance with the strictest international standards and the stringent quality requirements imposed by the Company. In 2020, a total of around 1,100 tests were performed.
But for the Company, “quality” is more than this: the origin of its down and the respect for animal welfare are also fundamental for Moncler. When sourcing and purchasing raw materials, Moncler considers these aspects as important as the quality of the material itself.

As part of its commitment to ensuring animal welfare and a complete traceability of the down, Moncler requests and ensures that all its down suppliers comply with strict standards of the Down Integrity System & Traceability (DIST) Protocol. The DIST Protocol sets out standards for farming and animal welfare, traceability and the technical quality of down. From 2015, Moncler only purchases down that is DIST-certified.

The Protocol assesses animal welfare in an innovative way. Alongside a traditional approach that focuses on the farming environment, the DIST, following the latest European Union guidelines, also evaluates animal welfare through careful observation of “Animal-Based Measures” (ABM).
Key requirements that must be met at all levels of the supply chain include:
• down must be derived exclusively from farmed geese and as a by-product of the food chain;
• no live-plucking or force-feeding of animals is permitted.
As another important step towards a more circular economy, Moncler will start recycling DIST-certified down through an innovative mechanical process that requires 70% less water compared to traditional down recycling processes.

Moncler’s products are designed, manufactured and distributed according to a business model featuring direct control of all phases where the greatest value is added.
Moncler directly manages the creative phase, the purchase of raw materials, as well as the development of prototypes, while the “cut-make-trim” phase of the production stage is partly managed internally and partly assigned to third party manufacturers (façon manufacturers).

The purchase of the raw materials represents one of the principal areas of the value chain. All raw materials must comply with the highest qualitative standards in the industry, be innovative and able to offer advanced functional and aesthetic features. Textiles and garment accessories (buttons, zips, etc.) are purchased mainly in Italy and Japan.
The “cut-make-trim” phase is conducted both by third party manufacturers (façon manufacturers) and in the Moncler manufacturing plant, established in 2016 in Romania, that currently employs more than 1,100 people.
The third-party suppliers (façon manufacturers) working for Moncler are mainly located in Eastern European countries, which are currently able to ensure quality standards that are among the highest in the world for the production of down jackets. Moncler supervises these suppliers directly by conducting audits designed to check aspects regarding product quality, brand protection and compliance with current laws, Moncler Code of Ethics and Supplier Code of Conduct.

Moncler’s strategy is aimed at the control of the distribution channel, not only retail but also wholesale and digital. Moncler is present in all major markets both through the retail channel, consisting of directly operated mono-brand stores, concessions in luxury department stores or in selected online multi-brand stores (e-concession) and its e-commerce moncler.com.

It is also present in the wholesale channel, represented by multi-brand doors, shop-in-shops in luxury department stores, airport locations and selected online luxury multi-brand retailers (e-tailers).
In the past few years Moncler has accelerated on digital transformation and, in line with an increasingly integrated vision between physical and online, has decided to internalize its online website (.com).

“Our purpose inspires us to keep changing, whilst always retaining the essence that makes us unique. It’s our reason to be: to embrace the extraordinary and discover the genius within.” Remo Ruffini, Moncler Chairman and CEO.
Since the launch of Moncler Genius, the world of marketing in Moncler has been revolutionized from bi-annual collections to monthly collections by visionary designers transmitted through dedicated editorial plans.

To rethink a well-established standard for the sector has demanded change at every level to obtain a multi-channel communication tailored to each collection but remaining consistent with the pillars of the Brand.
Each collection is amplified by live events, either real life and digital. The result is the creation of a new community of Generation Z and Millennial customers who aspire to the alliance of innovation and heritage that Moncler uniquely offers.
As for social media networks, Moncler is on Instagram, Facebook, Twitter, LinkedIn, TikTok and; WeChat, Weibo, Douyin and RED in APAC LINE in Japan and Kakao Talk in Korea.

Moncler is strongly committed to safeguarding the value, uniqueness and authenticity of its products and to defend its intellectual and industrial property rights (IP), which are key elements for customer protection.
Willing to increase customer protection even further, an anti-counterfeiting label has been adopted for all Moncler products, featuring the best technologies available on the market, in constant evolution. It consists of a unique alphanumeric code, a QRcode and NFC (Near Field Communication) tag. End-users can check their products on the website code.moncler.com.

VALUES AND PURPOSE

Moncler is by its nature an ever-changing Company, pushing towards reinvention and continuous development. Over time, its values have been taken on new meanings while always remaining true to themselves.

MONCLER’S FIVE VALUES

PUSH FOR HIGHER PEAKS
BRING OTHER VOICES IN
EMBRACE CRAZY
KEEP WARM
PLAN BEYOND TOMORROW

We constantly strive for better, as individuals and as a team. Inspired by our continuous pursuit of excellence, we are always learning and committed to setting new standards. We are never done.

We are one house, different voices, and we let everyone’s talents shine. We celebrate all perspectives, leverage our multiplicity and speak to every generation. By letting many voices sing, we play a beautiful harmony.

We are unconventional and unique. We foster our inner genius, our creative edge. We bring bold dreams, crazy and apparently unreachable ideas to life always with great rigor. We feed our energy, as we believe everything truly great was often born crazy.

We were born to keep people warm. We bring the warmth of human connection into everything we do, from the things we make, to the relationships we build. We celebrate people’s achievements big and small, with empathy and trust.

We plan every day for a bolder and brighter tomorrow. We take a long term view designing a future that goes beyond convention. We rise to and act on the social and environmental challenges the world is facing.

KEY FINANCIAL HIGHLIGHTS

 

REVENUES BY CHANNEL

Fiscal Year 2020 Fiscal Year 2019 YoY growth %
(Euro/000) % (Euro/000) % At current exchange rates At constant exchange rates
Retail 1,089,496 75.6% 1,256,918 77.2% -13% -12%
Wholesale 350,913 24.4% 370,787 22.8% -5% -5%
Ricavi Revenues 1,440,409 100.0% 1,627,704 100.0% -12% -11%

REVENUES BY REGION

Fiscal Year 2020 Fiscal Year 2019 YoY growth %
(Euro/000) % (Euro/000) % At current exchange rates At constant exchange rates
Asia 717,860 49.8% 715,244 43.9% +0% +2%
EMEA 379,538 26.3% 463,530 28.5% -18% -18%
Italy 122,345 8.6% 184,989 11.4% -34% -34%
Americas 220,666 15.3% 263,942 16.2% -16% -15%
Total Revenues 1,440,409 100.0% 1,627,704 100.0% -12% -11%

MONO-BRAND STORES NETWORK

31/12/2020 31/12/2019 Net Openings FY 2020
Retail Mono-Brand 219 209 10
Asia 104 104 -
EMEA 61 56 5
Italy 19 19 -
Americas 35 30 5
Wholesale Mono-Brand 63 64 (1)

HUMAN CAPITAL

2020 2019
Italy 1,027 962
EMEA 1,655 1,631
Asia 1,102 1,076
Americas 307 306
Total 4,091 3,975
of which Direct retail 1,825 1,844

In 2020, Moncler employed 4,091 average full-time equivalent (FTE) staff, 4,398 headcounts – of whom around 48% were working at its directly operated stores. In terms of distribution by geographic area, substantially in line with 2019, EMEA (including Italy) accounted for 65% of the total FTE, followed by Asia with 27% and the Americas with 8%.