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DELTA AND SCHIESSER - AWINNING COMBINATION!
Welcome
Here’s to a Future of Synergy
Under Delta’s umbrella, Schiesser will function
as a wholly-owned business under the existing
management. In the future, the intention is to
implement the synergies between the existing
and the acquired activity.
Isaac
:
Delta intends to contribute to Schiesser’s
continued development through innovative
products, expanding the retail activity of the
chain and its online activity. There is a lot of
synergy here. Both Schiesser and Delta have
retail activity and we can assist in the field
of bras, which Schiesser currently does not
manufacture.
Rudolf Bündgen
-
Schiesser
CEO: “With Delta, we can
enter new markets more
consistently…. We see many
opportunities to expand
Schiesser through innovation,
improved distribution and
logistics, and the development
of retail stores and
E-Commerce activity.”
Rudolf Bündgen
-
Schiesser
Group’s CEO, entered this position
in 2008 and promoted the idea of
focusing on the Schiesser brand
by ‘reinventing the brand’. At the
same time, reorganizational steps were
implemented at headquarters and the main
plants, and a reduction in expenses as well as
closing loss generating business led to a return
to profitability and an increase in the operational
profit from €(7) million in 2007 to €11.8 and €11.7
million in 2010 and 2011, respectively.
Rudolf Bündgen
:
With Delta Galil, we have
received an owner with global activity, with
whom we can enter new markets more
consistently, and that will also strategically
support our marketing and distribution. The
expansion of the Schiesser product lines
has already been planned. Schiesser’s core
businesses were consistently profitable and the
combination will add to Delta’s profitability. We
see many opportunities to expand Schiesser
through innovation, and improved distribution
and the development of retail stores and
internet commercial activity.”
10
THINGS YOU SHOULD KNOW ABOUT SCHIESSER
1.
Schiesser is Germany’s leading
underwear brand.
Schiesser is in first place in terms of consumer
brand awareness, and in the first places in
other categories alongside companies like CK,
Triumph, H&M, etc.
2.
Schiesser - 137 years of activity!
•
The Schiesser Group was established
in 1875 and is engaged in the design,
development, manufacture, sale, marketing
and distribution of branded underwear.
•
The group’s activity headquarters and
development, design and logistics center
are located in Radolfzell, Germany.
•
The Group owns seven subsidiaries that are
engaged in marketing and sales in Western
Europe - Belgium, Holland, Switzerland,
Austria, Italy, Ireland and Denmark; two
subsidiaries engaged in the manufacture
of finished products in the Czech Republic
and Slovakia and one subsidiary in Hong
Kong, which serves as a purchasing office.
•
About 50% of Schiesser’s products are
manufactured at its plants in the Czech
Republic and Slovakia, whereas the rest are
purchased from subcontractors in Asia.
3.
The Schiesser Group employs
about 1,760 employees
540
employees in Germany, 110 at subsidiaries
in Western Europe, about 1,080 at plants in the
Czech Republic and Slovakia and 30 in Hong
Kong.
4.
Retail Customers and an
Independent Chain of Stores
Most of the Schiesser Group’s activity is executed
for wholesale chains and the remainder, about
25%
is through 50 stores owned by Schiesser,
of which 41 are factory outlets and 9 are retail
stores.
5.
Schiesser’s Sales in 2011 - €132
million
•
About 75% of sales are wholesale sales. The
company distributes its products through
leading department stores and about 5,000
specialty shops in Germany and in other
European countries, primarily Belgium,
Holland and Switzerland.
•
74%
of sales are in Germany. Schiesser
markets its products in other countries in
Northwest Europe, with plans to shortly
enter Russia and other countries in Eastern
Europe
•
10
of the company’s largest customers
make up 15% of the sales.
6.
The segmentation of Schiesser’s
Sales in 2011 was:
Men - 60%
Women - 25%
Children - 15%
7.
The Schiesser brand underwent a
successful rebranding process during
the past year
Among the company’s growth engines:
•
Relaunch of Schiesser brand logo and
overall corporate design
•
Launch of newly structured NOS basic
assortment
•
A new web commercial store
•
Expanding the own distribution and
visability to customers via new stores
•
“
A store within a store” - that was
coordinated with the rebranding.
•
Focus on young people (14+) - with a
young, colorful, trendy brand with modern
styles (Uncover brand)
•
Taking advantage of the brand loyalty for
growth in the children, women, socks
and Active Wear categories (including the
Revival brand - a unique fashion statement
combining traditional values, quality and
pioneering modernism. The collections
embrace zeitgeist and smartness in both
the styles and high trend colors).
8.
Cost of the Acquisition: € 68 million
9.
The Company’s annual sales
turnover, after including the acquired
activity, is expected to total $900
million
10.
Synergy and Opportunities
•
Significant increase in Delta’s branded sales
share.
•
Expanding the Schiesser product line
through Delta’s innovation and growth
in the women’s, bodyshapers, children’s,
sports apparel, socks fields, etc.
•
Synergy with regard to the supply chain.
•
Expanding the retail activity
•
Use of Schiesser infrastructure as a platform
to sell Delta’s other products in Europe.
GOOD LUCK TO US ALL!
Under Cover
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