Dielmar Corporate Presentation

1

DIELMAR was established in Alcains, Portugal, in 1965, by 4 master tailors and is

dedicated to design, production and sale of premium menswear.

In 2001, DIELMAR started the vertical integration of its business with the opening of

brand stores.

Offering a competitive price for a high range of premium quality products,

DIELMAR despite the yet a low brand awareness features a large margin for

improvement in the value chain.

Present in more than 20 markets around the globe, DIELMAR estimates the

increasing the share of exports to 71% by 2015.

The internationalization of the brand will be leveraged through franchising

partnerships and joint ventures, as well as the maintenance and enhancement of

attendance in international trade fairs.

THE BRAND

Established: 1965

Facilities area: 15.000 m2

Head Count: 390

Brand stores: 8

Jackets production: 100.000 units/year

Trousers production: 150.000 units/year

THE HISTORY

Dias, Helder, Mateus e

Ramiro alliance created Dielmar

brand.

1965

50 years

2015

1966 1978 1990 2001 2011

Shareholder’structure

changed with the

entrance

of FACCE, a

venture capital fund

Dielmar starts traditional tailoring

activity with 25 employees

First exports

Capital increase and legal

form turns SA.

First brand stores

Name: Sociedade Industrial Confecções DIELMAR, SA

VAT number: PT500266727

Share Capital: 6.700.000€

Total Net Assets: 22.758.641€ (2011)

Affiliated companies: 7

Number of shareholders: 9

• Maintain high product quality and service and exceed customer expectations.

• Ensure continuous design innovation, design and product development.

• Maximize brand value and return to shareholders. • Create the best conditions to upskill and motivate our

employees.

THE STRATEGY

Mission

• Be recognized as menswear company of excellence, both with product and service customer centered, with global notoriety, maintaining an image of credibility and competence.

Vision

• Cost effectiveness and efficiency with high quality levels by

restructuring manufacturing processes.

• 80% of export share with international branding to Europe, Asia and

America, being recognized as the benchmark.

• Increase brand awareness globally. • Expand opening 5 stores / year in foreign markets through franchising

partnerships and joint ventures.

• Invest in e-commerce differentiating the brand by the traditional tailoring.

Strategic Objectives

THE MARKETING MIX

PRODUCT PLACE PROMOTION PRICE

• Suits, jackets,

trousers, coats,

parkas, tailcoats,

gabardine

shorts,…

• Shirts, ties,

sweaters, socks,

shoes, scarves,

cufflinks,

underwear,

sunglasses, belts,

…

• Direct and indirect

distribution

(through own

stores and dealer

network,

specialized

retailers, multi-

brand and

department

stores).

• Through brand

stores and

retailers.

• Important

international fairs.

• Partnerships with

agencies and

events.

• Online advertising

(site,

facebook,...).

• Mailings,

Catalogs,

Brochures and

Flyers.

• Price varies

according to the

country

(purchasing

power, etc.) and

product quality

(construction and

raw material).

MARKETING & SALES STRAT

Thus, some actions will be performed over the next three years to leverage this growth, with a limited budget overcome the difficulties imposed by the global

financial crisis: • Create new partnerships with agencies and

partners that improve brand awareness, positioning it with the market/customer target;

• Promote internationalization of the brand through franchising and joint ventures;

• Have a major presence in prestigious international trade fairs in order to leverage and expand brand awareness;

• Ensure the brand stays top of mind of some target consumers by sponsoring television shows (Jornal da Noite, Expresso da Meia Noite), and advertsing in magazines and newspapers (Jornal de Negócios, Visão, Executive Digest, Mercedes, …).

Apart from our recurring presence in the largest international exhibitions of menswear - PITTI UOMO, Florence, Italy - which has played a dominant role in developing and growing brand awareness and consequent internationalization, it also attends others, namely: PREMIUM (Berlin, Germany), MRKet Show (Las Vegas, USA) and Macao. Moreover, aiming at the business verticalization abroad, DIELMAR is present also in Franchising fairs from 2015 on. DIELMAR will keep only the partnerships that have assumed better economic return.

Striving for brand consolidation at local level and international market expansion,

DIELMAR focus on key strategic marketing operations and values communication actions that ensure the highest ROI.

Being global sales growth a strategic objective for DIELMAR, participation in trade fairs is a vehicle of excellence for

achieving it

THE TARGET & COMPETITIVE

ADVANTAGE

DIELMAR targets men of 30-60 years old (with

personal tailoring targeting men of up to 50 years old),

urban lifestyle, medium/high socio-economic class,

cultural and sportive interests, executive roles, that

likes to dress with quality, comfort and design, with by

measure exclusives.

The brand maintains its competitive advantage

thanks to the confection by demand and by

measure, ensuring all pieces and details follow the

highest quality standards, wearability and a

competitive price.

THE PRODUCTS

DIELMAR manufactures suits, jackets, trousers, coats,

waistcoats, overcoats, shorts, evening and ceremony

wear.

Under outsourcing the company produces, with its own

design and development, shirts, ties, sweaters, socks,

shoes, scarves, cufflinks, underwear, glasses, belts

and other accessories.

THE FABRIC

From a selection of top quality materials, coming mainly from Italy, Spain and Germany,

DIELMAR uses materials such as cashmere, silk, pure wool (super 120, 150, 180 and

turbos), cotton and horsehair canvas to manufacture its products

The suppliers are themselves renowned in the international market.

THE INTERNATIONAL

PRESENCE

America - USA - Colombia - Venezuela - Brazil Africa - Morroco - South Africa

Europe - Portugal - Spain - France - Belgium - Germany - Switzerland - Italy - Norway - England - Iceland Asia - Russia - Japan - Hong Kong

TRADE FAIRS &

RUNWAY SHOWS

PITTI UOMO, Florence, IT

PortugalFashion, Oporto, PT

MRKet, Las Vegas, USA

PREMIUM, Berlin, DE NEXT SEASON, Poznan, PL

AIMEX, Birmingham, UK

SPONSORSHIP

DIELMAR has

been sponsoring

businesses,

events and

shows of great

national

reputation, in

different segments

of activity, in order

to increase brand

awareness.

SPORTS

MEDIA

BUSINESS

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Showrooms:

Lisboa

Av. da República, 62 – 3º Esq.

1050-197 Lisboa

Tel: +351 217 991 810

Fax: +351 217 991 819

Porto

Rua Júlio Dinis, 247 – 4º E 14

4050 – 324 Porto

Tel: +351 226 063 920

Fax: +351 226 063 918

Headquarters:

Largo do Chafariz Velho -

Apartado 8

6006-909 Alcains

Tel: +351 272 900 900

Fax: +351 272 906 679

E-mail:[email protected]

www.dielmar.pt