December 2016 GAUTIER and CM-CIC Investissement A life-enhancing partnership.
Gautier is a leading European producer of contemporary furniture, and innovative, French-made pieces are its hallmark. The company s momentum stems from the strong start-up culture instilled in the last five years by David Soulard, his brothers and sister, who represent the third generation of the family to run the business. David Soulard
GAUTIER and CM-CIC Investissement: showing great agility. How is the furniture market at the moment? David Soulard: It s very sensitive to the economy and consumer confidence. It was very strong in early 2016, when French people felt relatively comfortable spending their money on furniture. The market grew almost 6% in the first half, driven in particular by an upturn in the construction market. However, things have become tougher since July. The hot summer meant that consumers spent more time outdoors, and so were less concerned about the interior of their homes. The Nice terrorist attack also seriously damaged the mood and confidence of the French people. The instability is continuing, with the US election result and the start of the election campaign in France. How do you deal with that instability? D.S.: The first way is to try to build confidence, particularly in the midrange/upscale part of the market in which we operate. For Gautier, that means strengthening our store network, a process we started around 10 years ago. Greater geographical coverage means that we are closer to our customers, which reassures them. That goes hand-in-hand with our emphasis on French-made products, which is a key part of our brand profile in France. In an uncertain world, the origin, quality and safety of products are now at the top of people s buying criteria. Doesn t the decision to manufacture in France make you less competitive? D.S.: No, provided that we do everything we can to ensure the business remains agile. In manufacturing terms, we have invested in new production lines which, as well as being more cost-efficient, allow us to change collections and introduce new products more often. Where it used to take us 4 days to make a piece of furniture, it only takes 4 hours today. We don t use the «fast fashion» approach like some companies in the clothing industry do, but we have something approaching it. In terms of our staff, the need for agility is causing people s roles to change within the company. Our cabinetmakers have become assemblers, and our maintenance technicians have become programmers. Again, to ensure agility, those changes come alongside new, more flexible, working conditions that we have agreed with our employees, allowing them to work less when business slows down, but also several consecutive Saturdays when required. In creative terms, we have gone from a model in which engineers were in charge of R&D to an approach based on innovation management. We have
also set up a «Lab» where staff from all parts of the company can propose innovations regarding our products and services, allowing us to remain one step ahead. Are the changes in the company also resulting in major communication efforts? D.S.: We do a lot of TV advertising to establish our brand and the idea of furniture as vital to achieving a certain quality of life. We also work hard on customer relations, and we have launched a new «Tribe» concept to strengthen customers relationship with the brand. As part of that concept, we have embarked on a major artistic project, depicting 52 children around the world photographed in their Gautier bedrooms. Since the company was founded, almost 4 million children have slept in Gautier beds. That s a great potential source of business, and one we intend to exploit. Gautier is now an international brand. D.S.: Yes, 25% of our revenue comes from around 50 stores outside France. We have decided to establish a presence in emergingmarket countries where the French style of living has great cachet. What is CM-CIC Investissement s role in your development? D.S.: Our shareholders naturally play a crucial role in our ability to invest. Like our consumers, we need to feel confident in order to move forward. CM-CIC Investissement has been a shareholder since 1999, and its long-term support gives us the additional confidence we need to continue developing. 900 employees 115 stores in France and abroad 130 million of revenue
GAUTIER as seen by Fanny Hibon, CM-CIC Investissement. Fanny Hibon Gautier and CM-CIC Investissement s partnership is an ongoing story. For more than 15 years, we have been working with this excellent, familyrun medium-sized business, whose passionate management team has made some bold decisions in terms of design, manufacturing in France, and being a committed corporate citizen. Their clear vision and responsiveness have enabled Gautier to become one of Europe s leading companies in its sector. Recently, the company has acquired production facilities that are at the leading edge of technology, giving it the flexibility it needs to adapt to change. Gautier is also looking to future generations: its managers are aware of how production affects nature, and have put eco-design at the heart of the company s furniture manufacturing process. We are still as enthusiastic as ever about working with David Soulard, his brothers and sister, as they continue to develop the Gautier brand and store network. Ten years ago, the company embarked on a major change to its distribution strategy by opening its first store; it now has over 100 and is planning many more openings, both in France and abroad.
FULLY COMMITTED TO YOU Exploring new territories, aiming higher, going farther... At CM-CIC Investissement, we believe in business leaders who are entrepreneurs. We provide long-term support and equity financing to facilitate the projects of over 420 companies with a range of development objectives, as part of genuine partnerships based on mutual trust. TheLINKS.fr - RCS Nantes B 328 330 717-150840 - Décembre 2016 - Crédits photos : Getty Images - GAUTIER. CM-CIC Investissement - Nantes 32 avenue Camus - BP 50416 44000 Nantes Tél 02 40 35 75 31 www.cmcic-investissement.com Paris - Lyon - Nantes - Lille - Strasbourg - Bordeaux - Montréal Head office 28 avenue de l Opéra 75002 PARIS