The headquarters of the company are located in Milan, Trebaseleghe, Italy. Moncler was initially known to produce quilted jackets as its prime product. Later it expanded its business to various lifestyle clothing for men and women, sportswear, and skiwear. This luxury retail brand is available online and in-store.
The brand operates worldwide in about 70 countries including the regions of Asia, America, Italy, and EMEA. In the year 2003, the company was purchased by Remo Ruffini and is currently under his rule.
Why is Moncler so expensive?
Being a luxury brand, it is very obvious for the products to be expensive. However, when compared to other luxury brands like Patagonia, Marmot, and Eddie Bauer, Moncler still stands a step ahead of them in case of being expensive. There are numerous reasons for a company to sell its products at a slightly higher rate. A list of reasons discussed below showcase why Moncler is so expensive:
Exotic products with limited availability: Moncler is one of those luxury brands that introduce exotic products into the market. These products are exceptionally manufactured by this specific brand only. This is the reason why most of its products like quilt jackets are completely sold off even before their official launch into the market.
Moncler, being a luxury brand, keeps its price in check to ensure its products remain exclusive. They manufacture the product in limited quantities so that the design does not become monotonous. The company thus maintains variability in its products and categorizes itself as an exotic brand. The high demand leads to a higher price.
Materials of superior quality: Moncler chooses the highest quality of materials for the manufacture of its products. The company does not compromise on quality. Some of the high-end materials used by them include coyotes’ natural fur for the production of winter coats.
Coyotes are not only of fine quality but also expensive and a bit difficult to obtain due to unethical harvesting practices. Moreover, Moncler also uses white geese down for the manufacture of down coats and Japanese nylon for jackets.
These materials not only make the product durable but also way too expensive. Such rare and lavish materials come at an extravagant cost, which ultimately makes the brand expensive.
Maintaining the brand value: One of the major reasons why Moncler is expensive is that the brand constantly needs to maintain its brand value in the market. Each luxury brand focuses on creating a specific niche for itself in the market that cannot be taken away by any other brand. The price needs to be way ahead of other competitive brands.
The brand Moncler witnessed its first hit in popularity in the year 2003 when Remo Ruffini owned Moncler and introduced it at the Milan Stock Exchange. As the brand grew popular, it started leveling up its prices.
Effective marketing strategy: The brand exercises an effective marketing strategy by targeting specific demography of customers. Since the brand is a luxury brand, it is not for every class of society.
Moncler designs its products following the taste of the elite class of society. The company understands that the brand is affordable only for specific demography, and they would spend any amount to get the exclusive products from Moncler. Thus, the company freely prices its exclusive products without any limitations.
Locations of manufacture: One of the prime factors for Moncler being expensive is the locations of its product manufacture. Most of Moncler’s products are manufactured in locations like Georgia, Romania, Moldova, Hungary, and Armenia. Basically, its products are manufactured in Europe and not in Italy or France.
The brand is careful about getting the best quality for its products rather than going for cheap manufacturing locations like China. Europe is considered to be much more expensive than the Asian countries where labor is available at economic rates.
Exercising earth-friendly practices: When a brand operates on a global level and is ranked among some of the most renowned names in the industry, it becomes its responsibility to maintain sustainability in the environment. The brand has been practicing eco-friendly methods for its operations.
Moncler has invested a huge sum to diminish its adverse impact on the environment. They try to source most of their material via sustainable means. The company needs to put in extra effort when it comes to saving the environment. For example, Moncler has been using paper bags manufactured out of recycled materials, and the least possible amount of toxic chemicals.
Does Moncler use real fur?
Yes, currently Moncler has been using real fur in most of its jackets and warm apparel. The brand uses both genuine as well as faux fur. The jackets and coats manufactured by Moncler are renowned for their warmth and softness.
The company sources fur from coyotes and white geese. However, Moncler recently announced to go fur-free from the year 2024. It would be a commendable step taken by a luxury clothing brand towards a cruelty-free future. This step was a result of the efforts of the activists of PETA.
Conclusion:
Well, it is a very obvious thing for a luxury brand to be expensive. It is no surprise that the brand produces goods with prices reaching the sky. Summing up all the above-stated reasons, the pricing of Moncler is appropriate in its place.
The brand is not for day-to-day use for people who want to stick to their budget. However, if you want to go for the finest quality with elite styling, Moncler is worth every penny!
- What is the global net income of Moncler?
Moncler’s global net income was estimated to be €300.4 million by the end of the year 2020.
- Who are the top competitors of Moncler?
The current top-notch competitors of Moncler include Dolce & Gabbana, The Box Fashion, and HanesBrands.
