Ferrari and Armani Will Now Be Designing Clothes Together
Luxury car brand Ferrari isn’t worried about its financial statements—not recently, that is. Last November 4, the company announced that it had experienced a “solid third quarter in all metrics” (from shipment quantity, net revenue, and adjusted earnings). The company also unveiled two new cars last September, with another one slated to be released in Rome on November 14. Business has been good. But, there is also the concern for brand equity, which doesn’t directly reflect in financial statements. This is what Louis C. Camilleri, Ferrari’s CEO, is trying to address.
During a press event, the company stated that “branded goods will contribute 10 percent of earnings before interest and tax within the next seven to 10 years.” Currently, Ferrari’s product portfolio is extensive. Aside from its cars and car accessories, the brand also carries clothing lines for men, women, and children, as well as watches, eyewear, and other luxury collectibles and gift items.
There’s a lot to love about these fine offerings, but it’s important to note that the brand also extends into the mid-range level by placing its products in department stores and airports. So aside from the fabulous automobile gear, there’s that little glimpse of the brand via baby shoes and underwear somewhere in a neighborhood Macy’s.
View this post on Instagram
“Our current offerings are too stretched and are in danger of diluting our very precious brand equity,” Camilleri said.
As a strategy, Ferrari is elevating its product portfolio (specifically its clothing line) by partnering with fellow Italian superbrand, Armani. This means that you can expect to see more ‘high fashion’ products that aren’t just splashed with the prancing horse logo. Here are other reasons why we’re excited about this collaboration:
The apparel range will be carefully curated.
Camilleri mentioned that Ferrari fans could look forward to “an array of apparel products and accessories that will embody the style, creativity, and quality that we stand for as a brand.” We suppose they’ll be removing some items and revamping its current designs. What’s certain though, is that they’ll be discontinuing the mid-range department-store lines. No more baby shoes.
Rocco Iannone was just appointed as the brand diversification creative director, and he’s pretty much like Gucci’s Alessandro Michele.
View this post on Instagram“In our leisure we reveal what kind of people we are” #humans #men #portraits @palzileri
Iannone is spearheading Ferrari’s fashion overhaul. It’s a fitting role for the 35-year-old designer who had worked in Armani before his two-year stint at Pal Zileri as the brand’s menswear designer. He is known for his penchant for romanticism and gender-bending designs, so there is a chance for Ferrari to roll out tailored pieces in florals and pastels.
It’s a long-term partnership, not a short collaboration.
It’s easy to picture this as a typical fashion collab, but the partnership is actually a “long-term manufacturing agreement” wherein Armani will be lending its craftsmanship and design cachet to Ferrari. Perhaps this is of the same nature as Ferrari’s partnership with Hublot (since 2011) and Puma (since 2006).
The company will be working with Armani’s skilled artisans.
In an effort to strengthen the brand’s Italian heritage, all the clothes will be crafted by Giorgio Armani’s artisans. “Made in Italy will be a key focus and we will exert full control over the design, quality, and pricing of these products, as well as their distribution...” Camilleri said.
View this post on InstagramMarching into Fall in #EmporioArmani Credits: @lachlanbailey for Emporio Armani FW19-20 campaign
There’s a possibility for the brand to venture into the luxury fashion industry.
Although it’s unclear as to whether or not Ferrari will be doling out a full-fledged fashion line, the company’s spokesperson didn’t immediately respond to that idea during the press event. We’ll have to wait and see.
