North Face 2013 Annual Report Download - page 27

At VF, business strategy, consumer insights and
innovation are all about making fact-based, well-
informed choices. But it’s not just about choosing what
to do; it’s also about choosing what not to do. We take
a disciplined approach to making choices that deliver
long-term consumer loyalty and value to shareholders.
And it all starts with understanding consumers and
defining what we must do to win their loyalty.
That’s because the consumer is our guide. We include
them in everything we do and constantly seek insights
into who they are, how they live and what unmet
needs they have. Those insights play a meaningful
part in defining our strategy and prioritizing our
actions across VF.
Our curiosity about consumer motivations, values
and needs is insatiable.
During the past four years we’ve conducted more than
1,000 video ethnographies and 3,000 in-person interviews
in homes and stores, as well as where our consumers
work and play. And we’ve surveyed more than 100,000
people regarding our top-seven brands in 15 countries.
We analyze … learn … and act on what we learn.
At The North Face® brand, for example, we partner with
enthusiasts on new product research and development.
We’ve gone on expeditions with them. They’ve opened
their closets and duffels to us; we’ve gone shopping with
them. That insight enables us to make sure our products,
marketing and messaging all ring true with them. What’s
more, it equips us to invest with the greatest likelihood
of success — to invest in winning opportunities at the
right place, at the right time.
Our other brands receive the same kind of attention.
For example, we’ve done similar work on the Wrangler®
brand with cowboys, workers and consumers in the
United States, India, China, Brazil and Europe. We’ve lived
on ranches for weeks at a time. That deep connection
has led to a global string of new products and upcoming
breakthroughs across our jeans brands. We learn and
share across all of our brands. That’s because we know
that the experiences and learning of one brand can guide
another brand to profitable growth.
Connecting with consumers drives innovation at VF.
And that innovation will be a major driver of VF’s ability
to reach $17 billion in annual revenue by 2017, helping
us shape the future of the apparel and footwear sectors
and deliver groundbreaking, sustainable products and
services that fit our consumers’ lives.
When the consumer wins, VF and our shareholders win.
ACCELERATING INNOVATION
“In 2013, VF announced the creation of three Global Innovation Centers. The teams of scientists,
engineers and technical designers who staff these centers will focus on game-changing product
innovations in jeans, footwear and technical apparel. Taking a One VF approach, we’ll be
combining proprietary insights into consumer needs with a deep understanding of technology
and new materials. The expected outcome? Breakthrough products that drive brand equity,
consumer loyalty and long-term growth.”
Stephen Dull
Vice President – Strategy & Innovation