35 BOARd OF dIReCTORS RePORT34 BOARd OF dIReCTORS RePORT MONCLER GROUP 2023

MOnCLeR dIGITAL The Group has always been looking for new ways to understand, communicate and engage with its consumer base as well as inter- act with new and existing communities.

In 2023 Moncler further accelerated its digital transformation by leveraging its new business organisation and finalising the ex- pansion of the e-commerce activities in China with the launch of the Moncler digital flagship on Tmall at the end of 2022 followed by moncler.com openings in Hong-Kong and Singapore in 2023.

The goal is for every project or initiative from the design of collections to product development or even event construction, to be digital native and to be designed with digital platforms as the first point of contact with clients to then be expanded across all other channels. This new approach opened the door to a future full of explorations, creativity, experimentations and more importantly, contamination between content and channels.

The new Digital, Engagement and Transformation function was created in July 2020 to support the evolution of Moncler s strategic vision and create new digital opportunities for the Group. The func- tion defined and implemented the brand s strategy across all digital channels and spread the digital culture throughout the whole organi- sation, overseeing the five strategic pillars: D-Commerce, D-Market- ing, Consumer Engagement, D-Intelligence and D-Operations.

D-Commerce aims at defining innovative and unique solu- tions for handling the online business. The team is in charge of shap- ing commerce experiences blending commerce, branding and services whilst always putting consumer on the forefront. The team mainly manages content creation, buying, and merchandising.

D-Marketing contributes to further accelerating the expan- sion of the three brand dimensions by developing an immersive dig- ital universe that from owned platforms to external touchpoints aims at growing the consumer reach both by reinforcing the brand identity, but also by increasing client engagement and conversion. Several projects have been developed and launched in 2023 the above goals, including the launch of the first ever immersive show- room for the Moncler x adidas Originals collection, the Snapchat Custom Augmented Reality Lens to push the footwear collection and the launch of the renewed membership program Moncler Peaks.

D-Intelligence through the analysis and management of qual- itative and quantitative data gathers insights on the omnichannel clients behaviour to ultimately identify strategic growth opportuni- ties and improve the client experience.

D-Operations manages the execution of the digital strategy to ensure a seamless customer experience across all touchpoints, through the development, maintenance, and improvement of Mon- cler s flagship .com site and mobile apps.

Consumer Engagement is a department in charge of under- standing Moncler s current and potential new clients and engaging through digital initiatives and an elevated loyalty program, which of- fers exclusive benefits aimed at onboarding new clients and elevat- ing the experience of loyal ones.

In particular, Moncler is present on the following social media platforms: Instagram, Facebook, x (Twitter), YouTube, LinkedIn, Tik- Tok; in China on WeChat, Weibo, douyin and Red; in Japan on LIne while in Korea on Kakao Talk account.

STONE ISLAND BRAND

STOne ISLAnd COLLeCTIOnS Stone Island is a global leader of product design and garment in- novation. It has consistently pushed fabric technology and experi- mentation, particularly focusing on functionality and utilitarianism. design is driven by purpose, resulting in an immediately recognis- able signature of cut, form, materiality and colour.

Alongside Stone Island men collections, the brand offers the Stone Island Junior collection a declination of the brand for chil- dren and teenagers from 2 to 14 years old.

STOne ISLAnd ReSeARCH And deVeLOPMenT Four decades dedicated to textile research, experimentation, study of the garment s function and innovation, often investigating worlds far from clothing, have made Stone Island a brand defined by its unique and distinctive research and an essential point of reference for the world of apparel and design today.

Important challenges also faced thanks to the commitment of the creative team, who managed to transfer its vision into the product, with passion and enthusiasm, pushing its research efforts in un- charted territories.

STOne ISLAnd PROdUCTIOn The complete product development cycle is managed internally, at its headquarter in Ravarino (province of Modena).

Stone Island s mission has always been to pursue product innovation through continuous deployment of know-how and all- around research on fibres, yarns, fabrics, finishes and dye whilst cul- tivating the ambition to offer a product that is unique in its category.

In order to achieve this mission, product development has been carefully managed through an internal and integrated system in which modelling, prototypes and dyeing combine with estab- lished external partnerships in both research and execution.

The value chain when it comes to the selection of ancillary materials and components, as well as to manufacture and dyeing is managed under the strict supervision of Company technicians at established partners that are aligned with the Company s ethical and regulatory codes.

Fabrics and yarns are supplied by the best Italian and foreign companies, in particular from Japan and Korea.

Manufacturing is in Italy, in the Mediterranean basin and in the Far east, at established third-party companies trained in the know-how needed to satisfy the brand s standards of quality and sustainability.

STOne ISLAnd dISTRIBUTIOn The Stone Island brand is distributed globally both through the wholesale channel and with direct presence (retail stores). Further- more, in some markets the brand is managed by distribution con- tracts with qualified and long-standing partners, selected on the basis of their high knowledge of the fashion sector. The brand is currently present in the most important department stores in the world, also with dedicated spaces (shop-in-shops), in the best multi-brand boutiques and in the main e-tailers, besides having de- veloped a network of 81 directly managed mono-brand stores as well as the online store.

In line with the Group s strategy aimed at the integrated de- velopment of its distribution channels, Stone Island has begun a path that will lead the brand to a greater control of distribution on international markets, through a progressive direct management of the markets currently managed by distributors and through the expansion of the dTC channel. Indeed, after the internalization of the distribution in the Korean and in the Japanese markets as well as the internalization of the dTC channel in UK in 2022, at the end of 2023 Stone Island started the process to take full control of the brand distribution in the Chinese market, which will be completed over the first months of 2024.

At the same time, the Company is enhancing its control and doors selection in the wholesale segment, a channel of strategic importance for Stone Island, with the aim of further elevating the positioning of the brand itself.

In 2023 the wholesale channel accounted for 58% of rev- enues while the remaining 42% was generated by directly man- aged stores and the online channel. As of 31 december 2023, the network of mono-brand Stone Island stores was composed of 15 wholesale stores and 81 retail stores, +9 units compared to 31 de- cember 2022. Some of the most important stores opened and/ or converted to dOS in the year include Stockholm and Chengdu Swire, in addition to some important relocations/expansions in- cluding Munich and Amsterdam Bijenkorf.

STONE ISLAND 31/12/2023 31/12/2022 Net openings 2023 Asia 48 44 4 eMeA 26 21 5 Americas 7 7 - RETAIL 81 72 9 WHOLESALE 15 19 -4