Jamia Final Report

SUMMER TRAINING PROJECT REPORT

Undertaken at

SAMSONITE, MIDDLE EAST

Submitted in Partial Fulfillment of the Requirement for the Award of

The Degree of

MASTER OF INTERNATIONAL BUSINESS (MIB)

On

EXPANSION OF SAMSONITE

AND AMERICAN TOURISTER IN UAE

By

SHAMS MUSTAFA HASHMI

09-MIB-46

MIB Class of 2011

Under the Supervision of

MR. SHAHEEN JAMIL

Asst. Director

SAMSONITE, MIDDLE EAST

CENTER FOR MANAGEMENT STUDIES

JAMIA MILLIA ISLAMIA NEW DELHI

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Declaration

I, Shams Mustafa Hashmi, a bonafide student of MIB (Full Time) Programme at the

Centre for Management Studies, Jamia Millia Islamia, New Delhi, hereby declare that

I have undergone the Summer Training at Samsonite, Middle East under the

supervision of Mr. Shaheen Jamil on and from 02/06/10 to 20/07/10.

I also declare that the present project report is based on the above summer training and

is my original work. The content of this project has not been submitted to any other

university or institute either in part or in full for the award of any degree, diploma or

fellowship.

Further, I assign the right to the university, subject to the permission from the

organization concerned, use the information and contents of this project to develop

cases, caselets, case leads and papers for publication and/or for use in teaching.

Shams Mustafa Hashmi

MIB, Class of 2010

Roll No: 09-MIB-46

Place: New Delhi

Date: 02/08/10

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Acknowledgment

I express my sincere gratitude to my industry guides Mr. Shaheen Jamil, Asst Director

Sales and Mr. Prashant Vatkar, Vice President Samsonite Middle East for their

guidance, continuous support and cooperation throughout my project, without which

the project would not have been possible.

I would also like to thank the entire team of Samsonite M.E, for their constant support,

which helped in successful completion of the project.

Shams Mustafa Hashmi

3

Table of Contents

S.No Topic Page No.

1 Executive Summary 4

2 Genesis: Samsonite 5-7

3 History 8-9

4 American Tourister 10-13

5 Samsonite Black Label 14-19

6 Vision & Organizational Structure 20-21

7 Objective 22

8 Plans For Expansion in UAE 23-24

9 Article in Gulf News 25-27

10 Literature review 28-29

11 Business Strategy & Current Core Strategy 30-31

12 Form of Organization & Brand Portfolio 31-32

13 Market Share & Past Performance 33

14 Future Prospects 34-36

15 Competition (Samsonite & American Tourister) 37-39

16 Customer & Retailer Preference 40

17 Recent Management Initiatives 41

18 Project Assigned 42

19 Purpose 42

20 Nature of Work and Working Hours 42

21 Research Methodology 43

22 Project (Field Research) 44

23 Samsonite, Stores and Recommendations 44-56

24 American Tourister, Stores and Recommendations 57-65

25 Outcome and Result, Learning & Experience 66

26 SWOT Analysis 67

27 Findings & Recommendations 68

28 Appendix 69-82

29 References 83

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Executive Summary

The project aims at studying the stores of the UAE market that can be a partner or

sync with the Samsonite and American Tourister. So my project deals with the study

of luggage markets as well as stores that can sync with the luggage products. Luggage

products combine the luggage items of all sizes (55cm, 66cm, 77cm), Backpacks,

Laptop bags, Women’s Bags, Briefcases, Wallets & Accessories.

The research deals with the study of the stores that can be a partner for Samsonite &

American Tourister in UAE and finding the demand for the product in the market.

Checking all the stores that fall in the criteria of Samsonite & American Tourister.

Checking the products, price, size of the store, brands etc.

UAE is a growing market for the luggage industry. Samsonite is the only luggage store

that has maximum numbers of store in UAE if compared to the competitors.

Competitors are far behind. It involved the product-price customer mix by which an

analysis is taken for the product the price given by the customer. It also involved that

on the basis of store the products will be kept, if it’s a women’s bags store then

Samsonite Red Label brand will be kept and same for other stores also.

After studying the Malls/High street stores/Campuses/Business districts and analyzing

the findings of the research various conclusions are drawn and recommendations are

given accordingly.

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Genesis

Samsonite: A brand on the move

When Jesse Shwayder founded Samsonite in 1910, early travel was reserved for only

an exclusive few, those who had the means to see the world. Given this exclusiveness,

travel was a high quality experience from the transportation, to the attention to service,

to even the accessories used to carry one’s belongings. As one of the original brands in

travel, Samsonite has continued to leverage its craftsmanship and heritage as an

innovator, to create unique solutions for the sophisticated traveler. By identifying

trends and interpreting travelers’ needs, Samsonite continues to infuse innovation and

new ideas into travel re-igniting the sophisticated and special experience of the past.

Today, Samsonite continues to lead the luggage category with those same core

principles, further expanding Shwayder’s vision globally with design and innovation

into product categories and consumer targets. Samsonite’s tagline - ‘Life’s a Journey’

- embodies the brand’s transformation and future, symbolizing the role Samsonite has

in the multi-faceted lives of travelers. Samsonite has earned its reputation for

delivering a range of exclusive travel solutions and bringing real benefits to the end-

consumer. The company, founded by Jesse Shwayder with only $3500 in capital,

launched its first set of coordinated luggage in 1920s and was the first to launch

stylized luggage in 1940s. In the next decade, it launched Silhouette - the most

advanced luggage of its time while the Samsonite Classic Attaché was unveiled in

1960s. The 1970s saw the launch of Saturn -- the first ever-polypropylene suitcase,

followed by the introduction of three-point locking system in 1980s.

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The two-wheel uprights and 4-wheel spinners, pioneered by Samsonite, were unveiled

in 1990s whereas the 2000s saw the introduction of designer luggage. Some of the

products launched last year include the Cosmolite range - its lightest and the strongest

luggage solutions; a premium business collection as also a range of backpacks from

American Tourister, which has taken unprecedented market leadership with its

customized offering.

If you look back into any and every innovation that has happened in the history of the

luggage industry, at least Samsonite would have brought in 70-80 per cent of

innovations.

From around 80 years ago when all luggage was in the form of heavy wooden trunks,

Samsonite was the first to introduce the use of sheet metal as its material and from

then the shift to plastic to ensure a lighter travel companion.

Major alterations such as the shift from horizontal luggage to vertical, adding wheels

and then adding brakes and including a lock to which airport customs have a master

key, have also been innovations introduced by Samsonite. Other exclusive features in

its luggage manufacturing include wood-frame construction, super-strong handles,

rayon linings, fibre finishes and secures locks.

Few of the products of Samsonite

Pro DLX Cosmolite

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History

Samsonite Group is one of the world's largest and most recognized designers and

distributors in the luggage industry. With a rich heritage that includes a century in

business, Samsonite has a proud tradition of developing innovative, high-quality

products that integrate style, functionality and design technology to meet the changing

lifestyle needs of people on the move. Samsonite's tagline – 'Life's a Journey' –

embodies the brand's belief and vision, symbolizing the role Samsonite has in the

multi-faceted lives of travelers. the Samsonite brand was born in 1910 when founder

Jesse Shwayder began producing luggage for turn-of-the-century travelers – a small

and affluent group who appreciated the Company's unique, durable and finely crafted

products. As travel evolved into a mainstream activity, Samsonite's product mix

evolved with it, growing to encompass a diverse range of items for a host of travel

needs. Along the way, Samsonite continued to anticipate and fulfill the changing

requirements of travelers by introducing a string of "firsts", including the first

matching luggage sets, the first lightweight luggage and the first wheeled suitcases, to

name just a few.Samsonite's ability to perceive and adapt to the changing needs of

travelers has made the brand a leading authority for people on the move, throughout

the years. From the roaring twenties, the Depression era, WWII, the rise of the jet age,

the exciting sixties and beyond, Samsonite has continued to transform the travel

industry through its rich brand history. today, the global travel industry continues to

grow, and Samsonite continues to lead through the continuous introduction of

innovative technologies, materials and design concepts, which we market through

some of the most recognized brand names in the world. And while each of our brands

is specifically focused on its own clearly defined customer group, every product we

create continues to embody the same values on which Samsonite was founded – high

quality, fine craftsmanship, exceptional reliability and enduring style.

