Burberry Group plc
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Burberry Group, a British luxury fashion house with worldwide sales, specialises in the design, manufacturing and marketing of top-of-the-range clothes and accessories. The company's main fashion house focuses on and distributes ready-to-wear outerwear, sneakers, fashion accessories, fragrances, sunglasses, and cosmetics.[1]
Sales break down by activity as follows:
- 80.30%: Retail distribution: activity conducted, at the end of March 2019, through a network of 475 stores distributed between company-owned stores (233; Burberry name), concession stores (146), franchised stores (44) and other (52);
- 17.9%: Wholesale distribution;
- 1.8%: Licensed sales.
Brands
ToDo: link
Ethical?[2],[3] Bureau of Investigative Journalism reported]
- July 2018 it was reported that in the previous past five years Burberry had destroyed unsold clothes, accessories and perfume worth over £90m in order to protect its brand and prevent the items being stolen or sold cheaply. While a representative of Greenpeace criticised the decision, Burberry claimed that the energy generated from burning its products was captured, making it environmentally friendly.[4] Burberry's annual report 2018 showed the company had destroyed goods worth £28.6m, an increase on £26.9m from 2017.[5] In Sept.2018, Burberry reported that it would stop the practice of burning unsold goods, with immediate effect. Burberry also announced it would stop using real fur in its products, and would phase out existing fur items.[6]
- Jobs: Although Burberry promotes its British connection, according to The Guardian, a British national daily newspaper, as of July 2012, Burberry maintains two production facilities in Great Britain, one in Castleford producing raincoats, and one in Keighley.[7]
Company
Total float: 99.3%
- 6.18% Invesco Advisers Inc
- 5.37% Lindsell Train Ltd
- 4.49% Baillie Gifford & Company
- 3.08% Schroder Investment Management Ltd
- 3.06% Desmarais Family Residuary Trust[1][2]
- 3.04%
- 2.86% Massachusetts Financial Services Co.
- 2.81% Vanguard Group Inc
- 2.73% Prudential Financial Inc § Jennison Associates LLC
- 2.47% Thornburg Investment Management Inc
Timeline
Aug.2018 | New Logo and Monogram, designed by English graphic designer Peter Saville, was rolled out.[8][9] |
Mar.2011 | Expansion: Burberry formed a joint venture in Saudi Arabia with Fawaz Abdulaziz Alhokair & Co, transferring 5 stores from franchise operation. |
Sept.2010 | Kwok Hang Holdings, a Chinese retail operation, was acquired, giving Burberry control of its brand in the fastest-growing luxury market in the world.[10] Other franchisees, with 50 stores in 30 cities, were also brought in-house.[11] |
Jun.2010 | Ethical Trading Initiative: Burberry became a member.[12] |
Jan.2010 | Expansion: Burberry formed a joint venture in India with Genesis Colors Pvt. Ltd (49%).[13][14] Genesis Colors is financed by Sequoia Capital (21.9%), Silicon Valley Bank India Capital (1.59%) and Mayfield (7.23%); they also hold preference shares.[15] |
Nov.2008 | Expansion: Burberry formed a joint venture in Japan for non-apparel with its long-standing licensing partners, Sanyo Shokai and Mitsui & Co. |
Nov.2008 | Expansion: Burberry Middle East: Burberry formed a joint venture with ?? to establish Burberry Middle East, headquartered in Dubai. |
Mar.2008 | Burberry Foundation was established as a charity. Burberry makes an annual donation.[16] |
Dec.2005 | GUS plc divested its remaining 65% stake in Burberry Group plc, as the change in reputation began to have too many accompanying economic challenges.[17][18] |
Jun.2002 | Partial IPO: GUS plc confirmed its intention to seek a listing for shares in Burberry Group plc on the London Stock Exchange by way of a global offer to institutions. GUS retained a 77% stake.[19][20] |
2001-2005 | Licensing Vehicle: declined into, selling its trademark to “partners” throughout the world who made their own products and slapped on a Burberry label.. Burberry became associated with "chav" and football hooligan culture, who signature accessory was a baseball cap in Burberry check. The change in the brand's reputation was attributed to lower priced products, the proliferation of counterfeit goods adopting Burberry's trademark check pattern, and adoption by celebrities prominently identified with "chav" culture.[21] However, Burberry emerged relatively unscathed, perhaps because the UK market accounted for a small fraction of sales, and chavs were a purely British tribe. |
