arWelcome to our house. Today, we are here for the third Capital Markets Day, and the first one for Moncler Group, our 2022 Capital Markets Day. As you can see from the agenda that should come out, here we are, we have quite a busy day. Our leadership team will take us through the many actions, challenges, ideas, but strategy visions that we have for both our brands. For Moncler in the morning, and you will see the people that will talk in the morning, and, in the afternoon, we have our Stone Island friends, people and, the Q&A. Sorry, the Q1 results, not the Q&A. Just before going into the presentation, I would like to share with you a couple of important, very important information. Actually, I don't see the Chair on the stage, but let's see.
First of all, we wanted this Capital Market Day to be carbon neutral, as we are since last year in all our premises, in all our stores, in all our operations, and in all our offices. This is our showroom. Not only. Thanks to the collaboration that we have with WAMI, and I think you saw the bottle in the café when you got coffee, we have donated 250 L of water for each of you to people, to communities that do not have access to water or do not have easy access to fresh water. Actually, when I first knew and when I first understood, the 250 L is actually the amount of water that each of us use every day. For many communities, this is really a luxury.
Third, and unfortunately, I don't see the Chair on the stage, so I just ask somebody to take a Chair on the stage. We have made the chairs that somebody will take right now with our nylon scraps. We have recycled and made the chairs with our scraps. You can see not only this, but you can see many other things that we made with recycled nylon, wood, wool, many other things in the innovation room that is on the back here. Here you have a lot of nice products, but on the back there is also our innovation sustainability room. Here you can see really what we are doing in terms of innovation and in terms of sustainability. One important things, in that room, please do not take any picture. Finally.
Actually, yes, I was forgetting. You have a fact sheet on your chairs. There is a QR code. If you scan the QR code, you will have access to Q&A session. We will take Q&A through this app, these systems, and we will read it here. You can make Q&A during the whole day. One of your questions will be made after each presentation. Of course, we have three sessions for Q&A only. We will ask all your questions. You can make Q&A any time. This is it. We are ready to start. To start, I would like our Chairman and CEO, Mr. Remo Ruffini, to come on the stage.
Good morning, everyone. Good morning, ladies and gentlemen, and thank you to be here with us, today. Today, more than ever, we are in a great need of connecting to one another. Our ambition are exciting, and we know we cannot achieve them if we are alone. We must create an always-on dialogue with people inside and outside our company, based on mutual respect and understanding. Life is puzzling, and only now we realize how different and better it is when we can be all together. Being here with you today is key to share our vision and listen to your comment. I have always cared for feedback, and I always look for feedback from our employees, our clients, and from your business community.
Along the years, feedback from our clients help us to improve a lot and fine-tuning our strategy. You remember, most of you remember when we went public almost many years ago, 2013. We say survive fashion and always introduce a radical concept. We kept what we said, and we are going to beyond fashion and beyond luxury. Last time we met, we introduced our milestone, Moncler Genius. Today, our new chapter is based on a brand vision made of three dimension, Moncler Collection, Grenoble, and Genius. These are unique combinations, and through them, we will reach a bigger and broader audience. In 2018, Moncler Genius was a new approach. We asked different creative people to speak the Moncler language with their collections that are released on a rolling calendar.
With Moncler Genius, designer stay true to their signature while combining their skill with the DNA and identity of Moncler. Today, Moncler Genius has become a hub of creativity, freedom, and global communication. I strongly believe in the Moncler Genius model and in its perennial development. From today, Moncler Genius means also music, art, movies, sports, and honestly, much more. That way you combine them makes, again, the brand unique. Yet, invention and innovation are not enough. You have to find a right combination with people. Moncler Genius change our mindset and inspire us to develop every project as a digital first and then recombine it with all our other channel. The three dimension on the brand will inspire us to push our limits of interaction with people through each and every platform. We keep fine-tuning because we believe that understanding is next to loving.
Moncler Genius was our first step towards our current three-dimensional vision of brand that keeps uniqueness and heritage while leveraging on one-to-one interaction and culture. Our future will be built on a perfect blend between what we have learned and what we dream for this brand. Our brand dimensions will develop in the future through their distinctive approach. The next phases of our Moncler brand is made by three pillars: Be a community magnet, go one-to-one, one-for-all digital, have embedded sustainability. We bring them across everything we do while we move to a new concept of luxury. Community means shifting from the traditional customer-centric and aspirational concept of luxury to a culture-focused approach. Community means being able to inspire and being inspired. Consumers are simply people who have a transactional relation with the brand that just come and go.
We believe in the power of building and engaging with communities through long-term relationship. Being a member of community is so easy, so natural, and so human. Community is not just a place. Community is not just a building, an organization, or an exchange of information over the web. Members of community have a sense of trust, belonging, and care for each other. The sense of community comes from shared experiences, stories, history, and common culture. This feeling is fundamental to human life, and authenticity is a must. In the near future, we will focus on finding new and authentic ways to build and engage more and new communities. Moncler now entering in a new era. All communities have their own home. We have to be where communities are and create spaces where people can join in and belong to.
Communities is in the most influential cities, and specific venues are the source where culture and subculture originate, spread, and become part of our life. This energy is the source of inspiration and growth for Moncler. We will go beyond tier-one city in their traditional luxury districts. We will keep on searching those city and subcultures that are not only physical, but also digital, and that can help us bring our brand to the new different places. We will be in those cities and space with tailored formats, bigger surfaces, and dedicated merchandising. For us, communities are also playing a role in shaping the digital space since digital interaction keep evolving. Technology has made communities possible in ways that sounded unreal just few years ago.
Just thinking that some multi-brand stores have been evolving not only into key retailers, but also into a real authenticator of specific communities. We will be part of their ecosystem with a distinctive partnership model that will create additional value and brand loyalty. Communities also united around iconic categories. For example, has been growing very nicely since last year, but still well below its real potential. Now we are ready to take up this challenge. We know that sneakers are a must for our Moncler communities. We also know that footwear will help us to unleash the U.S. market. Finally, I believe that the store will keep on playing a role in providing brand experience, while our true challenge now is creating a physical and digital experience that speaks the same language.
Let's say client advisor and our digital platform will be crucial in shaping relationships, building our communities and playing the role of brand ambassador, storytellers, style advisors, and source of inspiration. Let's not forget that communities unite and live around meaningful people. This is why we believe in more than just influencers, but also in those who have the power to elevate our voice and boost the values of the brand. This is something you will be able to see and feel and experience across all the upcoming Moncler and unique moments. Meaningful people are also those who are not only able to create and make communities evolve, but inspire at the corporate level, too.
In order to fully understand different communities, our Board of Director, now new Board from yesterday, now include the Boards, both corporate professional and expert in different cultural background and skill. We feel that this will allowed us to achieve a better understanding of the different cultures because we want to keep people attention. Catching people attention and being more culturally relevant for us is really key. Provide a more elevated and distinctive brand experience is focused on the idea that community means really everything. This is the era of distraction. The attention economy is the challenge we face, and cultural loyalty is what we aim to. Now our second pillar is, sprinkling digital everywhere. Yes. Yes, everyone.
We believe that digital is an incredible enabler inside and between Moncler and our communities way beyond a simple like, a single comment, or a transaction. What do we have to do now? First, this must be like a spring , I wanna say again, [springred] first inside our company. Since experience comes first for us, if we can give the same experience on digital that we can provide in our stores, we'll be able to catch many more communities and work much better. We are already developing a unique experience between physical and digital with the same language, energy and approach. Now, we have a strong digital culture, we have a much bigger digital strategy than before.
I don't want to talk about today about metaverse or NFT, but only remember the 2021 MondoGenius event was an incredible example of how much going digital can help us to reconnect with millions of people around the globe. This is why we are now going to a level of one- for- one, one- for- all connection, both in digital and physical. Digital and physical must be the same space, bringing community to experience Moncler on a completely new level. Now, we have the third pillar. Third pillar is another important point for us is inborn sustainability. I often ask, why commit to sustainability? I've always answer, because it's right, it is a responsibility that we cannot avoid. I believe we have made big achievements along the years.
The fact that we are for the third year in a row ranking first in Dow Jones Sustainability Index tells me that we are going in the right direction. What we have achieved yesterday, we know is not enough for tomorrow. Challenges facing our planet today demand that we do more. Bold decisions are needed to fight against the great challenges, the protection of our planet. Finally, we know that we need humility and ambition to move the mountain. We want to give new generation hope and not empty statement. Next gen people ask for next gen materials and next gen ways of doing business. Sustainability must become an inborn attitude and a standard followed by all of us. This is why we believe that the culture of sustainability cannot just be in an office, but should be one of the ordinary elements of our life.
Now, go to the point. Now, ladies and gentlemen, let's start talking about Stone Island. Today is the first meeting of Moncler Group, basically. I use always this word, time has come now for sing louder. Every ambition really counts. When Stone Island joined us, I thought, how loud Stone Island can sing. Stone Island is an expressive potential on the basis of the cultural status of the brand. I realized that a new world could be built. Stone Island, Stone Island's future is bright and clear, with a strategy based on three fundamental pillars. From logo to brand, from distributors to client culture, and move or try to move Stone Island into this what I call new luxury world. What does it means, logo to brand?
Move the company from logo to brand, building a new world around identity and value, use your tone of voice with your communities, and turn your product into a value proposition with a strong visual identity. We will drive brand awareness in all our existing and new core markets, leveraging on subcultures to make our communities stronger. We'll take merchandise to the next level to better serve our future retail strategy and target audience. We'll create new levels of experience, both digital and physical, based on the four current Stone Island assets, and are very much connected with their DNA. We make technological experimentation and lower impact materials at the core of our innovation.
Another clear direction is that we want to own our market, reducing friction with our audience in order to have a direct relation with them, together with a better understanding and knowledge. What I realize every day is that I do not see ourselves, and I always say to Carlo this since day one, as a Group, but as a family, and we share vision, passion, and common understanding. We have connected some of of the Moncler and Stone Island corporate functions to support the business and allow synergies and sharing of know-how. On this point, I wanna be very clear. We are learning a lot from each other, combine our respective knowledge, but Carlo Rivetti and I believe in change as an evolution, not a revolution, and also in the importance of caring for the history of both brands.
Stone Island and Moncler are different brands, talk to different communities and in distinctive ways. This is why sharing will never be at the expense of our individual identities. We share ambition. Although we have a different DNA, each of us has their own communities, uniqueness, product, and engagement strategy. We shall never compromise on this. I apologize now. Where is Paula? I apologize now for not having talked about Moncler and Stone Island revenue ambitions. As always, I do not consider economic success a real target, but a consequence of a clear vision and excellent execution. What I can tell you today is the result of a combination of actions. We will never take a shortcut. We will be bold, but not blind. We will be connected and emotional.
We'll be committed to minimize our environmental impact and maximize our social one. We'll go far beyond fashion, beyond the luxury as usual. I thank you for your attention, for being part of our community today, and celebrate our endless combinations, and please sing loud with us. Thank you very much.
Okay, not easy to take the stage now, thank you. Thank you, Remo. Okay, as I said before, that's the morning is dedicated to Moncler brand. To talk about Moncler brand, I will ask Gino Fisanotti, our Chief Brand Officer, to join the stage. Before Gino joins the stage, we will see a video on the best of the last 88 days for Moncler. Thank you.
Okay. Good morning. How's everyone doing? Okay? Yes? Okay. First of all, big pleasure to be here today. Have the chance to meet some of you last night, and hopefully I get the chance to meet other people today as well. Super excited to be here. Super excited to share with you where, as Remo mentioned now, where the brand is going. Of course, we start off a great foundation, but I think everyone is curious, as far as I heard last night, about what are the opportunities we can tackle as we start moving forward. Again, if we think about this idea of who we are, I think it's important to start from the very beginning, right?
I think when we think about evolving, which is always perfecting on the base of what we have done so far, you can see that this brand have been evolving over the decades very much, right? We are about to turn 70. Everything started in 1952 with a sleeping bag, right? We were providing a sleeping bag for people who were climbing the highest mountain in Europe. From there, we became a ski icon. End of 1960s, 1970s, we were sponsoring French Federation in the Olympics, to then moving to becoming a city icon, probably for Italians are more familiar with Paninari, 1980s, 1990s, etc.
To then start going into the first fashion shows and the start of the evolution, of course, that Remo mentioned today when the brand became public, and then the biggest changes start happening with the entire retail reset, and of course, as Remo mentioned today, the launch of Moncler Genius. That said, I think the last piece I wanna remind everyone is last year was a very important year for us, not only because of the brand, not only because of the beautiful things we saw for the past six months, but because Moncler was able to internalize all our digital efforts. This happened just few months ago, right? I don't think we need to lose sight of that. I think it's the integration, of course, of our moncler.com globally, and of course, the Moncler App, who is a mirror to moncler.com.
I think, as we mentioned, I think the most important thing for us is to start thinking about, okay, how we can start moving into the new phase. I always say it's important for us as we go to a new phase to build on top of the incredible things that this brand have done over the years. For us, it's very important to think about the future heritage of this brand, right? It's not about, I think, Remo just mentioned, it's not about revolution, it's an evolution, and evolution means improving, getting better at what we do, and tackle new opportunities. That's why if we really wanna go forward, it's important for us, and I wanna level set this with all of you about, okay, who we are, what we're trying to do, right? What is our objective?
Talking about that, I think we always talk about three words, right? We believe, based on the potential of this beautiful brand, that we can be definitely the most authentic, the most meaningful, and the most distinctive brand on Earth. Why? Authenticity, we just talk about that. We truly believe that this is the core of who we are, the DNA of who we are, and we never want to move away from that. Meaningful in terms of the emotion we wanna generate on people, how we can connect, how we can make you feel the brand on daily basis. Distinction, for sure, is not only about the distinctive product that we already have, but how we can have a distinctive voice in the market that people can truly recognize. If we think about that, I wanna share with you, okay, what is our why?
What is our North Star? Maybe if I go around here, many people knows this brand for many years, maybe I will get different answers, and I think it's good for us to level set, so we can all sing louder together in terms of the same things we wanna say about the brand. Before we go there, I think Remo mentioned something that I personally found super interesting when I joined the company, which was this picture, right? You will see some of them on stage today. You saw Paola is there, you saw Remo is there, you will see Luciano is there, and a few other members of the team. This statement was done the day the company became public, right?
Remo said, "Moncler will be able to survive as long as we're able to survive fashion." I remember going to Remo's office saying, "Is this true? Is this a mockup? How was this?" We have this conversation. I only found this extremely interesting for the time being at that time, but I think it still remains true today, right? I think this is why I wanna share the first statement with you about, we believe that we are not a luxury brand. Pause. I said-- The guy said that? Yes, I said that. We are saying this because we're putting this in between brackets for a reason. Because, of course, we believe that we belong to the luxury world.