The Samsonite Corporation makes luggage with its products ranging from large

suitcases to small toiletries bags and briefcases. It was started in Denver, Colorado,

USA in 1910 by Jesse Shwayder, as the Shwayder Trunk Manufacturing Company.

Shwayder named one of his initial cases "Samson", after the Biblical strongman, and

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began using the trademark Samsonite in 1941. The company changed its name to

Samsonite in 1966. For many years, a subsidiary, Samsonite Furniture Co., made

folding chairs and card tables in Murfreesboro, Tennessee.

Beginning in 1961, Samsonite manufactured and distributed Lego building toys for the

North American market under license from the Danish parent firm. A licensing dispute

ended the arrangement in the U.S. in 1972, but Samsonite remained the distributor in

Canada until 1986. Stan A. Clamage was instrumental in establishing the Lego brand

in the United States. This was part of an overall company expansion into toy

manufacturing in the 1960s that was abandoned in the 1970s. The Shwayder family

sold the company to Beatrice Foods in 1973.

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American Tourister :

It is a well-known brand of suitcase.

Immigrant Sol Koffler founded American Luggage Works in Providence, Rhode

Island in either 1933 with his life savings. He was determined to produce luggage

priced at $1 in the midst of the Great Depression. The company's breakthrough came

soon after when Koffler devised a new line that was significantly better than that of

the competition; he named it American Tourister.

The new line was a resounding success and set a new standard for the industry.

American Luggage Works grew rapidly as a result; by the beginning of World War II

the company enjoyed revenues of more than $100,000. The company's product line

had expanded as well, with four colors, four styles, and eight sizes being offered by

the early 1940s. The war diverted the company's attention from luggage, however, as it

helped with the war effort. At the war's conclusion, American Luggage Works

reentered the luggage industry poised to become a national concern. In 1945, despite

its rapid growth in the previous decade, American Luggage Works remained a

regional firm. Aiming for sales across the United States, Koffler decided to spread

awareness of the American Tourister brand. He apportioned $12,000 for a national

advertising campaign, the first ever undertaken on behalf of the company. An amount

unusually large for the time, that first national advertising budget set the stage for the

company's continued commitment to large-scale advertising in future years.

In 1970, American Tourister launched a memorable ad campaign, highlighting the

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durability of its product by unleashing a "gorilla" (actually a man in a costume) on it.

The commercial ran for fifteen years. In 1993, American Tourister was acquired by

Astrum International, which also made Samsonite luggage. Astrum was renamed the

Samsonite Corporation two years later.

Few of the luggage products

Houston Tokyo Chic

The new line-up of luggage from American Tourister offers the unique mix of style,

comfort and in-built sturdiness to satisfy the new age needs of the traveler across all

age groups and demands.

Among the range of new collection is the Oxford range of luggage offering durable

high-quality bags at affordable prices, System 4 Dlx showcasing comfort and

elegance in travel, Meredian Lite extending diverse options with ultra light weight of

the bags, I Double epitomizing sturdy travel and robust luggage solutions with very

distinct looks in bright colors, a new range of casual bags and backpacks, and the

Silicon Valley Gusset top loaders for today's business travelers.

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American Tourister has always believed in offering the latest and the most compact

travel luggage solutions to its discerning clientele. 2009 offering extends the perfect

blend of functionality, styling, strength and comfort - hallmarks of our world-class

luggage solutions. The new lines of luggage solutions are catering to the needs of the

today's traveler - note only for the whole family but also to a businessman or a

student,"

The prime objective at American Tourister is to offer a superior experience in life to

our customers and the latest innovative range are both strong and inexpensive, thus

satisfying all the requirements for an easy and comfortable travel."

While the Oxford range come in three different sizes in two eye-catching colors with

durable EVA side panels, the System 4 Dlx offer premium classic looks in two colors

and four sizes, equipped with a lockable trolley. The expandable Meridian Lite come

in four sizes with easy single side packing facility, while I Double comes in two

colors with unique design and double wheel spinner system.

The Backpacks, made of polyester, come in five different sizes with capacity

between 20 L and 32 L. The Silicon Valley Gusset Top loaders come in three sizes

and a laptop backpack edition, equipped with zipped packet.

The secret behind the time-tested durability of American Tourister bags has been the

extremely stringent and rigorous quality tests that each design goes through before

getting approved by the company. Randomly chosen bags undergo similar tests on a

continuous basis to ensure that they are in line with the tough guidelines set by the

company.

These tests include Drop Test - a fully loaded bag is dropped five times at the corners

to check its strength at extreme temperatures; and Jerk Test - a loaded bag is given

jerks for 5000 times in quick succession to ensure the durability of critical parts like

handles.

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The American Tourister bags also undergo Lock Test - where the locks are opened

and closed 15000 times in quick succession to ascertain the safety aspects. The

checks also include a Wheel Test, where loaded bags are made to travel nearly 32 km

to establish its sturdiness.

The bags also undergo a Tumble test, where a loaded bag is tumbled in a big drum 25

times continuously to ensure that they withstand rough handling.

This new line up has gone through the same rigor of in finalizing the design and

hence is expected to delight many more satisfied American Tourister customers in

the Middle East Region.

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Black Label

The Black Label brand of Samsonite deals with the luxury luggage products. It was

launched to meet the requirements of high-end customers and designer luxury

products in the luggage industry

The Samsonite Black Label incorporated lifestyle and fashion in luggage

Designer luggage was launched in Black Label. Few of the designers & their lines that

work with black label

Alexander McQueen

Samsonite Black Label by Alexander McQueen

Two influential global brands Samsonite and Alexander McQueen have joined forces

and combined the best in craftsmanship and innovation to create a revolution at the

cutting edge of luxury travel design. The result is a totally unique collection of travel

pieces that fuses nature and technology. Patterns and designs inspired by nature have

been brought to life using the latest technological know how. Samsonite Black Label

by Alexander McQueen is an ergonomic collection featuring natural shapes and curves

that look revolutionary against the traditional hard lines of luggage. A sophisticated re-

interpretation of nature with a unique, modern design edge resulting in a totally unique

collection consisting of travel pieces, bags and accessories.

Patterns and designs inspired by nature brought to life using the latest technological

know how. Samsonite Black Label by Alexander McQueen is an ergonomic

collection, featuring natural shapes and curves, which look revolutionary against the

traditional hard lines of luggage.

The hero piece in the collection takes design inspiration from the human rib cage.

“The human ribcage protects our vital organs as we move about in the world. Luggage

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takes on the same role as we travel and pack our worldly possessions inside for safe

transport, ”

This collection is ideal for discerning travelers with an eye for great design.

The Glamour of Yesterday with the Functionality for Today

Vintage

The Vintage collection transports the traveler back to the 1930s and 40s, when travel

was glamorous and exotic destinations beckoned the heart of the adventurer. The

Vintage collection offers sleek styles, vivid colors and luxurious options, making

luggage an essential accessory for jet-setting travelers. Fine detailing and authentic

touches of yesterday, created with a modern twist, include leather and hardware

accents, and rich interiors. Compartments and organizational features, inspired by the

early travel trunks and wardrobe cases, offer functionality for today.

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Excelerator

It is inspired by luxury Grand Tourer cars, and brings their unique combination of

luxury detailing and materials with their time proven reliability and quality, and

ultimately functionality. A stylish and unique combination of sturdy nylon fabric,

Napa leather details, black chrome hardware, silent PU wheels and rich blue interior

and accessories.

