In an increasingly crowded luxury goods market, German brand Hugo Boss, with five lines to offer clients, continues to defy the current global economic slump by posting impressive growth the world over. The numbers are particularly impressive in Asia, where it plans to introduce bespoke men’s suits next year.

Hong Kong-based Geritt Rutzel, president and CEO of Hugo Boss Asia-Pacific, recently visited Manila to share the news. Together with executives from Stores Specialists Inc., exclusive representative of Hugo Boss in the Philippines, he also explored the possibility of opening a fourth Hugo Boss store in the country, most likely in Cebu.

Hugo Boss’ foray in the south would depend not on the existence of a market, said Rutzel, because the brand is already popular among many discerning Cebuanos, but on the development of new, upscale malls in Metro Cebu.

“Hugo Boss is present in 124 countries,” said the German-born Rutzel, 37. “In China alone, we’re present in more than 50 cities. We’re one of the biggest fashion houses in the world. For the first time in the company’s history, we would hit the 2-billion euro mark this year.”

Even in Europe where most economies are trying to keep their heads above water, Hugo Boss, with headquarters in Stuttgart, Germany, posted a respectable 16-percent growth in the first six months of 2011.

Five lines

Of the brand’s five lines—Black, Orange, Green, Hugo and Boss Selection—only Boss Black is so far available in the Philippines. Each line, which includes clothes, bags, eyewear, perfume and various accessories, offers items for both men and women.

The brand also did away with the common practice of most fashion houses to appoint an overall creative director. Instead, each line has its own creative director responsible for determining the overall look, and the items that would come out of the runway and eventually end up in stores.

“The main man for Boss Black is Kevin Lobo,” said Rutzel, who joined the company 10 years ago. “He’s German and has been on top of Boss Black for quite a number of years now.”

Each line also has its own creative team, from stylists to photographers, responsible for producing specific stories and looks for ad and promo. Although these teams may compare notes, said Rutzel, they’re not obliged to follow or draw inspirations from a specific theme.

Autonomy

That autonomy even extends to such events as store openings. For a forthcoming Boss Black store opening in Hong Kong, for instance, people behind it have lined up a jazz player to provide the music.

“It’s in keeping with the line’s classic and elegant image,” said Rutzel. “A couple of weeks ago, we celebrated the opening of a Boss Orange store also in Hong Kong. Since it appeals to a younger market, we had a rock band playing there.”

In the Philippines, Hugo Boss’ three stores are located at Greenbelt 4, Shangri-La Plaza Mall and a newly opened one at Resorts World.

“Boss Black, which can be described as elegant and modern classics, is our core line,” said Rutzel. “If I’m not mistaken, it comprises 60 percent of the brand.”

If Black’s core item is the suit, Orange, which appeals more to younger customers, is all about casual dressing consisting mostly of jeans and T-shirts.

Green is packaged as sportswear, particularly for golfers, but it’s good enough to be worn outside the golf course, Rutzel assured.

For the more fashion-forward customer, the brand offers an “edgy” line simply dubbed as Hugo. As far as the line’s suits go, said Rutzel, the cut is “a bit slimmer and more edgy.”

Unlike Tom Ford, the brand, Hugo Boss has yet to cater to bespoke or made-to-measure suits. The closest it can come up with is Boss Selection, a decidedly high-end line that uses more expensive fabrics and components.

“Boss Selection doesn’t offer MTO (made to order) yet,” said Rutzel. “But we’re planning to introduce MTO to the Asian market next year as part of Boss Selection.”

Secret to success

The secret to Hugo Boss’ success, he added, is simple: “Provide the market with products that have a consistently high level of quality” regardless of line.

But don’t all high-end brands do that? Not necessarily, said Rutzel.

“By coming up with different lines, we’re able to target different customer groups. At the same time, we’re able to maintain a high level of quality regardless of line because we have a horizontal, as opposed to vertical, price positioning.”

In short, all Hugo Boss lines have the same starting price points. The difference between each line lies in the fashion statement or look.

A brand with vertical price positioning has so-called bridge lines that are priced decidedly lower than the premium line. Quality of the lower-priced line, in terms of materials, workmanship and design, may suffer in the process.

“It may sound a bit general to outsiders, but a second attribute common to all Hugo Boss lines is a conscious effort to produce modern collections that respond to the needs of today’s market,” said Rutzel.

As far as the Philippine market is concerned, Rutzel, during his brief tour of Metro Manila’s premier shopping destinations, noticed that there are more international women’s wear brands compared to men’s. He also noticed the growing accessories market.

“I think the men’s wear market is still underdeveloped,” he said. “There’s definitely room for growth. The potential for men’s wear business is there. Filipino men are in for more exciting times.”