From zero to Hero
Fashion: Powerful messages, massive investments, smart pricing strategy—Strellson’s rise in a shrinking market is the result of consistent brand management.
Fashion Strong messages, massive investments, clever price positioning: Strellson's rise in a shrinking market is the result of consistent brand management. For example, the colored man with a mottled grey Rasta hairstyle who was out and about in some major city in the mid-1990s wearing a Strellson wool crepe suit. Those were the years when multiculturalism was the trend. The advertising campaigns of the time - with double-sided testimonial-style subjects featuring strong personalities from major cities - shaped the aura of the Strellson brand. The deliberately harsh black-and-white photo style also lent the image a reportage-like authenticity. The brand suggested individualism with a product that is ultimately interchangeable. Strellson's designs revolved around the men's suit, reduced to its basic elements. A young executive might need ten of these in his wardrobe at home. Strellson offered him good quality, the added value of a "cool" brand and a price that was just half that of Giorgio Armani and still significantly lower than Hugo Boss. So there was simply no reason not to buy Strellson. As a result, sales doubled between 1998 and 2004 alone. Ten years ago, the brand was still present in 20 countries; today it is already present in 35.
Long-term brand developmentWith increasing success and the parallel expansion of the product range, the brand's self-image has also changed. The former menswear supplier now defines itself as a lifestyle label. And "Strellson of Switzerland" became simply "Strellson".
What has remained is the image campaign as the backbone of a clear pull strategy, for which up to 20 percent of annual sales are invested. In other words, Strellson is backed by people for whom long-term brand development has always been more important than short-term returns. Advertisements in lifestyle, political and business publications are still the central medium for Strellson's messages. These still revolve around the theme of "Modern Heroes". Every season, a symbolic figure is still "cast" from the street in a different cosmopolitan city.
The 2005 summer fashion is presented by a certain Asaf Youbiner, an event manager from New York. Such continuity in the communication strategy is rare in the fashion industry. "Marlboro has shown how effective such a long-term concept can be," says Strellson CEO Reiner Pichler.
On closer inspection, however, it is clear that this central campaign has also been subtly adapted to the brand development. The once strikingly provocative black and white has given way to moderate color photography. And the selected models also appear to be a little more interchangeable or more acceptable to the majority than before.
The Rasta Man from the 90s would hardly make it onto the Strellson image ads today. This focus on a broader target group is the logical consequence of the company's success. "Audi is very close to our lifestyle," Pichler recently told the NZZ am Sonntag. The focus on the "young middle class" is particularly evident in sponsoring. For years, Strellson mainly set local accents in this area, supporting the avant-garde Jazznojazz festival in Zurich, for example. In 2002, the company catapulted itself onto the international sponsorship stage with a spectacular coup. Strellson became the clothing partner of Real Madrid. Since then, contemporary icons such as David Beckham and Luis Figo have appeared at official club events in suits designed in the Thurgau border town of Kreuzlingen.
Straehl becomes StrellsonKreuzlingen is not exactly Paris. While in the fashion metropolis you "store" in the Lafayette department store, in the small town on Lake Constance you can only meet in the Coop Center. But at least the Saturday flea market has a touch of Puces de Saint-Ouen about it and the park by the lake is almost as pleasant to stroll through as the Jardin du Luxembourg.
In 1984, the brothers Uwe and Jochen Holy bought the Friedrich Straehl coat factory in Kreuzlingen. At the time, the Holys wanted to integrate the company into their Hugo Boss empire. A few years later, they sold Hugo Boss but kept the Kreuzlingen-based company. In the following years, the company mainly produced on behalf of other labels. In 1993, the Holy brothers decided to establish the Strellson brand as an international fashion brand. This was to be priced below competing brands such as Boss, Joop or Kenzo, but at the same time be more expensive and more exclusive than the national or even local labels popular at the time (for example Ritex in Switzerland). To help this concept achieve a breakthrough, they brought Reiner Pichler from Hugo Boss, who was not yet 30 years old at the time, to Lake Constance.