Few of the products of Samsonite Black Label

Excelerator Sevruga

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About Samsonite Black Label Collections

Black Label is the name given to the Samsonite line in which each collection is

unique and has a personality all its own. In a literal sense, they do have a personality

as each line within Black Label has been inspired, promoted, or co-designed by a

person of note.

The following are the different lines that are part of the premium Black Label

collections and the famous people or designers associated with them:

Scope - Marc Newson, Designer

Xlite - Joaquin Cortes, Dancer

Vintage - Isabella Rossellinie, Actress

Fashionaire - Christina Ricci, Actress (coming soon)

Samsonite Black Label by Alexander McQueen, Designer

Marcello Bottoli, President and CEO, Samsonite inaugurated the store as a show of

commitment to the UAE and continuous growth in region. For 100 years Samsonite

has delivered consistently the founding principles of fine craftsmanship, quality

materials, experience and individual style. The collections including the Black Label

line combine this unrivalled history with the style and design credentials of

Samsonite today to create the most exciting and diverse collections to date.

Samsonite Graviton- Where Form Follows Function

Designed along one of the founding principles of modern industrial design,

Graviton's uniqueness stems from its design pattern, allowing for a unique

combination of strength and featherweight lightness. The Graviton collection truly

embodies the "Forms follows function" principles and represents yet another

milestone on Samsonite's 100 year innovation journey.

Samsonite Black Label Fashionaire - Fashion Then, Fashion Now

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After the success of the 2006 Signat Attaché re-edition, Creative Director Quentin

Mackay has turned his eye to the definitive range of luggage from the 1960s;

Fashionaire. Defined at the time as 'individual fashion', Fashionaire was one of the

hottest travel collections of that decade, meaning that for the first time luggage could

also be fashionable, as well as functional. For 2007 Samsonite has re-edited the

original exciting pieces together with new modern shapes. The collection is finished

off with matching accessories including an update of the classic raincoat and rainhat.

Samsonite Black Label Resort - Inspired by 1930's Travel, to Deliver Supreme

Modern Luxury

Samsonite Black Label Resort is a collection of unisex leather pieces that are at once

supremely modern, but at the same time steeped in a richness of heritage and history.

A collection that was brought about by a journey through Samsonite's rich archives -

where this old black Samsonite travel piece from the 1930s was discovered. This case

was the starting point and laid the foundations for a totally new contemporary

collection of soft bags. A collection that brings together supreme luxury and

craftsmanship with superlative durability and functionality.

Samsonite Black Label Accessories Collection - Bringing a Century of

Experience and Style to accessorize all your journeys

Samsonite's sophistication and knowledge of travel has been applied to create a range

of individual accessory pieces that complete the travel experience. Defined by the

fusion of Samsonite's experience and heritage, with the latest in functionality and

contemporary design the collections feature beautifully designed exteriors, rich

materials and luxurious details

Samsonite Black Label Ultimate Travel Shoe Collection - Applying Unrivalled

Travel Experience into Footwear

Samsonite's century of experience in travel items provide us with a unique insight

into the broader needs of modern travelers. Samsonite's Ultimate Travel Shoe

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collection has been designed with those needs and experience in mind to create a

travel companion that, by being designed for the most demanding of journeys, will be

the ultimate companion for everyday ones.

Travel places two sets of demands on your feet. Firstly, a comfort factor as they

expand or contract depending on physical or environmental factors. Second, a style

factor because the journey of the sophisticated traveler requires multiple styles

adapted to different occasions. Samsonite Black Label Ultimate Travel Shoe

Collection represents a unique and proprietary solution to both.

Designed by Samsonite Creative Director Quentin Mackay, together with leading

Italian shoe designer Alberto del Biondi, the collection is formed from panels of fine

Italian leather that are joined together by a subtle seam of unique stretchable

breathable fabric. This means that as feet expand or contract with travel, the shoes

will expand or contract with them. This subtle linkage system, when combined with

elastic laces, straps and linings mean that the shoe will seamlessly expand by up to

half a size. Both collections are crossover, marrying the benefits of trainers with

smart leather shoes, all with the ability to deliver style and relevance in a variety of

situations

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Samsonite

Vision

To become one of the worlds most highly regarded premium lifestyle travel brands.

Three years ago, Samsonite embarked upon a journey to transform itself into a leading

global lifestyle travel company. To serve as our roadmap, we established three primary

financial goals: increase sales, grow gross margins and generate improved cash flow.

During the year, we unveiled a significant number of new products; dramatically

expanded our retail distribution channel; made strategic investments in new global

markets; completed the acquisition of a majority interest in American luxury

accessories house Lambertson Truex, and launched major global advertising and

public relations campaigns. We continue to define, develop, clarify and promote all of

our brands, thereby strengthening our position in every market segment and building a

solid platform for future growth.

It has been said that the act of making a journey is often more meaningful than the

reality of reaching one's destination. Samsonite's journey over the past three years has,

indeed, been both deeply meaningful and highly rewarding. During this time, we have

created and developed a new brand and successfully positioned it in the luxury market;

built brand equity across our complementary portfolio on a global scale; and firmly

placed Samsonite on the path to becoming a globally recognized innovation, quality

and style leader. We have grown and diversified our revenue stream across multiple

geographic markets, distribution channels, product categories and consumer segments.

And we have made great progress in improving our operating income, strengthening

our balance sheet and setting the stage for greater growth.

While we are proud of our progress, we are also keenly aware that we have much

more to accomplish. As a team, we are sharply focused on executing the next phase of

our strategic plan with the same dedication, discipline and results that our stakeholders

and customers have come to expect. In the process, we plan to reward your support by

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building Samsonite into one of the most highly regarded premium lifestyle brands in

the world.

Organizational Structure

Vice President

Assistant Director

Authorized Dealers

Customers

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Objective

Main Objective

Study on Channel Expansion for Business/backpack/Accessories category for

Samsonite in UAE

Study on Distribution Expansion of American Tourister in UAE

Sub Objectives

o To study the market for luggage projects

o Finding the store which can sync with Samsonite & American Tourister

o Finding the potential market for the luggage products

o Finding the visibility of the product

o Finding the market for a particular brand (Red Label & Camera Bags)

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Plans for Expansion of Samsonite in Middle East

Samsonite

Samsonite have opened this new classic Samsonite store in partnership with our UAE

distributor partner Grand Stores. We are delighted to extend our exceptional

offering and travel luggage solutions to shoppers at Mirdif City Centre (Dubai). It

reinforces our ambitious growth plans and supports our strategic objective of being

more accessible to our valued customers. We aim to further enhance our retail

footprint, with two more stores set for opening around mid-2010."

Through this aggressive expansion, Samsonite aims to reinforce its legacy of leading

the travel industry to new levels of innovation. At Samsonite, we are focused on

developing and delivering premium travel products and solutions aimed at enhancing

customer satisfaction and convenience - something we have cherished and

successfully achieved over the last 100 years."

Samsonite has earned its reputation for delivering innovative travel solutions and

bringing real benefits to the end-consumer. Some of the innovative products launched

last year by Samsonite include the Cosmolite range - its lightest and the strongest

luggage solutions; a premium business collection as also a range of innovative

backpacks from American Tourister.

The Samsonite luggage and travel accessories are also available at all Grand Stores -

its authorized distributors across the UAE for almost three decades, and other

exclusive stores located at major shopping centre’s in the region.

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http://www.zawya.com/cm/profile.cfm/cid550566

http://www.zawya.com/cm/profile.cfm/cid550566

Samsonite, which was established in 1910, has grown from a small company with 20

employees in Denver, Colorado, into a global corporation with over 8,000 employees

working in over 30 locations around the globe and annual sales of $750 million.

Samsonite, the world leader in luxury baggage segment has added many exclusive

retail stores in the region in the recent months, including the UAE. The recent

inauguration of its stores at the Dubai Mall, Mall of Emirates and the one at the Deira

City Centre is testimony to Samsonite's growing popularity in the region. The

company has also added more than 50 stores across the GCC, in association with

other retailers like Harvey Nichols, Shoemart, Strandbags and Debenhams, and more

stores for the GCC are in the pipeline.

