Versatility is Vertue
There are few luxury brands which are never in competition for they are trend-setters and always ahead of competition. And versatile Vertu is one of those few. The buck doesn’t stop here. Perry Oosting, President of Vertu, has resolved not to sit on its past laurels and rather take firm to the next stage of growth. “Sales have been very encouraging over the past year and we opened an average one new Vertu store in every two weeks,” proudly states Oosting. Watch this space and you will see what comes next from Vertu’s unlimited repertoire, says Oosting: Excerpts from Interview:
You come from a luxury fashion industry background; do you plan to take Vertu into the world of fashion and trends?
Vertu is not a fashion brand in its classical interpretation. We are a pioneer in new materials and have our own unique way of identifying what technology and services should make our customers live easier. Fashion plays with short-term cycles which is the very opposite of what we are doing at Vertu.
You had initially talked about emphasis on strong “portfolio management and natural diversification.” What do you mean by natural diversification?
Natural diversification is linked to device-centric accessories. We are not looking to diversify into areas such as eyewear, fragrances etc. that have no legitimacy towards the Vertu brand.
Several luxurious brands have introduced mobile phones within their collection; do they threaten Vertu’s leadership?
Vertu first pioneered the luxury mobile telecommunications in 1998 at a time when no one thought it was possible to use such materials on a mobile phone. The use of special materials, common to the luxury industry such as titanium, precious metals, fine leather etc were previously an unknown entity with mobile phones and as such posed many challenges to Vertu – which we overcame and produced mobile phones that have more than lasted the test of time. However, we welcome new competitors to the industry. Competition brings diversity, new ideas and different ways of thinking. At present you can never sit on your laurels and assume you are safe, as a company. We are in a competitive industry where the need to stay ahead of the game is paramount for success.
How financially solid is Vertu because its sales figures were never made public?
Vertu cannot reveal any sales figures but I assure you that they have been very encouraging over the past year. Despite the recession, we achieved year-on-year growth that surpassed our expectations. The global financial crisis hit every industry in some way and the luxury industry was no exception. Although it experienced a slight dip at the height of the economic crisis but proved resilient and appears to be recovering since the latter part of 2009. We, however, continued to invest in new products and stores to meet anticipated demand. During 2010, we opened an average one new Vertu store in every two weeks.
You intend to manufacture mobiles in the UK where the labour cost is one of the highest in the world. What is rationale behind this?
The Vertu headquarters and manufacturing plant are based on one site in the South of England ensuring better control on all aspects of our business.
The unique Concierge service and value-added service feature are much appreciated by the Vertu aficionados. Do you intend to develop further this unique service by introducing additional features?
Through the Vertu Concierge Service, our customers can access an exclusive selection of bespoke services and applications at the touch of a button. These services and applications are carefully tailored to suit the needs and lifestyles of our customers and are regularly updated with new information. We will continue to develop these bespoke services in line with our consumers’ desire.
How do you describe Vertu presence in the Middle East market? What are your prospects?
Vertu has a strong presence in the Middle East with numerous boutiques in Saudi Arabia, Abu Dhabi, Dubai, Kuwait and Lebanon offering the full selection of Vertu devices and service. Brand awareness is strong as the local clientele are quick to adopt technology and truly appreciate the luxury contents of our devices.
Will all-in-one products dominate the market eventually?
Luxury customers are becoming far more discerning as they want more than an easily recognisable and expensive product – especially in the current climate. Our customers are busy people, constantly travelling while managing their businesses and entertainment simultaneously. Therefore, to meet this rising trend, we combine a carefully-selected compilation of unique, tailored services and applications that are available at the touch of a button on their Vertu phone. This helps our customers to arrange their schedules with ease.
Vertu has been using innovative material such as carbon fibers, aluminum, titanium, and ceramic. What comes next?
We always seek to innovate the market and closely watch luxury industry trends from particular colours to unusual materials. Watch this space and you will see what comes next.
Several high-end watch brands have liasoned with sports luxury carmakers to design suitable watches. Will such cross-brand association help Vertu?
I think when your partner brand has true synergy with your band then it’s beginning of a fruitful relationship. We have partnered with Ferrari because they emulate the elements of luxury that mirror our beliefs as a brand. They adhere to fantastic materials and stellar design. Their products are rare and have longevity. These all aspects are also related to Vertu; so when we design a phone together our brand values coexist very easily.
The countdown to the BaselWorld exhibition has started, what will Vertu reveal during this show?
In addition to displaying a fantastic array of Vertu mobile phones we particularly want to bring to life the exclusive bespoke Vertu services that help our customers arrange their lives with ease.