Alpargatas, the renowned Brazilian footwear company, has experienced remarkable growth and success under the guidance of CEO Roberto Funari. Despite facing unprecedented challenges brought about by the pandemic, Alpargatas has managed to emerge triumphant and rejuvenated. The company recently made an investment in the Rothy’s brand, further solidifying its position in the footwear industry.

One of the major obstacles Alpargatas faces is the potential impact of global conflicts, supply chain crises, and inflation on its business. Funari acknowledges the significance of these external factors, but Alpargatas has effectively minimized their effects. The company’s vertically integrated supply chain has proven instrumental in overcoming logistical challenges. Moreover, Alpargatas has successfully fine-tuned its pricing strategy without compromising sales volume, enabling them to adapt to inflation and expand their product range.

Since Funari assumed the role of CEO in 2019, Alpargatas has embarked on a new phase, which revolves around three main strategies. Firstly, the company aims to expand the global presence of its flagship brand, Havaianas. Havaianas is already available in over 130 markets, and Funari believes it has tremendous growth potential, particularly as a fashion accessory. Alpargatas is also open to venturing into other footwear categories to further capitalize on the brand’s popularity.

The second strategy involves divesting from brands and businesses that don’t align with Alpargatas’ vision. This includes selling sportswear brands, textile businesses in Argentina, and shares in the Osklen brand. Furthermore, Alpargatas recently acquired a 49.9% stake in Rothy’s, a digitally native brand that utilizes innovative technology to manufacture sustainable products from recycled bottles.

Despite the challenges posed by the pandemic, Alpargatas and Havaianas have experienced remarkable growth. Havaianas achieved a 50% growth over the past three years and closed the previous fiscal year with a 30% increase compared to the data recorded in 2019. The pandemic has also accelerated their digital transformation, with online sales now accounting for 14% of their revenues. Alpargatas plans to expand its product offerings and launch sustainability initiatives, including a collection and recycling program.

Looking ahead, Alpargatas aims to develop Havaianas and Rothy’s jointly, leveraging their complementary products and positioning. They foresee opportunities for geographical expansion, particularly in Europe and Brazil. Funari emphasizes the importance of collaborations with streetwear and luxury brands, as well as partnerships that champion social causes and sustainability.

Regarding retail, Funari envisions a future that blends physical and digital experiences, with an emphasis on personalized services and fostering a strong connection with customers. Alpargatas is heavily investing in digital solutions, enhancing customer data, and exploring innovative retail formats such as pop-up stores. The company acknowledges the significance of understanding their customers and delivering a strong product proposition.

Recruiting and retaining talented employees pose the biggest challenge for Alpargatas moving forward. The company aims to create a workplace that employees truly desire to be a part of, providing training and guidance during times of transformation.

All in all, under Roberto Funari’s leadership, Alpargatas has showcased immense growth potential and a profound commitment to innovation, sustainability, and customer-focused strategies. With their focus on expanding global presence, diversifying product offerings, and embracing digital transformation, Alpargatas is splendidly positioned for future success in the footwear industry.

Useful Links:
1. Alpargatas Official Website
2. Rothy’s Official Website