ECCO Shoes celebrated its 50 years anniversary in 2013. With a humble gesture, the Danish

shoemaker was established by the founder Mr. Karl Toosbuy in the rural Southern part of Denmark

dated back to 1963. At present, ECCO as a family-owned company, builds its worldwide presence in 90


markets across 5 continents. From ECCO’s annual report (2010-2014), the net revenue broke the record

consecutively in the last five years and achieved successful result of EUR1169157000 in 2014. The

company just spent the most glorious period in the past decade and ready for move on. Nevertheless,

ECCO is facing a wealth of challenges in the mid of the dynamics of global economy in terms of its


2020 strategy.

The factory opening in 1960s Denmark

The main reason of the selection of ECCO Shoes as the organization is its unique company set-up and the


newest 2020 strategy.

Shoe is a key component in the broadly speaking apparel and fashion industry. In a nutshell, everyone


needs shoes, the global footwear industry continues to see the positive result with roughly 2% growth

in 2014 (Ivan, 2014), but already step into a saturation stage without significant revolution recently.


Global markets share was controlled by 33% in the USA, women was accounting for 53% of the

china shoes wholesale market online segments in terms of sales last year (Zhou, 2018).


Apart from women, mens and kids cheap shoes, ECCO’s product range also incorporates accessories and shoe


care products. Overall the wholesale industry can be characterized by a high level of fragmentation and

diversification, standardized shoe and accessories business is produced in large volume, exclusive


cheap collection and high-end products are produced in low volumes. With few barriers to entry, many

competitors attempt to stake a claim in the multi-billion dollar industry (Sweeney, 2019).


In fact, ECCO identifies itself as a producer of shoe and leather goods (ECCO Linkedin, 2019). More

interestingly, ECCO is one of the few major shoe manufacturers in the world to own and manage every


step of the shoemaking process. Additionally, ECCO can be seen as a high street retailer from a

consumer perspective.

Key success factors for the industry:

Consumer demand: Consumer are looking into niche design and fast fashion trend nowadays,


differentiation and availability are listed on the top index regarding customer attractiveness and

retention, which requires a company to be innovative and technology-forward, as well as sustain itself


with sufficient capability and flexibility upon manufacturing, logistics and wholesale marketing.

Omni-channel: Connect online to offline and vice versa, what we called the new nature of the retail


will seamlessly integrates different touch points and fundamentally change business models across time

zone, territory and virtual reality.

Big feet

Globalization: The home markets for European retailers are slowing down and becoming saturated.


For ECCO, its Asian performance particularly China showed double digit growth in the last few years

(Annual report, 2012-2016). However, sales figure in traditional markets like UK and Germany


performed a shrinking direction. Across Atlantic, USA overcame the recession since 2018, became the

pilot market and a good performer due to less complexity of culture and language.

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