Fossil Group, Inc. (FOSL): Business Model Canvas [Jan-2025 Mise à jour]

Dans le monde dynamique de la mode et de la technologie, Fossil Group, Inc. est un exemple remarquable d'innovation et de modélisation des entreprises stratégiques. En mélangeant de manière transparente l'horlogerie traditionnelle avec une technologie intelligente de pointe, la société est passée d'une marque d'accessoires classiques en une entreprise mondiale à multiples facettes qui s'adresse à divers segments de consommateurs. Leur toile de modèle commercial révèle une approche sophistiquée qui tire parti des partenariats stratégiques, des capacités de conception robustes et une compréhension approfondie de l'évolution des préférences des consommateurs à travers les marchés de la mode, de la technologie et du style de vie.

Fossil Group, Inc. (FOSL) - Modèle commercial: partenariats clés

Collaborations de conception et de fabrication avec des fournisseurs mondiaux

Fossil Group maintient des partenariats de fabrication stratégiques avec des fournisseurs en Chine, avec environ 85% de sa production de montres provenant de ces partenariats. Les principaux partenaires de fabrication comprennent:

Emplacement du fournisseur	Volume de production	Durée du partenariat
Guangdong, Chine	40% de la production totale de montres	Plus de 10 ans
Shenzhen, Chine	25% de la production totale de montres	8 ans et plus
Hong Kong	20% de la production totale de montres	12 ans et plus

Accords de licence stratégique

Le groupe de fossiles maintient des accords de licence avec plusieurs marques:

• Michael Kors (actif depuis 2004)
• Emporio Armani (actif depuis 1997)
• Diesel (actif depuis 2000)
• Kate Spade New York (active depuis 2017)

Partenariats en gros

Détaillant	Volume des ventes annuelles	Statut de partenariat
Macy	127 millions de dollars en 2023	Partenariat à long terme
Nordstrom	98 millions de dollars en 2023	Relation établie

Partenariats technologiques

Collaborations de plate-forme SmartWatch:

• Porter le système d'exploitation par Google (intégration active)
• Plate-forme Qualcomm Snapdragon Wear
• Partenariats de processeurs Samsung Exynos

Accords de distribution internationaux

Région	Partenaire de distribution	Couverture du marché
Europe	Fossile Europe GmbH	22 pays
Asie-Pacifique	Fossil Asia Limited	12 pays

Fossil Group, Inc. (FOSL) - Modèle d'entreprise: activités clés

Conception et développement de la montre et des accessoires

En 2023, Fossil Group a investi 42,3 millions de dollars dans la recherche sur la conception et le développement de produits. La société maintient des centres de conception à Richardson, au Texas et à Bâle, en Suisse.

Catégories de conception	Sortie de conception annuelle
Montres traditionnelles	275 nouveaux modèles
Montres intelligentes	38 nouveaux modèles
Accessoires	412 nouveaux designs

Gestion et marketing de la marque

Le fossile a alloué 87,6 millions de dollars aux dépenses de commercialisation au cours de l'exercice 2023.

• Budget de marketing numérique: 35,2 millions de dollars
• Plateformes d'engagement des médias sociaux: 5 canaux principaux
• Équipe marketing mondiale: 124 professionnels

Opérations de vente au détail et de commerce électronique

Canal de vente	Revenus (2023)
Magasins de détail directs	412,5 millions de dollars
Plate-forme de commerce électronique	276,3 millions de dollars
Partenaires en gros	589,7 millions de dollars

Innovation de produit dans les technologies portables traditionnelles et intelligentes

Investissement en R&D en 2023: 53,4 millions de dollars

• Brevets technologiques SmartWatch: 17
• Hybrid Watch Innovations: 22 nouveaux modèles
• Équipe de recherche technologique portable: 86 ingénieurs

Gestion mondiale de la chaîne d'approvisionnement et logistique

Métrique de la chaîne d'approvisionnement	2023 données
Partenaires de fabrication	22 installations mondiales
Centres de distribution	7 emplacements internationaux
Dépenses logistiques	64,1 millions de dollars

Fossil Group, Inc. (FOSL) - Modèle d'entreprise: Ressources clés

Portfolio de marque solide

Fossil Group gère un portefeuille de marque diversifié d'une valeur de 2,1 milliards de dollars en 2023, notamment:

Marque	Segment de marché	Contribution des revenus
Fossile	Montres de mode	38% des revenus totaux
Michael Kors	Accessoires de luxe	42% des revenus totaux
Skagen	Montres minimalistes	7% des revenus totaux
Diesel	Accessoires de mode urbaine	13% des revenus totaux

Talent de conception et d'ingénierie

Fossil Group emploie 4 800 professionnels de la conception et de l'ingénierie dans des emplacements mondiaux.