Jul.2000 | Burberry Spain SA, a Spanish franchisee owned by the Mora family,[22] had built a huge business designing casualwear that bore no relationship to what was being designed in London, generating 20% of Burberry's revenues. Nevertheless, the firm was bought out, and its damaging practices stopped.[23][24][25]:4 |
1999 | Burberry: the name was reverted to the original "Burberry". |
1997 | Rose Marie Bravo: Gus hired a new CEO after the old one retired in 1996. Ms Bravo controversially but effectively turned the company around. |
1980s | Uncontrolled licensing: Burberry licensed its name, plaid, and knight logo to other manufacturers; with limited control over licensed products, the brand suffered from discrepancies in quality and price as well as from parallel trading, especially in Asia. |
1970s-1980s | Expansion: Burberry signed agreements with global manufacturers to produce complementary products to the existing British collection such as suits, trousers, shirts, sportswear, and accessories. The products, designed under the strict control of London HQ, were produced and distributed through independent retail stores worldwide as well as the Burberry stores. |
1970 | Burberry entered into a licensing agreement with Mitsui to manufacture licensed products for the Japanese market with Sanyo Shokai Ltd (see Sanyo Shokai New York). |
1965 | Sanyo Shokai started importing Burberry coats to Japan, and went on to independently develop Burberry products specially for Japanese customers, which did not exist outside Japan.[26] |
1955 | Burberry was an independent family-controlled company until Great Universal Stores assumed ownership.[27] |
1955 | Great Universal Stores acquired 100% of Burberry, delisting the company and taking it private. |
1940s | During WWII, Burberry supplied the British Army, the Royal Air Force, the Royal Navy, the Royal Pioneer Corps, the Officer Cadet Training Unit, and the Auxiliary Territorial Service with a range of military apparel and accessories, including trench coats. |
1914 | World War I: the War Office commissioned Burberry to design a new uniform for British officers; this was to be the origin of Burberry’s iconic trench coat and the trademark Burberry Check pattern.[28][21] |
1924 | Burberry Check: the eponymous check made its appearance on the lining of raincoats. |
1920 | Thomas Burberry & Sons was floated on the London Stock Exchange. |
1915 | Expansion: Burberry commenced exporting to Japan. |
1909 | Expansion: a Burberry store was opened in Paris, France. |
1901 | Equestrian Logo: the iconic Burberry Equestrian Knight logo was developed, containing the Latin word "Prorsum", meaning forwards. It was registered as a trademark in 1909. |
1891 | London store: Burberry opened its first London store in the Haymarket, London. "Burberry" was the original name until it became "Burberrys", due to many customers from around the world calling it "Burberrys of London". |
1879 | Gabardine, as we know it today, was invented by Thomas Burberry.[29] The original fabric was worsted wool or twill (worsted wool combined with cotton), and was waterproofed using lanolin prior to being woven, producing a hardwearing, water-resistant yet breathable fabric. Patented in 1888. Gabardine |
1880s | Thomas Burberry's sons joined the business, and a 2nd London store was opened in partnerhip with a company called RB Rolls. |
1870 | the business had established itself by focusing on the development of outdoors attire. |
1856 | T Burberry & Sons: Thomas Burberry, a 21-year old former draper's apprentice, opened an outfitter's business in Basingstoke, Hampshire, England. Burberry originally focused on the development of outdoor attire. |
Additional Sources: Company History. Burberry. Original archived on Apr.22.2015. ♦ "Fashion Brands: Branding Style from Armani to Zara.", Mark Tungate, Kogan Page Publishers, Sept.2008, ISBN: 9780749453053
References
- ^ Fragrance and Beauty to be directly operated. Press Release, Burberry plc, Nov.10.2012. Original archived on Feb.13.2013.
