NUMBER 2 • MARCH 2016

BRAND THE COLOR RUN SPORT, IN ALL THE COLORS BENETTON IS MAIN SPONSOR OF THE MOST COLOURFUL SPORTING EVENT IN THE WORLD. FOR THE OCCASION, IT IS SHOWCASING ITS NEW SPORT COLLECTION

VOICES THE ATHENS SCHOOL Michelangelo Pastore talks about the successes that Benetton has achieved in Greece, despite the challenging economic situation in the country. STORE IDENTITY ON CANVAS LAUNCHES PEOPLE THE ROOTS IN THE LESSONS IN OF THE FUTURE On February 17th, the list of On MANAGEMENT The Benetton Archive covers Canvas concept stores expanded Young, motivated and willing to learn: the group's 50-year history with once again, following a new this describes the trainees who have documents, iconographic materials opening. And not just in any old completed “Retail Growing Up”, the and historic garments. It's a location, but in the prestigious programme that aims to nurture the source of heritage under constant Mall, the biggest shopping group's talents and transform them development and the foundation centre in the world. into the managers of tomorrow. upon which to construct the future. STORE

DUBAI ON CANVAS Benetton’s concept store hits the UAE, opening in the world’s largest mall and crowning the brand's 30-year presence in the Middle East.

he position is more away cultures - is no coincidence. partnership with Easa Saleh Al Gurg strategic than ever: 1st Benetton has been present in Group. United Colors of Benetton level of the Dubai Mall, the the for celebrates its new store in the largest among the big malls, thirty years with a solid market prestigious Dubai Mall with the Ta shopping destination for over position thanks to the long time launch of the Spring/Summer 2016 85 million visitors every year. It is in this exceptional location that on February 17th Benetton’s flagship store re-opened with a new image, GREEN VALENTINE debuting the On Canvas retail concept in the Middle East. In India, the most romantic day of the year is celebrated – with a surprise for hundreds of couples – also in Benetton stores. From Treviso to the Emirates The choice of Dubai - in some alking through a UCB store together with the person you ways the most "Western" of the Wlove is something quite common. But if the store is one Arab cities and meeting point of far of the 20 most important ones in India and the date is February 14th, then the shopping experience becomes a very romantic experience, too. Benetton India’s Valentine’s day initiative involved hundreds of people, both young and less young. Couples were “intercepted” in-store, invited to take “romantic” selfies in front of a dedicated branded background and post the pictures to a specially-created Facebook page. The ten most liked posts were awarded with a Benetton garment. The initiative was a big success on social networks. 4

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collection, which is strongly oriented to lifestyle and matching of patterns and fabrics.

Tradition and modernity After the openings in Milan, Paris, Lisbon and Moscow, the On Canvas concept is spreading the Benetton philosophy around the world. It does not only offer a product, but grants customers a true emotional experience, immersing them in a universe where the history of the brand and modern styles come together. In the 400 square metre Dubai Mall store, the protagonist is the loom, a solid structure, almost invisible, enabling all kinds of transformations (spaces, materials and canvases), which serves as a symbol of a Group that is always ready to reinvent itself all the while remaining faithful to its “artisan” identity.

As of early February, the windows of some UCB flagship stores around the world (, Paris, Milan Duomo and Milan Corso Vittorio Emanuele, , ​​Treviso and Cortina)

AWARDS have been dressed in new colours to celebrate GOOD NEWS FROM the launch of the Carnival line, a capsule THE LAND OF THE collection that focuses on bold colour RISING SUN combinations and the diversity of products Benetton obtained an important recognition in Japan. The UCB store in the Seleo mall in Hachioji, OPENINGS in the Tokyo metropolitan area, was awarded in February as the PASSAGE TO INDIA best shop in the third quarter After the success of the UCB On Canvas thanks to its constantly increasing women and menswear store in Gurgaon sales. This is a particularly (New Delhi), on February 27th the first important recognition, given so On Canvas store dedicated to the entire far to 11 stores - only two of family debuted in . It is located in the which are fashion stores. Obtained Mall of India, in Noida, a location that despite strong competition (there represents the best of the best in terms of lifestyle on a large scale both are 50 fashion stores in the mall) in terms of size and shopping experience, where retail is combined with it proves that an excellent job was entertainment and leisure attractions. Covering an area of 750 square done. metres, the store offers menswear, womenswear and kids' clothing.

