fb

ACCA SPRING SALE 25% OFF

What’s in a pair of shoes? Quite a bit if it’s a Jimmy Choo shoe but…

What’s in a pair of shoes? Quite a bit if it’s a Jimmy Choo shoe but…

With celebrity clients such as Angelina Jolie and Victoria Beckham, Jimmy Choo is one of the most famous shoe brands in the world.

It is a real success story having been started 14 years ago by Tamara Mellon, a former editor at Vogue magazine, with a loan from her father of £150,000. There are now reports that it could be sold for up to £500 million.

Ms. Mellon started the business after meeting a shoe maker called Jimmy Choo during her time with Vogue. Mr Choo used to make a small number of handmade shoes which the magazine used for photo shoots. Ms. Mellon saw the potential in scaling up the business and 14 years later there are now over 100 stores around the world with prices for some shoes being well in excess of £1,000.

So, why has the business been so successful?

Whilst design and quality are obviously key features, the brand arguably took off when famous celebrities such as Julia Roberts and Beyonce started wearing them.

But it’s not just shoes that they sell. They have also expanded into items such as handbags, sunglasses and scarves.  In business speak this is referred to as “brand extension”.

A further example of brand extension is also in the pipeline for Jimmy Choo. Last year they signed a licence agreement with Inter Parfums for producing and distributing perfume under the Jimmy Choo brand.

Another well known footwear manufacturer is Cat®. They are renowned for producing tough, hard wearing “work boot style” footwear.

The brand itself came about as a brand extension of Caterpillar® Inc, the construction and mining equipment manufacturer.

The key thing that needs to be present for brand extension to be successful is the “fit”.

Glamorous Jimmy Choo shoes work well with fashionable sunglasses and high quality perfumes whilst the “toughness” of Caterpillar® Inc equipment works equally well with rugged work boot style footwear.

Will we see Jimmy Choo expanding their brand into mining equipment? Somehow, I don’t think so.

Share this entry

Recent articles

View All Articles
WeightWatchers files for bankruptcy as drugs take over…
May 12, 2025
Title
WeightWatchers files for bankruptcy as drugs take over…
Excerpt

Weight-loss drugs like Ozempic and Wegovy have revolutionised the weight management market, leaving companies which were once dominant […]

A whole new world: Disney’s Middle East move
May 08, 2025
Title
A whole new world: Disney’s Middle East move
Excerpt

The Walt Disney Company has announced its first-ever theme park in the Middle East, set to be built […]

Big 4 beware: Unity’s got $300M and no audit drama…
Apr 29, 2025
Title
Big 4 beware: Unity’s got $300M and no audit drama…
Excerpt

The former boss of EY and the former chief operating officer of PwC in the UK, are launching […]

Nothing to whine about…
Apr 22, 2025
Title
Nothing to whine about…
Excerpt

The wine industry, steeped in centuries of tradition, is experiencing a shake-up that’s sparking debate among enthusiasts and […]

PwC exits 9 African countries
Apr 18, 2025
Title
PwC exits 9 African countries
Excerpt

PwC, one of the Big Four accounting firms, recently announced the closure of its operations in nine Sub-Saharan […]

Using AI to reward staff
Apr 12, 2025
Title
Using AI to reward staff
Excerpt

In a bold move that combines innovation with employee incentives, UK-based law firm Shoosmiths has become the first […]

Barking up the right tree?
Apr 07, 2025
Title
Barking up the right tree?
Excerpt

In a world where businesses are constantly seeking that elusive “wow” factor to stand out, a historic Parisian […]

10 reasons CFOs are leaving…
Apr 02, 2025
Title
10 reasons CFOs are leaving…
Excerpt

Last year, chief financial officers (CFOs) left their roles at the fastest rate in six years, according to […]