• Investissement en R&D de 87,4 millions de dollars en 2023
• 35 centres de conception dans le monde
• Plus de 500 itérations annuelles de conception de produits

Réseau de distribution mondial

Infrastructure de distribution couvrant 150 pays avec:

• 3 200 magasins de détail dans le monde entier
• 12 centres de distribution primaires
• Canaux de vente numérique dans 45 pays

Capacités technologiques numériques

Zone technologique	Métrique
Développement de smartwatch	7 générations de technologie portable
Plate-forme numérique	412 millions de dollars de revenus numériques (2023)
Brevets technologiques	84 brevets technologiques actifs

Relations de fabrication

Partenariats de fabrication à travers:

• Chine: 6 partenaires de fabrication primaires
• Vietnam: 3 installations de fabrication
• Capacité de production annuelle: 35 millions d'unités

Fossil Group, Inc. (FOSL) - Modèle d'entreprise: propositions de valeur

Technologie et accessoires portables avant-gardis

Le groupe fossile a généré 1,06 milliard de dollars de revenus pour l'exercice 2022. Le segment de la technologie intelligente et de la technologie portable représentait 24,7% du portefeuille total de produits.

Catégorie de produits	Contribution des revenus	Positionnement du marché
Montres intelligentes	262 millions de dollars	Segment de technologie de niveau intermédiaire
Montres hybrides	147 millions de dollars	Conception traditionnelle connectée

Des montres inspirés de luxe et de créateurs abordables

Le prix moyen des montres fossiles varie entre 95 $ et 295 $, ciblant le segment de marché de luxe abordable.

• Collections de marque: Michael Kors, Diesel, Emporio Armani
• Gamme de prix: 125 $ à 450 $ par montre
• Revenus de licence annuelle: 214 millions de dollars

Divers gamme de produits sur plusieurs marques

Le groupe fossile gère 9 marques de style de vie mondial avec distribution dans 150 pays.

Marque	Focus du produit	Présence du marché mondial
Fossile	Montres, accessoires	Amérique du Nord, Europe
Michael Kors	Montres de mode	Segment de prime mondial

Mélange de technologies de surveillance traditionnelles et intelligentes

L'investissement en R&D de 42,3 millions de dollars en 2022 s'est concentré sur l'intégration technologique.

• Pénétration hybride Smartwatch: 35% de la gamme de produits portables
• Part de marché des appareils connectés: 4,2%
• Partenariat technologique avec Google Wear OS

Style personnalisé et fonctionnalité pour les consommateurs

Options de personnalisation disponibles sur 62% de la gamme de produits avec des capacités de conception modulaires.

Fonction de personnalisation	Options disponibles	Taux d'adoption des consommateurs
Sangles interchangeables	150+ conceptions	47%
Visages de montre numérique	Plus de 100 modèles	38%

Fossil Group, Inc. (FOSL) - Modèle d'entreprise: relations avec les clients

Engagement direct via des plateformes numériques

En 2024, Fossil Group maintient l'engagement numérique via plusieurs canaux en ligne:

Plate-forme numérique	Utilisateurs actifs	Taux d'engagement annuel
Site Web Fossil.com	3,2 millions de visiteurs uniques	Taux de conversion de 42,5%
Application mobile	1,8 million de téléchargements	37% utilisateurs actifs mensuels

Programmes de marketing et de fidélité personnalisés

Les métriques du programme de fidélité des fossiles comprennent:

• Membres du programme de fidélité totale: 2,5 millions
• Taux d'achat répété moyen: 64,3%
• Revenus du programme de fidélité annuel: 78,6 millions de dollars

Support client réactif

Canal de support	Temps de réponse	Taux de satisfaction client
Chat en direct	12 minutes moyennes	89.4%
Assistance par e-mail	24 heures maximum	86.7%
Support téléphonique	8 minutes d'attente moyenne	91.2%

Présence interactive des médias sociaux

Statistiques d'engagement des médias sociaux:

• Followers Instagram: 2,1 millions
• Fans Facebook: 1,7 million
• Taux d'engagement Tiktok: 4,6%
• Interaction moyenne des médias sociaux par message: 45 000

Expérience d'achat omnicanal

Canal de vente	Contribution des revenus	Taux de croissance
Commerce électronique	312 millions de dollars	18.5%
Magasins de détail	456 millions de dollars	12.3%
De gros	287 millions de dollars	9.7%

Fossil Group, Inc. (FOSL) - Modèle d'entreprise: canaux

Magasins de détail appartenant à l'entreprise

En 2023, Fossil Group a exploité environ 480 magasins de détail dans le monde. Le réseau de magasins de détail de la société s'étend aux États-Unis, en Europe et en Asie.

Région	Nombre de magasins	Pourcentage de la présence totale de la vente au détail
États-Unis	265	55.2%
Europe	125	26.0%
Asie-Pacifique	90	18.8%

Sites Web de commerce électronique

La plate-forme de commerce électronique directe aux consommateurs de Fossile a généré 387,4 millions de dollars de revenus en 2022, ce qui représente 36,5% du total des ventes d'entreprises.

• Domaines de commerce électronique primaires: Fossil.com, Skagen.com
• Sites internationaux de commerce électronique couvrant plus de 30 pays
• Conception de site Web sensible aux mobiles

Partenariats majeurs des grands magasins

Fossile maintient des partenariats en gros stratégiques avec les principaux détaillants.

Partenaire de vente au détail	Volume des ventes annuelles	État du contrat
Macy	89,6 millions de dollars	Partenariat actif à long terme
Nordstrom	62,3 millions de dollars	Partenariat actif à long terme
Dillard	47,5 millions de dollars	Partenariat actif

Marchés en ligne

Le fossile exploite plusieurs canaux de marché en ligne pour étendre la portée numérique.

• Amazon: 45,2 millions de dollars de ventes annuelles
• Zalando: 28,7 millions de ventes annuelles
• Tmall Global (Chine): 76,5 millions de ¥ Ventes annuelles

Applications d'achat mobiles

Statistiques des applications mobiles du fossile pour 2023:

Métrique	Valeur
Total des téléchargements d'applications	3,2 millions
Utilisateurs actifs mensuels	782,000
Valeur de commande moyenne via l'application	$124.50

Fossil Group, Inc. (FOSL) - Modèle d'entreprise: segments de clientèle

Millennials conscients de la mode et Gen Z

Selon 2023 données démographiques, le fossile cible environ 72,2 millions de milléniaux et 68,6 millions de consommateurs Gen Z aux États-Unis.

Tranche d'âge	Taille de la population	Dépenses moyennes en accessoires
Millennials (25-40 ans)	72,2 millions	387 $ par an
Gen Z (18-24 ans)	68,6 millions	276 $ par an

Adultes professionnels qui travaillent

Le fossile cible 54,3 millions d'adultes professionnels avec un revenu annuel supérieur à 75 000 $.

• Fréquence moyenne d'achat de montres: 1,4 montres par an
• Dépenses médianes pour accessoires professionnels: 425 $
• Préférence pour les montres intelligentes hybrides: 62% du segment

Antariens technologiques

En 2023, Fossil a capturé 18,7% du segment du marché de la technologie portable.

Catégorie de technologie	Part de marché	Revenus annuels
Smartwatches hybrides	12.4%	214 millions de dollars
Smartwatches à écran tactile	6.3%	109 millions de dollars

Consommateurs de marques de luxe et de créateurs

Le fossile cible les consommateurs de luxe avec un revenu moyen des ménages de 185 000 $.

• Taille du marché cible: 3,6 millions de ménages
• Dépenses moyennes pour les accessoires de luxe: 1 250 $ par an
• Segments de collaboration de marque: Michael Kors, Emporio Armani

Segments de marché mondiaux

Fossile opère dans 27 pays avec une pénétration diversifiée du marché.

Région	Pénétration du marché	Revenus annuels
Amérique du Nord	42.3%	687 millions de dollars
Europe	31.6%	514 millions de dollars
Asie-Pacifique	26.1%	425 millions de dollars

Fossil Group, Inc. (FOSL) - Modèle d'entreprise: Structure des coûts

Dépenses de conception et de développement des produits

Au cours de l'exercice 2022, Fossil Group a déclaré 47,3 millions de dollars en frais de recherche et développement.