Today, Strellson is experiencing a real growth spurt. In the winter of 2003/2004, the company surprisingly launched a "Swiss Cross Jacket" in a limited edition of 3000 pieces. The lining of the jacket was made from Swiss army wool blankets dating from 1920 to 1940. An army knife chained to the jacket and a new logo in the shape of the Swiss cross completed the military feel. With such themed experiments far removed from the safe classics, Strellson is treading on thinner ice.
The cross brought luckAfter all, the fall of the Jordi empire had already shown that playing with the Swiss national insignia is not entirely risk-free. But the Swiss cross has brought Strellson luck so far. Indeed, the reaction to this campaign was so positive that Strellson decided to produce complete sportswear collections under the Swiss Cross label in future. At the same time, collections in the areas of shoes, underwear and travel bags were also launched on the market.
Does the rapid line extension indicate that the owners of Strellson now believe the time has come to reap the rewards of ten years of development work? "The expansion of the product lines does not necessarily have to dilute the identity of the brand. What we are aiming for is exclusivity across the board. If our shoes are in 20 very good shoe stores, this promotes our image. If they can be found in 400 stores, on the other hand, it damages the brand. Exclusivity always has to do with scarcity. How Strellson is perceived is therefore not only determined by communication. A clear distribution policy is just as important," says Reiner Pichler and adds: "It is crucial that a brand is actively managed and does not become a pawn in the market. That is hard work."
Parallel to the line extension, Strellson has also modified its communication strategy. While the traditional image advertising continues to revolve around the classic business look, supplementary product campaigns are focusing on individual leading articles. In the casual segment, the aim is to repeat the success of the Swiss Cross jacket with the so-called Swiss Protection Parka. This high-tech garment has an integrated FM radio with headphones and a combination lock to secure the parka. A year ago, Strellson launched a "business class package" consisting of a cotton shirt, wool suit and silk tie, all crease- and wrinkle-free, but equipped with extras such as a special inside pocket for airline tickets and passports. In future, such an innovative reference product will be selected from each collection and promoted internationally.
Individual strategiesAlthough Strellson now has a variety of products that would make a monostore concept possible, the company is clearly focusing on shop-in-shop solutions in leading specialist stores and department stores in its European core markets. The Strellson protagonists know that their brand has the best chance of succeeding in direct comparison with the competition thanks to the good balance between image, quality and price.
In order to celebrate Strellson fashion in the best possible ambience, a design competition was held in 2004. This was won by Vitra/Vizona in Weil am Rhein, whose restrained concept in the colors black, grey and white consistently places the fashion at the center.
In the main markets of Switzerland and Germany, Strellson's market penetration is now so high that future efforts will have to focus increasingly on maintaining this position. Reiner Pichler sees growth potential in France and England, for example. However, these are also two completely differently structured markets. "The French market is dominated by individually operating retailers, so it is clearly 'product driven'. A lot of persuasion is needed here to get retailers to back the Strellson brand. The English market, on the other hand, is 'brand driven'. Strong chains dominate here. Strong communication must trigger the pull effect that ultimately leads to a purchase," says Pichler.
The man behind the "Strellson success story" knows: "Even if the Strellson brand is better anchored internationally than ever before, this does not guarantee success. It is just as important that we find a tailor-made marketing and distribution strategy for each potential growth market".
Flying highThe trained businessman Reiner Pichler comes from Bavaria and was sales manager at Hugo Boss before the brothers Jochen and Uwe Holy brought him to Kreuzlingen on Lake Constance as CEO of Strellson in 1993. Under the now 42-year-old, the brand really took off. Strellson achieves double-digit annual growth rates in the shrinking clothing market, with sales doubling between 1998 and 2003 alone.
The NZZ am Sonntag estimated Strellson's turnover for 2004 at around 150 million Swiss francs. The company employs a total of 400 people, 125 of whom work in Kreuzlingen, where the management, marketing, design, quality control and logistics departments are based. A new logistics center was completed here in 2002 at a cost of around 30 million Swiss francs.
