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8/3/2019 Chapter 5,Fashion Mkt
http://slidepdf.com/reader/full/chapter-5fashion-mkt 2/29
Combination of market
variables
M ARKETING MIX
Specific market
SHRISHTI
8/3/2019 Chapter 5,Fashion Mkt
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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
8/3/2019 Chapter 5,Fashion Mkt
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Heterogeneous Market
y Different needs.
yDifferent purchasing capability.
y Best example is corporate clothing
SHRISHTI
8/3/2019 Chapter 5,Fashion Mkt
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Market segmentationy Heterogeneous market broken into smaller units
y Similar in character
DEEPA
8/3/2019 Chapter 5,Fashion Mkt
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Niche Marketingy Clearly defined segment is targeted.
y Narrow product range
y Unique Customers
yWolford,Tie Rack, Thomas Pink are examples of this
approach.
8/3/2019 Chapter 5,Fashion Mkt
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Factors influencing segmentation strategies
Pressure to consider larger markets
Market
heterogeneity
Market
Fragmentation
Market
Segmentation
Mass Marketing
Pressure to meet consumer needs
DEEPA
8/3/2019 Chapter 5,Fashion Mkt
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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
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Segmentation bases
Descriptors Benefits & behavior
DEEPA
8/3/2019 Chapter 5,Fashion Mkt
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Descriptors
y Characteristics of potential customers
y Personality, demographic & geographic
y Easy to understand
y Less cost
DEEPA
8/3/2019 Chapter 5,Fashion Mkt
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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
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2.Demographic2.Demographic
Age Age
GenderGender
Family lifeFamily life--cyclecycle
IncomeIncome
Education,Education, etc.tc.
Possible Market SegmentsPossible Market Segments
--< 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
8/3/2019 Chapter 5,Fashion Mkt
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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
8/3/2019 Chapter 5,Fashion Mkt
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3.Psychographic3.Psychographic
Personality
Life-style (Activities,
Interests & Opinion)
Consumer values
Possible Market SegmentsPossible Market Segments
--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
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Benefits & Behavior
y Monitoring consumer behavior
y Benefits through the product
y Example-Heavy, Moderate, Low spenders
VAND ANA
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Behavioral
Behavioral
Benefits desired
Usage rate
Possible Market SegmentsPossible Market Segments
-- Virtually for all Virtually for allproductsproducts-- Heavy, Medium,Heavy, Medium,
Low user, NonLow user, Non--useruser
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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
8/3/2019 Chapter 5,Fashion Mkt
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Segments-Criteriay Measurable
y Easily identifiable
y Relatively stable
y Accessible
y Profitable
VAND ANA
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Segmentation strategy
Concentrationstrategy
MultisegmentStrategy
VAND ANA
8/3/2019 Chapter 5,Fashion Mkt
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Concentration Strategy
y Selection of only one segment
y Better satisfaction
y Loyalty & Goodwill
y Lead to financial crisis
VAND ANA
Organization
Market
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Multisegment Strategy
yTwo or more segments
yStable
Market
Organization
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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
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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
8/3/2019 Chapter 5,Fashion Mkt
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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
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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
8/3/2019 Chapter 5,Fashion Mkt
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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
8/3/2019 Chapter 5,Fashion Mkt
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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
8/3/2019 Chapter 5,Fashion Mkt
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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