chapter 5,fashion mkt

8/3/2019 Chapter 5,Fashion Mkt

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CHAPTER-5



Combination of market

variables

M ARKETING MIX

Specific market

SHRISHTI



Mass Marketing

y Based on idea that customer needs do not vary

y Company offer a standardized marketing mix that

meets the need of everyone.

y Mao outfit of dark blue jacket & trousers

after Chinese revolution

yLeads to low price commodity

y Not major feature of fashion markets

SHRISHTI



Heterogeneous Market

y Different needs.

yDifferent purchasing capability.

y Best example is corporate clothing

SHRISHTI



Market segmentationy Heterogeneous market broken into smaller units

y Similar in character

DEEPA



Niche Marketingy Clearly defined segment is targeted.

y Narrow product range

y Unique Customers

yWolford,Tie Rack, Thomas Pink are examples of this

approach.



Factors influencing segmentation strategies

Pressure to consider larger markets

Market

heterogeneity

Market

Fragmentation

Market

Segmentation

Mass Marketing

Pressure to meet consumer needs

DEEPA



Advantagesy Deeper understanding of customer that enables

efficient marketing mix.

y Ability to respond to changes in market.y Enhances market planning

y Can easily know strength & weakness of competitors

y Can avoid retaliation from stronger competitors



Segmentation bases

Descriptors Benefits & behavior

DEEPA



Descriptors

y Characteristics of potential customers

y Personality, demographic & geographic

y Easy to understand

y Less cost

DEEPA



1.Geographic1.Geographic

R egionR egion

UrbanUrban-- R uralR ural

ClimateClimate

Metro, A, B, CMetro, A, B, C

Possible Market SegmentsPossible Market Segments

--North, South,North, South,East WestEast West

--Coastal, NonCoastal, Non--coastalcoastal--Metro, Large towns,Metro, Large towns,

Small townsSmall towns--R ural, UrbanR ural, Urban-- Villages > 1000, Villages > 1000,< 1000 population etc< 1000 population etc



2.Demographic2.Demographic

Age Age

GenderGender

Family lifeFamily life--cyclecycle

IncomeIncome

Education,Education, etc.tc.


--< 6M, 4< 6M, 4--6 Yrs, 206 Yrs, 20--40,40,50+ etc50+ etc

--Male, FemaleMale, Female-- Young couples w/o Young couples w/ochildren, Bachelor etcchildren, Bachelor etc--10K10K--20K/M, >50K/M20K/M, >50K/M-- Graduate, PG,Graduate, PG,Engineers etcEngineers etc



Market segmentation of mens wear market

Age Low Medium high

16-25 A B C

26-35 D E F36-55 G H I

56+ J K L

Income

DEEPA



3.Psychographic3.Psychographic

Personality

Life-style (Activities,

Interests & Opinion)

Consumer values


--Introvert/Extroverts,Introvert/Extroverts, Achievers, etc Achievers, etc--Spiritual, Yoga, MusicSpiritual, Yoga, MusicPolitics, Business etcPolitics, Business etc

--Strength of ValuesStrength of Valuessuch as fun, love &such as fun, love & warmth, relationship warmth, relationshipEtc.Etc.

Vandana



Benefits & Behavior

y Monitoring consumer behavior

y Benefits through the product

y Example-Heavy, Moderate, Low spenders

VAND ANA



Behavioral

Behavioral

Benefits desired

Usage rate


-- Virtually for all Virtually for allproductsproducts-- Heavy, Medium,Heavy, Medium,

Low user, NonLow user, Non--useruser



Variable Potential categorization

Purchase loyalty Brand loyal to non-committed

Purchasing mode From comparison shopping to convenient outlets only

Expenditure High spenders to low spenders in decilesPrice sensitivity From very price aware and conscious to least price sensitive

Benefits Easy-care garments, environmentally friendly fabrics and/ordurability, etc.

Market segmentation: behavioural and benefi t variables

VAND ANA



Segments-Criteriay Measurable

y Easily identifiable

y Relatively stable

y Accessible

y Profitable

VAND ANA



Segmentation strategy

Concentrationstrategy

MultisegmentStrategy

VAND ANA



Concentration Strategy

y Selection of only one segment

y Better satisfaction

y Loyalty & Goodwill

y Lead to financial crisis

VAND ANA

Organization

Market



Multisegment Strategy

yTwo or more segments

yStable

Market

Organization



y Positioning is to do with the perception of the firmand its marketing mix by the target market.

y The main method of determining a market position isthe use of marketing research to construct a perceptualmap of the market.

yPositioning is how customers see the market, althoughthat perception may have been influenced bymarketing action.

Positioning

Ajit



y A perceptual map is the consumers¶ view of the market,where consumers provide the main dimensions or criteriafor making judgements.

y Ideally, these criteria will be the same ones identifiedwhen the firm considered behavioural and benefit basesfor segmentation.

y Perceptual mapping involves complex statistical procedures, but is often shown as two- or three-dimensional diagrams.

Perceptual Mapping

Ajit



y Good Styling

y

y Ideal Shoes L.K Bennett

y Ravel

y

Low Prices Next High Prices

y M & S

y Shoe Express

y Poor Styling

Perceptual map for the womens retail shoe market

Ajit



y The marketing mix is the range of variables that can

be controlled by the fashion marketer to meet theneeds of buyers profitably.

y Simply put, the marketing mix is getting the right

product to the chosen market segment at the correct

time, in the right place and for the right price.

Fashion Marketing Mix

Vijay



y All fashion firms have a marketing mix whether they

consciously design one or not.

y The mix, as seen by the customer, works in varying degrees.

y All elements of the marketing mix should be co-ordinatedtoward the positioning objective.

Marketing Mix-Planning &

Coordination

Vijay



y Firms may pursue a multi-segmentation strategy and offer

different marketing mixes to different market segments.

y Different marketing mixes from the same company can coexist

easily and are often unknown to consumers through the use of

different company names and brands.

Alternative Marketing Mix

Vijay



H&M River Island

Segment 20-35 15-35

Male Male

Mid-market Mid-marketProduct Extensive range Casual/leisure

Staples, Active lifestyle Broad range

L.O.G.G. Sports Casual/leisure Different fibre & Fabrics

Well dressed formal wear

Price Mid Range Slight premium over mid-range

Distribution online shopping not available in online shopping available in UK

UK in 2008

100+high street stores 200+high street stores

Promotion Direct marketing, brochures, Press advertisements

press advertising

Billboards Strong visual merchandising

Different marketing mixes aimed at similar menswear markets

Vijay



Thank You for your patience listening

chapter 5,fashion mkt

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