At the same time, as Remo mentioned a few seconds ago, we truly believe that we are way more than just that we go way beyond luxury, that we go way beyond fashion. This is something that make us internally start thinking about who we really are, right? How we can describe ourselves. It's not easy. This, after a lot of internal debates and a lot of conversations, we land on this idea that we believe we are the brand of extraordinary. You will say probably, "Gino, you know, yeah, very nice word, exciting. Does that make sense?" I will say, if you start looking to the history of this company, you will find that nothing was really ordinary here from the very, very beginning.
That's why this process led us into a lot of conversations and, as always, try to have a kind of a rallying cry and a kind of a manifesto about who we are. Hopefully this give you a little bit of understanding and more importantly, a feeling of why we believe that this is a brand of extraordinary. The idea of defining ourselves as a brand of extraordinary, as you saw, of course, led us into what is our purpose, right? And we discuss about this idea of how we can unleash the extraordinary in everybody. Everybody in English with double meaning of every one of ourselves and everyone out there, right? How we can make you feel special every time you have an interaction or you buy something from us, or you more importantly, you wear a Moncler product.
On top of that, of course, as every time you talk about purpose, you talk about the values of the brand. I think some of you probably seen this before. There's a little bit, like, evolved as well. We talk about five key values that are not only values that we wanna live within and we wanna share outside, these are values that we wanna become as behaviors in terms of the culture of this company. That's why we believe that we keep always pushing for higher peaks. We believe that this is a house that allows all voices to breathe and speak. We believe in this idea of embrace crazy, what I always says the idea of creativity and how we push ourselves to new places, and how we can bring people to new places with us. We talk about being warm, even in summer, right?
I know some of you last night said, "Hey, summer sneakers, summer sneakers." I know, but I think the idea of how we can transfer that idea of warmth across all year round will be important for us because a distinct sentiment of the brand, and then of course, how we keep creating and protecting tomorrow. These are the core values of our company. Hopefully by now we level set ourselves, right? We talk about, okay, what is the objective? Yes. We talk about who we are, the brand of extraordinary. We talk about what's the purpose and the values of the brand. Probably you will say, "Okay, enough. What's next?" I think we cannot talk about next without talking about what we lived through in the last, or we're still going through in the last two years.
I mean, it seems like every month we have something different around us, right? I think we start talking about new normal in 2020. We're talking about a never normal from the last few months. The reality is that we need to be aware of everything around us and remain flexible to understand how we can adapt to an ever-changing world with an ever-changing brand. That's why it's always good to go back and to understand, okay, what's going on out there? What's the market, what's the customer, what the consumer is saying? And we pick four things we wanna share with you today that I think are relevant for the consumer, but relevant for the brand as well.
We talk about first about this idea of how we are refashion the system and how much the luxury and the fashion business is kind of an inflection point, right? We know more and more younger customers or the new generation of luxury are looking for brands who stand for something, who have clear values, who have a clear voice. At the same time, I think the pandemic show us that there's no one formula, one global formula that fits all. While you can be a global brand, but if you are not relevant from the ground up, will be really difficult for you to connect. The second one is the creative rebirth and how much technology have been changing and accelerating everything around us, right?
I think in the last two years, we changed the way we work, the way we connect, the way we see each other, right? I think this is a profound change that we need to understand, and we need to see how much things are changing around us through the power of digital. Remo mentioned this before, the attention economy world, people are fighting about the likes, the views, the this, the that for the past few years. It's very clear that the world is about relationship over transactions. I think Remo said this, and I had always said to him, I admire him for this, that revenue is a consequence of what you do. It's a consequence of what you stand for. I think this is another example of that.
I think when you start prioritizing relationship over transaction, then you have more chances to have a loyal relation with your customer in a long-term basis. Last but not least, is this idea of back to earth now. Of course, it's about how much, especially the new generations are caring about people and caring about the planet. If we think about this, you have three big things that we are discussing here. People and purpose first. We are talking about a new digital acceleration, and we are talking about this idea of how we can care for our planet. This definitely, if you start connecting the dots a little bit with what Remo was presenting today, it's a little bit of how we start looking into our brand focus for the next few months or years, I would say.
Our evolving focus, and you heard this already from Remo itself, was number one, we wanna become more consumer-centric or customer-centric, and of course, we wanna be more community obsessed. Why? We will of course go into the details here because we wanna open up ourselves to new and more communities into the brand. We believe we have the opportunity to do so, and hopefully you will agree with us when we go through the details. Second one, we wanna make sustainability our new normal. Yes, and we will have the chance to go with Mina Piccinini to go through the details about what this means. We will go there.
Last but not least, we believe there is an opportunity for us, a new era for us to go even deeper, doubling down in terms of the digital connections and the engagement we wanna have with customers out there. Cool so far. Yes? Are we good? Just a quick checkpoint just to make sure that everyone is following. Okay, let's go into the first chapter then. We talk about how we can become more consumer-centric, how we can be more community-obsessed, and I truly believe we have the opportunity to start thinking about how we can create a complementary brand offensive, right? That can help us to unleash the next growth in terms of not only the brand, but at the same time, the business.
How we can start opening up ourselves to new people because we truly want to go beyond fashion and beyond luxury, as we discussed many times. In the next slide, I will need your attention to be with me because it will not be an easy one, but hopefully will make sense. What do we mean when we talk about complementary offense? If you look behind me from left to right, you will see that we start talking about high-tech and luxury and streetwear, sportswear, outerwear, sport and wellness, and fast fashion. If you wanna describe very basically different dimensions of the sector and the industry. We truly believe, and hopefully you will agree, that Moncler is one of those very few brands on Earth that can authentically play across multiple dimensions.
One of the very few, and I will invite you, and I will be happy to discuss this further to do the mental exercise about how many brands have been moving from one segment to the other one to bring new people in, but it's very difficult to go across. Reality is, if we wanna do so, if we wanna go for this opportunity, we need to be very clear about how we'll do that, how we'll go into these different opportunities. Number one, of course, is this idea of Moncler Collection. Of course, we'll be always centered on luxury as we know, but we'll always take cues from a little bit of high tech and borrow a little from streetwear.
You know all the different collections within the Moncler Collection, and you will be able to have the chance to see product in the breaks. That's the first point. The second one, of course, is Moncler Genius. As Remo mentioned before, this is a platform, I would say, for creativity. A platform for exploration. For us, the opportunity is not only to keep leveraging MondoG enius within the world of luxury, but how we can open up beyond just design and beyond luxury. How we can bring entertainment, how we can bring sport, how we can bring art, et cetera. We will wanna make sure that we start connecting beyond just luxury into streetwear and sportswear.
Last but not least, of course, when we start thinking about outerwear and sport, we truly believe that Moncler Grenoble represents a critical opportunity for the brand. Of course, Moncler Grenoble was the base, the DNA of this company based on ski products, and we believe that we have the opportunity to doubling down on that aspect. While we do that, we truly believe that we will keep pushing across everything we do in terms of sustainable materials and of course, low impact materials across the Board. Hopefully this gives you an idea about why we believe we have the opportunity and the range to go authentically into different dimensions of the industry and how we have the opportunity to do so. Of course, you will tell me, "Okay, who are you trying to talk to?" I think this is always very important, right?
We believe, and we will not go into the details of a specific customer profiles, but if we think about generational targets, we believe that we have the opportunity to connect with a Gen Z customer. Of course, 20-30, a bit older. We know that we are more on the older side of the 20s with the Gen Z. We know that we have a very strong connection today with the Gen X and the millennials, and we know that we wanna connect with the active millennial, this 30- to 40-year-old. I know that everyone's trying to look. I will move to the side. The 30- to 40-year active millennial who, of course, is seeking for high-tech innovation with high style.
How we serve these three different consumers, as we discussed before, pretty simply, we wanna start using Moncler Genius as an opportunity for us to bring more Gen Z customers into the brand. Yes, of course, we'll maintain the communities we have there, but we believe that we can open ourselves into a new luxury customer. Of course, Moncler Collection, we stay focusing on the millennial and the Gen X across the Board, and then the active millennial is someone that will serve on all the technical needs all year round, which is another important topic through Moncler Grenoble. Check. We will see. Okay, what we did then on the back of this is to start thinking about, okay, what is the positioning of each of these three different segments and dimensions of the brand? What is the role?
What are the key moments, the key products? I will not bore you with that, but it's just to show you that we clearly have been going through the exercise to understanding how they're complementary to each other and how we can help us to serve and bring new customers into the brand. When we talk about, of course, about Moncler Genius is keep building this idea of expect the unexpected. That's the way we internally call Moncler Genius. I think when we talk about Moncler Collection, we keep pushing this idea of the brand of extraordinary. Then last but not least, when we talk about Moncler Grenoble, we talk about this idea of beyond performance, right? It's the side of the brand that always push you beyond performance through technical performance products.
In short, I think, again, summarizing what I just described for a second, we believe in the opportunity for us to be one brand, and this is very important. It's not about building multiple brands. This is one brand all the way through, and this is, in a way, where we're discussing something that already existed in the brand. What we're trying to do is to perfect and to evolve, as we discussed, this essence, to be more precise about how we can bring more customers in. It's one brand with three dimensions, and these three dimensions are clearly the ones that we just described. Moncler Genius, Moncler Collection, Moncler Grenoble, with a very distinctive perspective among each of them, at the same time being complementary to each other. As we think about the three dimensions, what is next, right?
What are the big moments against these three different dimensions of the Moncler brand? If we go there, first of all, Moncler Genius, we believe in a 2.0 kind of approach, where we'll start opening up ourselves beyond just the world of apparel design, where we start going into different industries to start contaminating and start influencing other industries. This will happen in February next year, and of course, we'll go all the way through, but we will have that moment in time in February 2023, and we'll have the opportunity again to keep pushing into the unexpected and to create new dimensions to the brand. That's the first one on Genius. Second one, Moncler Collection.
We are lucky enough that we have this year the 70th anniversary of the brand, and this is something we will celebrate at the end of September this year for the rest of the year, right? We'll have a plan around two to three months where we will be celebrating the 70th anniversary in incredible ways because we believe, and I will mention this in a second, that we have the opportunity to celebrate the past, the present, but at the same time, start kicking off the next 70 years of this beautiful brand. As we discussed before, we have the opportunity to reboot Grenoble, right? Grenoble already exists.
Nothing that is here doesn't exist, but it's about how we can reboot it in terms of technical performance, how we can make sure that we go beyond performance and how we can, in some cases, reclaim what is ours, right? Because the mountain is ours, because the ski is ours, and that's what we wanna really make sure that we make a statement around. That's why we believe in the reboot of Moncler Grenoble. Let me pause for a second. I will give you just a little glimpse on something. September this year, end of September, Milan Fashion Week, we will open up our opportunity to celebrate the 70th anniversary of the brand. No better place at home. We have incredible, I will say, proud, you can quote me here, incredible plans around this, around the globe as well.
Again, we will talk about this idea of Moncler being extraordinary forever. Yes. We will talk about this idea of we believe that it's not only about how strong we are from the past, but how strong we will still be and how special we still be into the future. What I will do is just a very simple animation of 30, 40 seconds that will showcase the branding you will see not only on communication, but even on product, when we talk about the 70th anniversary in later September this year. In short, what you're seeing here is a branding that is inspired as a perfect blend between the Moncler logo and the infinite graphic, right?
This idea of forever extraordinary is the idea that bring us all together, and you will see, of course, this properly done, and a campaign around this and products around this. Basically, we wanna give you a small glimpse to all of you, a preview, a confidential preview about how we're approaching this and how we're approaching this idea of extraordinary forever by combining the Moncler logo with the infinity logo. We talk a lot about communities, right? We talk about how we are one brand with multiple dimensions. I think, I learned this very quickly last night at my table that everyone was, I don't know, because of my Nike background or whatever, everyone was talking to me about sneakers all night. I wasn't aware we have so many sneaker obsessed in the room.
I think if we talk about communities, definitely we have a great opportunity to go further, right? To open up a new door, to connect with new customers, and to bring new people into the brand. Every time we have this conversation for the past few months, since I joined, always the question was, how we can truly be extraordinary in footwear. Because if we call ourselves the brand of extraordinary, we cannot go with something that is just okay. We need to push ourself, and I learned this very quickly the first day I met Remo, that nothing could be done halfway, right? Or we go full in, or we are not going. That's the intention here. Before we go full in, I think it's important to understand what kind of proposition we wanna have in the market.
If we enter the world of footwear in a more aggressive way, or we start to build our footwear business, what is our point of view? Why we do exist? Again, this is all internal, of course. It's not something that we will tell people, but our proposition is this idea of utilitarian luxury. I know utilitarian and Italian connection with English is a bit weird because it looks like a cheaper thing. It's not. Utility is about something that has a form, a shape, and a function, right? What we wanna do is take the very best of utility from the mountain, combine with strict luxury, and have an authentic perspective of why we're in this business. We mentioned before, authenticity is everything for us.
Therefore, if we wanna enter this world in a stronger way, everything we do should be authentic to who we are. That's why you will see from September, October this year onwards, we start building our way into the footwear business. Or not our way in, because we are into, but the evolved version of this. We'll do it through four different segments. The first one is what we call the outdoor looks, yes. Which is the pieces who are truly inspired on utility and truly inspired from the mountain. We have a kind of a read of coming from the mountain into the city. This is one of the key silos that you will see, completely new silos, of course, through the lens of sneakers. Second silo is what we call street luxury. Yes.
It's the take on athletic footwear styles into the street and into luxury. It's that blend between those two. This is the second pillar of our new footwear strategy. The third one, pretty small, very, very small, but it's what we call hybrid lux, giving us the opportunity to explore, to experiment new fabrics, new methods of making, 3D printing, sustainable materials, et cetera. Yes. Very small, but we wanna open up a little door for us to explore and to experiment and to push ourselves into new places. Last but not least, probably a place where we're already more established, is what we call city lux. Right? It's everything that has to do with more formal wear or formal footwear, across men's and women's boots, leather boots, et cetera. We are more established there.
The other big piece which is important news here is every time we do normally Moncler Genius collections in the past, we were working on another platform. We were doing a Converse shoe or a HOKA shoe. Moving forward, all collaborations will be done on Moncler products, right? This is another important part for us to validate, authenticate through different collaborations, the power we may have on footwear as well. This basically will help us, these kind of four different pillars will help us to connect with a new luxury consumer, more sneaker obsessed, in the same way we will keep connecting and keep elevating our connections with the traditional customer we already have today. On the back of these four pillars, we need to start building the foundation, and I think I was talking with some of you, last night about this.