New business lines compliment world-class luggage solutions for the discerning

professionals on the move

Samsonite Group, the worldwide leader in travel solutions, has announced the launch

of new business collection for discerning professionals across the region. The

unveiling of the new business luggage solutions further reinforces the group's

commitment to market leadership across every consumer segment in the Middle East.

The launch of the premium business collection perfectly fits the business

functionality, technology and unique styles of the professionals

Luggage manufacturer Samsonite is celebrating 100 years of worldwide operations.

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Article in GULF NEWS: ( Interview with Vice President)

Expansion of Samsonite and American Tourister in UAE

Gulf News took the chance to talk to Prashant Vatkar, Vice-President, Middle East of

Samsonite, about the company's focus in the region, the impact of the financial crisis

on the industry and business perspectives for the times to come.

After 100 years of operations, how is Samsonite positioning itself today in a very

competitive environment in the luggage industry?

PRASHANT VATKAR (Vice President) : Samsonite has kept a global leadership

in its category for most of the 100 years of its existence. In addition, Samsonite, for

example the use of materials like polypropylene or PVC or the use of wheels on bags

has introduced more than 50 per cent of all innovations in the luggage industry.

Recently, we introduced a new product in the UAE called Cosmolite, which is made

from a material that makes it the strongest, yet the lightest bag ever produced.

Has the downturn in the travel industry in the wake of the financial crisis

affected luggage sales?

There has been pressure on the luggage industry on account of the financial crisis. In

such times formidable brands like Samsonite has the wherewithal to sustain the

business due to its size and scale. At the same time the smaller players typically start

working on the mindset of "minimizing losses" and hence start dropping rates to get

rid of inventories. While this does put a lot of pressure on a brand like Samsonite, yet

with its iconic image and trust built over 100 years, the brand is able to maintain

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growth in such difficult times. In sum Samsonite has been successfully able to

increase the market share every time the situation turns difficult.

Could you give a quick overview on Samsonite's activities in the Gulf region, the

structure of the company, the number of outlets as well as its presence in GCC

countries?

In the Middle East region we have our business partners like Grand Stores in the

UAE, Al Qureshi's in Saudi Arabia, Khimji Ramdas in Oman, Blue Salon in Qatar

and Al Hawaj in Bahrain. Our partners are fully aligned to the brand strategy of

Samsonite of operating exclusive brand stores in the best locations. This approach

has been backed up with brand enhancing activities like advertising and sponsorship

on Arabic channels like MBC 1, MBC2, MBC4, Sama TV, Dubai TV and so on, in

mall activation and meaningful promotions for retail customers.

The other very critical aspect of our brand-building strategy particularly in the

Middle East region over the past couple of years has been getting our mono-brand

retail store footprint at the right locations to match the brand esteem. Over the past 12

months we have added 10 mono-brand stores for Samsonite across the region at

absolutely prime locations in spite of the economic scenario. By July this year

Samsonite will have 50 exclusive brand stores in the region.

Can you provide details on sales figures and revenue in the region?

As a result of the activities mentioned above we have been able to maintain the

preference of our customers towards Samsonite and grow the business. In 2010 we

grew so far a whopping 50 per cent compared to last year.

Are there any expansion plans within the region?

Yes, the aggressive expansion will continue. We will be shortly opening seven to

nine new Samsonite stores in the region, we are opening two stores in the UAE, one

at Delma Mall in Abu Dhabi and one at Ibn Battuta Mall in Dubai, one store in

Muscat City Centre, one store in Jeddah and one in Egypt.

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Samsonite is producing a large portion of its luggage in India. What is the

specific reason for this?

Samsonite has one of its manufacturing plants in India. This manufacturing unit

produces the hard segment of the Samsonite range. India provides a very good

location for Samsonite to produce these bags as the local market in India is growing

very rapidly and it is centrally located in the fastest growing region for Samsonite

that is Asia and the Middle East.

Small beginnings

Luggage salesman Jesse Shwayder with a capital of $3,500 founded Samsonite in

1910 in Denver, Colorado. It began manufacturing products from large suitcases to

bags and briefcases. The name derives from the biblical figure Samson. Later on,

Samsonite also started producing furniture and Lego toys for the US market. After an

expansion drive in the 1960s, the Shwayder family sold the company to multi-brand

group Beatrice Foods in 1973. In the coming years, a spin-off and some restructuring

followed, and eventually in 2007, financial investor CVC Capital Partners took over

Samsonite.

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Literature review

4P’s of Marketing

The major marketing management decisions can be classified as follows:

– Product

– Price

– Place (distribution)

– Promotion

These variables are known as the marketing mix or the 4 P's of marketing. They are

the variables that marketing managers can control in order to best satisfy customers in

the target market.

Marketing Mix

Product

Target Market

Place

Price Promotion

Product

The product is the physical product or service offered to the consumer. In the case of

physical products, it also refers to any services or conveniences that are part of the

offering.

Product decisions include aspects such as function, appearance, packaging, service,

warranty, etc. Selecting the right product for the right market at the right time. Like

28

Samsonite is kept the market where its appearance can be seen and it can target the

right customers.

Price

Pricing decisions should take into account profit margins and the probable pricing

response of competitors. Pricing includes not only the list price, but also discounts,

financing, and other options such as leasing.

Pricing is a major factor as the price of Samsonite is market at such a point that it

target the right customers

Place

Place (or placement) decisions are those associated with channels of distribution that

serve as the means for getting the product to the target customers. The distribution

system performs transactional, logistical, and facilitating functions.

Distribution decisions include market coverage, channel member selection, logistics,

and levels of service.

Right place for the right product as Samsonite in the Malls & High-end streets while

American Tourister in the local market

Promotion

Promotion decisions are those related to communicating and selling to potential

consumers. Since these costs can be large in proportion to the product price, a break-

even analysis should be performed when making promotion decisions. It is useful to

know the value of a customer in order to determine whether additional customers are

worth the cost of acquiring them.

29

Promotion decisions involve advertising, public relations, media types, etc

Business Strategy

Samsonite is pursuing several strategic initiatives designed to capitalize on our

underlying business strengths, grow and diversify our revenue stream, improve our

profitability and our cash flow generation and enhance the resiliency of our business.

Key elements of our business development strategies include:

Introducing a stream of innovative and contemporary products into the

Market.

Strengthening support behind our brand and product marketing and

Advertising.

Expanding our retail distribution platform;

Pursuing expansion opportunities in high-growth geographic markets;

Exploiting new business opportunities.

Continuing to improve operating efficiencies and cash flow generation.

30

Current Core Strategy

Samsonite Black Label

Samsonite

American Tourister

Trade up Samsonite and Samsonite Black Label through exclusive retail and high-end

department stores

Address the mass market with American Tourister

Form of Organization

Type Private

Founded Denver, Colorado, USA

(1910)

Headquarters Mansfield, MA

Key people Tim Parker, President

Member of CVC

Owner(s) CVC Capital Partners

Website http://samsonite.com

31

Brand Portfolio

One of Samsonite Group's greatest assets is our complementary portfolio of brands,

which includes some of the most trusted and highly recognized names in the global

travel industry.

Collectively, our brands serve every segment of the market, reaching customers in all

walks of life, all over the world. We meet the discerning needs of the luxury market

through our Samsonite Black Label brand, while the innovative, high-quality offering

within our time-honored Samsonite brand serves both middle- and upper-market

customer segments. Our American Tourister brand provides affordable, quality

products to value-conscious consumers.

We complement our owned brands through our global licensing program, through

which we leverage Samsonite's luggage expertise to partner with market-leading

lifestyle brands, such as Lacoste, with whom we develop handbags and casual bags,

and Timberland, with whom we offer travel gear, accessories, backpacks and outdoor

items.

Each of our brands has been carefully developed to meet the precise quality, value and

pricing needs of the consumers within its market. Despite their diversity, all of our

brands share a common philosophy: to deliver durable, high-quality products that

reflect Samsonite's commitment to excellent craftsmanship, innovative design and

exceptional functionality.

