Ferrari Collaborates with Armani over Merchandise, Entertainment & others
Sportscar maker Ferrari said Monday it was starting a fashion collaboration with Giorgio Armani as part of its long-awaited strategy to spread its brand to other sectors and squeeze more value out of it.
CEO Louis Camilleri told analysts that Ferrari aims to earn 10% of earnings before interest and taxes in seven to 10 years from three new areas like apparel, entertainment and luxury services.The Italian company aims to both increase and retain a greater portion of the 800 million euros (USD 892 million) in products bearing the carmaker's name, the CEO said.
"This is not just about profit, this is about enhancing our brand equity and the vitality and vibrancy of the brand," Camilleri said.
He said Ferrari will focus the use of its brand, reducing licenses by half and eliminating a...