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Samsonite International SWOT and PESTLE Analysis

ID : 52677053| Feb 2023| 12 pages

COMPANY PROFILE -Samsonite International

Business Sector :Consumer Goods

Operating Geography :Asia, Europe, North America, Latin America

About Samsonite International :

Samsonite International S.A. is a Hong-Kong based company with its headquarters in Luxembourg. It is primarily engaged in the operation, sourcing and manufacture of computer bags, outdoor and casual bags, travel accessories and slender protective cases for personal electronic devices under the Samsonite, Tumi, American Tourister, Speck, Gregory, Lipault, Hertmann and eBag brand names. As of 2020, Samsonite International employs 14500 people. The company was founded by Jesse Shwayder in 1910 and began its business as a truck manufacturing company. Over the last century, the company has widely commercialized innumerable innovations in luggage, establishing principal industry trends and catering to consumer needs. Samsonite has participated in numerous prestigious international competitions for ‘design and innovation’ and has won the Reddot design award for three consecutive years and has been voted as Favourite Luggage Brand at the Travelers Choice Awards.

Samsonite International S.A.’s unique selling proposition lies in being the largest travel luggage company in the world. Its mission statement reads, “To provide an answer to the customer’s needs for private and business travel by building a product that meets the challenges of today’s extremely mobile environment.”

Samsonite International Revenue :


USD 3,638.8 million – FY ending 31st December 2019 (y-o-y increase of (-) 4.17%)
USD 3,797.0 million – FY ending 31st December 2018  

Competitive Analysis of Samsonite International

SWOT
PESTLE
The SWOT analysis for Samsonite International is presented below in a table followed by the detailed analysis report.
StrengthsWeaknesses
1. Strong international brand presence owing to a wide range of well-renowned and licensed brand names
2. Robust distribution channels and sourcing ability spread across the globe
3. Well known for its innovative and high-performance products and services
4. Significant progress in direct-to-consumer net sales growth
5. High agility and adaptability in the rapidly growing digital landscape
1. Trimming down advertising expenses to maintain margins
2. Decline in sales growth in China due to reduction in B2B sales
3. Lagging in addressing deforestation initiatives
OpportunitiesThreats
1. Capital investments in undertaking digital initiatives
2. International penetration of brands like Tumi
3. Demand for products created using sustainable and innovative materials, methods and models
1. Shifting sourcing from China to other suppliers due to the outbreak of Covid-19
2. Political disputes like US-China trade war acting like trade barriers
3. Disruptive impact of Covid-19 on travel industry to impact sales
4. Significant regional competitors across global markets
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Detailed SWOT Analysis of Samsonite International

Strength

1. Strong international brand presence owing to a wide range of well-renowned and licensed brand names: Samsonite has established its strong footprints across the geographies and is principally involved in the end-to-end value chain, i.e., including the design, procurement, production, and distribution of luggage, business and computer bags, outdoor and casual bags, travel accessories and slim protective cases for personal electronic devices. The company has a diverse portfolio of popular, own and licensed brand names like the Samsonite, Tumi, American Tourister, Hartmann, High Sierra, Gregory, Speck, Lipault and Kamiliant. Samsonite operates through a number of wholesale distribution channels, our company-operated retail stores as well as through online stores or e-commerce in more than 100 countries in Asia, North America, Europe and Latin America.

2. Robust distribution channels and sourcing ability spread across the globe: With a strong international presence in over 100 countries in Asia, Europe, Latin America and North America, Samsonite strives to fulfil customer needs by delivering a better experience with the aid of its widespread multi-network of the distribution channels. The company operates both offline and online channels; offline includes wholesale distribution and retail stores and alongside, the Hong-Kong based luggage manufacturer and retailer, is also involved in e-commerce. Samsonite has established its position as a market leader because of its multi-channel distribution network along with its robust global footprint, significant brand presence, intensive investment in promotional activities, high potential for business scalability and supreme quality, differentiated products due to the company’s innovative focus.

The remaining section of “Strength” is available only in the 'Complete Report' on purchase.

Weakness

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Opportunity

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Threats

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Major Competitors :

  • Briggs & Riley
  • Victorinox
  • Gap
  • VF Corporation
  • Dufry
  • Eagle Creek
  • Away
  • Targus
  • VIP
  • ZUCA
  • Hermes
  • Gucci
  • Rimowa

Major Brands :

  • Samsonite
  • Tumi
  • American Tourister
  • Speck
  • Gregory
  • High Sierra
  • Kamiliant
  • eBags
  • Lipault
  • Hartmann
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References used in Samsonite International SWOT & PESTLE Analysis Report

1. Versace, Amazon, Samsonite among companies listed as deforestation ‘laggards’ - https://news.mongabay.com/2020/03/versace-amazon-samsonite-among-companies-listed-as-deforestation-laggards/
2 Environmentally friendly luggage production is increasingly popular - https://www.trendhunter.com/protrends/eco-luggage
3. Samsonite unpacks connected trolley bag for tech savvy travellers - https://www.livemint.com/technology/tech-news/samsonite-unpacks-connected-trolley-bag-for-tech-savvy-travellers-1567082137307.html
4. 10 Years of 3D Printing at Samsonite: Innovation from Design to the Production Line - https://www.materialise.com/en/cases/10-years-of-3d-printing-at-samsonite-innovation-from-design-to-production-line
The detailed complete set of references are available on request in the 'Complete report' on purchase.

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SWOT & PESTLE.com (2024). Samsonite International SWOT and PESTLE Analysis - SWOT & PESTLE.com. [online] Available at: https://www.swotandpestle.com/samsonite-international/ [Accessed 26 Apr, 2024].

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Samsonite International SWOT and PESTLE analysis has been conducted by Anindya Anindita and reviewed by senior analysts from Barakaat Consulting.

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