April 24th, 2021
TOMS is known in the market for its product diversification, namely sunglasses and coffee, among others, both with a common social purpose: helping people by promoting cataract surgery campaigns and donating one week of potable water per every single bag of packaged coffee sold. Consistently, the company has donated more than 95 million pairs of shoes. This relates to corporate social responsibility’s contribution to brand recognition and acceptance by consumers, leading to the inherent increase in sales and company valuation.
The trade-in of its brand hero product, Alpargatas, quickly positioned TOMS in the market as the preferred footwear for a whole generation, creating a company valued at more than $625 Million.
The Millennials are a sector TOMS remains committed to, it saw it grow, but now attracting another generation, as marketing begins to focus on adolescents, their needs and ideals. At the end of 2019, Magnus Wedhammar came to TOMS to implement the necessary changes to re-position the company as one of the leaders in this market.
Part of the strategy to follow, is to take into account the Millennial Generation’s support for social causes, by setting aside the “one to one” policy and donating one out of every three dollars to causes of which young people are defenders. This, to be coupled with a sales strategy where its hero product would have some innovations, such as the use of heated materials like synthetic leather and rubber soles.
Interested in TOMS for your travel retail business? Please contact Jason Restrepo – Category Manager for Apparel at DFD.