I think there's four things that you will see us start to do in the next few months just to start building the foundation. We start focusing on less styles, and we wanna go deeper, right? It's not about going broader, it's about going deeper on those fewer styles, so we can start having a more consistent perspective and point of view in the market. The second one, which is new news in a way, is we wanna go for more orchestrated launches. It's not a seasonal flow. We wanna go into the business, and we go into the different seasons with orchestrated launches. Number three, again, another conversation I have with some of you last night, is about how we can authenticate the brand, right?
How we can work with those who can help us to authenticate from retailers, from designers, et cetera, that can help us to become a more authentic footwear brand. Then last but not least, of course, an important, small but very important detail is this idea of seed to be seen. Who are the right people who represents the values of the brand and the different values of the four different segments of footwear who will be getting access to the product? I know I talk a lot already, but in short, just to summarize, right? I think what we're discussing here is about how we'll move from what we call kind of a pyramid model, right?
Which was always on a big base of the Moncler Collection, with almost a different segment of the same target with Moncler Genius on top, to a more complementary model. What is one brand with three very clear segments that we really wanna connect with the three different dimensions, powered by the opportunities that we have around Born to Protect that Mina will talk in a second. Then, of course, after that, the opportunity for us to start growing into footwear. More importantly, we believe this will give us the opportunity not only to be a winter brand, but to become an all year-round brand, which is another very important aspect for the company. Summarizing this very first part, I wanna just give you some targets. I know you wanna know a bit more about what are we talking.
I learned this sign here working in Moncler. Tell me something meaningful. Long story short, we believe Moncler Collection, of course, has a massive incidence in the business. We talk about this many times. We believe that of course, we keep being the most important part of our business, but will be around 70% in the next two years. This is another important thing for you to keep in mind. We believe that technical performance product within the Grenoble Collection will triple its incidence. We believe that we will push Grenoble to be more in the technical performance product, not only in winter, but in summer. You will have the chance later to see the products in the different rooms during the breaks. Footwear, we expect it to be at up to 10% of the revenue.
Of course, this is a journey, and I wanna be very clear, this is a journey, but we believe that we have the potential to go up to that in the next two years. Gen Z. Again, we talk a lot about how we can bring a new world of luxury into Moncler, and we discuss a lot about how much we believe that in an authentic way we can connect with a new luxury consumer. We believe that we can be up to around 30% of the total revenue could be coming from Gen Z customers. Last but not least, we believe spring/summer could be up to 1/3 of total revenue.
This is connected to how much we wanna start pushing Moncler Collection, and at the same time, the solutions we will have around Grenoble, of course, winter and summer. Of course, the idea of when we go back to February with Genius, we'll have the opportunity to have Genius collections for in winter and some of them more in the summer period as well. Cool? Okay, boss, come.
Very cool, because we have one question from the Webex, and actually somebody asked, we talk about Genius becoming more Gen Z, if I understood well they are saying. How do you think we will be able with Moncler to cover the top of the pyramid, the one that, somehow in the past was also done by Genius?
Okay, fair question, and I think I was expecting that one. Thank you for the question first. I think two things. I think when we talk about Genius, we wanna go back to the beginning. We talk about an evolution, right, of things. It's not about giving up what we already have, it's about building on top of what we have. Definitely we wanna open up, and we wanna make Genius something that open up to new customers. You will see again, I think Remo mentioned this, we will diversify from just high-end designers only. We will just do that and more. That's the first, the first comment. I think the second one for us, which is another important decision, is of course, within the Moncler Collection, you have different profiles, right?
There's a profile called Moncler Edit inside Moncler Collection, which is our more elevated and more sophisticated part of the collection. Of course, we'll keep doubling down on that because we believe that's a collection that have a massive runway and a massive opportunity to grow, specifically to push into the high-end segment of the entire collection. Paola, we good?
Very good.
Okay.
We will ask. There are a few others, but for after.
You can tackle me later for sure. Okay, let's go into the second part. For the second part, of course, we talk about consumer obsessed, and we talk about how we can be community obsessed and everything we just discussed about the opportunity. The second big part for us is about how we can make sustainability our new normal. What I will do is I will run a quick film that was something that we did consumer facing a few, literally two months ago, just to launch Born to Protect. Then I will invite Mina Piccinini, who is our Chief Marketing and Corporate Strategy Officer in charge of everything you see on sustainability for the Group.
She will come and give you more of the details after the video, and then I will come back, and we will talk about digital, and I promise I will leave you alone after that. Okay? Thank you.
To create a better future, we must move mountains. The world is facing enormous challenges that need to be addressed urgently. Radical ideas must be explored. New peaks must be climbed. We were born in the mountains with a clear mission: to protect people from the cold. Today, this means acting to make definitive change. Moncler Born to Protect is our commitment to tomorrow, to protect people and the planet. It's a journey towards human and climate action, lower impact, and a circular approach to product and community support. Because we know that what we have achieved so far is not enough for tomorrow. Inspired by our heritage, we commit to a better future. We used to climb mountains, now we must move them.
[Foreign language] . I'm very happy to be here today with you. First of all, I would like to start from a personal note to let you understand what sustainability means to me and to all of us. I joined Moncler in 2015 to found the sustainability unit, and I still remember how Mr. Ruffini welcomed me. This is true story, eh. He told me, "Sit down. First thing, don't write too many emails." I don't know if I am good at that. "Then go to people, talk to them, engage them. Go in details. Convince and do not impose. Persuade, do not impose.
It will take more time, for sure, but this is something that can last forever." I share this moment with you because I think that there are no better words to explain how much is important to us, make people believe in sustainability. Gino has talked to you about community and culture, and when it comes to our commitment to a sustainable development, it's again all about community and culture. What the first years have been all about engaging people and about how to build a culture where sustainability could fill its natural place. I think that we all know that you cannot reach great targets alone. It's impossible. I think that we can all agree on the fact that a sustainable company is made of sustainable people. Again, first year a lot of engagement that still continues with our internal community.
Encouragement, details, joint plans, and we did the same also with our supply chain that you know that is very crucial when it comes to the impact of our business. We went to suppliers sharing our plans, making them understand why we were asking strict standards and strict requirements. Checking, for sure, but also helping them to improve. We offer training and continuous support in a real partnership effort. What we want, what we wanted and what we want today, it's a culture that goes beyond audit. This is sure. This is to tell you which are the foundation of our 2025 sustainability plan. The 2025 sustainability plan, as you know because we have already presented to you, has five main drivers. Climate change, circular economy, responsible sourcing, diversity, equity, and inclusion, and giving back to local communities.
I think that the Born to Protect products brand-wise are the biggest one of the biggest effort. Born to Protect label identifies the products that are entirely, let me underline, entirely made with sustainable lower impact materials, both fabrics and all components. That is quite challenging. Mrs. Bacci from supply chain that is here in front of me knows very well. It's very challenging. In 2021 it was a jacket. In 2022 it became a full look once a year. From 2023 onwards, it the effort will be even bigger and it will became a collection with also accessories, bags, and shoes, and it will be released twice a year. Most of all, as we believe that sustainability goes hand in hand with innovation, this collection is meant to become an innovation hub, including the most innovative materials.
Apart from Born to Protect collection, we had another big commitment, that is to start increasing the quantity of lower-impact materials all along across our collections. This year we have added further commitments to our plan. 50% recycled nylon by 2025. 50% lower-impact cotton, either organic, regenerative or recycled. 100% lower-impact wool. The target is to go to have more than 50% of our fabrics and yarns at lower impact. We know that this cannot be considered our final destination, so what I promise you today is that along the years we will even go further. Challenging, but we commit to do that. As we have seen from the screen, we used to climb mountains and now we need to move them. Thank you. Oh, no. Thank you.
Stay there because we have several questions for Gino, actually, but after for you. One for Mina as well. Sorry, the pillars are quite challenging, they are asking. What is, in your opinion, the most difficult, the most challenging one that you are facing for the future?
As you said, everything is really challenging. I'm very happy that now Michael Beutler joined us as our Chief Sustainability Officer. Please, Michael, stand up and wave your hand. A lot of challenges, but let me go again back to the lower impact materials. Now, Francesca, I look at you again. When you start working, researching a new material, is not an easy task because it's a big partnership work with our supply chain. It's a continuous fine-tuning as far as durability, quality, the touch of the fabric. Everything must be perfect to be included in a collection. I think that for us, this is a big challenge that we are pursuing very quite well because we are a strong team.
We had our supply chain convention some weeks ago, and I was surprised to see that everyone was talking about sustainability. We have a great momentum, Francesca.
[Foreign language].
[Foreign language].
[Foreign language], Mina. Okay, let's go through the last chapter. I promise few minutes, you will have a coffee break, but it's time we talk about community obsession, we talk about sustainability as the new normal for the brand and we wanna talk a little bit about digital, right? We talk about how even the tech acceleration have been changing the world the last two years, and we believe there is an opportunity for us. Don't forget what I said at the beginning about we just took back all our platforms in 2021. Now with that solid foundation, we really wanna double down in terms of the connections and engagement we wanna have with customers, with consumers and communities out there. What we are calling internally ourselves is this idea of how we can invite people into what we call the login era, right?
It's this idea is today, most of the transactions or more of the relationship we have into moncler.com are through a guest people, right? It's guest customers who come in and out, and we always have to do kind of a very strong effort to bring that customer back to then repeat, et cetera. We are not able to be better and more efficient in the way we can manage the relationship with those customers. That's why we wanna start adding value to customers to come and have a relationship with us, buy with us, and we can serve them better. In a way, what we need to do is. What is our engagement model? How we wanna bring people into what probably you hear all the time, this famous funnel. What is the funnel of Moncler?
How we can create an ecosystem where customers can come in and we can, of course, engage and create a more, a more modern loyalty model. I will explain this in three simple steps, and then I will ask Stephan Garandet, our Chief Digital Officer, to go to the details. No one better than him to explain that to us. If you think about the journey that we want customers to go or the journey that we create, normally every brand, right, like us, what you do is you try to create demand. You go there, you create your messages, you do your marketing, your communication, your performance marketing, and you create that demand out there. You wanna make sure that that. The way you create demand is by creating brand experiences, and you make people feel the brand. We talked about meaningful earlier today.
In a nutshell, when you think about the digital world, it's this idea of how you can inspire to acquire. If you go to the next step, if you simply say, "Okay, I'm creating demand," what you do right after is you serve that demand, right? We believe in this model, and you will hear, of course, from Roberto and the team later about how we don't have no end walls, right? How we can merge digital, physical, and the entire Omnichannel into a full experience for customers, so we can serve that demand in the better way. Last but not least, for us, a big opportunity, especially on the digital front, is how we can retain that demand, right?
How we can build a more strong loyalty model, and how we can make sure that we create a model where you add more value to the customer so they stay with us, and we become more effective and more efficient in the way we run our digital business. As I promised you, I'm not the expert to go into every single detail, so I will ask Stephan to help me here, our Chief Digital Officer, and then I will come back to wrap up the session. Thank you, guys.
I will try not to use too many acronyms because this is what we usually do in digital, using acronyms every three seconds, so we lose people. I will try to be as simple as I can in order to take you through the different motions and through the ecosystem that we have created in order to embody the vision that Gino just presented to you. Number one, I would say, is our brand and product stories. You've heard it a lot today. Everything is around purpose today. The era when we were branding to our products are over. Lots of brands are still believing in this. After COVID, it's not something that you can afford anymore. You need to show your true values. You need to show your equity. You need to show what you stand for.
The content and the digital content that you were creating before is drastically different than the content that needs to be created today. Everything is around storytelling. Everything is dynamic. It used to be text. Then with Instagram it was images. Now with TikTok, it's video. With IGTV, it's video. With IG Reels, it's video. You need to master the art of telling stories through videos. You need to master the art of telling what the true values of your company is. This is our number one pillar, and we also want to reach out to the local communities. That's why we're also creating content at a local level in order to harness that anchorage and to also speak to the local cultures that we have at our disposal. Number two, the media drivers. As a lot of you know, we're entering the era of cookieless world.
It's an era where targeting is drastically impacted in the activities that we do when we try to reach out to our consumers. Targeting is more blurry, and as you know, if I simplify quickly what paid media in digital is, it's the balance between creativity, the advertising you push, and the targeting that you do, to who you push and when you push it. We're losing ground. All the brands are losing ground on that second pillar. That's why we need to be stronger on the creativity. We have dedicated teams that are working on it, and we're adapting our creativity to the timing of the different platforms on which we are advertising. A TikTok ad is drastically different than a YouTube ad. An IG ad is very different than a Weibo ad in China.
We're adapting to this, and we are creating hundreds of different formats in order to create all the different advertisings that we showcase all around the world. Number three, same for the current and the new emerging social platforms. We were in a world where things were extremely simple. You had a couple of social networks, and you were copying and pasting what you had done offline, online. Those days are over. The same way every single platform abides by different rule. You need to start from those platforms in order to think, in order to elaborate the content you create. A year and a half ago, we had 20,000 followers on TikTok. Today, we have over 1 million. Our Moncler Bubble Up challenge last year, hashtag, was seen by nine million people. TikTok is a platform that has matured drastically.
The organic reach is very strong on those platforms. Facebook is a pay-for-play platform. It has no reach. IG is becoming the same. We're leveraging all the different platforms that we have all around the world, Weibo, Kakao in Korea, Line in Japan, and of course, TikTok, where the organic reach is extremely strong. Of course, our Moncler D2C, our flagship. Our .com is today our biggest store, and one day it will probably be the equal of our biggest country. The day you used to sell online was about showcasing a product. You had a store nearby. You were going, looking at the online version of your store and then buying in the store. Today, things have drastically changed, especially after COVID. People have brought the offline store online. They want to be able to have every single product at the tip of their fingertips.
They want to be able to order and be delivered in the next hour, and that's why e-commerce has matured. E-commerce is drastically different than what it was in 2019. What we are calling it internally, we're calling it emotional commerce. Now we're entering an era where it's not only about showing products, it's about editorial commerce. It's about embedding video. It's about us behaving like a media company in order to display and to show all that we have. We're doing lots of efforts to make and to blend aspirations with transactions. It's at the same time branding, telling stories, and selling in the state-of-the-art shape and form of it. Of course, you've heard it from Gino, we're entering our logged in chapter.