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OF SPORT Play On Wednesday, March 2nd, The Color Run - the most colorful sporting event on earth, in which Benetton is engaged as main sponsor - was presented to the press in Milan

t is the world's most colorful Vittorio Emanuele II, the 2016 sporting event - and one of its edition will involve 10 Italian cities most fun. It is The Color Run: and over 100,000 people of all born in the USA in 2012, over ages. The Benetton shops in these Ia few years has gained fans in over ten cities will feature dedicated 200 cities in the world. From this window displays and areas in store year, the Italian tour of the race recalling The Color Run. Each stage famous because runners get doused of the race will be followed closely with colorful dust, can count on the by the Italian sports daily newspaper participation of United Colors of La Gazzetta dello Sport and other Benetton as main sponsor - a natural national media, granting the UCB choice for a brand that has always brand extensive visibility. connected itself with color and From north to south, from Trento sport. to Bari, passing through big regional capitals like Milan, Turin, Genoa and At the starting blocks Florence, from Rimini’s promenade Presented on Wednesday, March to the Venice lagoon, to Reggio 2nd, with a press conference at the Emilia and Lignano, this stage race Benetton store in Milan's Corso will see the Benetton brand - which

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will also be present with dedicated STAGES 2016 stands - as a protagonist. «The Color Run is an event that 30/04/2016 TURIN embodies our Brand position Longing for sport and 14/05/2016 BARI perfectly and it perfectly wellness 21/05/2016 TRENTO A new sport and active lifestyle matches the launch of our first collection will be launched by UCB 28/05/2016 REGGIO E. ever Sport collection, called in April and will feature natural 04/06/2016 FLORENCE performance, technology, practicality “Natural Performance” as and comfort. The innovation of this 12/06/2016 GENOA it will provide comfort and sport collection is the Seamless 18/06/2016 VENICE performance thanks to natural Merino project, a real revolution in 23/07/2016 LIGNANO S. fibers and our vast knitwear the yarn and sportswear world that takes advantages of all Benetton’s 06/08/2016 RIMINI expertise». knitwear know-how. 03/09/2016 MILAN John Mollanger, UCB Chief Product & Marketing Officer

SPORT COLLECTION NATURAL PERFORMANCE The new United Colors of Benetton Sport Collection features clothes to ensure optimum fit and flexibility so you can embrace the pure joy of movement. Accomplish all indoor and outdoor activities in the dryness and comfort of the greatest technical fabric made by nature: merino wool.

• Seamless merino clothing absorbs and evaporates moisture naturally thanks to the hybrid wool/synthetic fibers. • The proteins of merino wool naturally fight odors thanks to its antibacterial and hypoallergenic functions. • Thermoregulatory technical fibers are expertly blended with merino wool for a smart and comfort-driven design. John Mollanger, UCB Chief Product & Marketing• Engineered Officer knit panels in back and under bust provide support and ventilation for the back and abdomen.

MASKS ON! Paper, crayons and lots of imagination: these are the ingredients that transformed a day in the piazza Play Duomo, Milan, UCB store into a big Carnival game

At Carnival we are used to dressing up as animals, superheroes, monsters or other «well-known characters. But would we be able to invent an imaginary character?» This was the unique challenge issued by the artist Giorgio Gasco to the children who crowded the Milan Duomo store on February 12. The goal? «Using a mask not to hide behind, but to reveal unknown aspects of ourselves».

Power to the imagination So the Imaginary Friend Lab took place: an initiative organized by Benetton to celebrate both the Carnival and the launch of the new Carnival collection, one of the capsule collections planned for 2016. On February 12th, the piazza Duomo store hosted four one-hour lab sessions for kids, during which Gasco, a Fabrica resident artist, helped the participating children create their own personalized masks, modelled on the idea of an imaginary friend. Once finished, the children could have their pictures taken with their brand new Carnival masks, made from poster paint, fabrics, crayons and cardboard.

