North Face 2013 Annual Report Download - page 13

for being a caring corporate citizen and an engaging
place to work — qualities that also make the brand
a natural fit with VF.
2013 was a breakout year for the Timberland® brand.
Leveraging two years of extensive consumer insights work,
we set out to introduce a new Timberland® brand to a new
generation. The research showed that, while consumers
worldwide loved the Timberland® brand for its heritage and
authenticity, they wanted more. More style. More new looks.
More energy. And that’s just what they got.
On the product side, the Timberland® brand introduced
its strongest collection ever, reflecting a new design
philosophy we sum up in three words: Style, Performance
and Green. We call it simply SPG. Style that’s relevant
to today’s consumer, but also true to the brand’s rugged,
yet refined, DNA. Performance that delivers benefits such
as comfort, durability and waterproof protection. And
green, through the use of recycled, renewable and organic
materials to reduce environmental impact. The result
is a truly ownable design formula that is now the
basis for all Timberland® brand product collections,
from footwear to apparel to accessories.
It’s a formula that came to life in the brand’s largest-
ever global marketing campaign: Best Then. Better Now.
Starting with the 40th anniversary of the iconic yellow
boot, the campaign reminded consumers of all they love
about the Timberland® brand, then introduced them
to a fresher, more modern head-to-toe style, setting the
stage for the brand’s next phase of growth.
The Timberland® brand has returned to strong growth
and profitability in North America, has maintained
momentum in Asia and has stabilized in Europe among
challenging economic conditions. Global revenues
were up 5 percent in 2013, compared with double-digit
constant dollar revenue growth in the Americas and
Asia Pacific regions, offset by a slight decline in Europe
where the brand took steps to position itself for stronger
future growth.
In the year ahead, we’ll continue to focus on our consumers,
combining their insights for direction on innovative and
relevant products with expertise from across VF. And we’ll
ensure that the Timberland® brand continues to tap the
value of VF’s business platforms to help drive success.
With an anticipated 10 percent five-year compound annual
growth rate, we expect the brand’s revenue to reach
$2.3 billion by 2017.
$2.3B
revenue expected in 2017
60%
revenue outside
of the U.S. in 2013