This will be about creating the communities, gathering all of the technology that we have at our disposal in order to get people to log onto our websites. You know, a lot of people talk about Omnichannel, but in most of the cases all around the world, you try a jacket on in the store, you come back online, the store, the online store is never gonna remember that you tried it in the store. If you're logged in, we have the link between the store and between the e-com, and this is what we're going to build. We want people to log in. We want to attract them in order to create an Omnichannel and seamless experience, the one that Roberto will talk to you about just after. After that, what, how are we going to execute all of this?
First, as I said, it's finding the balance between organic and paid. Over the course of the last 24 months, we have hired and built a digital intelligence team that is now analyzing, that is checking whether all the content that we're pushing out, those hundreds of formats that I was telling you about, whether they resonate with the different communities, whether they resonate with the current consumers, whether they resonate with our different prospects all around the world. Everything is becoming data-powered in order to enable the creativity, not just for the sake of analyzing data, for the sake of creativity behind it. Content experience. We have built a digital content studio in order, again, to be able to create all those different formats and to strategize everything by platform, everything by community, everything by consumer.
This is also about creating a team that is able to create and to manage the UX, the user experience, on that website, teams that are internal, that are capable of styling the different models that we have to showcase online, to shoot directors specialized in video that are able to do this. Number three, stock management. It goes without saying that consumer expectations after COVID want to have their products right away. Being able to deliver fast is key for us. Having the right product at the right time is also key. That's why all of our stock now is completely shared between the store and between the online. Therefore, if you are in the store and your size is missing, you can click from store, and e-com will deliver it to you the following day if you're in a big city.
If you are online and that you are missing your size, you can have it either delivered in store, or you can check the store nearest you, and you can go out there and reserve it online, or you can even have access to a client advisor in that store that will be answering to you. Stock management is key for us. It's key for the consumers, and we're taking this matter super seriously, and we want to be the number one there. Number four, exclusive products. We are treating our .com as a different channel. We want to give a competitive advantage to our .com, and that's why we have created an ambitious target for us, which is to reach 10% of our digital revenues through exclusive products on moncler.com.
Of course, as Gino was saying, we will encourage people to log in order to have access to those contents. You'll have access to specific capsules, to specific colorways dedicated to the .com, pre-launch shows, pre-orders, raffles. All of this will be included in that pillar in order to give that competitive advantage to the .com. Five, services. You hear it from lots of brands at the moment, services are the new marketing. Convenience is at the heart of what all luxury shoppers are looking for. Probably a trend coming from China, but people want to have the ability to speak to a client advisor. They want to be able to see what a garment is looking on them. They want to be able to check out quickly and to be delivered fast.
Services are key, and we're building and embedding all of that into the new website. Personalization is gonna be at the heart of it. It's the era of one-to-one commerce that is opening up. You will have virtual try-ons. You will have personal shoppers that will be there for you in order to become your shopping partners, just not one-offs that you will have in the store. They will follow you up online. They will help you shop. They will become your shopping partner every day of your life. Of course, an always-on brand from an always-on buying to an always-on brand, the full engagement with the consumer is key for us. We're entering the era where we don't only market our products to what we say.
Marketing is also about the people that are wearing us, the ambassadors and those communities that are talking about us every day. It's very important we don't buy the community. We give to the community. We give them altruistically. We give them the product, we give them the services, we give them access to content before the others, to the collections before the others. If we give them enough, then they will start publishing content about us, then they will start wearing our products. This is really what our strategy is about. It's not about prompting and creating and building the communities, it's about giving them so they form and shape up around us. Last but not least, China, because you know, there is the rest of the world and there is China.
If you try to copy-paste what you do in the rest of the world in China, you will of course fail. Not only do you need to adapt, but you need to understand China. In order to do this, you need a local anchorage, especially with regards to the content you create. You don't wanna lose ground with the center and what's being created centrally. What we have established is a balance that is 60% of content central and another 40% that will be local. We will have a local studio that will be working hand in hand with the headquarter studio here in Milano. Second, the acceleration of WeChat mini programs. WeChat is becoming bigger than all the different [. Chinas], the e-commerce flagships of every brand. WeChat is at the heart of every single brand strategy.
Not only it is about one store, but now it's about creating multiple stores and accelerate on WeChat. That's why we will create one mini program for each one of our dimension that is matching, of course, each one of our major communities on Grenoble, on Genius, and on Montagne. The big one in the middle, Tmall. Unavoidable today. Five years ago, we would have said, "No way." Today, all the Gen Z, all the new generations are on Tmall. You wanna reach out to this younger audience, you have to be on Tmall. Don't copy-paste your flagship on Tmall. Adapt to Tmall. Create rules that are specific to Tmall. Play the complementarity with your .com on Tmall, and that's what we're gonna be launching early September. It's gonna be a big step for us in China. Big move.
Of course, you cannot talk about China without talking about the power of data in China. Very different from the different restrictions that we have in Europe with GDPR. Things are getting more complicated in China with PIPL, but you can do much more. We are building a data intelligence powerhouse in order, again, to work very closely with the Milano team and have state-of-the-art power in terms of mastering data in China. Of course, our D2C, our logged-in strategy, which will have a Chinese feel to it, where we will be creating slightly different look and feel in order, again, to adapt to the Chinese consumers and to the Chinese needs. Our five pillars for China. Now I'm asking Gino to come back in order to summarize very simply in four major KPIs what we have just been going through.
Okay. Thank you, Stephan. I think one of the key, probably, questions, and I've seen pictures there taken, is about how we believe that our digital business will be up to 25% by 2024. This is an important step as we keep growing. Again, I always keep reminding to myself and to all of you that we just took back and took over our digital business in the last literally 11 months. For us, it's about how we can keep pushing through everything that Stephan just presented.
Again, number one, extremely simple, 25 by 25. We want to reach 25% of our turnover through digital in 2025, by the end of 2024.
You wanna go to the next one? Go to the next one. Yeah.
1 million logged-in consumers. Exactly as Gino was saying, we want to make sure that our community is strong, that our community is there. 1 million people that are not coming once a year, that are coming every month, every week, every day.
10% of exclusive product made for moncler.com. This is a big decision, of course, as well as we're trying to go into this digital era of creating more benefits and services for customers. That's another step forward into that direction. Last but not least.
Exactly, because it wouldn't be anything without the traffic to reach 100 million visits by the end of 2024. That means that we literally need to double the amount of people that are coming to our .com in the next couple of years. That means that we have to be extremely efficient at what we're gonna be doing.
Thank you, Stephan.
Thank you.
Thank you. Thank you very much.
Thank you.
Okay. Hopefully, that was good. We never rehearsed that, but hopefully it was good. Okay. So we're wrapping up, right? We share... To be honest, we share a lot of information. I think we took the decision to share everything that we're discussing as a team with you. But as always, if you are not able to understand my English or you were sleeping in the back, I want you to remember one thing, right? That one thing that I want you to remember is that the brand strategy is based on three things. First one, consumer, customer obsessed and community obsessed. We really want to evolve our current strategy, and we'll be more effective and more efficient about how we bring new people into the brand through the three dimensions we discussed. One brand, three dimensions.
Number two, sustainability is our new normal. Mina and the team are doing an incredible work and an incredible effort to put us in the forefront of all the efforts around sustainability. Believe us that we'll keep delivering against that in the hard way all the time. Great things coming there, and you will have the chance to see during the breaks, the innovation room as well with the team, so you will be able to understand more the efforts around sustainability. Then, as Stephan just explained, a new era for us in terms of digital connections and digital engagement for the brand. Cool? Just one more thing. I think before we wrap up and before we probably will ask another question, because I know there are some questions for me.
Before we go to another question, I wanna just share one more thing, and I just wanna quote something that Remo shared this morning about how literally communities unite meaningful people, right? For us, it's all about that at the end, right? If we wanna be culturally relevant, it's about how we can have an incredible team and how we're able as a brand to unite and to work with incredible talent, with meaningful people who can not only give something special to this brand, but mean something very special for people and communities out there. I wanna share two things with you. The first one is a partnership that we'll be announcing today with LeBron James and the LeBron Foundation. This partnership for us is very, very special.
Of course, this for us means working with the LeBron Foundation in creating new opportunities for black and brown communities all around the U.S. and around the globe. It's the opportunity for us to keep pushing into this idea of a new world of luxury and connect with new and more communities. Second news, partnership with Sir Jony Ive. Another opportunity for us to keep exploring, to keep finding new innovative solutions, to keep pushing ourselves in terms of design and pushing the brand into new levels. For us, when we talk about being culturally relevant, when we talk about meaningful people, when we talk about communities, we talk about working with incredible people who can make us even more believe that we are the brand of extraordinary. Last but not least, I wanna wrap it up all the way down to the beginning.
If you remember the journey of the last 70 years, we believe that in two years, three years, hopefully sooner than that, we will sit down all here, and we will talk about how Moncler is a critical community brand based on three different dimensions to appeal to multiple audiences out there. We'll talk about how we're entering a new era of digital engagement and connections, and how we're making sustainability our new normal. Thank you, guys.
Thank you, Gino. Okay, before going to the coffee break, and given that we are a little bit ahead of time, surprisingly enough.
Wow. Okay.
We can take two questions from the audience. The first one is, Genius was a simple idea. Luca made it. Today, we are confronted with a very large amount of content and ambitions. Does Moncler have enough resources to be heard and seen on all of these priorities? You are not the Pentagon, but a small guerrilla Group.
A small?
Guerrilla.
Yes, yes. Okay, great question, I think. It's funny you use the word guerrilla because we use that more often. I believe that one of the great secrets of this brand is that we are not that big of a size, and we remain flexible, and we adapt very quickly. I believe Genius was a simple and a brilliant idea, but let's be honest, everyone having copied Genius for the past few years. When everyone copy us, it's time to move again and create a new dimension for the brand, and we believe we have the means. Hopefully, the last slide I show with some of the names and few other things that you will see next year will give you the confidence that we have the means to talk with incredible people who will help us to push this brand to new places.
I can say with all honesty, without sharing much information about this because we're in the middle of a process, we will keep pushing the boundaries of this brand definitely, and we will keep pushing definitely Genius to new places. We will have the chance to let others know how we can do this because we behave more as a guerrilla than a big Pentagon for sure.
Okay. The second one is actually related to Genius, somebody from the webcast is asking, Moncler Genius event in 2023 you mentioned. How this will be? It will be still Mondo Genius? Can you share with us something?
Yes, will be early. We cannot share much because we're in the middle of that process. Of course, I think we learned tons. I think Mr. Ruffini Remo mentioned this morning. The last Mondo Genius for us opened up incredible opportunities and massive learnings. We don't wanna lose that, right? We wanna build on top of that. I think we saw the brand reaching out people that we never reached before. I think we have the opportunity to connect in multiple markets at the same time. We'll be, of course, a combination of what it used to be and what it was in the last year, but even better. Again, expect the new Genius event in the first quarter of 2023.
The only thing I can say is probably will not be Milano. That's the only news I can share so far, will not be at home. It's time for us to travel. We will travel with the world of Genius, and we will hopefully surprise people once again about the things we're able to do as a guerrilla team.
Perfect. Thank you.
You-
Can I have just a last one? Surprise. I said two, it's going to be three. Thomas is asking about the sneakers and highly competitive segment. Why consider organic growth? I don't know if also Remo wants to answer. Instead of developing this category through acquisition, acquiring an existing brand. Plenty of them are out there.
Agree. I think we have a conversation about this last night with some of you. I think I wanna go back a little bit to the conversation we have about why we believe this is the brand of extraordinary, right? I think I believe that we have the opportunity to start building again this segment in a great way. I think some of us are extremely passionate about this, and we're passionate about what the combination of Moncler with a very authentic perspective around footwear could build. I think I wanna go back to something Remo mentioned this morning about we never take shortcuts, and we always go and push ourselves to those new limits.
I think this is something we will learn together, and we will work together, and you will be with us, and you will tell us the feedback. I know there's multiple ways we can do this. We took a decision that we wanna do it in a Moncler way, in a very authentic way. Hopefully, there's few glimpse you will see about product today during the break now, coffee break or later about the different rooms where you can see the dimensions and footwear. We'll start giving you a glimpse about where we wanna go, but we will learn together. I think it's an incredible journey ahead of us, that hopefully we will be when we will be here in two, three years, we will be proud of the things we were able to achieve together.
Perfect. I think we have done even too much. Not too much, never, but quite a lot. Okay, time for the coffee break. We are back at 11:00 A.M., so if you are back on time, straight on time, we can start for the second part really at 11:00 A.M., not later than that. They are all, as Gino was mentioning, the houses, we call it, the rooms, the houses on the back. You can see not only Moncler and the three dimensions and the footwear, but also our Stone Island houses, historical products, the evolution of the products, and the new collections. The last one is, as I said this morning, the innovation room. Please do not take any picture. Thank you.
Thank you for the time. Thank you for the attention. Thank you.
Good morning. Good morning. Happy to be with you. I hope that you have enjoyed the visit of the showroom, that you have been inspired by this visit, and that you have been energized by the coffee break. We are going to spend together the next 45 minutes, and my objective is to show you how we are going to align the brand, the ambitious brand objective that we have seen this morning with the business objective. In order to do it, what we plan is to build a community-obsessed multi-channel organization. I would like to briefly go back to the last 15 years because it seems like we are doing retail and that we're in direct connection with clients since a very long time.
Actually, it started not so long ago, sorry. It was back in 2007 when we opened our first urban store in Paris. Already six years later, we were at 100-store network. It was a very different store network that we had. The first flagship store, that was the one in Faubourg, the one that we are going to redo next year. 2015, when I joined the company, we launched this very ambitious program called Retail Excellence, where we wanted to change the focus of the company that at the time was very much on the product, on the quality of the product, and probably less around the clients.
We started this journey that is an ongoing journey that is not yet finished, and we have seen many evolutions of this concept. The other one was in 2018 when we started to become Omnichannel, even before internalizing our online business. Two years ago, we reached 200 stores, and 2020 was another turnaround that pushed us to invent or reinvent ourself, to reinvent ourselves on the way we're making the connection and interacting with consumers is leading us today to develop what we call Omnichannel 3.0 because we think that there is that we get a lot of learnings out of the COVID, these two years of COVID, and there is a new way to interact with consumers.
What the objective that we have, they are quite simple. One is to empower new brand, the new brand strategy, so to align the business objective and the brand objective that have been explained this morning. The second is to elevate the customer engagement, and the third one is to unlock our market's potential. At this moment, I will ask our President for Asia Pacific and our President for Americas to join me on stage so that we can go a little bit more in-depth in the strategy that we have worked out in this past six months.
The planning will be done on three levels. The first one, we want to leverage on our know-how, what we have learned over the past two years, and become and launch the Omnichannel Excellence 3.0. That, by the way, is starting exactly this week, and we are currently starting with our Italian market. The second one is to magnify the store experience, and the third one is to make the most of our wholesale leadership. We still believe that that wholesale can help us achieving the targets that we have set in terms of brand strategy.