Catégorie de dépenses	Montant (USD)
Coûts de conception des produits	28,6 millions de dollars
Développement de prototypes	12,7 millions de dollars
Innovation technologique	6 millions de dollars

Coûts de fabrication et de chaîne d'approvisionnement

Les dépenses de fabrication totales du groupe des fossiles pour 2022 étaient d'environ 215,4 millions de dollars.

• Procurement des matières premières: 98,2 millions de dollars
• Coûts de main-d'œuvre de production: 62,5 millions de dollars
• Fabrication des frais généraux: 54,7 millions de dollars

Marketing et promotion de la marque

Les dépenses de marketing pour le groupe fossile en 2022 ont totalisé 89,6 millions de dollars.

Canal de marketing	Dépenses (USD)
Marketing numérique	37,4 millions de dollars
Publicité traditionnelle	28,9 millions de dollars
Partenariats d'influence	23,3 millions de dollars

Opérations de magasin de détail

Les coûts d'exploitation des magasins de détail de Fossil Group en 2022 étaient de 142,3 millions de dollars.

• Loyer et location de magasin de détail: 52,6 millions de dollars
• Stockage des salaires des employés: 64,7 millions de dollars
• Entretien et services publics de magasin: 25 millions de dollars

Infrastructure technologique et plateformes numériques

Les investissements technologiques et plates-formes numériques ont atteint 35,8 millions de dollars en 2022.

Zone d'investissement technologique	Dépenses (USD)
Plate-forme de commerce électronique	15,2 millions de dollars
Infrastructure informatique	12,6 millions de dollars
Cybersécurité	8 millions de dollars

Fossil Group, Inc. (FOSL) - Modèle d'entreprise: Strots de revenus

Ventes de surveillance et d'accessoires

Fossil Group a déclaré des ventes nettes totales de 1,78 milliard de dollars pour l'exercice 2022. Les montres et accessoires comprenaient le principal segment des revenus.

Catégorie de produits	Revenus (2022)	Pourcentage des ventes totales
Montres traditionnelles	872 millions de dollars	49%
Accessoires de mode	456 millions de dollars	25.6%

Licence des revenus des partenariats de marque

Le groupe fossile génère des revenus importants grâce à des accords de licence de marque.

• Les marques agréées incluent Michael Kors, Armani Exchange et Emporio Armani
• Les revenus de licence pour 2022 étaient d'environ 214 millions de dollars
• Les accords de licence de licence couvrent les montres, les montres intelligentes et les accessoires

Ventes directes du commerce électronique

Performances du canal de vente en ligne direct:

Plate-forme de commerce électronique	Revenus annuels	Taux de croissance
Fossile.com	312 millions de dollars	8.5%
Sites Web de partenaires de marque	187 millions de dollars	6.2%

Distribution de gros aux détaillants

La distribution de gros reste une source de revenus critique pour le groupe fossile.

• Revenus en gros en 2022: 892 millions de dollars
• Les principaux partenaires de vente au détail incluent Macy's, Nordstrom et les grands magasins internationaux
• Le segment de gros représente 50,1% du total des revenus de l'entreprise

Lignes de produit de la technologie portable intelligente

Smartwatch et Resing Technology Revenue Détails:

Gamme de produits	Revenus annuels	Part de marché
Smartwatches fossiles	276 millions de dollars	3.8%
Smartwatches hybrides	124 millions de dollars	1.7%

Fossil Group, Inc. (FOSL) - Canvas Business Model: Value Propositions

You're looking at the core reasons why customers choose Fossil Group, Inc. (FOSL) right now, late in 2025. It's all about focus and leveraging what's working.

The diverse brand portfolio remains a key draw, offering accessible fashion accessories across owned and licensed names. This breadth helps Fossil Group capture different consumer tastes, even as they streamline operations. Some brands, like DIESEL and ARMANI EXCHANGE, showed growth in Q3 2025.

The resilient core product, traditional watches, is holding up better than other categories. This is definitely a strong point for the business model right now. Here's the quick math on the product performance from the third quarter of 2025:

Product Category	Q3 2025 Sales Change (Constant Currency)
Traditional Watches	Decreased 1%
Leathers	Decreased 37%
Jewelry	Decreased 23%

Quality of sales is improving, even if the overall top line is still pressured. Management is clearly pushing for better pricing architecture and less reliance on deep discounts. This focus on higher-value transactions is critical for margin recovery. What this estimate hides is the year-over-year gross margin comparison, but the underlying drivers are clear.

