Benetton Essay

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GLOBAL CEO n November 2002 Case Study n Benetton group: Unconventional advertising Senthil Ganesan* The purpose of advertising is not to sell more. It’s to do with institutional publicity, whose aim is to communicate the company’s values (...) We need to convey a single strong image, which can be shared anywhere in the world. – Luciano Benetton, Founder Chairman I am not here to sell pullovers, but to promote an image... Benetton’s advertising draws public attention to universal themes like racial integration, the protection of the environment, Aids... – Oliviero Toscani, Benetton Art Director and Photographer Benetton Group: Unconventional Advertising The group’s principal brands included United Colors of Benetton (UCB), Sisley, PlayLife, Nordica, Prince, Rollerblade, and Killer Loop. The Benetton family (comprised of three brothers and a sister) established the Benetton chain in a small Italian town in 1955. To support his family, Luciano Benetton (born 1935), dropped out of school to sell apparel. His sister Guiliana (born 1937) worked as a knitter in a local factory. Recognizing the potential for a new business, Luciano and Guiliana decided to start their own apparel company. They started off small by selling sweaters and as the business grew, the remaining two brothers joined in the activities of the company. Each of the four siblings took responsibility for one aspect of the business—Luciano concentrated on marketing; Guiliana directed the design department; Gilberto (born 1941) handled administration and finance; and Carlo (born 1943) managed production. As business picked up, the company entered into an agreement to open a store for the exclusive marketing of apparel. The first store was opened in 1969 and was an immediate success. B enetton Group is engaged in the manufacturing and distribution of clothing, undergarments, shoes, cosmetics

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