I will start with the first one, and here you will see that there are a lot of learnings that have been coming out of these past two years in the way we have been able to overcome all the hurdles that were there within the COVID, with the lockdowns, the reopenings, the fact that we needed to reinvent the way we're interacting and selling to our consumer. We have been in reinventing a little bit Moncler during that stage with live chat from the stores, with distant sales, with appointments that were made with consumers. This is already now bringing 17% of additional sales to Moncler that were not existing because all these tools were not present just a couple of years ago.
We also linked to the integration of our online business. We have started developing a relationship center called what we call client service, and the client service is already now reaching and allowing us to do 1% of our business in the interaction with our clients. The third point that is a very important one, we are going to see that we have been really, and it was a little bit visible in the first video, that we have differentiated the format of stores that we have. Not all the same.
One example was the Chengdu store we saw, which is a concept that has been developed to target much younger consumer, and that is really being very successful, and we are going to roll out these new young format concept in many cities where the communities that we want to reach are the correct one. We want to be bold. We want to foster this proactive clienteling culture. I think that we are all used to retail KPIs, metrics like traffic, conversion, how much, what is your average ticket, what is your UPT, and so on, and this remains something that is very important and that we need to further cultivate.
At the same time, we believe that today we need to incentivize our 2,500 people that we have in our stores also in a different way. They can be an actor in driving traffic to the store. They can be actor in doing live chat from the store. They can be actor in inviting people or doing distant sales, and I think that this deserves to have also a different remuneration scheme to push them and optimize the relationship we have to the consumer. Our ambition for this proactive clienteling culture. I'm going to show you a video. We have developed a tool which is the evolution of Mon client. We call it Monc lient 3.0.
Enabling us to foster and monitor this activity, and helping them to develop this, and we are going to develop a specific incentive scheme for this. Our ambition in three years' time is to reach 25% of the sales in store that will be done through proactive sales. 75% through the traditional way and 25% through this. Strengthen the qualitative retention via more and more targeted tools, and this Monc lient, which is a real evolution of the tool we had in the past that is now fully integrated between product, client, the history of the client, data that is going to come from the digital world and with something that is giving tools to be directly actionable by the client advisor.
Maybe we can go through the video, and we'll give you some more information after. You have seen, it was quite fast, but you have seen channel, client product, real-time data that is coming from the store, data that are coming from other channels like the online. Something that is going to be a proactive tool. You have a launch of a new colelction of Genius . You can retrieve the people who bought it last time, and it's going to propose to the client advisor directly a list of people to be contacted. Really something that is a real evolution from what we had in the past, and that is going to be in real time.
The third point of the Omnichannel 3.0 is, we have seen a lot of information before the coffee break, a lot of new initiatives. The point is how to pass all this information in a constructive way to a population of 2,500 people in more than 60 countries around the world at a moment when they need it. This is quite a challenge because if you think about the way the training was organized even so only a few years ago, you are gathering people in a room like this. There was somebody here that was doing animation. There was a little bit of role play, but I'm not saying that is not going to exist anymore, but I think that you cannot rely only on this.
You see, we are going to have initiatives that are going to pop up in the stores every week, and you need to be able to give them the right content, the right storytelling to create this brand romance that is going to create the envy, you know, the willingness to buy, the emotion to come to visit the store or to go online and to buy. So we thought that. This is also learning from the COVID time, where we were all in lockdown and still we wanted people to be informed and so on. There have been some initiatives that have been coming from the different markets where we created in Asia Pacific some WeChat Groups where people were exchanging information.
We did the same in the U.S. and in Europe with WhatsApp. WhatsApp Groups where people giving tips. They were taking data from the website, exchanging, posting on the WhatsApp Group. Some people say, "This is the way to go." This is something that came from local initiative, but that we need to foster in something that we will be able to guide and but still keeping the social media aspect. This is the evolution of our training tool. We are going to transform the tool in something that is intentional because today people, they spend a lot of time on their phone. We want that they.
When they are in public transportation, when they are coming, that they go on the application that is called MINE and just to see what has been the initiative that has been done in different stores, what are the information. We are going to have one part that is driven by the content published here at head office level, another part that will be done by the regional office, and also a lot of peer-to-peer learning and challenges that people will be able to do. Maybe let's have a look, and I will come back to the tool of MINE in a few seconds. The worldwide launch for this new app of training is going to be done next week on the 10th of May.
You have seen that what is good about this tool is that it's really creating a sense of community amongst our people in the different countries and in the different stores. It allows us also to see if we have a launch, let's say, of Palm Angels, for example, to see how many people have been performing the training. It's a tool that where we will have the worldwide visibility.
The store manager will have the visibility in the store, so he can just send a reminder if he has two or three people that did not perform, let's say, the training and say, "Don't forget to have a look at the training before we start launching the product this morning." It's something that is going to be available on the iPhone for everybody. When we have morning brief, you can have challenges, you have questions that are asked, and people can directly answer on their iPhone on the different queries. It's really something that is absolutely new. We have been testing it. We are currently testing. That is really creating a lot of, let's say, energy in the store.
One thing that has been amazing is that we were all fearing that after these two years of COVID, the level of energy that we have in the store will be lower, that people will be demotivated and so on. I think that through these different initiative that have been taken by the different region and by the fact that we have been fostering this now in this, in this two app and relaunch the Omnichannel 3.0, I must say that each time we are going to the stores, we are amazed by the level of energy that we see and the willingness of people to perform. I think it may be also one of the key of the current good performance of Moncler.
We don't forget the retail expansion and I would like to drive you through the way we are looking at our network development, working together with Andrea Tieghi, that is doing a fantastic job. He's the man behind the network development together with the regional President and the one that's been fostering also a lot of new initiative on this. We want our network and still 2/3, between 60% [to third] of the growth is going to come from the network for the three years to come. We want to really use the flagship as a brand manifesto.
In five minutes time, I will show you a small video about the flagship store that you see here, which is the one in Paris, 119 Champs-Élysées, that has become our number one store in terms of sales in the month of March this year. It's a store that we opened really in the middle of the pandemic. We want to focus on key relevant cities. We don't want to be everywhere with our retail network. We have the digital that is a fantastic tool to leverage on smaller cities, but we want to have a bigger footprint, a more impressive footprint on the key relevant city. We want our concept not to be exactly the same.
I think the way retail in the luxury industry was developing 15, 10 years ago, it was we take one format, we replicate the format everywhere. I think here we need really to think about what type of format according to which type of clients, which type of community. The example that I was mentioning in Chengdu, in China, with this more younger format, we have. It's one city, and we have two stores that are distant less than 1 km from one to the other, but with two different profile of clientele and with two different experience that we are proposing to clients. The pop-up strategy is also something that we have started to explore. This year it will be mainly on Grenoble starting in December this year.
We are going to have to enhance the visibility of Grenoble and Genius between 10-15 pop-ups that we are going to have every year to give more visibility and also to be able to be in location where usually you can go with the retail store. This is another tool that we want to leverage. Finally, we want to be powerful, so we want to move. The tools we are there and the setup we are creating, the way we display collection, the way we train our people, is also pushing us to go from transaction into more experience. This is for this we need a larger store.
What we have seen, and that's been very interesting and I'm sure you will have questions after the presentation of the quarterly results, we have been able, despite the larger size of stores, to keep a very, very high level of store square meter productivity in the stores we have. We want also to use, and here is one good example, the windows as a tool really to express the brand. It's an additional tool on top of the digital and the above-the-line communication really to leverage our windows. It has always been one of the strengths of Moncler in terms of creativity, to really express and to leverage this visibility we have now through the 240 stores we have in the world and to use it and to leverage it even more.
The store format, design and visual merchandising are going to enable us, and maybe the pop-up also, to push the new core categories like the shoes, like the sneakers and the footwear we have been talking about previously. We don't forget wholesale. This is a picture of Saks in New York because they are a very important level of our strategy. You know, we have 1,100 stores in wholesale now. We are going probably to decrease it further in the next three years to go below the magic figure of 1,000 stores, still growing, because otherwise the exercise will be too easy.
We are going to realign the network for Genius and for Grenoble to help us and use it as a soundboard to express more the visibility of these two pillars of Moncler. In terms of deepness of the assortment and in terms of how large this collection will be, where they are going to be displayed, we are going to change our strategy, so probably a fewer network, but with much more visibility with windows through really to empower and to give visibility to these two categories. Footwear the same, and Robert is going to talk about this, not only on the department store but also in the specialty store in the U.S.
We believe that there is strong potential here to increase the visibility of this category. We want to be digital also. We started in 2016 the collaboration with e-tailers. We have strengthened this collaboration. Some of them, they have been moving into e-concession, but still we have some of them that will stay as a wholesale business, and we want to work with them because they are also the ones that are amplifying the message we have on our online and that are reaching other type of consumers that we're not able to reach with our social media or through our .com. Phygital showroom, you are here. Imagine that in this showroom, we do now all our wholesale activities in for Moncler.
We close all the other showrooms around the world. All the campaigns are run from this exact space with the different rooms. We have here about, in peak season, between 60-80 salespeople that are working either physically with the clients in the showroom or in digital, in remote. We were forced to do it. We were forced to learn to do it and adapt very fast during the first phase of the pandemic in 2020, and it's working extremely well. Basically, we have accelerated the closure of the showroom we had in the other region because we have seen, and this was approved, that this was working. Finally, we want to be direct, so we continue to develop our strategy of shop in the shop.
We are going to open between four to five shop-in-the-shops every year, and we are going to continue now that the travelers are back at least at regional level to continue to expand our visibility in airports. Now, how to translate this and how to maximize, leverage the potential of each region. I'm going to go shortly through the different regions to give you an idea of what we want to do in the next three years. EMEA is still a region with a lot of growth potential, so it's going to be a very balanced network enlargement with between 10-12 new openings and also a lot of relocation because it's the region where we started first.
There is still the need in Europe to relocate and expand some of the stores we have. The main retail projects, two of them are for this year, Madrid and Düsseldorf. They are signed. They are going to open in the last quarter of this year. We have two other very important relocations. These are going to be flagship stores in Zurich and Vienna that we are going to have during the first phase of 2023 and many other projects to come. We refocused on travel retail. We had 23 stores. We have currently 23 airport-positioned in airports. We are going to increase it to 30, 32 by the end of the plan. There is Heathrow that is planned for next year. There is the conversion. This is another point on which we are working.
It's whenever it's possible, we are taking back, let's say, the management of the stores we have in airports. I think the pandemic, in a way, was something terrible for the airports, but it has been an opportunity with us because we knocked at their door when the travel retail was dead and tell them, "Are you interested in having us operating directly with you or you prefer to stay with your traditional operator?" At the time where everybody was keeping the store closed, I think it was a good initiative that we had to start the negotiation. For example, the three stores we have in Paris, in Charles de Gaulle are going to become retail operation for us starting first of January 2023. Munich, we did the same.
First of January of this year is now operated directly by us. We have also in wholesale some selective partnership where we are going to amplify the presence of Moncler with Antonioli Milano. The new project is going to be a takeover of their new location with the seventieth anniversary and with Genius. We are going to really leverage the visibility we have. There is another excellent partnership that we have with END. Cl othing. Of course, there is potential to continue to open shop-in-a-shop in a network in Europe. I'm going to show you a short video. This is the central place where we have the staircase in Champs-Élysées. We have been using Champs-Élysées, and this was again open during the pandemic. It was in December 2020.
Not so easy to go and open a store at that time. It's the largest store we have in the world. It's 1,600 sq m . We have took this opportunity also to develop new experiences inside of the stores. We have immersive room. We have a place that is semi-open, which means that when there is no appointments, it's something that is part of the store layout. When we have clients, we can close it and do more personal interaction with clients. It's called Refugio, and it signifies it's linked to the world of the mountain. It's also a place where we wanted to test, for example, our approach on personalization. It's the first market, it's the first store that has a personalization.
Personalization that is going to be launched in October this year on the online and in five additional stores. Let's have a look at the store in Paris.
Let's experience our flagship store together. This is our Refugio. It's the best place to organize our private appointments. Here, our clients are relaxed, UPT and conversion rates are higher, and we get very good vibes from our clients. Moreover, our Refugio is very close to our personalization room.
Here, our client can experience the unique service of personalization. They can choose almost infinite color combination within the different palettes. They can select color for the hood, arm, front, and back, and add their name or initial with the Moncler logo in the back. They will be delivered in only thre weeks to the place of pickup in store.
Really a fantastic tool to do experimentation, to test. After this, the first trial that started in September, October last year, we did some fine-tuning, and we are now ready to launch it at a worldwide level. Korea, another important market for us, a market that has been going through the pandemic with a double-digit growth month-over-month. There was not a single month without a double-digit increase.
A market that has a lot of potential for us, maybe less now in terms of openings, but as this was one of the markets where we started being really focused at the time on the outerwear, it's a place where we are now working a lot to enlarge the store footprint that we have in department stores, and we have planned more than 10 relocation expansions in Korea, probably four new openings. The ones that we have for this year and beginning of next year are Seoul Galleria and Jeju Lotte. We have for Japan something that is quite similar, also a lot of relocation and expansion, around four to six new openings in the next two years.
One that is going to be something very important at the end of this year is going to be again a format that we are going to experiment in Shibuya, in the very center of Tokyo. This is the crossroad where you see usual images of people going in all directions, one of the most crowded corners in the world, and we are going to open an 800-sq m store with a new concept, very oriented on young people. We have then very good collaboration with Hankyu and Isetan, so we have a second store opening in Kobe. We are going to relocate and expand our footprint on Tokyo Isetan.
Interesting because this is the store with the highest turnover per square meter that we have in the network, so we are very happy to be able to expand it. Osaka Hankyu, which is also the best men performing store in the network. Wholesale is important in Japan, not so much in Korea, but here it's something that is important. A focus on tier one and two, tier two accounts for the Japanese market. Asia Pacific, a market with strong potential for us to grow. We're going to talk in a few seconds about what is the new job of Stella. Between 10, 14 openings, probably more 14 than 10. Eight relocation and expansion. Here also the possibility to have footprint now on the ground floor, which was not possible for us before.
I think we have been gaining credibility thanks to the work that has been done there. Shanghai Plaza 66, beginning of next year, ground floor location and up three levels. Beijing China World, we are in the basement now. We are going to go on the what they call the first floor. Macau Galaxy, we are going to double the size of our store. Guangzhou and Shenzhen, with the Group Swire, we have a very good partnership that we have with Moncler, and we would like to further explore also with Stone Island in the future. Wholesale project. Here you have all heard about Hainan. We have currently one store.