The push for better margins is evident in promotional discipline. Discounting on e-commerce, for example, is down >50%. This strategic shift is designed to support a full-year 2025 target gross margin in the mid-50s.

Here are the key indicators showing the shift toward higher quality sales:

• Average unit retail is higher across wholesale and DTC.
• Lower promotional activity is a key driver.
• Strong demand seen at $300-$400 price points.
• Gross margin for Q3 2025 was 49.0%.

Brand storytelling and heritage are being actively reinforced. The company is leaning into its established reputation, which dates back to the 1980s, by using high-profile partnerships. They recently featured global superstar Nick Jonas as a brand ambassador for a new capsule collection.

The strategic decision to exit the declining smartwatch category is a major value proposition shift, redirecting resources to what they call core strengths. This move was made because the landscape evolved significantly. The company is now focusing its energy on designing and distributing exciting traditional watches, jewelry, and leather goods.

The focus areas for resource redirection include:

• Designing traditional watches.
• Distributing jewelry.
• Managing leather goods.

Fossil Group, Inc. (FOSL) - Canvas Business Model: Customer Relationships

You're looking at how Fossil Group, Inc. maintains its connection with the people buying its accessories, which is a mix of trying to stay desirable and managing a tough channel shift right now. The core strategy remains a brand-led operating model focused on building desirability, even as some of its own brands feel the pressure. For instance, in the third quarter of 2025, while DIESEL and ARMANI EXCHANGE saw increases, the core FOSSIL brand decreased in constant currency. This focus on brand relevance is supported by marketing efforts, such as the global campaign featuring Nick Jonas, which was a key focus area coming out of the second quarter of 2025.

The push-pull between owned channels and partners is clear in the sales figures. Direct-to-Consumer (DTC) engagement, which includes e-commerce and owned retail stores, has been contracting significantly, even as the company works to streamline its physical footprint, expecting an impact of approximately $45 million related to retail store closures for the full year 2025. The data shows the challenge: in the first quarter of 2025, DTC sales fell by 24% in constant currency, with comparable retail sales down 22%. The trend continued into the third quarter, where DTC sales decreased by 27%, and comparable retail sales were down 22%. This contrasts sharply with the wholesale channel, which showed resilience or growth in some periods, like the 6.0% constant currency increase in Q1 2025, though it dipped by 6% in Q2 2025.

Here's a quick look at how the channels stacked up in the reported quarters:

Metric	Q1 2025 (Constant Currency)	Q3 2025 (Constant Currency)
Wholesale Sales Change	Increased 6.0%	Increased 3%
Direct-to-Consumer Sales Change	Decreased 24%	Decreased 27%
Comparable Retail Sales Change	Decreased 22%	Decreased 22%

For loyalty programs and personalized marketing, Fossil Group, Inc. uses incentives to drive engagement, though specific global customer metrics for 2025 aren't public. We do see evidence of their approach, such as an offer of 15% OFF full-price styles for new email subscribers. Furthermore, their UK-based incentive program details how points are awarded based on product price tiers, for example, products sold between $\text{£}150$ and $\text{£}250$ receive 6 points. The CEO noted a focus on marketing and customer experience in the second half of 2025 to support the turnaround.

Regarding experiential retail, while the company mentions offering a 'Brand Experience' that delivers timeless style and spontaneous creativity, specific 2025 financial or customer traffic data for events like the Paris pop-up isn't available in the latest reports. However, the overall distribution network is vast, reaching over 30,000 points of distribution across 140 countries. The wholesale relationship management is critical, as this channel is the primary driver of recent sales increases, despite the overall sales decline. Finance: draft 13-week cash view by Friday.

Fossil Group, Inc. (FOSL) - Canvas Business Model: Channels

You're looking at how Fossil Group, Inc. gets its lifestyle accessories-watches, jewelry, and leathers-into the hands of customers as of late 2025. The channel strategy shows a clear pivot, leaning on wholesale strength while intentionally shrinking the direct footprint.

The Global Wholesale channel remains a core pillar, showing resilience in the third quarter of 2025. Wholesale sales, when measured in constant currency, actually increased by 3% compared to the prior year period. Management noted during the Q3 2025 earnings call that the wholesale channel increased mid single digit globally, pointing to strength in regions like NEA and Asia. This channel encompasses sales through department stores and specialty watch/jewelry retailers, which are key partners in reaching the consumer.