- ^ Blazing A Trail: What’s Up With Burberry’s Decision to Stop Burning Clothes? Good One You, Sept.07.2018.
- ^ Burberry stops handbag production in Chinese factory in ethics row. Agencies, The Guardian, Sept.18.2012.
- ^ Burberry burns bags, clothes and perfume worth millions. Burberry, the upmarket British fashion label, destroyed unsold clothes, accessories and perfume worth £28.6m last year to protect its brand. BBC News, Jul.19.2018.
- ^ British fashion house Burberry to stop burning unsold items. Lucy Handley, CNBC, Sept.06.2018.
- ^ Burberry stops burning unsold goods and using real fur. BBC News, Sept.06.2018.
- ^ The hypocrisy of Burberry's 'Made in Britain' appeal. Carole Cadwalladr, The Guardian, Jul.16.2012.
- ^ Riccardo Tisci Reveals New Burberry Logo and Monogram. Lauren Alexis Fisher, Harper's Bazaar, Aug.02.2018.
- ^ Burberry changes logo for first time in two decades. AdAge, Aug.02.2018.
- ^ Burberry buys Chinese trading partner. Restructuring plan will enable fashion brand to keep tighter rein on global image. Zoe Wood, The Guardian, Jul.16.2010.
- ^ Burberry terminates agreement with China franchisees. The fashion company Burberry says it has agreed to buy out its franchisees in mainland China. BBC News, Jul.16.2010.
- ^ Our members. Ethical Trading Initiative. Accessed Dec.29.2019.
- ^ Genesis Colors picks 49% in JV with Burberry. S Pallavi (VCCircle.com), Reuters, Nov.20.2009.
- ^ Burberry to set up joint venture with Genesis Colors. Franchise Mart, Nov.19.2009.
- ^ Genesis Colors Picks 49% In JV With Burberry. S Pallavi (VCCircle.com), Reuters, Nov.18.2009.
- ^ Burberry Foundation. The Burberry Foundation was set up in 2008 by Burberry Group plc as an independent charity. Charity Commission Burberry plc. Accessed Dec.29.2019.
- ^ GUS Annual Report and Financial Statements 2005. page 16, Home Retail Group, Apr.2005. Original archived on Dec.17.2007.
- ^ GUS Announces Details Of Its Planned Demerger Of Burberry. Burberry plc, Nov.17.2005. Original archived on Nov.04.2016.
- ^ Investor information. GUS plc, Jun.24.2002. Original archived on Apr.26.2003.
- ^ Announcement Of Offer Price Of 230p Per Share. Burberry plc, Jul.11.2002. Original archived on Oct.31.2016.
- ^ a b The two faces of Burberry. Seven years ago Selfridges did not bother to stock Burberry. Since then it has been transformed from a fusty, fading brand into one of the world's most successful fashion labels, beloved by both football hooligans and aristocrats. Laura Barton, Nils Pratley, The Guardian, Apr.15.2004.
- ^ Burberry to buy Spanish licensee. Neil Bennett, The Telegraph, Jul.02.2000.
- ^ The Burberry Story. Kal Di Paola, Stylsh, Jan.31.2014. Original archived on Mar.07.2014.
- ^ GUS Milestones. GUS plc. Original archived Accessed Dec.20.2019.
- ^ Earning Her Stripes. Nancy Hass, Wall Street Journal, Sept.09.2010. Original archived
- ^ Burberry solves its “Japan problem”, at least for now. Burberry goes direct in the world’s most important luxury market: why did Burberry not decide on less disruptive options? Sanyo-Shokai pivots from Burberry to Mackintosh and continues the valuable Black Label and Blue Label lines Gerhard Fasol, Japan Strategy, Aug.18.2015.
- ^ Timeline: Burberry. Nicola Melhuish, Nicola Melhuish, Nov.02.2010.
- ^ Burberry biography. Saxony Dudbridge, Catwalk Yourself, Jun.27.2015.
- ^ The Department Store: 10. Burberry(s) of London. Stories of London. Accessed Dec.30.2019.