From supplier to men’s clothing brand
Outfit 21, Lda, a company with a 38-year history, is known for its production of men's clothing, particularly men’s suits, in the upper-middle segment. Over time, the company has developed a high level of expertise and is now a national reference in the production of special occasion outfits.
Previously, Outfit 21 was a part of the Vasconcelos & Gonçalves Group, which also owned the Giovanni Galli stores. Around 90% of Outfit 21’s orders came from the Group. In 2019, the Group sold the factory, thereby separating it from the chain of stores, which led to the establishment of Outfit 21.
The factory was oriented towards large production runs and large quantities of products, i.e. mass production. After the separation, Outfit 21 retained its role as supplier for the entire chain of stores. However, at the start of the pandemic, the group suspended all production and Outfit 21 lost its main customer. Outfit 21 developed a three-pronged strategy to counter this challenge
Outfit 21 moves from mass production to small series and made to measure
Firstly, it focused on diversifying its customer base and it created its own brand, Pietro. The company went from producing large orders and just a few models, which was a strategy unsuited to the Portuguese market, to producing small series with rapid restocking, offering a made-to-measure service and establishing a network of own-brand stores. Outfit 21 now works on around 20 to 30 different models in one day, whereas previously a model was on the line for around 15 days.
“This is a more labor-intensive strategy, but it is definitely safer in the face of market fluctuations,” states Mário Gaião, Administrator and Executive Director of Outfit 21.
Secondly, the company invested in cultivating a more dynamic corporate culture by recruiting and training younger staff while leveraging the expertise of more knowledgeable employees.
The most significant investment was made in technology, the third prong of their strategy. Since 2020, the company has invested heavily in digitalization and equipment upgrades. With the strategy change, Outfit 21 went in search of technological solutions to implement this new business model. In 2023, decided to invest once again in Lectra.
Since Outfit 21 now works on smaller orders, they needed to double production capacity and increase efficiency.
The ultimate goal is to penetrate new markets and work towards a production model that is more independent of external factors, more sustainable in terms of environmental footprint, reducing energy costs and focusing on greater digitalization to compensate for the labor shortage.
"Technology and qualified staff support our strategy of offering a product with greater added value. Our goal is to grow more and more, not in terms of volume, but in terms of sales," declares Mário Gaião.