Strellson took over the European license for the Tommy Hilfiger Tailored Clothing brand back in 1999. In addition, the German brand Windsor is to be managed from Kreuzlingen in future. Cooperation with the Joop brand, in which the Holy brothers hold a significant stake, is also to be strengthened.
In 2004, Strellson launched a second sportswear collection in addition to the classic menswear collection. (tv)
Turning to the young middle class: The Rasta Man (above) is passé, while the models in the current campaign (below) are more popular.
Thomas Vaterlaus
Long-term brand developmentWith increasing success and the parallel expansion of the product range, the brand's self-image has also changed. The former menswear supplier now defines itself as a lifestyle label. And "Strellson of Switzerland" became simply "Strellson".
What has remained is the image campaign as the backbone of a clear pull strategy, for which up to 20 percent of annual sales are invested. In other words, Strellson is backed by people for whom long-term brand development has always been more important than short-term returns. Advertisements in lifestyle, political and business publications are still the central medium for Strellson's messages. These still revolve around the theme of "Modern Heroes". Every season, a symbolic figure is still "cast" from the street in a different cosmopolitan city.
The 2005 summer fashion is presented by a certain Asaf Youbiner, an event manager from New York. Such continuity in the communication strategy is rare in the fashion industry. "Marlboro has shown how effective such a long-term concept can be," says Strellson CEO Reiner Pichler.
On closer inspection, however, it is clear that this central campaign has also been subtly adapted to the brand development. The once strikingly provocative black and white has given way to moderate color photography. And the selected models also appear to be a little more interchangeable or more acceptable to the majority than before.
The Rasta Man from the 90s would hardly make it onto the Strellson image ads today. This focus on a broader target group is the logical consequence of the company's success. "Audi is very close to our lifestyle," Pichler recently told the NZZ am Sonntag. The focus on the "young middle class" is particularly evident in sponsoring. For years, Strellson mainly set local accents in this area, supporting the avant-garde Jazznojazz festival in Zurich, for example. In 2002, the company catapulted itself onto the international sponsorship stage with a spectacular coup. Strellson became the clothing partner of Real Madrid. Since then, contemporary icons such as David Beckham and Luis Figo have appeared at official club events in suits designed in the Thurgau border town of Kreuzlingen.
Straehl becomes StrellsonKreuzlingen is not exactly Paris. While in the fashion metropolis you "store" in the Lafayette department store, in the small town on Lake Constance you can only meet in the Coop Center. But at least the Saturday flea market has a touch of Puces de Saint-Ouen about it and the park by the lake is almost as pleasant to stroll through as the Jardin du Luxembourg.
In 1984, the brothers Uwe and Jochen Holy bought the Friedrich Straehl coat factory in Kreuzlingen. At the time, the Holys wanted to integrate the company into their Hugo Boss empire. A few years later, they sold Hugo Boss but kept the Kreuzlingen-based company. In the following years, the company mainly produced on behalf of other labels. In 1993, the Holy brothers decided to establish the Strellson brand as an international fashion brand. This was to be priced below competing brands such as Boss, Joop or Kenzo, but at the same time be more expensive and more exclusive than the national or even local labels popular at the time (for example Ritex in Switzerland). To help this concept achieve a breakthrough, they brought Reiner Pichler from Hugo Boss, who was not yet 30 years old at the time, to Lake Constance.
Today, Strellson is experiencing a real growth spurt. In the winter of 2003/2004, the company surprisingly launched a "Swiss Cross Jacket" in a limited edition of 3000 pieces. The lining of the jacket was made from Swiss army wool blankets dating from 1920 to 1940. An army knife chained to the jacket and a new logo in the shape of the Swiss cross completed the military feel. With such themed experiments far removed from the safe classics, Strellson is treading on thinner ice.