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MICHELANGELO PASTORE A MIRACLE IN ATHENS

UCB is one of the most valued brands in Greece, and, despite the crisis, the numbers keep growing. “Who is behind this success? Our small tightly knit team, our clients, and our headquarters, which supported us,” explains the country manager, the behind-the-scenes leader of a successful team

Me? I'm a regular guy, I'm not «Yes, Benetton was the first sales agent, one who particularly sure what to say. I speak, I international brand to arrive in liked the brand, who developed «listen, I greet everyone – I Greece in 1984. It was a Greek its presence, thanks also to the start off the day chatting with the man who raises the car park barrier». From Athens, this is what Michelangelo Pastore says when we ask him to tell us something more about himself. His tone is open, friendly: almost apologetic. «I'm sorry, maybe that's not helpful». Yet, this is most likely the real Michelangelo Pastore: understated and a great team player. In Benetton for 30 years - initially as an agent, then as a manager - for the past five years, Pastore has been the country manager for Greece, a country he knows well.

Greece and Benetton have shared a long and largely happy relationship: our brand has had a presence in Greece for more than thirty years, right?

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support of Luciano Benetton. He people leave their opened nearly two hundred stores houses; go to work; across the country, most of which «The Greece I see is go shopping. As I said, still exist today. Our products are different from the the Greeks love life, still very popular and the brand is in spite of everything still very strong: for example, we one portrayed by the they are cheerful and are recognized leaders in children's optimistic. The first clothing and it's common to see media. Life goes on, couple of months children receive our products as of 2016 have been presents on their birthdays». people go to work, go positive and whilst shopping. The Greeks some competitors What was the most significant have encountered event you have ever dealt with? love life» considerable «The crisis had begun and we had to difficulties we've gained find a way to relaunch the business. market share and the We created a structure in line and the market, and we knew that forecast for the rest of the year with company standards that was ultimately Greek consumers – who, looks hopeful». highly focused on the customer, on just like us, love clothing and have communication and on store image. style – would not entirely cease What is, ultimately, the secret Simply put, we embarked upon a new to shop. By the end of the month, to these results? growth path». numbers were once again up and in «Teamwork and communication. We line with the previous year. It must have always kept in contact: among It would seem that this is be said that the company has always ourselves at the headquarters in paying off. had faith in us and always helped us, Athens; among the stores; with our «Initially, we focused on consolidating even taking risks». parent company. We have supported our market share and managing our each other, sharing our concerns clients. However, a year later our And now, how are things going? and objectives, and nobody has retail adventure began. Today, after «The Greece I see is different from been confined by their role. If we are only a few years, we directly manage the one portrayed by the media. now able to look to the future with about 25 shops, including corners. Of course, we are going through greater peace of mind, it's thanks to We tried to develop a new mentality, difficult times, but life goes on: the whole team». one that would put the stores and the consumers at the centre – even sharing this with clients and business partners, with whom we have a solid relationship based on mutual trust. Today, the results are positive: in addition to retail outlets, there are a further 169 Benetton stores in Greece, and in July 2015 we opened our first 'On Canvas' in Athens – at the height of the financial crisis when there were queues at ATMs».

In doing so, you managed to get through the worst years of the Greek crisis. The question everybody asks is ‘how did you do it’? «It wasn’t easy. For example, in the first two weeks of July 2015, at the height of the crisis, turnover was collapsing and worried clients called us. We reacted: we offered sales promotions and, because we knew that cash in the banks was inaccessible, we encouraged the use of cards. We knew the product

7 « HOME » PEOPLE “LITTLE” MANAGERS GROW UP The first edition of Retail Growing Up, the HR programme planned to help Benetton and Sisley cultivate in-house retail talents, just ended

ixty young managers selected from the store network. A path to help them “grow up” through training modules - including on developing “soft” skills, people management techniques and point Sof sale economics - and evaluation moments. In the end, of the retail talents and provide them with the necessary 21 UCB and 8 Sisley “talents” completed the path and were expertise to perform a specific role in store. A prestigious promoted to Store managers. initiative that was made possible also thanks to the close This sums up the first edition of Retail Growing Up, a collaboration between the group’s HR management and the development project conceived by Benetton together with retail network: in fact it was the District Managers who – in CEB SHL, as far as the evaluation of potential is concerned, agreement with the Retail Managers – suggested the names and with Luiss Business School, as regards the training of the people to involve in the programme, after an accurate aspects. The aim of the project is to manage the growth evaluation of their potential. See you at the next edition!