32

Market Share

The UAE is the largest market for Samsonite in the Mena region, holding 42 per cent

of regional sales.

This year has seen its market share increase from 40 per cent to slightly more than 50

per cent.

Globally, Samsonite earns 60-70 per cent of its revenue from retail. In the UAE, 90

per cent of its business comes from retail,

Past Performance

As a global player, Samsonite is ideally placed to maintain its leadership position

around the globe for at least another 100 years. Samsonite's growth both globally and

regionally, though slightly hindered by the recent economic downturn, is continuing in

a steady, positive trend. In 2008, Samsonite reported a 40 per cent growth, while in

2009, hindered by the external economic climate, the company's growth slowed to 10

per cent. It is the biggest breakthrough in the industry in the past 30 or 40 years that

the luggage is made from thermoplastics as it is extremely lightweight.

33

Future Prospects

Samsonite Group, the worldwide leader in innovative travel solutions, is marking a

major milestone, celebrating 100 years of success this year. To commemorate the

occasion, the group has announced aggressive growth plans across the Middle East

region over the next three years.

As part of its strategic expansion, Samsonite Middle East is planning to open over 25

new stores in the next 3 years of which 10 will be opened by end of 2010 itself. Over

and above this expansion of the retail foot print Samsonite will also be looking at

expanding its presence in relevant department stores for its ICT and business

collection and back packs

Samsonite has come a long way since its inception a century ago. Our products are

synonymous with travel and are used the world over, by everyone from Arctic

explorers and package tourists to busy executive travelers. From a small local luggage

manufacturer, Samsonite has grown with the century and traveled as the world has

traveled - a story of a company that has ventured far from its roots. It is this consumer

preference and affinity to the brand that gives us at Samsonite the passion to keep

developing innovations and maintaining best in class quality and service for our

offering."

Samsonite products are styled with inspiration drawn from various facets of life, and

the portfolio includes products inspired by man, machine and nature. With such vast

range of strong, sturdy and convenient luggage solutions on offer, Samsonite's future

plans centers on building its market share for accessories, business and backpacks in

34

the Middle East. In continuation of this journey in the centenary year Samsonite will

be launching a very aggressive new line up - 12 new lines under Samsonite brand and

20 new lines under American Tourister in the Middle East.

Samsonite has always been at the leading edge of design, new material and styling.

Epitomizing strength, durability and quality, all Samsonite products is put through

tortuous environmental tests for function, fitness, form and stress. At the same time,

they are marketed tested for consumer acceptance of their color, style, quality and

price. Samsonite has been the leading the luggage industry for the greater part of the

20th Century and the journey is far from over.

The luggage is known for its strength. "It is made the same material used for making

bullet-proof vests.

The material, which has been patented by Samsonite for the next 25 years, greatly

reduces the weight and increases the durability of the case. While a normal 79-

centimetre piece of luggage weighs around seven to eight kilograms for a hard case

and around six kilograms for a soft case, the Cosmolite bag of the same size weighs

3.2 kilograms.

Samsonite, the leading manufacturer of luggage in the world, is currently the top seller

of luggage in the United States, Europe, and Japan and has had a presence in the

Middle East for around 30 years. The next biggest markets in the region are Saudi then

Kuwait.

In the UAE, Samsonite has nine monobrand stores and is in the process of adding a

further five this year. In the UAE Samsonite is sold only by monobrand stores. A

brand of this stature needs to be sold with a particular experience. Samsonite goes

through a series of extremely rigorous tests that need to be explained to customers.

Simple things, like all our wheels that have self-lubricating mechanisms, with a small

amount of lubricant that consistently trickles onto ball bearings. In a hypermarket the

suitcases' various features and manufacturing details will get lost.

35

New lines

Within the region, the recently launched Cosmolite line has been the company's top-

selling line.

Alongside this new line, the next year will see the company introducing 12 new lines

and updating four to five lines.

In addition to durability, Samsonite prides itself on being the most innovative luggage

brand in the world.

36

Competition

Samsonite Competitors and their stores

Samsonite shows a formidable footprint as compared to the competitors

8 new stores added in 2009, 12 planned in 2010

Country Samsonite Delsey TumiUAE 12 0 3KSA 11 0 0Kuwait 3 0 0Oman 2 0 0Qatar 2 0 0Baharain 2 0 0Lebanon 1 0 0Egypt 3 0 0Pakistan 4 0 0Iran 1 0 0Nepal 5 0 0Kenya 1 0 0TOTAL 47 3

(Source: Samsonite Office)

37

American Tourister

Competition product assortment

AED


American Tourister v/s competition - 2009

AED

281296

281 277

223235

285

375

435

240

157

221237

284

376

416

179

0

50

100

150

200

250

300

350

400

450

500

Delsey

Eminent

VIP

American T.

281296

281 277

223235

285

375

435

240

157

221

179

0

50

100

150

200

250

300

350

400

450

500

Delsey

Eminent

VIP

38


American Tourister v/s competition – 2010

AED


281296

281 277

223235

285

375

435

240

157

221

162

219235 243

260 268 276

381

325

416

179

0

50

100

150

200

250

300

350

400

450

500

Delsey

Eminent

VIP

American T.

39

Customer Preference

32%

35%

24%

9%

PriceQualityBrandDiscount

(Source: Market Survey)

Retailer Preference

35%

32%

17%

16%

Customers DemandProduct QualityProfit MarginPrice to customers

(Source: Market Survey)

40

Recent Management Initiatives

Samsonite Middle East is planning to open over 25 new stores in the next 3 years of

which 10 will be opened by end of 2010 itself.

Samsonite's future plans centers on building its market share for accessories, business

and backpacks in the Middle East. In continuation of this journey in the centenary year

Samsonite will be launching a very aggressive new line up - 12 new lines under

Samsonite brand and 20 new lines under American Tourister in the Middle East.

41

Project Assigned

Study on Channel Expansion for Business/backpack/Accessories category for

Samsonite in UAE

Study on Distribution Expansion of American Tourister in UAE

Purpose

With Samsonite getting into category focus with Luggage/ Business/ Backpack/

Accessories, this project will undertake identifying retailers for expansion of

business. The focus will be on retailers who retail the above categories

collectively or individually and are in sync with/ complement Samsonite’s identity

and fabric.

Identifying different doors to expand AT, from being a current Hyper led brand to

a more widely available brand across the retail spectrum.

Nature of Work

To conduct market survey for the Expansion of Samsonite and American

Tourister products in UAE.

Working Hours

10 am to 6pm

42

Research Methodology

To survey all the Malls/High Street Stores/Business districts/campuses in UAE and

study their product-price-customer mix.

To interview the staff of the store/s (wherever possible)

To study the Product-pricing mix of Samsonite and American Tourister.

To brief them about Samsonite and American Tourister products in order to know

their willingness to sell the same from their stores.

43

Project (Field Research)

The analysis and the interpretation of data collected are given below. The data is

divided into two parts:

Samsonite

American Tourister

SAMSONITE

As per the project the stores that are interested & able to sync with Samsonite, their

details are provided below which can be contacted.

E-City

Synopsis:

Visited few of the E-city stores at different locations ns and they seem to be interested.

E-city is an electronics store. The details are here under.

Name

of the

store

Available at

Mall/Street

Store Management Remark My Suggestion

E-city Wafi Mall, Mall of

the Emirates & Al

Wahda Mall

Will be interested in

keeping the samsonite

laptop bags, camera bags &

backpacks

It can be considered for

the Samsonite laptop

bags, camera bags &

backpacks

44

Wants to check the quality

& price

The store was much

interested in keeping the

products

Recommendations

E-city store will be an ideal choice and they seem to be interested.

Customers will be interested in buying the Samsonite products.

IT Manager seems to be interested in keeping the products in august.

The Company should initiate discussions with them on the same.

