Strategy

LPP is a Polish family business

We are constantly improving our offerings and adapting them to changing customer expectations. We are increasing the availability of our collections by expanding our network of stationary showrooms (increasing retail space y/y) and online stores.

We are developing in the spirit of the omnichannel concept so that our customers have full access to products regardless of the sales channel. At the same time, we are constantly meeting the challenges of the world around us in both technological and environmental contexts. In order to pursue such a development plan for LPP for the next few years, we have based our strategy on three pillars: omnichannel model, digitalization and sustainability.

Omnichannel organization

LPP is an omnichannel organization in which traditional and online sales are fully integrated. We are committed to providing our customers with the best possible shopping experience, whether they choose to purchase our collections in stationary stores or online. That’s why we are developing both channels in parallel and making sure our offerings are presented consistently.

Our priority is:

• Further development of our 5 clothing brands (Reserved, Cropp, House, Mohito and Sinsay) located in the moderate price range or in the Affordable Fashion Retail segment, dedicated to different target groups;
• Increasing the accessibility of our brands’ offerings by simultaneously expanding our stationary retail network and online offerings so that our customers can interact with our brands where, when and how they want through integrated channels.

LPP development through brands

We focus on winning new customers and increasing the satisfaction of existing ones. We started building our portfolio with the Reserved brand, whose first store was established in 1998. Currently, we already manage five brands, each dedicated to different target groups. We offer collections for women and men, but also clothing designed for children and teenagers.

Reserved, Cropp, House and Mohito rank in the moderate price range, while Sinsay ranks in the Affordable Fashion Retail segment. At the moment, we have no plans to create new brands. We are focusing our efforts on developing the brands currently in our portfolio, with a particular focus on Sinsay. Originally dedicated to teenage girls, the brand now has a range of fashionable styles for young women and men as well.

Sinsay also offers collections for moms, as well as products and accessories for children. The brand’s assortment is complemented by home furnishings and a line of makeup and beauty products. The good market reception of the new Sinsay concept and the accompanying intensive development of the stationary network mainly in small towns, will affect the successive growth of Sinsay’s share in LPP’s brand portfolio in the coming years.

Development through brands would not be complete if it were not accompanied by the expansion of our retail network, both stationary and online. Our goal is to diversify the Group’s revenues, i.e. Maintaining the current position in the domestic market, but also increasing the share of foreign sales especially in the European Union region. Today, in addition to Poland, we are present in six geographic areas on three continents, each with different growth prospects.

At the end of 2022/23, our brand offerings were available in a total of 39 markets, including 27 offline and 34 online countries.

Digitization of organizations

We operate in the fashion sphere, but at the same time, in response to the revolution we are seeing in the apparel industry, we are a technology company. We develop IT solutions tailored to our needs ourselves. We implement modern technologies of the so-called. Fashion Tech throughout the value chain, from product through logistics and sales. We have our own analytical facilities to understand mega trends and customer expectations. This allows us to respond flexibly and quickly to changes in shopping preferences and to design collections tailored to the current needs of our customers. Without the digitalization of our organization, the implementation of LPP’s business strategy would not be possible.

As part of our Fashion Tech activities, we focus our efforts on using modern technology to:

• Continuous improvement of the collection according to the expectations of our customers,
• expanding the range of sales and after-sales services in line with global trends in the retail industry,
• Increasing the flexibility of our distribution network,
• Full integration of traditional and online channels in the spirit of omnichannel strategy.

LPP sustainability

In an era of growing awareness of the importance of responsible business, elements of our concern for the environment – the environment and people – are reflected in LPP’s strategy. We base the company’s development on balanced rules for all company processes.

Our sustainability strategy is responsible fashion, that is, thinking about our collections not only through the prism of garment design, production, distribution, use, but also giving our clothes the so-called “sustainable” look. of a second life after its use by customers is complete.

This comprehensive approach is our response to the current climate challenges. Each year, we want to effectively reduce LPP’s negative impact on the environment, but also to educate our customers and business partners on how, together, we can effectively take care of the planet for the sake of ourselves, but also for future generations.

In 2019, we announced LPP’s second Sustainability Strategy “For People For Our Planet” scheduled for implementation from 2020 to 2025, based on four pillars: design and manufacturing, elimination of plastic, chemical safety, and infrastructure and buildings. This is our program of activities and goals we have set for the near future, but also a manifestation of responsibility for our environment.

Sustainability is also the company’s pro-social activities, the vast majority of which we carry out through our LPP Foundation, established in 2017. We help disadvantaged children and young people and the sick. We also support medical facilities and organizations caring for people at risk of social exclusion.