INDIA: CHANGE IN LEADERSHIP MOMS ON THE CATWALK Giuseppe Cavattoni, Global HR Director, THE COMPANY WELCOMES BACK EMPLOYEES and Michel Lhoste, THAT HAVE JUST FINISHED THEIR MATERNITY LEAVE International WITH A COACHING PATH Business Director Mirrors, video cameras and - in the middle of (Extra ), the room - 10 women on stiletto heels walking together in Gurgaon (New Delhi) to formalise the appointment of the catwalk like in a real runway show. It is Sundeep Chugh as the new CEO not one of the usual fashion events in which of Benetton India Limited. Having Benetton participates. The protagonists of this joined the Group in 2011 with the Play unique show are in fact the "new" moms that role of Commercial Director India, have just come back to work and to whom Sundeep has contributed significantly the important project Welcome Back Mom is addressed. This project was to Benetton’s success in India over conceived to help women that have just returned from maternity leave the last five years, earning respect find a balance between work and private life through individual and group and credibility. At the same time, meetings to be taken light-heartedly and with a hint of irony. two other internal promotions were This second edition of the project has so far involved 20 colleagues. formalised: Vivek Mukherjee has The kick-off took place on February 22nd, featured the new UCB Design been appointed the new Head of Director Ashley Tyler and was built around an essentially feminine HR India and will be responsible for metaphor: walking on stiletto heels represents taking on new challenges implementing a people strategy that to be won through an awareness of one’s resources (feet) and proper tools enhances ​​the talent and engagement (shoes). of all personnel; Namrata Wakhloo «Welcome Back Mom is part of a larger group of initiatives, like the Women has been appointed CSR Manager Empowerment Program and Benetton per Te (Benetton for You), that aim India, with the task of building to promote acknowledgement of women’s values, both inside and outside and enhancing the new CSR the company», explains Giuseppe Cavattoni, Benetton Group HR Director. Management function.

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Play LOOKING TO THE PAST TO BUILD THE FUTURE Half a century of inspiration, innovation, value: the Benetton Archive takes you on an evocative trip through the company’s history

n one side it is where the heritage of the Group a precious consultation tool for the Group’s designers. In is kept. On the other side it is a hothouse of this manner, the ideas behind past commercial successes ideas where the future is built: this is Benetton continue to sustain the group in reaching its future goals. Archive. Established in 2009 following the wish Oof Luciano Benetton and looking both to the past and the future, its mission is to retrace the steps that enabled the company to become the reality that it is now. TALKING ABOUT BUSINESS ARCHIVES IN CASTRETTE 50 years of excellences An archive covering a total surface of 1,300 square metres, a “RISERVATO PERSONALE” display area of 2,000 square metres, 12,000 knitwear items and almost 50,000 iconographic materials. These figures (“CONFIDENTIAL”), THE SEMINAR give an idea of the heritage “guarded” in the multifunctional ORGANIZED BY GIAI facility in Castrette: the entire history of the company. n February 5th the Benetton Archive organized The Archive is divided into two main sections: the product and hosted the annual GIAI (Italian Group of and the communication materials. As regards product, the OBusiness Archivists) seminar, dedicated this year Archive features, in a particularly evocative manner, the to personnel records. historic knitwear and includes sketches and technical charts. The day, which was structured around two sessions (one The communications section is made up of catalogues, dedicated to banking/insurance, the other to industry advertising campaigns, commercials and marketing materials and business), a debate and a brief visit to the Studios, from the ‘60s up to today. And in the exhibition area there was attended by many professionals of the field and was is a gift for Formula 1 fans: 16 cars that raced on the world’s moderated by Francesca Ghersetti (Fondazione Benetton highest class championship racetracks from 1983 to 2001. Studi Ricerche), Francesca Pino (GIAI coordinator) and Carolina Lussana (Fondazione Dalmine). The event A living heritage confirmed the engagement of the Benetton Archive in the Benetton Archive, which is supported by the scientific cultural development guidance of Fondazione Benetton Studi Ricerche, is of business and fashion constantly searching for materials, both in Italy and abroad, archives. with the aim of further enriching its holdings. Meanwhile, The speakers: the Archive also started many promotion initiatives - one Greta Gamba (Archive of the historic garments, for example, was shown during manager), Marziano de Piccoli (Personnel The Glamour of Italian Fashion exhibition at the Victoria & Administration manager), Albert Museum in London - and is now available for visits, Mara Lacagnina (archivist) upon request, to academics and researchers, besides being

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