The management board of VIVE Textile Recycling envisages further development of the organization, strengthening competitive advantages and developing effective partnership programs related to the sustainable development policy.
Vive Profit chain of stores
In 2023, the company achieved its goal of opening 99 VIVE Profit stores throughout the country. Currently, a project has been launched to optimize B2C sales processes and expand the product offer, including complementary ones, in order to constantly improve the economic efficiency of this project. At the same time, alternative distribution channels are constantly being developed in the form of e-commerce sales for both the B2B and B2C markets.
Optimization of the franchise network
In 2023, the company intensively developed the franchise concept in cities with over 10,000 inhabitants. The system is based on sales commission and operates under the same name as the company's own stores – VIVE Profit. The created sales network development department deals with searching for the best locations for own stores and actively acquiring franchisees, accepting selected locations, training and opening administration.
Sales of all franchise points for 2023 amounted to PLN 41.0 million compared to PLN 10.7 million in 2022. At the end of December '23, the Company had 37 franchise points (compared to 15 points in 2022). The sales estimate for 2024 for the franchise network is PLN 46 million (an increase of 12%). The company plans to optimize the store network: selecting the most profitable franchise outlets and closing outlets whose operation is not economically justified.
Strategic projects
The company sees Game4Planet (G4P) as strategic – a project aimed at interacting with the end customer and strategic partners who, in exchange for the clothing donated as part of the campaign, gain the opportunity to meet ecological and economic values. It is an alternative way of obtaining clothing that promotes the idea of environmental and social responsibility. What distinguishes G4P from similar projects operating on the market is the full traceability of the process, i.e. the perspective of each customer combined with the donated clothing, which at a later stage is sorted, valued and transferred to stores for further resale or intended for the production of a composite as part of the VIVE company's operations. Innovation. The project is implemented in an omnichannel format (online/offline).
The Game4Planet program has proven to be a great success and will be further scaled with selected entities as part of individually arranged short- and long-term partnerships, but above all, it will be communicated directly to all residents of Poland.
Relocation of the e-shop
The company decided to transfer the e-vive store to the Magento 2.0 platform and establish an internal design team to implement the sales tasks. The company's current e-commerce model is: sales (second-hand clothing store and entry to the most popular marketplaces), educational (information about the fashion industry and environmental impact), fashion blog (styling); purchasing platform (possibility of pricing using AI and algorithm) and support for the Game4Planet program).
Automatic shoe cleaning
The company also systematically develops research and development competences. At the turn of 2023/24, it began the production implementation of the world's first device automating the process of sorting and pairing shoes using AI (Shoe Selector). Moreover, from the end of 2023, the company began experiments on the manual and automatic process of refining used shoes through cleaning, repair and maintenance. The positive completion of the tests will enable the company to build a new competence area in the production department and significantly expand the offer in VIVE Profit stores.
The company employs 1,814 people.
The company notes among the threats: trading with companies from Belarus and Ukraine, conflict in Africa, possible cyber threat and hacker attacks, risk of economic recession and loss of customer liquidity, rising inflation, increase in energy and fuel prices, risk related to changes in the legal environment – change in environmental protection regulations.