We're going to open two other stores at the end of this year on the Hainan Island, and the fourth one at the beginning of next year. Macau Four Seasons relocation, it's another probably after Hainan, the most important store we have in wholesale with DFS, one of the best performing store. I would like now to ask Stella King and Robert to join me on stage. Stella has been with us, and she has been creating what Moncler Asia Pacific is today. You have been with us since the very beginning.
Yes.
You are the one behind the success of Asia Pacific. Stella has, since a few months, a new assignment here in the head office. We are probably the first brand to create a China business unit at the corporate office. Stella is going to walk us through what she's going to do in the next two to three years.
Thank you, Roberto.
Thank you.
[Foreign language] . Good morning, everyone. [Foreign language] . I give back to you.
Ah.
Yeah.
Good.
Moncler have been using a regional approach to with a tight, let's call it, centralized governance to manage and direct our global business. This is one of the reasons we have been growing so fast, because all businesses are on the same direction and the trajectory. With the scale getting bigger and bigger, and with the weight of Chinese consumer increasing in past years, we acknowledge that China is not only big in terms of size, but also complex in terms of culture, especially subtle culture approach for most Western people. Not like American culture or Japanese culture, people in general are much more familiar with. Let me give you an example. We all know CNY, Chinese New Year, is important for Chinese people.
If back to 10 years or 20 years ago, Chinese consumers would be easily pleased by a brand put CNY symbol on their products. Now, if a brand would only do that, let's say this is the year of dragon, put a dragon pattern or the Chinese letter of dragon long on their products. The reaction from Chinese consumer, especially young consumer, could be, "Are you serious?" It cannot create the same emotional bonding as brands wish as before. Let me give you the other example. There is a short video to share. Thank you, everyone. I don't know how many of you know the name of this doll or how popular this doll is in China. I can only tell you we are the first luxury brand collaborated with the Pop Mart's star character, Space Molly. She was born in year 2006.
There were total 3,000 pieces limited editions of this collaboration in the market, sold by Pop Mart and Moncler WeChat mini program. With the teasers on social media, the raffle arrangement, the selected window and in-store display, and the countdown of the selling, we sold all the pieces we had just in a second. While being leveraged with the activations, we collected a much wider number of contacts of the people who registered on the activation. I can tell you the ratio between sold pieces and the gathered data is about 1- 1,000. This Space Molly, 70 cm height, the retail price is just less than EUR 1,000. This is to tell us how important it is to use the Chinese narrative to communicate with Chinese people.
This is the reason our company decided to establish a dedicated business unit to address solely and creatively on Chinese consumers in China, travel around the world and residing abroad. There are three sets of actions we're taking. One, as Stephan also mentioned before, to build our local content studio in China. To constantly update, review, and define the Chinese narratives, which is, of course, be always consistent with our brand DNA and the positioning. Two, to improve and then maintain the special capsules for Chinese market and to also cater with the important festivals and the bonding moments. Three, to create the virtue and virtuous cycle for Chinese all around the world. With the upgrade of the Moncler 3.0 and the data lake, it allows us to have the opportunity to understand our consumers' shopping behaviors and the preference better.
It gives us the opportunity to offer better service in a more seamless way on the same customer wherever he or she is. Multichannel, as Stephan also mentioned, we already have official accounts in WeChat, Weibo, RED, and Douyin, and we will launch our Tmall flagship store in this fall. All those platforms, they have their own characters. They have their own communities. We cannot use one content for all. We need to differentiate and give them the different contents. We're also aware that China digital e-commerce keeps evolving faster. That needs a local team, a local eyes closely and continuously interacting with HQ. Apparently, our company already successfully moved me to be in Milan. Now I am based in the headquarters. We have a very strong new President for APAC. We have a very smart President for China.
Among the others, we also created a new position, the Head of Digital and Communication. We hired a very experienced lady to cover that position. Thank you.
Thank you. Thank you, Stella, and congratulations for having grown the business 20 times in the past 10 years. Thank you.
Thank you for the team.
Robert, I leave you the floor.
Okay, perfect. Thank you. And congratulations, Stella. We're very excited, of course, in Americas as Stella will really help us leverage, hone our approach, really in the Canadian market, where there's a big population, of course, of Chinese locals and a growing population of Chinese tourism and students. Congratulations and looking forward to it. At this point, hindsight's 20/20. I do wish I had a video to show you that was very emotionally impactful, but I do not. You'll have to listen to me for a few minutes. However, I will try to make it focused and quick. Let's start with channel mix and distribution. In general, we have a nice balance, a lot like the other regions, the relocations and expansions and new store openings.
If I really step back and try to explain it in a nutshell, in America, L.A. and New York, we have to win in these markets. You saw a video earlier. There were some images of our new L.A. flagship that opened this past summer. We're set in these markets. Both of these markets are also supported with a nice ecosystem of wholesale. In New York alone, Manhattan, we have about 10 points of distribution. L.A., very similar. Under this, we have to make sure we're positioned in the right brand statement with the right size and scale to show the totality of the brand in key markets. We just opened or reopened a Chicago flagship a few months ago on Oak Street. We're about to do the same in Miami. We have a store opening, late summer in Miami Design District.
At the same time, we'll reposition in Bal Harbour in Miami in a much larger location. Underneath this, the next layer is penetrating and going into markets where we have a proven community and brand following. We'll have Detroit this year, and we also will have Dallas as an example of these markets. Then we have our next layer, the Nashvilles, the Charlottes, the Austins of the world. These markets we're deliberately going into, whether it be digital, whether it be utilizing a partner to enter, but really they're unestablished. There's tremendous potential of these type of markets throughout the U.S., but we're really going in, getting proof of concept, and then expanding from there. Lastly, how do we animate? That's a very direct physical distribution channel growth strategy, but how do we animate? That's really where our pop-ups come in.
Some of you that have been in the market, you've probably been able to see a few years ago, we did a thing out in Greenwich, Connecticut, right at the beginning of COVID, where we were just, "Let's go to where people are at. Let's really show a cool brand expression of it, and let's reengage for a short period of time." This has continued. We have House of Genius last year in Brooklyn. We also went to the resorts. We have a activation going on right now in Vail, Colorado, that's just a great expression of the brand and allows people to really interact and see us on a much broader scale, which is key for the market.
Of course, supporting all of this, Stephan talked earlier, it's a digital ecosystem, and whether it be directly owned or through a partner, this ecosystem really allows for the consumer to navigate and their customer journey to be almost limitless as they interact with us and engage with us on a brand. We'll continue down this path as opportunity is proven and opportunity presents itself, we're ready to go, but we really kinda continue to lean in because we know there's tremendous more communities and markets that we can play in America. Why unleash America? It's a term we've used, a lot today. You are all way more fluent than I am, but looking at macroeconomic trends, you have a positive GDP forecast, you have positive consumer spending forecasting trends, you have high savings rates. We're getting to record low unemployment rates.
At the same time, we're seeing people reenter the workforce. All strong fundamentals. You look at the industry specifically. Record growth over the past few years. Obviously, you've seen some of the results in Q1. It's continuing as we go into 2022. You take Moncler specifically, and it has incredible social currency value in the marketplace. As I mentioned in the distribution and channel mix, tremendous untapped potential to go to. You take these macro trends, more the micro components, an energetic brand. You take the ideas that were shared earlier today through Mr. Ruffini, Gino, Stephan, Mina, Roberto, you put all of this together and you really have a robust market, prime, ripe with opportunity, and we're well-positioned to take market share. I would break it down to really be four fundamentals in approach.
What you'll see, there is nothing new here. It's a consistent theme. As a region, we don't reinvent. We take the global ideas, we localize them to maximize impact, and we execute precisely. You'll hear a lot of the same buzzwords. Community-obsessed approach to drive brand awareness and local connectivity. Harnessing the power of American pop culture to accelerate growth. Accelerate using footwear, leveraging the organizational strength and agility to drive results. What does this mean? When I say community-based approach, you heard the distribution, but those are physical touch points and digital at the same time. We have to localize them. This really comes in, or Roberto referenced it, is how do we merchandise and how do we put product and how do we differentiate? At the same time, we must harmonize the brand.
If you take New York, for example, I said there's 10 points of distribution. Wherever you go, whether it be Bergdorf Goodman, Kith downtown, or Patron of the New, a really small independent down in Tribeca or our DOS locations, you have to recognize that it's Moncler, but at the same time, you get to see different faces and different interpretations of the brand, and this is key. The same as what you see in New York will be different from what you see in Miami. There's tremendous similarity, absolutely, but how we show the brand, how we make different exclusive products for different types of markets will be key to our success. We've been doing it.
We're continuing to do it, and it's interesting now in a post-COVID world, the migration that's happened within the market and where people are at, we're having to adjust it very quickly. It's all doable, and we'll continue down that path as we go forward. The other aspect is once you have these physical points of experimentation and points of distribution of it, how do we create noise around it? This really comes to our ability to leverage global events. We're very excited. Of course, we have our 70th coming up. We have Grenoble, as mentioned, we have Genius, and we have endless supply of things coming down the pipeline. As a region, how do we use all of the different mediums and platforms?
Really, this is what, Stephan talked about a little bit, earlier, like, whether it be TikTok, whatever it may be. We have tremendous levers to pull. This is how we localize all of these events, and we really take it to a very local level. It really allows us to go far and wide, but I go back to and reuse the word local at the same time, which is actually key for us. It really doesn't just allow for new client acquisition, but really allows us to reengage the loyalists as well as kind of iconize the brand in the market. Very key for us. Jumping to, pop culture. American pop culture continues to really shape and be a large portion of the global conversation and consumerism. We're very well-positioned.
If you really look at it, there's four segments: it's music, it's athletes or sports, it's actors, and it's celebrity. All four segments we're very well-positioned in right now. Our approach. Actually, let me give you a stat before. Just probably a lot of you have heard different stats around it, and you can look at it and slice it in very different ways. Instagram alone, you take the artist Drake. Drake has 109 million followers on Instagram. Step away. You take Condé Nast, a 113-year-old publishing house, titles of Vogue, GQ, Wired. Drake doubles them in his reach and engagement. The importance of pop culture in America and its shape on global consumerism conversation is huge. Our approach is unique, and it always will be authentic and genuine.
In a recent example, NBA in America, huge sport, of course. A recent trend within the NBA is hiring creative directors. The New York Knicks has now hired Ronnie Fieg from Kith. You have Don C out of Chicago and the Bulls, and you have Daniel Arsham, artist, who's partnered now with the Cleveland Cavaliers. NBA All-Star Game, very local event. It's not a global thing, but a massive following, massive community involved with this. We're able to reach out to Daniel, partner with him, and we created, last minute, 50 limited edition jackets. All of them were seeded and gifted, and within an instant it became the most coveted item of All-Star Weekend. The amount of reach, impression, engagement we got off of this was lethal.
It's about showing up in the right place at the right time in a very authentic and genuine way. We'll continue to do this. You'll see a lot more of it. We'll continue to ramp it up, but always being true to us at the same time. Footwear. I'm sure you'll have a lot of questions. I'm not going to go deep into footwear. I'll let the other leaders talk more around it. It's very clear, whether you slice and dice this business is an $80 billion business, $90 billion, whatever it is, it's a massive industry. The epicenter of sneaker culture really stems from America. It is a massive community. You take this community, I go back to our social currency at Moncler, it's primed. And we will launch this and expand this and evolve this.
We have several plans in play for this, but it's very exciting for us, and it'll be huge for America's market specifically as the penetration of our business in the future coming years. Lastly is organizational strength and really how do we bring all of this together. We've had a team in America now that's been together for a few years. They've proven themselves in the uncertainties over the past few years. They're very agile, focused, diligent, and results-oriented. It's imperative that this continues as we go forward to execute all this and execute all the ideas that you've heard today.
The center of this, though, it really comes down to the people and our customer at the center of everything we do and really living our value system and not really just speaking or feeling our efforts that Mina talked about in Born to Protect, but actually strengthen them at the same time. Giving our teams something to be more proud of, not just the results that we accomplish as a brand, but they're part of something bigger. That would be key for us in accomplishing all this. In summary, incredible opportunity, we're well-positioned, and we will gain market share. Thank you.
Thank you, Robert, and we count on you to continue on the path that you have set since you joined in 2016 and to even further accelerate after all 'cause I know that behind this there will be a lot of requests for money to invest. We count on you. Just to conclude this part of the presentation by setting objective that we have that are going to be also the results of things well executed. 100 U.S. to be opened in the next three years. 60% of them are going to be relocation and expansion. We are going to grow our selling space mid- to high-single digits every year, a lot through these expansion of existing stores.
Single digit wholesale CAGR, while decreasing the number of those by 10%. Good challenge for you, Cristiana, but you have been able to execute that in the past three years. Finally, more than 50% of growth contribution from these two person that are here close to me, and we really count on you to make it happen. Thank you.
Thank you. Thank you. Indeed, we have a couple of questions for Robert and Stella.
Thank you.
Stella.
We have time for questions?
Yes. Just two.
Okay, great.
Stella, for you, a little bit of an update of the current situation in China. How many stores are in lockdown? How fast is traffic rebounding when stores reopen? For you, Robert, also considering what you said, how sustainable you think is the current demand in Americas, and how you see Americas for Moncler in 2024?
Okay. Yes. We all know now is a quiet moment for China. We don't know, at this moment, around 30% of our network is closed in China. Honestly, nobody have a clear answer when the lockdown, the lift of the lockdown will happen. What we can do is to review what happened in the past. Wuhan locked down for 74 days. After the lift of the lockdown, the business more or less come back around two months this time. For Nanjing, it was under a very critical moment, but the consumers' activity never really stopped. Also, during the lockdown period, we have very good, very strong team on field. They never stopped to contact their customers. They love Moncler, they love the company. They also love and care their customers.
They keep sending very warm messages to customers, remind them to be careful, and they send them interesting videos to give them some fun for their life. I would say these are all the bases for us to welcome the lift of the lockdown period come back.
Great.
Thank you.
Thank you, Stella.
Robert?
Okay. First portion of the question was around sustainability of the current trend. It's a good question because obviously, if you look at the market today, there's tremendous headwind, there's market volatility, there's inflation, there's social political issues. You name it's headwind. I would highlight, we just came out of two years of complete unpredictability. I think what we have today, while it may not go away, it'll evolve. There will always be new issues and new headwinds in our face. I think what really will allow us to get through there is, I go back to the untapped runway that we still have. We aren't maxed out in the market. If we were maxed out, it'd be a different story.
