A different dimension
Montblanc and AT Cross are among a wave of manufacturers best known for their writing instrument ranges who are now diversifying into other areas, including luggage and leathergoods. David Davies finds out how these new offers are enhancing and augmenting the brands’ identities
The need to explore other market segments and categories has been a continual theme in travel-retail – and, indeed, in the pages of Frontier and Frontier Brands – over the last few years. Writing instrument companies are certainly not immune to the trend, with many of the leading players crossing over into all manner of other areas, from luggage to luxury watches.
The natural crossover from WI into other categories is summarised most succintly by Montblanc’s Frank Passman. “It is a perfect extension of our core business,” he says, “because the writing instrument has not only a functional use – it is more an accessory which happens to write.”
In recognition of an increasingly prominent trend, Frontier caught up with Montblanc and another
leading proponent: AT Cross.
AT Cross
Although established all the way back in 1846, it is only fairly recently that A.T. Cross has begun a sustained campaign of broadening out from its WI base into other categories. In the case of Cross – responsible for so many WI ‘firsts’ over the years, including the propel-repel mechanical pen and ballpoint precursor the Stylographic pen – this has resulted in an increasingly comprehensive range of business and lifestyle accessories.
“The addition of brand extensions to the A.T. Cross writing instruments portfolio began in earnest in 2006,” recalls Nicola Leadley, marketing manager international, A.T. Cross. “These additions have helped A.T. Cross to evolve into a quality, stylish lifestyle accessories brand. It was our decision to develop the brand by introducing product extensions such as leather accessories and business bags in order to provide our target consumers with a range of beautiful accessories which will meet all of their personal and professional accessory needs and complement the strong writing instrument offering that already exists.”
These accessories appear to have emerged organically from a WI offer that now embraces all manner of seasonal patterns and colours. “Developing further lifestyle accessories was a natural progression for the brand, offering consumers a selection of products to complement their everyday working and personal lives, incorporating a sense of style whilst retaining quality in our products. Now consumers can put together a package for their own lifestyle accessory needs from the selection of Cross products, including stunning writing instruments, stylish leather pieces and business bags.”
Developmental work will continue, with an emphasis at all on times on producing “quality, stylish, fashion-led products that provide key benefits to the consumer. We will further enhance our business bag and leather collections in the second half of this year.”
Needless to say, the WI offer within travel-retail will also continue to evolve. “There will be a number of new product launches in both the QWI and brand extension categories in the second half of this year, all of which will be made available to travel-retail,” reveals Leadley.
Montblanc
The diversification of Hamburg-based manufacturer Montblanc into other product categories has also gathered pace in recent years. Over time, the company’s long-established and widely acclaimed writing instrument lines have been augmented by women’s handbags, men’s jewellery and more.
Speaking to Frontier, Montblanc-Simplo GmbH’s general manager travel retail, Frank Passman, charts the emergence of an increasingly far-reaching brand over the last 18 years. “With the opening of our first boutique in Hong Kong in 1990 it was decided to diversify into other categories,” he recalls. “Five years later we came out with large leather. In 1996, we introduced men’s jewellery, and then in 1997 watches were launched at the watch fair in Geneva. In 2005, we launched our female jewellery line, while this year we will introduce our in-house manufactured watch movement and a huge line of women’s handbags.”
Montblanc’s ventures into leather have been particularly far-reaching, with the versatile Meisterstück line among the top-sellers.
“In leather we have a double-digit growth in all categories,” says Passman. “We have all lines available in travel-retail, but there is of course a limit in price. You do not have a client at the airport looking for a €15,000 Alligator briefcase. The most successful is our classic Meisterstück line for all needs, while the bestsellers in small leather goods are wallets, and passport and business cardholders. Our larger travel and business bags are also performing well.”
While writing instruments retains a 50% share of Montblanc’s total business, the company’s presence in other categories is continuing to grow rapidly. It’s a development that we can expect to see being reflected in Montlanc’s own airport stores.
“We will enlarge our offer for women,” notes Passman, “and our shops will have a dedicated area for women that features a different design. Bigger projects of 300sqm and more also have a separate floor for women. The main focus this year will be the milestone in our history, our own watch movement, and large and small leather for women.”
Noting that the development of the company’s writing instrument range also continues apace (the latest launch into the channel being the Starwalker Special Edition A380, currently sold exclusively onboard Singapore Airlines), Passman points out that Montblanc’s overall progress in travel-retail has been assisted by the ongoing expansion in worldwide airport infrastructure.
“We have excellent results in this channel because of many recent airport developments,” he says. “Lots of airports are planning expansions or refurbishments, and they will give more space to luxury because it’s one of the fastest growing categories in travel-retail. We have opened a boutique in London T5 and we are in the process of opening a boutique at JFK T7, Zurich Airport, Copenhagen Airport, Waikiki, Los Cabos and Mexico Airport. We are also working on several other personalisation projects around the globe.”
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