Building a better business
At the time of its acquisition by TowerBrook, Jimmy Choo was still a relatively young and underpenetrated brand compared to several other luxury goods players. Its brand integrity had been maintained by limiting distribution to selected retailers and exclusive locations in order to support its positive brand image.
Under TowerBrook’s ownership, a new CEO and CFO were appointed and a new organizational structure was put in place. An expansion and investment strategy was developed, and TowerBrook supported the company in its strategic objective of growing the business into a globally recognized luxury goods brand.
Numerous opportunities for improvement were identified. The product range was rebalanced, distribution expanded and new licensing collaborations announced. The core shoe and handbag offerings were expanded and new product categories launched, including eyewear, small leather goods, accessories and fragrances.
Tight control of capex and careful inventory management enabled Jimmy Choo to weather the financial crisis of 2008-9 and supported a strong sales performance in 2010, prior to TowerBrook’s exit.