We have so many different avenues that we can continue to take and maximize in the market, that it really gives us leverage versus a lot of the other brands. At the same time, I go back to the teams. We have a team that's proven. We find the opportunity, and we'll make it happen. I think, yes, there is headwind. I cannot not acknowledge that, you could say. At the same time, I think we have the wherewithal to get through it. Then your question, I think, was around where we'd be in 2024?
2024, yeah.
Let's see. Paola, I know you don't like me to use numbers or anything, but I would say we're around 17% of the global business right now. Our goal, we need to top over 20% of the global business. That's our track record.
Thank you.
Thank you. Roberto, for you, there will be time later in the day to ask you questions.
Absolutely.
Let's now move to the next topic and see how our supply chain can cope with this challenging strategy.
Luciano, for you.
Over the years, we have developed a unique know-how. We apply the most advanced technology available to always be at the forefront of innovation, and to continue being the best producer of high performance and technical apparel.
Good morning. Good morning, everybody. Thank you. Thank you for coming here today. It's very nice to see you again in person after so long. We met the last time four years ago, so it was quite a while ago. With this video, we wanted to bring you at the heart of our supply chain.
A very complex machine with over 7,000 people working every day for the production of our products, all of them totally devoted to deliver the highest excellence to our customers. I want first to remind what we heard today, this morning, because I think there are some points that are very important to repeat. We heard that we want our brand to be community-obsessed. We want to target and to talk with new communities from luxury to streetwear, sportswear, outdoor, performance sports. We want to engage digitally all these communities. We want exclusive product in our website. We want to implement this amazing project that we have in our pipeline, which is the personalization, and we want to be sustainable in everything we do.
What we understand this morning is that for the supply chain, and not only of course, but for the supply chain, complexity is the new normal. We are not worried about that also because Gino told us today that difficult is not the enemy, boring is. Make sure that we will not get bored, at least over the next three years. Also we are not worried about this complexity because we have been dealing with complexity at least for the last four years and even earlier. You may remember because all of you or most of you were here in this company exactly four years ago when we held the other Capital Markets Day. That was exactly at the time we launched for the first time Genius.
It was an amazing event and it was an amazing experience over the past four years. We have learned a lot from Genius. We have learned that we are required before and even more in the future to deliver many and frequent mini collections, special projects, incredible products, because, you know our collections. I mean, we are not talking about simply normal products. We are talking about real pieces of art and everything delivered on time, almost everything, okay? Everywhere in the world with the highest quality. We are not worried about also because I think in the supply chain we have a pretty clear strategy, and this is what I would like to talk with you today about strategy, about our future projects, and about the many challenges we face because there are challenges.
In order to discuss about that, I would like the driver of this complex machine, the magician of this magic world, to join me on the stage, Francesca Bacci.
Thank you, Luciano. Thank you.
Francesca Bacci, head of the supply chain. Just to remind you, nobody better than Francesca can say what I just said before very quickly, because she joined the company late 2017. She first, as the first task, had to face the complexity of Genius.
Good morning. Good morning to you all. [Foreign language] .
[Foreign language] . In Chinese, we are not capable to
Not capable.
Okay.
Maybe only the designer.
Okay, Francesca. We put together in this slide what we believe are the five most important pillars. I mean, there are many others, but I think that this may represent, I mean, a meaningful summary of the supply chain. The first one is savoir-faire. Francesca, we decided to select this French word because we believe that better than any other English word or Italian word represents the essence of what we are called to do, which is a mix of technicalities, experience, technology, but also an important contribution of craftsmanship. I would like you to explain to this audience how important is craftsmanship for Moncler.
Well, we saw this morning amazing pictures and extraordinary products. I think we can say, we can definitely say that together with design, with the most innovative development of the products, we have the invaluable value, the invaluable treasure of craftsmanship and savoir-faire. As you know, we develop many, many collections and special projects, and the range goes from something very close to couture, okay? Like Pierpaolo Piccioli creations to Gen Z collections like Dingyun Zhang or Jonathan Anderson ones, or to highly technical and very complex Grenoble ski wear. This would not be possible if we hadn't developed during years, two very important and unique values, the top know-how and artistic sensitivity.
These two values, as you have seen, are spread among all our facilities and many of our people in Romania, in Trebaseleghe, in Milan, and with our suppliers. Now the real challenge is how to hand down these values to future talented generations. This is why Moncler offers academies both in Italy and in Romania. In our Trebaseleghe facility, we created the Moncler Academy for Technical Excellence, which we call MATE. This is not all. In Romania, we have in our plant in Bacău a very special department for innovation, engineering, and we also want to take care of artistic sensitivity, artistic craftsmanship, training people to become pattern makers, prototypers, product developers and young technicians, and also quality inspectors.
Okay, Francesca. Thank you. I think you said something I like very much, which is the artistic sensitivity
Sensitivity
Because I believe that when you have to do this kind of garment, of course, you need an artist as a designer for sure, but without this kind of artistic sensitivity, you could never make this happen. I totally agree with you. Francesca, I believe that, of course, craftsmanship is extremely important and essential to deliver the high level of excellence our customers expect. I also believe that when you have to produce millions of units with thousands and thousands
Thousand.
Of different size, you must have a full digital process, otherwise you can't make it, okay? I mean, we have been working with the PLM, a Product Life cycle Management system since ever, but recently, a couple of years ago, you and your team have totally designed the system to make it more digital, more usable, and a real driver of excellence. What is very interesting to say today is that into this system we have all the information of the product since the very beginning, from the uploading of the sketches by th designers until the final definition of the product, the final industrialization of the product with all the technical information, the technical requirement, what you call, and I like it, one single source of truth, because in this way, there are no more mistakes, no more misunderstanding. I thought, I believed. No, everything is dictated.
No more emails because everything is automatic.
Yes. In fact, I mean, we improved significantly the quality of the process that at the end is the quality of the product, but we also were able to reduce significantly our lead time and everything is in one device. That is not this, but, I mean, okay. Accessible from everyone, of course, is involved in the process. Digital is not only the PLM. I mean, I think that this, our friends today have had the chance to visit our innovation room, and so they already had the sense, a flavor of what we are talking about now. Can you explain to us what we are doing with the 3D?
Yes. We use 3D often, but especially at the beginning of the process, in order to avoid several versions of the prototype. You know, maybe you have seen that the instrument is very powerful. A 3D prototype is very close to real, and this is very important because when designers see prototypes, they always change something, the construction, the fitting, accessories, the placement of a printed fabric. This is very important, but slim lining is not all. We like to feel and touch samples and prototypes, but we only produce and launch them when they are completely revised and approved. Thanks to 3D, we saved about 40% of time and cost of our physical prototyping. We enhanced the quality of our collections and support our designers' creativity.
I have to pick up something you said that, again, I like. Sorry, but you know that there are some concepts I like more.
I like.
I mean, because 3D, I mean differently from what I personally believed in the past and many people believe, is not a very powerful tool only because you can reduce the lead time. You save money because you have a cost saving very important, but 3D is a boost to creativity.
Yes.
Okay? Because the designers at the beginning have a lot of different ideas, and they would like to see immediately the result, the three-dimensional result.
Mm-hmm.
What they have in mind. This way you can do it. Physical prototypes for all these ideas would be, of course, impossible. Let me say, and reiterate again, that physical prototypes are still extremely important.
Extremely important.
Because there is a man in the first line that likes, the touch and the feel .
Of course.
Without the touch and feel for our product, you can't.
Also to fit the way.
To fit. Even if, I mean, the 3D has a fitting system that is more precise, you know.
Than the...
Okay. Let's move now quickly to innovation, okay? I mean, everyone in this company know how much you and I like innovation. I mean, I'm not an expert, but I'm fascinated from the innovation. I remember, Francesca, many years ago, I don't know when, but in some of our nighttime conversations after a long hard work day, we said we have to build for Moncler a new generation class of technicians. Of course, we had some, and we still have some that are very strong, very good, excellent. We also said we need and we want to get some talents from outside.
We said each other, if we look at the best technicians in the best-in-class companies of our industry, the best we can do is to become good as much as they are, which may be good. I mean, we can be happy. We said, "No, we want to do more. We want to do better than the others." If we want to do better, the only solution is to keep looking at other industries.
Mm-hmm.
The first industry that has developed over the year the best cutting-edge technology is the automotive. We started interviewing these young technicians coming from the automotive, and we met Roberto Arsanto, who is a technician that has been working with us for four years or three years. Okay, let's see in this video what happened after then.
Three years ago, we started to rethink our production process, getting inspiration from what has been done in other industries, like the automotive one. Today, we are going to present Moncler Lean Production, an innovative and outstanding application of this methodology and thinking in the outerwear industry. Lean production has been firstly adopted in the automotive industry in Japan, transforming the production system from push to pull. It is founded on four important pillars, one-piece flow, takt time, minimal material handling, and automation, Jidoka, which indeed is a Japanese word. To explain these concepts, we can say that production is fed one piece at a time from station to station without inter operational stops. Each phase is balanced at the same takt time, which is the cycle time needed to meet the market demand.
With the help of automation and Jidoka concept, we achieve more flexibility and very low time to market, with the result that fulfills the market demands with the correct mix since the very first production day. With Lean Production, we produce one single piece at a time, from cut to the assembling with no need of batches. To summarize, Lean allows Moncler to further boost its technological edge, increase flexibility, productivity, and production capacity, reducing lead time while keeping its best quality standards.
I like robots running around the lines. I mean, it's something that excites me. Okay. I mean, we have summarized the four points that are behind the lean production methodology. The first one is very important because the others are very important, but are the result of the first one.
Mm-hmm.
Can you explain to us, how can we produce one-piece flow in an industry that has been based since ever on the push system, which is typical of the mass production system that is based on the batches, and the bigger the batches are, the more efficient you are. Now you say that we produce one piece at a time.
Yes. When I first met Roberto Arsanto and he was explaining to me this methodology of one-piece flow. Listen, I was shocked because, you know, cutting and working one piece at a time is exactly the opposite of what we are used to in our productive system. We immediately realized the revolutionary chance to change our productive system. First of all, one-piece flow enhance flexibility because we can produce only what the market needs or only what is needed by the market. Because we cut one piece at a time, we can produce several sizes without batches. What is more, with one-piece flow and automation in our lean line, supervisors are able to detect immediately mistakes or problems and immediately solve. This is the true meaning of Jidoka, the Japanese word, which means autonomous automation.
Automation with a human touch, with continuous improvement. I hope I explained.
Honestly, I think it's not so easy to understand in general. I think that you did a very great job because after the third, fourth or fifth time I listened to you, I started to understand something. The final result I want to highlight is that. Okay, first of all, we don't want to overpromise, okay, the results, because Roberto is very full of energy.
Mm.
We are still in the phase between the pilot phase and the industrial phase. We have only two lines fully operating. The third line will be implemented in a few weeks, and then other three lines in the second half of the year. Next year we might have, let's say, a meaningful industrial production. Based on our results, first results that are quite, rather meaningful, I can tell you that the productivity of this line is the double than the productivity of a traditional line. This does not correspond to a cost saving of 50% because, as you may, for sure you understand, there are important CapEx investments associated with this line. You can say, we can say that we have a cost saving of about 30%.
Cost saving is not the most important result, because 30% cost saving in our level of cost is great, but it's not what makes the difference. What makes, may make the difference is what Francesca said, the flexibility and the possibility to produce mostly in season, exactly what the market wants, when they want it. Right product, the right place, at the right time. This is the third point, which is the demand-driven approach. I mean, innovation is helping us to move the supply chain from a traditional system to a demand-driven production system. Of course, it's not only about technology. There is also a big planning activity on the raw materials.
Yes. Yes. We have, in fact, implemented a very important planning procedure. You know, we have also built a very strong relationship with our key raw material suppliers. They guarantee us the supply we need with a kind of sort of a fast track. We agree with them to provide them with very tight planned raw material orders all year round.
Okay. Of course, this is very important because you may have the best technology, but if you don't have the fabrics ready.
Right
At the time it's needed, you don't go anywhere. This is very important. In any event, I mean, the demand-driven approach is an important pillar of our strategy. Now, there is another point that is needless to say, but it's very important, which is the industrial development. Because, I mean, we have been growing very nicely over the years. We keep growing very nicely, and we are all very happy. Of course, growth for the supply chain is a challenge. It is a challenge now because more than ever, more than in the past, I can tell you that the production capacity in the world is not unlimited.
The only way to face this challenge or, I mean, the best way is to do what actually Moncler already did in the past, but now we have to insist on this point, which is to build our own capacity. Of course, as you know, we have since five, six years ago, I don't remember even more, our facility, you saw in the video in Romania. Now, as we speak, in a couple of months, the second building in that facility will be ready, and we will be able to double the production capacity. Let me say in brackets that there will be a third building.
Mm-hmm.
I forgot sometimes because we decided to build in the same area also a kindergarten for the kids of our employees. Close brackets. Something very interesting to remember. In this new facility, we will double, not this year, but let's say in the next two years, the production capacity, and also we will dedicate one entire floor to the research and development. Because Romania, don't forget, has been generated like a hub for,
Okay
For technology, for innovation, for new methodologies. Now they are in a not small room, but I mean, there are many people, so we will dedicate an entire floor. This is not enough. This is not enough because, of course, we keep looking at other regions. We are evaluating other potential expansion of the production capacity. There may be a greenfield investment or a takeover of existing facilities. It's something that we don't know yet, but for sure, we are seriously thinking. Something important to highlight because, I mean, it's part of the presentation of this morning, and you know very well that Moncler is not only outerwear. I mean, it is, first of all, knitwear, because knitwear is our second leading category.
We have already and we saw in the video our product and production hub in Trebaseleghe, but it's not enough now.
Production.
We are looking at potential acquisitions. Can we say that, or it was confidential?
Yes.
I don't know.
Mr. Silvio doesn't know yet.
Okay. Last but not least, I mean, this morning we talked, I mean, our friends talked about the potential, the planned development in the footwear category.
Yes.
I think we have developed a pretty good know-how, but I think that now is the time to bring in-house the proper capacity to fully unleash this potential. Okay?
Yes.
Okay. Let's move now. Okay, I mean, of course, the production capacity is not only ours. We keep working with a network of solid, trustworthy, and long-lasting partners that adopt all the methodology we want them to adopt. They invest in the technologies we want them to invest, and we finance them, important to say, because relation is very strict, very strong. We help them also financially. Last point, but not least, is Born to Protect. We have talked a lot this morning about this important challenge we face, which is not a challenge we face as Moncler, but it's a challenge we as citizens of the world face. Something important that Paola said at the beginning of her speech, but the chairs were not here yet.