Contact Details

Mr. Danilo (IT Manager)

Tel: 04-3243651

Mob: 050-6753072

45

Plus IT

Synopsis:

Visited few of the Plus IT stores at different locations and they seem to be interested.

Plus IT is a women’s bags store. The details are given below.

Name of

the store

Available at

Mall /Street


Plus IT Dubai Mall and

Dubai Festival city

Will be interested in keeping

the Samsonite Red Label

Wants the catalogue on

email

Good store for

Samsonite Red Label

Wide variety of

brands

Ambience and

presentation was good

Recommendations

Plus IT store will be an ideal choice and they seem to be interested.

High-end customers.


Contact Details

Salam Studio & Store

Tel: 04-7048305

Email: [email protected]

Mr. Maher (Brand Manager)

Mob: 050-4025665

46

Plus IT is a partner of Salam

Opera

Synopsis:

Visited few of the opera stores at different locations and they seem to be interested.

Opera is women bags & footwear store. The details are here under.

Name of

the store

Available at

Mall /Street


Opera Dubai Mall &

Wafi City

Interested in only Samsonite

Red Label leather bags

Wants to deal only in leather

bags


email


the Samsonite Red Label

Wide variety o brands

Recommendations

Opera store will be an ideal choice and they seem to be interested.

Other brands with high-end prices


Contact Details

Mr. Tariq (Buyer)

Tel: 04-3291718


47

mailto:[email protected]

Sacoche

Synopsis:

Visited few of the Sacoche stores at different locations and they seem to be interested.

Sacoche is a women’s bags store. The details are here under.

Name of

the store

Available at Mall /Street Store Management

Remark

My Suggestion

Sacoche Deira City Center, Sahara

Center, Reef Mall, Ghurair

City, Burjuman Mall, Marina

Mall & Al Ain Mall

Will be interested

depends on the

quality & price

Mostly keep their

brands

A good store to

sync with

Samsonite Red

Label

Wide variety of

brands

Recommendations

Sacoche will be an ideal choice for Red Label and they seem to be interested

High-end customers

Variety of other brands


Contact Details:

Mr. Shaheen Majid (Buyer)

Tel: 04-2973000

Mob: 055-4003936

Mr. Fahed Suroor

48

Mob: 050-7550338

Valencia

Synopsis:

Visited few of the Valencia stores at different locations and they seem to be interested.

Valencia is women bags & footwear store. The details are here under.

Name of

the store


Remark

My Suggestion

Valencia Deira City Center, Mall

of the Emirates, Dubai

Mall & Marina Mall

Will be interested

depends on the quality

& price

Most of the products

from Italy & Spain

It can be considered

for the Samsonite

Red Label

High-end products

Recommendations

Valencia will be an ideal choice for Red Label and they seem to be interested

High-end customers

Variety of other brands with high prices


Contact Details

Mr. Ali Hussain

Tel: 04-8094876/ 899


49


Saks Fifth Avenue

Synopsis

Visited the stores at Burjuman Mall and Saks Fifth Avenue store seem to be interested.

Saks Fifth Avenue is a retail store of women’s bags, crystal, clothes & cosmetics.

The details are here under

Name of

the store

Available at

Mall /Street


Saks Fifth

Avenue

Burjuman

Mall


Samsonite depending upon

the quality & price


email

Good store for Samsonite

Red Label & Black Label

women’s bags

Ambience good for

Samsonite Red Label

Presentation of products

was good

Recommendations

Saks Fifth Avenue will be an ideal choice for Red Label and they seem to be interested

High-end customers

Variety of other brands with high prices


Contact Details

Tel: 04-3515551

Mob: 050-2653730

50


Canon

Synopsis

Visited the stores at Dubai Mall and Canon store seem to be interested. Canon is a

store of camera, handy cam & printers. The details are here under.

Name of

the store

Available at

Mall /Street


Canon Dubai Mall Will be interested in keeping

the Samsonite camera bags

Wants the offer on email


the Samsonite camera

bags

The way of presentation

was good

Recommendations

Canon will be an ideal choice for Samsonite camera bags and they seem to be

interested

High-end customers


Contact Details

Mr. Ashok

Tel: 04-3536074


51



Sharaf DG

Synopsis

Visited few of the Sharaf DG stores at different locations and they seem to be

interested. Sharaf DG is an electronic products store.

The details are here under.

Name of

the store


Remark

My Suggestion

Sharaf

DG

Computer street, Ibn

Battuta Mall, Safeer Mall

Sharjah, Deira City Center

& Dubai Mall


Samsonite camera

bags & laptop bags


for the Samsonite

camera bags & laptop

bags

Wide variety of brands

Recommendations

Sharaf DG will be an ideal choice for Samsonite camera & laptop bags and they seem

to be interested

High-end customers

Variety of brand with high prices


Contact Details

Mr. Piyush

Tel: 04-3156725

Head Office: 04-3156700

52

Iconic

Synopsis

Visited the stores at Deira City Center and Iconic store seem to be interested. Iconic is

a retail store of clothes, cosmetics, electronics and sports.


Name of

the store

Available at

Mall /Street

Store Management

Remark

My Suggestion

Iconic Deira City

Center

Interested in

keeping

Wants to check the

quality and price

Wants the catalogue

on email

It can be considered for American

Tourister luggage products as well as

Samsonite luggage products

Got many brands in the store

No luggage products in the store till

now

Recommendations

Iconic store will be an ideal choice and they seem to be interested.

Customers will be interested in buying American Tourister luggage products and

Samsonite luggage products also can be considered


Contact Details

Mr. Zelalem D Abebe (Operation, Manager)

Tel: 04-8094500

Mob: 050-5504094


53


Virgin Megastore

Synopsis

Visited few of the Virgin stores at different locations and they seem to be interested.

Virgin is an electronic products store.


Name of the

store

Available at Mall

/Street


Virgin

Megastore

Deira City Center,

Mall of the Emirates

& Burjuman

Will be interested in keeping

Samsonite camera bags,

laptop bags & backpacks

Wants to check the quality &

Price


email

It can be

considered for

Laptop bags

A wide range of

products with

good prices

Recommendations

Virgin Megastore will be an ideal choice and they seem to be interested.

Customers will be interested in buying Samsonite camera bags, laptop bags &

backpacks.

A wide range of laptop bags already in the store


Contact Details

Ms Jesa

54

Tel: 04-4393100


Eros Digital Home

Synopsis

Visited few of the Eros Digital Home stores at different locations and they seem to be

interested. It is an electronic products store.


Name of

the store

Available at

Mall /Street

Store Management

Remark

My Suggestion

Eros

Digital

Home

Mall of the

Emirates &

Marina Mall


Samsonite camera &

laptop bags


email


Samsonite camera &

laptop bags

Wide range of products

Recommendations

Eros Digital Home will be an ideal choice and they seem to be interested.

Customers will be interested in buying camera & laptop bags


Contact Details

Ms Nishtha

Tel: 04-2666216


55



I style

Synopsis

Visited few of the I style stores at different locations and they seem to be interested. It

is a computer store.


Name of

the store

Available at Mall

/Street


I style Dubai Mall, Dubai

Festival City &

Marina Mall

Will be interested in selling

Samsonite laptop bags based on

the quality & price

Wants the catalogue on email

Good for

Samsonite laptop

bags

Wide variety of

brands

Recommendations

I style will be an ideal choice and they seem to be interested.

Customers will be interested in buying Samsonite laptop bags

Number of laptop bag brands with good prices


Contact Details

Ms Hani

Tel: 04-2233438


56


AMERICAN TOURISTER

As per the project the stores that are interested & able to sync with American Tourister

their details are provided under which can be contacted.

Spinney’s

Synopsis

Visited few of the spinney’s stores at different locations and they seem to be

interested. Spinney’s is a general store. The details are here under.

Name of

the store

Available at

Mall/Street


Spinney’s Sahara Center

Sharjah, Trade

Tower Street

Will like to deal in American

Tourister luggage products

based on the Quality & Price

Wants to look at the

American Tourister

Catalogue

Decision depends upon the

offer made

Good store for

American Tourister

luggage products.