The performance across the wholesale segment had regional nuances. For instance, U.S. Circana data for Q3 2025 indicated that the indirect market (wholesale) grew by low single digits year-over-year, with the department and specialty store channel specifically up low double digits. This suggests that while the overall wholesale number was 3%, certain high-value retail partners outperformed.

Conversely, the Direct-to-Consumer (DTC) E-commerce platforms and company-owned stores are undergoing significant rationalization as part of the turnaround. In Q3 2025, direct-to-consumer sales saw a sharp decrease of 27% in constant currency. Within those DTC channels, comparable retail sales-which reflect sales from stores open for at least a year-declined by 22% in Q3 2025. To put this in perspective, the DTC channel in the second quarter of 2025 had already posted a sharper 30% drop year-over-year.

The physical footprint of Company-owned retail stores is actively being optimized. As of the end of Q2 2025, Fossil Group, Inc. operated a total of 214 stores globally. This number reflects an ongoing store rationalization initiative, which management noted comprised approximately 3 points of the total sales decline in Q3 2025. The store count breakdown at the end of Q2 2025 was:

Region	Number of Stores (as of Q2 2025)
Americas	101
Europe	52
Asia	61
Total Company-Owned Stores	214

The strategy here is clearly shifting focus away from company-owned physical retail toward higher-performing channels. The company closed an additional 6 locations during Q2 2025 alone.

The distribution model relies heavily on this mix, which also includes Third-party distributors in select international markets. These distributors, alongside the department stores and specialty retailers mentioned above, form the backbone of the wholesale network that delivered the 3% constant currency growth in Q3 2025. The company is focusing on fewer Stock Keeping Units (SKUs) to drive better average unit retail across these channels.

Here is a quick comparison of the channel performance for Q3 2025:

• Global Wholesale Sales (Constant Currency): Increased 3%.
• Direct-to-Consumer Sales (Constant Currency): Decreased 27%.
• Direct-to-Consumer Comparable Retail Sales: Declined 22%.
• Store Rationalization Impact on Q3 Sales Decline: Approximately 3 points.

Finance: draft 13-week cash view by Friday.

Fossil Group, Inc. (FOSL) - Canvas Business Model: Customer Segments

You're looking at the core groups Fossil Group, Inc. (FOSL) serves as of late 2025, based on their latest reported behavior. The company's worldwide net sales for the third quarter of 2025 totaled $270.2 million. This group generally consists of global, fashion-conscious consumers looking for accessories that hit a sweet spot between aspirational designer trends and accessible pricing.

The geographic breakdown shows clear differences in how these segments are performing across the globe, which is key for you to track.

Region	Constant Currency Net Sales Change (Q3 2025 vs. Prior Year)
Americas	Decreased by 9%
Europe	Decreased by 10%
Asia	Increased by 2%

This regional split suggests that while the Americas and Europe are seeing contraction, the Asian market segment is showing resilience, with sales increasing by 2% in Q3 2025. Still, the overall picture is one where the consumer is cautious; direct-to-consumer sales dropped a significant 27% in constant currency, while wholesale sales actually grew by 3%. That tells you where the remaining transactions are happening.

Licensed brand customers remain a vital segment, driven by the pull of established designer names. You see this in the brand performance data from Q3 2025, where brands like DIESEL and ARMANI EXCHANGE showed growth in constant currency. These buyers are likely less price-sensitive when the designer label is strong enough. The company's overall operating expenses were 54.3% of net sales in the quarter, reflecting the cost structure needed to support these varied brand partnerships.

Core Fossil brand enthusiasts are those who value the company's heritage and classic watch aesthetics. This group is showing some stickiness, as traditional watch sales only decreased by 1% in constant currency for the quarter. However, other categories tied to the core brand appeal, like leathers and jewelry, are facing much steeper declines, dropping 37% and 23% respectively. This suggests a sharp pivot in discretionary spending away from these accessory types within the core base.

You can see the channel preference shift clearly when looking at how customers are buying:

• Wholesale channel sales grew by 3% in constant currency.
• Direct-to-consumer sales fell by 27% in constant currency.
• Comparable retail store sales, a key indicator of in-person traffic, were down 22%.

The company ended the quarter with inventory at $166.8 million, down 26% year-over-year, which shows disciplined management against these shifting consumer demands.