I want to show you these chairs that have two characteristics. The first is that they are designed by Philippe Starck. Okay. This is not the most exciting point. The most exciting point is that, as Paola said, they are 100% made with the scraps of nylon used in our production process, which honestly is something, I mean, is a small thing but very meaningful thing of our commitment.
Yeah
To the planet. Of course, talking about something more meaningful, I mean bigger, we put in this slide, the circular economy. Of course, the circular economy is twofold: materials and the end-of-life of the product. Materials, we said, I mean, Mina said this morning that we target over 50% of our material by 2025 to be recycled and/or low impact. Okay. This,
Fabric and yarns.
Fabrics, yarns.
Yeah. Important.
Okay. Can you say two words about also this complexity?
Uh.
Because, I mean, it's something we like a lot. We would like to do 100%, but it's not so easy.
It's not so easy.
We started to work on recycled materials years ago, but many of you know we found many difficulties. It was hard. The resulting quality was poor, especially in Europe, where we lacked know-how. Also the demand was too low to fully supply the facilities. That was a very important difficulty for our suppliers. As I said, we are partners to our suppliers. Thanks to the collaborations between our and their R&D and innovation teams, also our designers, we succeeded in you know creating very interesting, very beautiful nylon and polyester fabrics now.
Mm-hmm.
We feel confident that we can meet our 2025 targets.
This is very important, Francesca, because this is the key. Partnering with the suppliers, but the suppliers are not simply the fabric suppliers. We have to go up to the yarn suppliers, as you know, of course. I say something you told me. This is very important. This is the key. We are confident but also happy to be able-
This.
Hopefully, I mean, we are confident to give this important contribution. Circular economy also is at the end of the process, and nothing would be possible without innovation. If you visited our innovation room, you know exactly what I mean. Something very important that has been developed by our innovation team is the recycling of the finished product at the end of their life. You probably know, but let me say it again because it's very important to highlight, is that we are able now, with the help of a partner, again, because we partner with a supplier in Germany, we built together a machine. At the end, we are able to recycle the down, to extract the down.
We wash it, we clean it, we select it, and then we put the down again to a new life, a new product of the new collection, which is something honestly I like very much. I think.
Eh, to
We are okay with the supply chain. Let's talk now about logistics. Thank you.
Okay.
Thank you, Francesca.
Thank you. Thank you to you all.
This is for Claudio Cantarelli, who is the Head of our Logistics, because everything you saw is the result of hard but very smart also job he and his team did over the past years. Logistics. Get logistics closer to the customer. Let me give you a picture first of our logistics network, because what you saw in the video is our central worldwide logistics center in Castel San Giovanni. We also have a network of logistics centers in all the regions where we do business from North America, China, Japan, whatever. Important to say, in some region, specifically in Europe, we have also local platform in some areas that are particularly important. For example, in Europe, we have a platform in Paris, one in London before the Brexit.
I mean, now would be unavoidable, but even before the Brexit. One in Turkey. In North America, we have U.S., Canada. We are looking at eventually the West Coast, California, because we know that we must get logistics closer to the customer, considering that our logistics system is changing, but has changed a lot over the past years. Let's say one year because Gino and Roberto said that before this morning. Less than one year ago, we sourced the online business. We normally like to talk about evolution. We don't like the word revolution. In this case, let me tell you that this was a revolution, okay? Because in one year, just to give you a metric, in 2020, we did a total of 130,000 deliveries, which is not a small number.
In 2021, after the sourcing, we did 320,000, you know, which is 2.5 times bigger than what we did in 2020. Everything was possible because not last year, but many, many years before, we worked on the automation of our warehouse. That, I mean, we gave you a snapshot of this automation. If you remember, again, something that Paola knows I like very much is the shuttle system, which is a new picking system based on the principle of shuttle. I mean this shuttle, this, they're red, they were red, going back and forth to pick up a product and to move a product to the shipping area. This has been specifically designed for many, many, many small deliveries, which is the essence of the e-commerce.
Thanks to this system, and not only, we were able to make it. Of course, some problems, many problems behind the scenes, needless to say. At the end, I mean, our online business has been sourced effectively. Of course, one standard model is something I will talk to you at another time. Very important. Methodology is very important. The same information system, same methodology around the world. Something important I want to talk to you today is the integration of our logistics system with Stone Island. Because, for two reasons, fundamentally, because Stone Island, as you know, has based its growth until now mostly on the wholesale business. Now they are moving, they want to move more and more on the retail side.
Let's say on the DTC side, because there is also the online, which right now is outsourced and will be insourced in a couple of years. In order to make this happen, we need to make this integration to help them to achieve these important results. Okay, I think I'm two minutes over time, but I think that we gave you a sense of what we do. Thank you very much.
Sorry. You can sit there because we have the Q&A session. I don't know.
Please also Gino and Roberto, please join us on the stage.
Oh, without
It was my fear, Gino, so.
Okay, here is the page I was looking for. Several questions for you from the stage. I start with one for Gino. What are the elements that will transform Genius into a brand of its own?
Okay.
It has not to be.
No, exactly. I was thinking because, probably, to reinforce some of the messages. It's weird that I'm sitting. Hopefully you can see me. Genius is not a brand, and I think we share this multiple times, and I think it's a good question to remind everyone that there's only one brand, right? I think I wanna go back to this idea because I think I wanna make sure that we're clear. It's about evolving a strategy that already is in place to make it even better. Definitely Genius is one of the dimensions we discussed today. It's definitely not a brand. The evolution is what we discussed today, right? We're at a point where we will unveil together as we go.
Definitely, as I mentioned before, probably the most simple way to think about this is Genius for the past four years was always mainly focused on apparel design, right? What we wanna do is extend the power of the brand, leveraging Genius as a platform of creativity beyond just fashion design or luxury design. That's the best way to articulate it, and I think as we start going into next year, you will see that we start working and partnering up and create new things with people who are not necessarily inside the fashion world or the luxury world of designers. Of course, we will have, but some of them will not be part of that, and that's the way we'll start extending the dimension of the brand and, of course, connecting with new people.
Perfect. There were several questions on targets for, especially the one that we have been given on the brands, and they ask about where we start from compared to the target. I can just briefly answer. Revenues by category, footwear, you know that footwear for us is a mid-single-digit incidence. Knitwear is higher than that. It is already a double-digit one. You know that outerwear is 75%-78%, so the rest is 2/3 knitwear and 1/3 footwear. Demographics, I don't know if it was by age or by nationalities, the questions. In any case, the idea is to triple the Gen Z incidence. By nationality, I just mentioned the Chinese incidence that you know is around 35% in terms of retail revenues. Spring/summer for winter, 1/4, spring/summer.
By collection, Main is by far the most important collection, you know. Grenoble is today a high single-digit . Genius, you know, is less than 10%. These were some questions on numbers, boring numbers, and I leave to Alice a few.
Yes. Couple for Roberto now. Considering our ambition on digital, how do you see the interaction with retailers and e-concessions evolving? On the other side, the retail part, the brick-and-mortar, do you think we can grow mid-single-digit excluding the online?
Well, I think that definitely in terms of growth for the retail business, we are targeting mid- to mid-high single-digit growth in the years to come, thanks to the change of format and the fact that we are going to bring experience and all the Omnichannel, plus all the new services I was referring to, the live chat, and the empowerment of the client advisor for the new tools to deliver and grow the business, not only through conversion in the store, but also through driving this target of 25% additional business from these proactive sales. On the retailer side, as you know, we started with the e-tailers back in 2016.
Very small at the beginning and growing and growing. I think what we have been focusing was at the time and still now very much on the quality and the content, so developing strong partnerships, strong visibility and have as one of the main target, the brand expression and not only the sales, the sales as the result of something good that was done with them. They are also guided in terms of buying, like if they were part of Moncler. Since now one year we have started discussion to move part of e-tailers into e-concession. We started with Mytheresa. That has been one of the first to start with us and probably the most reactive and proactive sometimes also coming with proposal on how to do things together.
I think there was a picture referring to the pop-up store they did in the mountains, which was a digital pop-up that was absolutely amazing. It's in Austria, and we're working with them now to do another one at the end of this year in Crans-Montana. We're going to do a pop-up boutique hotel. I think we have seen a lot of pop-ups popping up in the resorts, but nobody has ever done a boutique hotel, a pop-up boutique hotel. We are going to do one digitalized also with Mytheresa. There are plenty of interaction and action we are doing with them. The second one was with the [Aroma]. We are in advanced discussion with Saks in the U.S.
I don't want to discuss what is not already signed, but we have started discussion with other ones. Clearly the objective is to have a privileged partnership with them. If they are ready to play the game and invest with us, they will have access also to privileged collection and limited edition. This being said, we believe that 2/3 of the business needs to come from the .com and through the new way of operating, so with this login approach on which we believe a lot.
Indeed. As a side note, because maybe a few of you will ask, the digital target that we share includes online direct and retailers.
Absolutely.
Just to make it clear.
As usual. Absolutely right. I have a question, maybe for Gino or Gino and Roberto, what has been the initial feedback from customers on your new Grenoble outerwear? I think it is more related to dynamic collections in the stores. In how many stores have you rolled out?
Great question. I think the evolution of Grenoble is something that we will kick off, as I mentioned before, at the end of the year in terms of starting to think about technical performance all year round. Of course, the technical side of Grenoble will be high performance regarding technical product for ski, et cetera, and then dynamic on more the early, I would say, spring/summer and fall/winter. What we did just now, which was well received globally, was a soft launch, right? For us was if you look around, we even didn't communicate it just to start getting real feedback about the products, about the functionality, about how this is working, have been working specifically in some kind of reverse seasonality markets as well. We use this path or the first launch as a soft launch.
We always call ourselves a soft launch. Basically what you will see is when I talk about the reboot of Grenoble today, you will see in a specific focus that we will do between Roberto's team, the brand team and others regarding December, January, February, especially around the winter season. In the back of that, we will have kind of the collection of dynamic is coming now in July, August, and then of course will come later in spring/summer 2023. Those will be the moments in time where we start elevating a little bit of the technical performance aspect of Grenoble as we mentioned today.
If I may add something, the resort store that we have in the mountains, they are the visible part of the iceberg. The non-visible part is the online and all the rest of the network, but they are there really to express something different. That is why we started their redevelopment back in 2015, and now we have 14 of them around the world with some purpose that are going to be in the mountains. If we look at the trends in terms of consumer habits on how to enjoy the mountains. Five years ago, six years ago, between 90%-80% of the business was done in the winter season. You have probably also. The pandemic has been an accelerator of that.
We have seen that a lot of people now during the summer, they like to enjoy also the mountains. This is the part that has been growing the most. What we are expecting in three to five years' time is to have a balance of 60% in the winter and 40% in summer. This is a fantastic platform also and window for us to express dynamism, ramp up dynamism also during the summer season.
Perfect.
There you go.
I have a few questions for Luciano. The first one is: with 30% cost savings and shortening lead time for one-piece flow, why would long-term EBIT margins not be above 30%?
Okay. First of all, because I said before, we don't want to overpromise. I mean, we are still not in the pilot phase right after because we are industrializing the line, but still we have a lot to do, a lot to work. I don't want to provide the final results. Again, these are encouraging results. Second point, I mean, of course, flexibility, speed, and the capacity to deliver the right product at the right time, in the right place is the essence of this project. The 30% saving in the labor cost is nice, but it's not so meaningful also because it translates in a possible eventual if should we implement 100% of our production with the lean in a, in a better margin of 1.5 points.
If you make the math and you are better than me, you know what I mean, because labor is only 30% of our cost of goods sold, of our cost of production. It is nice to have, but not so meaningful. Again, the final result we expect, we hope, we target is what I said before. Also, I mean, we are honestly, let me say it again, but you know that I said that several times, we are happy with the 30% EBIT. We are not chasing higher margins maybe for a couple of years. We want to protect this EBIT forever. No, at least for the next 70 years, okay? For the next anniversary. Okay.
For the next anniversary. Okay. There is also a question on the internalization. How much production is now internalized? The target we have seen it is 30%, but it will. The question is also, is this a midterm target or is a long-term target? I mean, can we go farther or not?
Well, let's say that 30% is something I forgot to say, but you are right. I mean, it's not a short term, but I think that maybe, let's say, by 2023, we should achieve it because, of course, we need the next year to finalize the implementation of the second building. Of course, what I said before is that, okay, first of all, the 30% is growing as much our volumes are growing, so it's not a fixed number, you know. But the second point, as I said, we aim not only to protect the 30%, but to increase this contribution, but this is something that is more in the medium, not long, but medium term than in the short term.
Okay. I'll ask Alice to ask the last one. There are a few others, but we have another Q&A session in the afternoon after results. Some are more numeric. We can leave it for after.
Yes. The last one for you, Roberto, about new store and store location. What is the average store size that we target now? If you can share a little bit what have been the improvement on the KPIs in retail so far, and where do you see the most potential for the future?
A lot of questions to answer in two minutes.
Yeah ?
I think when we met last time, we were saying 200 sq m selling and 300 sq m in total, so 50 sq m with 100 sq m for the back of house. I think the new format, if we want really to introduce also the experience inside, is a target between 250 sq m-300 sq m selling plus an additional 100 sq m. So we say globally more 400 sq m as a new target. We have currently 80% of the network that is at the end of the plan that will be according to the new standard, and there will be 20% left at the end of the plan. You have seen, we said 100 projects between openings and expansions.
The openings will be around 40. We'll have a network of 280 on which we'll have to work for the next three-year plan, probably on 70-80 stores to be brought up to the new format. What is nice and what we have seen even during the pandemic is that we have been able to catch up on the sales per square meter, which, of course, is one of the parameters you are challenging us a lot. I think that this year, if we wouldn't have had the lockdown currently in China, matching the record year of 2019 would have been something that we thought was challenging but achievable. We are postponing this by a few months.
I'm convinced that during the last quarter of the year, provided that China will be open, we can match the record year of 2019 in the last quarter, which represent 50% of the retail sales. Going a little bit further, with the improvement we have seen in terms of conversion, UPT, and proactive sales, I think that the figure by the end of the plan, around 40,000 or slightly below 40,000, is something that we have in mind. As Remo always said, is not an objective per se, is the result of a lot of things starting from the product, the production, the supply chain, and the team in the store and the brand desirability. If we well execute everything, I think it's something that's challenging but achievable.
With these words, I mean, I welcome the lunchtime, I'm sure. We have one hour. At 2:00 P.M., we are back here for the Stone Island part. We are all very excited to see it. Thank you very much. Just have a quick lunch. The lunch is over there on the back of the room. Thank you.
Thank you.