Recommendations

Spinney’s store will be an ideal choice and they seem to be interested.

Lot of customer who will be interested in buying American Tourister


Contact Details

57

Ms Adili

Trading Dept.

Email- [email protected]

Tel: 04-3555250

Mohd Mirza Electronics

Synopsis

Out of the 20 stores visited on the computer street 1 store seem to be interested and

can be an ideal choice for laptop bags. The remarks are hereunder

Name of the

store

Available at

Mall/Street

Store Management

Remark

My Suggestion

Mohd Mirza

Electronics

Computer

Street


selling American

Tourister laptop bags.

Wants to check the

quality & price.

Can be considered for

laptop bags as the store has

a wide range of laptop

bags.

The store is retailer and

wholesaler store.

Recommendations

Mohd Mirza Electronics will be an ideal choice and it seem to be interested

Laptop bags can be kept as the store has a wide range of laptop bags with good prices

The company should initiate discussions with them on the same

Contact Details

Mr. Majid

Mob: 050-535537

58


White Pigeon Trading Co. LLC

Synopsis

Out of the 22 stores visited in the murshid market 2 stores seem to be interested and

can be a choice for American Tourister luggage products.

The remarks are hereunder

Name of the

store

Available at

Mall /Street


White Pigeon

trading co.

LLC

Murshid

Market


American Tourister luggage

products


and price

Wants the catalogue

Can be considered for

American Tourister

luggage products

The store exports its

products in many

countries

Recommendations

White Pigeon Trading will be an ideal choice and it seem to be interested

Luggage products can be kept as the store has a wide range of luggage products with

good prices

The store exports its products to many countries


Contact Details

Store:

Tel: 04-2265822

Mob: 050-5459485


59


Abdul Hamid Abedi Co. LLC

Name of the

store

Available at

Mall /Street


Abdul

Hamid

Abedi

Co.LLC

Murshid

Market



products based on the quality

and price

Wants the catalogue


American Tourister

luggage products

The store manufactures

its own products but

seem to be interested

Recommendations

Abdul Hamid Abedi will be an ideal choice and it seem to be interested

Luggage products can be kept as the store has a wide range of luggage products


Contact Details

Mr. Mohammad

Tel: 04-2268081

Mob: 050-6586415


60


Iconic

Synopsis

Visited the stores at Deira City Center and Iconic store seem to be interested. Iconic is

a retail store of clothes, cosmetics, electronics and sports.


Name of

the store

Available at

Mall /Street


Iconic Deira City

Center

Interested in selling


products


and price


email



products

Got many brands in the

store

No luggage products in the

store till now

Recommendations

Iconic store will be an ideal choice and they seem to be interested.

Customers will be interested in buying American Tourister luggage products


Contact Details

Mr. Zelalem D Abebe (Operation, Manager)

Tel: 04-8094500

Mob: 050-5504094


61


Virgin Megastore

Synopsis

Visited few of the Virgin stores at different locations and they seem to be interested.

Virgin is an electronic products store. The details are here under.

Name of the

store

Available at

Mall /Street


Virgin

Megastore

Deira City Center,

Mall of the

Emirates &

Burjuman

Will be interested in American

Tourister laptop bags Wants to

check the quality & Price Wants

the catalogue on email

It can be

considered for

Laptop bags

A wide range of

products with

good prices

Recommendations

Virgin Megastore will be an ideal choice and they seem to be interested.

Customers will be interested in buying American Tourister laptop bags

A wide range of laptop bags already in the store


Contact Details

Ms Jesa

Tel: 04-4393100


62


Eros Digital Home

Synopsis

Visited few of the Eros Digital Home stores at different locations and they seem to be

interested. It is an electronic products store.


Name of

the store

Available at

Mall /Street

Store Management

Remark

My Suggestion

Eros

Digital

Home

Mall of the

Emirates &

Marina Mall


American Tourister

laptop bags


email


American Tourister

laptop bags

Wide range of products

Recommendations

Eros Digital Home will be an ideal choice and they seem to be interested.



Contact Details

Ms Nishtha

Tel: 04-2666216


63


I style

Synopsis

Visited few of the I style stores at different locations and they seem to be interested. It

is a computer store. The details are here under.

Name of

the store

Available at

Mall /Street


I style Dubai Mall, Dubai

Festival City &

Marina Mall


American Tourister laptop bags

based on the quality & price

Wants the catalogue on email

Good for

American

Tourister laptop

bags

Wide variety of

brands

Recommendations

I style will be an ideal choice and they seem to be interested.


Number of laptop bag brands with good prices


Contact Details

Ms Hani

Tel: 04-2233438


64


Sharaf DG

Synopsis

Visited few of the Sharaf DG stores at different locations and they seem to be

interested. Sharaf DG is an electronic products store.


Name of

the store


Remark

My Suggestion

Sharaf

DG

Computer street, Ibn

Battuta Mall, Safeer Mall

Sharjah, Deira City Center

& Dubai Mall


American Tourister

laptop bags


for the American

Tourister laptop bags

Wide variety of

brands

Recommendations

Sharaf DG will be an ideal choice for American Tourister laptop bags and they seem

to be interested

High-end customers

Variety of brand with high prices


Contact Details

Mr. Piyush

Tel: 04-3156725

Head Office: 04-3156700

65

Outcome and Result

Visited 400 stores, out of which 16 stores seem to be interested.

This is a high value and quality product and is attracted by high-end customers only.

Competitors of American Tourister are Delsey and many small manufacturers.

There is no competition of Samsonite in the market.

Majority interested in Samsonite.

Samsonite having maximum number of stores in UAE as compared to other brands.

Learning and Experience

Being an MIB student, it was a great learning experience for me. It gave me the idea

of marketing research, dealing with the customers, wholesalers and retailers and

awareness about the Samsonite products.

Following things I came to know during my training

o How to deal with the customers?

o How to initiate project?

o What methodology to be adopted?

o What is retailing industry?

This study really helped me out in gaining knowledge about retailing industries. I am

very thankful to my project in charge for providing the research methodology that

helped me in completing my project.

66

SWOT Analysis

Strengths

Quality at affordable prices

Has a product range that satisfies the market

Dealer margins are good

Good distribution channel

Distribution cost is low

Product for each Market

Number of stores

Weakness

Less local marketing

Less Dealer meets,

Less Advertising

Visibility of product is less at local markets

Rarely discount on products

Opportunities

Luggage industry growing at faster pace

Decrease in the stores of other brands

Decline in the market share of other brands

Threats

Price sensitivity of the market

Aggressive marketing by the competitors

Entry of new and old players (Tumi &

Delsey)

67

Findings

Samsonite present in 42% of the market covered.

Most preferred brand Samsonite Cosmolite.

Others brands in market: Delsey, Tumi and Kipling.

Most Street shops are not aware of Samsonite.

Visibility at local market is low.

Retailer prefers quality and price.

Samsonite has a good brand image in market

Sells its products through the distributor

Sale in two seasons (June and December)

Consumer prefer price and quality

Recommendations

The company should do advertising so that people get aware of the product

The company should work on its product visibility at local market mainly

street shops

Every possible step should be taken for the satisfaction of the authorized

dealers, as they are most important supplement to the sales promotion and

nationwide advertising campaign

The company should modify its advertising strategy and educate the customers

about its century old existence and enhance its brand image

The company should distribute its products according to the market potential

The company should keep its American tourister product at the local market

The company should keep an regular check on the distribution channel

The company should be more focused on the Cosmolite range as it is in

demand by the customers

68

APPENDIX

Stores visited during the training

Computer Street

I Store Computer LLC

Mohd Mirza Electronics

Sharaf DG

Computer Selection LLC

Al Twfeeq Computers Trading LLC

Carapelli Computers.

