Operations « LBM Group | Get the picture

Operations

Business Idea

LBM is developing and marketing leading life-style and consumer related brands through licensing, advising and marketing with specific focus on women, ethnical groups and ethical consumers.

Objective

The objective of LBM is to, via its partners and collaborations, become an internationally leading and innovative developer of consumer related brands with focus on the world fastest growing economies; the BRIC-countries, the Middle East, Africa and Turkey.
* BRIC = Brazil, Russia, India, China

Strategic considerations

In order to achieve the set objective the Board of Directors has made the following strategic considerations;

Large international customers require complete solutions. Since LBM has an explicit strategy to work only with established and well-known brands, its customer structure is dominated by larger international companies. In order to strengthen its customer structure, LBM has opted for building a company that can deliver complete solutions. If the customer wants one sole provider for all the key processes related to the development of customer brand and commercializing of new consumer products, LBM can provide this through its three business areas.

Market focus on women, ethnical groups and ethical consumers. There are a number of international studies made that all come to the same conclusion: that the actual decision makers regarding life-style and consumer related products are women. There are also several analyses made that show that ethnical formations, and so called ethical and ecological consumers, experience that they are overlooked in today’s marketing and advertising campaigns. LBM has chosen to place a special focus on these groups within all areas of its operations.

Geographic focus on emerging economies. Outside the United Kingdom and the rest of Europe, LBM’s operations are focused on the world’s fastest growing economic zones – Brazil, Russia, India, China, Southeast Asia, Middle East and Africa. LBM considers that the local economies in these countries will continue to show endogenous growth both in terms of infrastructure, but also in terms of consumer demand. The analyses that LBM’s management has performed show that both the demand for, and the requirements on qualitative and sophisticated high-end brands from Europe and the USA are voracious in these regions.

Established and well-known brands. Within the business area Brand Licensing, LBM shall focus on holding licensing rights for established and well-known brands, and with these, produce and market consumer related products. The stronger a brand already is when LBM is contracted, the better the conditions are for the input from LBM to result in considerable improvement in revenues and profitability for the client and hence also higher revenues for LBM. Within the two other business areas in the company; Brand Management and Brand Communication, LBM also works with non-established and less known brands.

Bring out value of the clients existing brands. Product cycles in retail become increasingly shorter, while competition increases. The companies are bound to look for new ways to find supplementing revenue opportunities and thus create increased values for its shareholders. Brands and sales of licenses is one way for the companies to visualize values and increase revenues. When LBM’s processing a new client, visualizing these values for the client is critical and one of most important features in the offering that LBM makes to the client.

Initial launch in the United Kingdom. When it comes to LBMs existing licensing rights to develop the brands Royal Navy and Goodyear, LBM intend to initiate the launch of the collections in the United Kingdom. The reason is the natural national tie for Royal Navy, but also the fact that the initial launch is easier to handle on one of its home markets.

Production, distribution and sales shall be performed by partners. Be it production, distribution and sales of “own brands” such as Royal Navy and Goodyear, or development of brands where LBM sublicense the sales rights, LBM will always work with partners. LBM’s strategy will also involve appointing exclusive distributors for each individual geographic market. In this way economies of scale are created and the experiences from the British home market can be exploited while the integrity of the individual brands can be protected. Legal structure. The LBM Group consists of three companies. The parent com

Business Idea

LBM is developing and marketing leading life-style and consumer related brands through licensing, advising and marketing with specific focus on women, ethnical groups and ethical consumers.

Objective

The objective of LBM is to, via its partners and collaborations, become an internationally leading an innovative developer of consumer related brands with focus on the world fastest growing economies; the BRIC-countries, the Middle East, Africa and Turkey.
* BRIC = Brazil, Russia, India, China

Strategic considerations

In order to achieve the set objective the Board of Directors has made the following strategic considerations;

Large international customers require complete solutions. Since LBM has an explicit strategy to only work with established and well-known brands, it implicates that its customer structure is dominated by larger international companies. In order to strengthen its customer structure, LBM has opted for building a company that can deliver complete solutions. If the customer wants one sole provider for all the key processes related to the development of customer brand and commercializing of new consumer product, LBM can provide this through its three business areas.

Market focus on women, ethnical groups and ethical consumers. There are a number of international studies made that all reach the conclusion that the actual decision makers when regarding life-style and consumer related products are the women. There are also several analyses made that show that ethnical formations, and so called ethical and ecological consumers, experience that they are overlooked by today’s marketing and advertising. LBM has chosen to place a special focus on these groups within all areas of its operations.

Geographic focus on emerging economies. Outside the United Kingdom and the rest of Europe, LBM’s operations are focused on the world’s fastest growing economic zones – Brazil, Russia, India, China, Southeast Asia, Middle East and Africa. LBM considers that the local economies in these countries will continue to show endogenous growth both in terms of infrastructure, but also in terms of consumer demand. The analyses that LBM’s management has performed show that both demand and requirements for qualitative and sophisticated high-end brands from Europe and the USA are voracious in these regions.

Established and well-known brands. Within the business area Brand Licensing, LBM shall focus on holding licensing rights for established and well-known brands, and with these, produce and market consumer related products. The stronger a brand already is when LBM is contracted, the better are the conditions for the input from LBM to result in considerable improvement in revenues and profitability for the client and hence also higher revenues for LBM. Within the two other business areas in the company; Brand Management and Brand Communication, LBM also works with non-established and less known brands.

Visualize values in the existing brand. Product cycles in retail become shorter everyday while competition increases. The companies are bound to look for new ways to find supplementing revenue opportunities and thus create increased values for its shareholders. Brands and sales of licenses is one way for the companies to visualize values and increase revenues. When LBM’s processing a new client, visualizing these values for the client is critical and one of most important features in the offering that LBM makes to the client.

Business areas

LBM is working in the whole value chain for developing and commercializing brands. Since LBM has a pronounced strategy to mainly work with established and well-known high-end brands which implicates that its clients are and will always be large international companies. For that reason, LBM considers that it is a competitive advantage to be able to offer and deliver complete solutions.

LBM is active in the business areas Brand Licensing, Brand Management and Brand Communication, which complete the whole value chain. There are no sharp borders between the business areas, but all employees and partners at LBM work in close communication to each other independently of which business area they represent.

pany LBM Group AB (publ) owns the two subsidiaries Lifestyle Brand Management Ltd. (90,6 % ownership) and Lokrantz & Co AB (100 % ownership). The group has offices in Stockholm and London.

Business areas