Analysis of the Competitors
The founders of NOMO listed their biggest competitors as follows, when asked to rate from 1 to 5 (1=never heard of, 5=our biggest competitor). The following were ranked as 4 or higher either by one or both of the founders:
1. Liu Jo
2. Diesel
3. Hilfiger Jeans
4. Filippa K
5. Nudie Jeans
6. Replay
7. Tiger of Sweden
8. Boss
9. Calvin Klein Jeans
Competitors in Sweden denim market
Sweden has a long and well rooted Jeans culture and the industry has many competitors. In addition to the global denim brands, there are many well established Swedish jeans brands that are doing well not only in Sweden, but abroad as well: Nudie, Cheap Monday and Acne. There are also well-established smaller denim brands that are doing very well in Swedish markets: Dr. Denim, Julian Red, Pace and Uncut Version.
According to Peter Lind (Swedish product manager at Lee) Swedish Denim brands are very popular at the moment. The expression “Swedish denim miracle” refers to an explosion of Swedish brands appeared on the market over the last ten to fifteen years and sell very well not only in Sweden but also abroad.
Among all these brands and clothing companies that target the same consumer group as NOMO the ones that can be considered more direct competence for NOMO in Swedish market are Nudie and Acne.
Nudie Jeans: Nudie Jeans is a Swedish premium clothing brand founded in 2000 by designer Maria Erixon. Nudie specializes in raw and prewashed denim jeans, though the company’s collection includes many other items of casual clothing and accessories. Nudie Jeans is a strong competitor in Swedish market. A couple of years later she added the girl’s brand Denimbirds. Today, the company retails at 20 million Euros, which makes them the most successful Swedish apparel company ever. They have wide selection for fits for different body types. As one of Sweden’s best known denim retailers, Nudie jeans have a fit for just about every figure type and with numerous different washes to consider. http://www.nudiejeans.com/
Acne: A Swedish fashion house that has met with great success all over the world, using its trendy and innovative jeans collection as a starting point. The first collection consisted of only 100 pairs, which were distributed to friends and acquaintances. But the demand for more jeans was tremendous, and so Acne Jeans was born. Today Acne makes entire women's and men's collections, including shoes and accessories. The flagship store is on Norrmalmstorg square in downtown Stockholm. http://www.acnestudios.com/
Of the global brands Liu Jo does not currently have a store in Sweden; however the clothes can be purchased from several online stores that deliver to Sweden. Diesel, of course, is a very strong competitor and has been in the business so many years and doing well that it is difficult to find a company now that can shadow it. Also, such brands as Replay, Guess Jeans, Levi’s and Seven Jeans are well established brands, and as such are potential competitors for NOMO, However, the Swedish consumers appreciate well-made jeans with clean lines and personal detailing, thus the domestic brands in Sweden are bigger competitors for NOMO. In addition, NOMO has a very unique selling point and competitive advantage by supplying a superior service to customers in the form of made-to-measure jeans. In Swedish denim market there aren’t other companies that provide made-to-measure jeans for mass markets.
Sweden could be very potential market for NOMO. Sweden takes great pride in being a good test-market for new products; democratic and honest; a little anxious but at the same time sensitive to new trends. According to Andreas Åhrman (sales and marketing director at Nudie Jeans), many denim trends are invented in Sweden and Swedish consumers are quick to adopt new trends, thus Swedish markets work as a good playground to see what products and concepts work. This would indicate that Sweden could be a good market for such innovative products as NOMO offers.
SOURCES:
What is the average price of Nudie Jeans?
ReplyDeleteYou've posted many updates this weekend, impressive work :-) I like your competitor analysis. Maybe emphasize NOMO's competitive advantage more, and how it can sustain it or develop new one(s). Also, even if Sweden might be a good test market, it can't be just that for a small player like NOMO. Anyway, all in all, your analysis seems relatively comprehensive, and it's great you've had an opportunity to talk to NOMO directly. I'm looking forward to your final conclusions tomorrow :-)
ReplyDelete- Antti
As a comment on the entire material overall, I really like your analysis, especially the comprehensive coverage of competitors. I also like the fact that you covered possible store locations a lot.
ReplyDeleteYou also point out why your offering is unique quite well and have some good analysis about Stockholm. I might have missed it, but it might be interesting for you to look at other big cities besides Stockholm as well, although for a relatively small brand like the one you have just going to Stockholm initially might be the most reasonable choice.
Best regards,
Petteri J.