Office Suppliers & Computer Accessories

Business Connection

Datasat Computer Technology LLC

Smart Touch Computers

Areej Middle East Trading LLC

Ninja Computers LLC

Mayet general Trading

Transworld Computer Technology LLC

Mercury

Winning Deals Computers

Mohd Sohail Trading co. LLC

Salman Arshad Trading LLC

Compact Integrated Business

True Value Computer LLC

Apple eye LLC

Resa Technology LLC

69

Murshid Market

White Pigeon trading co. LLC

Abdul Hameed Hameedi (Manufacturer)

Al Battain Traders

Saleh store trading LLC

Humaima Trading LLC

Royal bags trading LLC

Monza Italy

Jehan Exhibition LLC

Asad Abdullah LLC

Top Level Trading LLC

Mohd, Amin Mamood (Manufacturer and exporter)

Al Faryabi Trading LLC

Shahab Stores (Agent)

Al khayam Exhibition LLC

Girder Trading LLC

Qiaojinqiao General Trading LLC

Areef Abdul Raman

Eminent

Mohd & Abdul Raman Mahmud Al Awazi

Osaka Trading LLC

70

Naif Market

Hussain Hassan Trading LLC

Karmas Trading LLC

Al Shaima Trading LLC

Mohd Raffia Ismail LLC

Waqi Trading LLC

Wadi Oman General Trading LLC

United Stars Trading LLC

Beautiful Palace LLC

New Style LLC

Grace General Trading LLC

Bah Khan & Shah Wazir Trading LLC

Zainal Abedin A.R. general Trading Est.

Red Bay Trading Est.

Oman Store

Bin Eid Trading LLC

Bader Ahmad General Trading LLC

Al Abdooli General Trading

Al Maghseel Trading LLC

Kasseri Trading LLC

Goal General Trading LLC

Safi Ali Lou

Huraiz Abdulla Trading LLC

Adal Trading LLC

71

Ibn Battuta Mall

BuiltMart (Danube)

REDTAG (Home Fashion)

Jacky’s Electronics

Sun & Sand Sports

Studio R (R.S.H (M.E) LLC)

Sharaf DG

Rivoli Enterprises

Go Sport

Shoe Mart

BC Bulgaria

Jumbo Electronics

Faces

Hang Ten

Paris Hilton

Nike

@Home (The homeward store)

Bench

Wrangler

Peacocks

Woolworths

Forever 21

Paris Gallery

Verdi

Le Chateau

Milan

H&M

Tags

Nine West

72

Giordano

Bhs

Pierre Cardin

Sahara Center, Sharjah

Spinney’s

Saco he

Jashanmal

Home Center


Balmain

Lifestyle

Marks & Spencer

Dwell

Paris Gallery

Next

Rivoli

Safeer Mall, Sharjah

Sharaf DG

Safeer Hypermarket

Home Mart

Max

Shoe Express

Shoe Mart

Ansar Mall, Sharjah

Ansar Hypermarket

Electronics & Perfumes

Fashion

Shoes & Luggage

73

Household & Gifts

Furniture & Carpets

Food Court & Play Zone

Sharjah City Center, Sharjah

Jumbo Electronics

Sun & Sand Sports

Shoe Mart

Eros Digital Home

Lifestyle

Aldo

Evans

Woolworths

G2000

Kipling

74

Rolla Market, Sharjah

Al Hazer Bags & Watches Trading.

Tawasif garments & Bags

Caber Blankets & Bags Trading

Stadium Readymade garments & Bags

Al Zahrani Trading LLC

Mars Garments & Textiles

Gulf Majlis

Al Rowans Garments Trading

Al Adalah Tex & Garments

Shaam Al Medina

Run Al Ghurair

Abi Al Rehal

Umm Fenan Bags & Blankets

Al Shamsiah Blankets & Bags

Apsara bags & Blankets

Moon Plaza Trading Est.

Korea & Japan Trading Est.

New Thailand Trading Est.

Al Kiblah & Ejtehad

Al Namouzaj Trading

Sahrab Ali

Al Faseele trading

Al Rajab

Al Jawariah & Al Safiah

75

Mega Mall, Sharjah

Paris Gallery

MANGO

Ted Lepidus

Charles & Keith

Sacoche

Vero modal

Babine (Women’s Bags)

Torino

Misako

Deira City Center

Iconic

Valencia

Paris Gallery

Virgin Megastore


Sharaf DG

Jumbo Electronics

Sun & Sand Sports

Ahmed Siddiqi & Sons

Shoe City

Stadium

Al Harman

Turnover

Rivoli

Lacoste

Banana Republic

76

Elle

Woolworths

Debenhams

Armani Exchange

Aligner

GAP

Ghurair City

Domino

Calonge

Fortuna Trading LLC

Naturalize

Sacoche

Sun & Sand Sports

Sharif

Plug Ins

Leather Palace

Jashanmal

Reef Mall

Nicoli

Sacoche

Shoe Mart

Shoe Studio

Home Center

77

Mall of the Emirates

Makati Palazzo

Valencia

Braccialini

Jumbo Electronics

Sharif

Virgin Megastore

Go Sport

Centre Point

Eros Digital Home

Tanagra


E-Max

E-City

Century Mall

Shoes4us

Expressions


Dovani

Versailles

Lamcy Plaza

Style Studio

Sports

Shoe Mart

Jewel Craft

78

Bhs

Paris Gallery

Dubai Mall

Geox

Stadium

Valencia

Plug Ins

Panasonic

Sharaf DG

Canon

Jumbo Electronics


Sharif

Shoe Mart

Paris Gallery

Plus IT

Opera

Missis

Golf House

Zapping

Galeries Lafayette

I Style

Rivoli

Bloomingdales

Trade Tower Street

Lifestyle

Shoe Mart

Avenues

Spinney’s

79

Burjuman Mall

Sacoche

Maguey’s

Studio R

Jumbo

Saks Fifth Avenue

Virgin

Bhs

Tanagra

Paris Gallery

Leather Palace

Bank Street

Your e-store

Riato

Shoe Mart

Computer Depot

Jumbo Electronics

Marina Mall, Abu Dhabi

Trend

I style

Eros Digital Home

Valencia

Sun & Sand Sports

Studio R

Plug Ins

Paris Gallery

80

Accessorize

Tanagra

Ounass

Sacoche

Khalidiyah Mall, Abu Dhabi

Sports Direct

Sun & Sand Sports

Tec zone

Jumbo Electronics

Shoe City

Claire’s

Bhs

Paris Gallery

Al Wahda Mall, Abu Dhabi

E-City

Jumbo Electronics

Tech zone

Dubai Gallery

Claire’s

Al Jimi Mall, Al Ain

Shoes4us

Krishna

Mega Sport

Lifestyle

Shoe Mart

81

Al Ain City Center, Al Ain

Super Market

Al Ain Mall, Al Ain

Sacoche

Signe

Salam

Paris Gallery

Shoe Mart

Lifestyle

Dubai Festival City

Chic Shoes

Tags

Sun & Sand Sports

Plus IT

I style

Makati Palazzo

Paris Gallery

Plug Ins

Danube Build Mart

Al Flak Electronics

The Athlete’s Foot

Bhs

Wafi City

E-City

Emirates Sports Store

Jumbo Electronics

Rocco Line

82

Opera

Sebago

Salam

Tanagra

References

www.samsonite.com

en.wikipedia.org/wiki/Samsonite

www.samsonite.in

www.samsoniteblacklabel.com

www.ameinfo.com/201717.htm

www.luggageonline.com/brand.cfm?brand_ID=29

en.wikipedia.org/wiki/American_Tourister

gulfnews.com/.../samsonite-continues-positive-steady-growth-1.5938

news.bayt.com/.../samsonite-unveils-innovative-business-collection-for-

middle-east-traveller/

www.eyeofdubai.com

www.thefreelibrary.com/Samsonite+focuses+on+boosting+expansion+in+

Middle+East.-a0228856704

gulfnews.com/.../samsonite-set-to-continue-its-growth-plans-1.60123

Apart from this a lot of official company data has also been used to get knowledge

about the luggage industry.

83

Documents

Jamia Final Report