The cross brought luckAfter all, the fall of the Jordi empire had already shown that playing with the Swiss national insignia is not entirely risk-free. But the Swiss cross has brought Strellson luck so far. Indeed, the reaction to this campaign was so positive that Strellson decided to produce complete sportswear collections under the Swiss Cross label in future. At the same time, collections in the areas of shoes, underwear and travel bags were also launched on the market.
Does the rapid line extension indicate that the owners of Strellson now believe the time has come to reap the rewards of ten years of development work? "The expansion of the product lines does not necessarily have to dilute the identity of the brand. What we are aiming for is exclusivity across the board. If our shoes are in 20 very good shoe stores, this promotes our image. If they can be found in 400 stores, on the other hand, it damages the brand. Exclusivity always has to do with scarcity. How Strellson is perceived is therefore not only determined by communication. A clear distribution policy is just as important," says Reiner Pichler and adds: "It is crucial that a brand is actively managed and does not become a pawn in the market. That is hard work."
Parallel to the line extension, Strellson has also modified its communication strategy. While the traditional image advertising continues to revolve around the classic business look, supplementary product campaigns are focusing on individual leading articles. In the casual segment, the aim is to repeat the success of the Swiss Cross jacket with the so-called Swiss Protection Parka. This high-tech garment has an integrated FM radio with headphones and a combination lock to secure the parka. A year ago, Strellson launched a "business class package" consisting of a cotton shirt, wool suit and silk tie, all crease- and wrinkle-free, but equipped with extras such as a special inside pocket for airline tickets and passports. In future, such an innovative reference product will be selected from each collection and promoted internationally.
Individual strategiesAlthough Strellson now has a variety of products that would make a monostore concept possible, the company is clearly focusing on shop-in-shop solutions in leading specialist stores and department stores in its European core markets. The Strellson protagonists know that their brand has the best chance of succeeding in direct comparison with the competition thanks to the good balance between image, quality and price.
In order to celebrate Strellson fashion in the best possible ambience, a design competition was held in 2004. This was won by Vitra/Vizona in Weil am Rhein, whose restrained concept in the colors black, grey and white consistently places the fashion at the center.
In the main markets of Switzerland and Germany, Strellson's market penetration is now so high that future efforts will have to focus increasingly on maintaining this position. Reiner Pichler sees growth potential in France and England, for example. However, these are also two completely differently structured markets. "The French market is dominated by individually operating retailers, so it is clearly 'product driven'. A lot of persuasion is needed here to get retailers to back the Strellson brand. The English market, on the other hand, is 'brand driven'. Strong chains dominate here. Strong communication must trigger the pull effect that ultimately leads to a purchase," says Pichler.
The man behind the "Strellson success story" knows: "Even if the Strellson brand is better anchored internationally than ever before, this does not guarantee success. It is just as important that we find a tailor-made marketing and distribution strategy for each potential growth market".
Flying highThe trained businessman Reiner Pichler comes from Bavaria and was sales manager at Hugo Boss before the brothers Jochen and Uwe Holy brought him to Kreuzlingen on Lake Constance as CEO of Strellson in 1993. Under the now 42-year-old, the brand really took off. Strellson achieves double-digit annual growth rates in the shrinking clothing market, with sales doubling between 1998 and 2003 alone.
The NZZ am Sonntag estimated Strellson's turnover for 2004 at around 150 million Swiss francs. The company employs a total of 400 people, 125 of whom work in Kreuzlingen, where the management, marketing, design, quality control and logistics departments are based. A new logistics center was completed here in 2002 at a cost of around 30 million Swiss francs.
Strellson took over the European license for the Tommy Hilfiger Tailored Clothing brand back in 1999. In addition, the German brand Windsor is to be managed from Kreuzlingen in future. Cooperation with the Joop brand, in which the Holy brothers hold a significant stake, is also to be strengthened.
In 2004, Strellson launched a second sportswear collection in addition to the classic menswear collection. (tv)
Turning to the young middle class: The Rasta Man (above) is passé, while the models in the current campaign (below) are more popular.
Thomas Vaterlaus