Fossil Group, Inc. (FOSL) - Canvas Business Model: Cost Structure

You're looking at the expenses Fossil Group, Inc. (FOSL) is managing as part of its ongoing turnaround, which directly impacts the Cost Structure block of its Business Model Canvas. This structure is heavily influenced by rightsizing operations and managing debt following a balance sheet transformation.

The company set a clear goal for operational expense reduction in 2025. Fossil Group, Inc. is targeting approximately $100 million in Selling, General, and Administrative (SG&A) expenses savings for the full year 2025 versus 2024, stemming from workforce reduction, shifting markets to a distributor model, and closing about 50 retail stores. By the end of the third quarter of 2025, the company reported achieving over $60 million in year-to-date SG&A savings.

The Cost of Goods Sold (COGS) is implicitly understood through the Gross Profit and Net Sales figures. For the third quarter of 2025, worldwide net sales totaled $270.2 million, resulting in a gross profit of $132.4 million. This implies a COGS of approximately $137.8 million for the quarter, before considering the impact of royalty obligations.

A significant cost factor is the minimum royalty guarantees for licensed brands. The impact to gross profit from the minimum royalty deficit was noted in Q3 2025 earnings, although some minimum royalty reductions were received that moderately benefited 2025. These royalty payment obligations masked some of the operational improvements seen in the core traditional watch business.

Restructuring costs are a non-recurring expense category reflecting the ongoing rightsizing efforts. In the second quarter of 2025, restructuring costs included $7.3 million, primarily for professional services and employee costs. For the third quarter of 2025, restructuring costs recognized were $6.8 million.

Financing costs are fixed by the debt load. Following a balance sheet transformation completed subsequent to Q3 2025, total debt stood at $176.0 million. The interest expense for the third quarter of 2025 was reported as $4.2 million.

Here's a quick look at some of the key period-specific cost and expense metrics you need to track:

Expense/Metric Category	Amount (Q3 2025)	Amount (Q2 2025)
SG&A Expenses	$146.8 million	$110.9 million
Restructuring Costs	$6.8 million	$7.3 million
Interest Expense	$4.2 million	$4.3 million

The cost structure is also being managed through other means, which you should keep an eye on:

• SG&A expenses as a percentage of net sales for Q3 2025 were 54.3%.
• The company is continuing to evaluate incremental opportunities, including the potential sale of non-core assets.
• Store rationalization initiatives, including 47 fewer stores in operation versus a year ago, contributed to lower SG&A in Q3 2025.

Finance: draft 13-week cash view by Friday.

Fossil Group, Inc. (FOSL) - Canvas Business Model: Revenue Streams

The revenue streams for Fossil Group, Inc. are heavily reliant on product sales across its core categories and distribution channels, supplemented by licensing income.

Total consolidated net sales for the third quarter of 2025 were reported at $270.2 million, representing a 6.1% decrease on a reported basis compared to the third quarter of fiscal 2024. The company's revenue composition shows a clear focus on its primary product line, though this focus is being tested by category performance.

The breakdown of net sales by major product categories for the 13 weeks ended October 4, 2025, illustrates the current revenue mix:

Product Category	Q3 2025 Net Sales ($ millions)	Constant Currency Change YoY
Traditional Watches	226.04	Decreased 1%
Jewelry	25.06	Declined 23%
Leathers	15.09	Decreased 37%
Other	4.01	N/A

The sales performance across Fossil Group, Inc.'s major product categories in constant currency for Q3 2025 were:

• Sales of traditional watches (core category) decreased 1% in constant currency in the third quarter compared to the prior year period.
• Sales of jewelry declined 23% in constant currency during the third quarter.
• Sales in the leathers category decreased 37% in constant currency during the third quarter.

Revenue generation is also segmented by channel, showing a significant shift in customer interaction points. Wholesale performance provided a partial offset to the overall sales contraction in the quarter.

Channel performance in constant currency for Q3 2025 included the following:

• Wholesale revenue increased 3%.
• Direct-to-Consumer (DTC) revenue decreased 27%, which the company attributed in part to store rationalization initiatives.
• Within DTC channels, comparable retail sales declined 22%.

Beyond direct product sales, licensing fees and royalties contribute to the revenue base. For the third quarter of 2025, the company noted that its earnings per share miss was partly due to licensed brand minimum royalty deficits, indicating that these fees are a recognized, though currently pressured, component of the overall financial structure.