Feeding on Lacoste's success

At French apparel brand Lacoste, there is only one boss, says president Michel Lacoste. And that's the crocodile.

The company's symbol and brand identity, which also represents its founder, has been at the forefront of its growth and development and the preservation of its heritage for the past 76 years, he says.

"For my father, the most important mission was to safeguard the reputation of his name and emblem, and to retain full control of what is done with it," he says. "For us, Lacoste has been all about the crocodile."

Michel's father, René Lacoste, a French tennis champion in the 1920s, was nicknamed 'The Crocodile' by fans and the media. In 1933, he launched La Chemise Lacoste and adopted the green reptile as his logo.

Today, Lacoste is sold in 113 countries through 1,050 stores and in more than 2,000 corners in department stores and, according to Michel, achieved a wholesale turnover of €1.5 billion (Dh7.8bn) last year.

The company's eight product ranges, which cover everything from fragrances, leather goods and eyewear, will soon include mobile phones, it was announced recently.

Conceptualised by French designer Christophe Pillet, who has designed watches for Lacoste, and working closely with the design team of ModeLabs Group – the company also manufacturing phones under the Hummer and Levi's brand – the first Lacoste mobile phone will be available next year, says newly appointed CEO Christophe Chenut.

Although the design of the device is still unclear, Chenut says the mobile phone "will be faithful to the values of elegance and simplicity which constitute the brand."

The announcement of the mobile phone shows the brand's desire to move into new territories, says Michel. "Our first objective is to continue to give our customers the best quality in each line of products while staying faithful to the founder," he says. "We have also been paying attention to women and the polo range has evolved to meet their desires."

Michel is keen to reiterate the importance of maintaining quality and staying faithful to the brand because almost all of Lacoste's products, while marketed under the crocodile brand, are licensed out.

While clothing giant Devanlay manufactures all apparels, UK-based Pentland Group makes the footwear range and American multinational Procter & Gamble manufacturers fragrances. Other partnerships include US-based luggage maker Samsonite for leather goods, the Charmant Group for eyewear, Swiss watch experts Movado for watches, Italian Vincenzo Zucchi SpA for home textiles, Collaert L'Aiglon, one of France's largest manufacturer of belts for an exclusive line of belts and now the ModeLabs Group for mobile phones.

The Lacoste family owns 65 per cent of Lacoste SA while Devanlay, owned by Swiss holding company, Maus Frères SA owns 35 per cent. Lacoste SA also owns 10 per cent of Devanlay's worldwide clothing licensee.

The economic model of the company is based on René Lacoste's idea of creating a success story by adding up different know-hows and expertise, says Michel.

"Today, Lacoste company controls and coordinates the different licenses granted to each partner. The successful economic model relies on the careful selection of our business partners whose production quality and excellence in the distribution correspond to the uniqueness of the brand," he says.

"This model has been quite successful for more than 76 years."

When René Lacoste designed his own shirts, he gave it a slightly shorter design with a ribbed collar and short sleeves. And when it was first marketed, after Lacoste and French entrepreneur Andre Gillier decided to start a company, it became an overnight sensation.

The crocodile logo embroidered on the shirt was also the first time a brand name appeared on the outside of an article of clothing, according to Lacoste.

The company started to grow steadily and began exporting to Italy and then the US in 1951. In 1963, Michel's brother Bernard took over the helm of the company from their father and has been credited with much of the company's international success.

Although Lacoste has built on its success as a sportswear brand over the years, it was the arrival of Christophe Lemaire as artistic director in 2000 that paved its new direction and proved an evolution.

"From the tennis courts, Lacoste went on to be used in everyday life. Since the arrival of Christophe Lemaire, our collections have included more women's apparel and are easily worn on the courts as well as during leisure time. This evolution is well illustrated during our two Fashion Shows in New-York," says Michel, who took over the reigns of the company after Bernard passed away in 2006.

"Ten years ago, the apparel represented 80 per cent of the turnover and 20 per cent by the other products. Now, the apparel represents 60 per cent and other products 40 per cent."

Last year, the company appointed Christophe Chenut as its CEO. As president, Michel says his role includes chairing the board of directors and to be a conduit between shareholders and the management. Along with Chenut, he is also the spokesman of Lacoste.

"Every day is different for me," he says. "I travel a lot from Paris, where Lacoste's headquarters are to New York, from Switzerland – where my family lives – to Beijing… I have the chance to meet many different people every day."

The key to Lacoste's success, he says, is being innovative while staying true to the values of the brand.

"When people see the crocodile, they think of high quality and authenticity," he says. "For over 75 years we have built a strong relationship with our customers that have remained loyal. And they know that no matter what the economic context, the high quality of our products won't change."


Profile

The story of the crocodile

"I was nicknamed 'the Crocodile' by the American press, after I made a bet with the Captain of the French Davis Cup Team concerning a suitcase made from alligator skin. He promised to buy it for me if I won a very important match for our team. The public must have been fond of this nickname, which conveyed the tenacity I displayed on the tennis courts, never letting go of my prey!" –René Lacoste

The creation of the polo shirt

In 1927, René Lacoste designed a batch of cotton shirts in a comfortable aired mesh which absorbed perspiration better for his own personal use. This shirt immediately revolutionised men's sportswear and quickly replaced the classical woven fabric players had worn on the courts until then.

Christophe Lemaire

Since 2000, Christophe Lemaire has been the artistic director of Lacoste. He is inspired by Rene Lacoste's elegance while adding his own taste for bright colours

Chrlstophe Chenut

Appointed as CEO in 2008 taking over from Michel Lacoste who continues to serve as president of the board

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