Burberry Research dossier
Eleanor Sell
Contents
Brand overview
Customer Analysis
Media channels and communication methods
PR timeline and tracking
SWOT
Future Trends
Visual Trends
Evaluation
Brand Overview
Burberry is a British bespoke brand founded by Thomas Burberry in 1856. It’s distinctive tartan pattern has become one of the most common imitated trade mark patterns. Burberry is most famous for it’s trench coat, which was made by the founder Thomas Burberry and the Burberry prorsum horse logo.
The Burberry trench coat was made as an alternative to the heavy serge greatcoats worn by the British soldiers in the First World War. Thomas Burberry was the inventor of the gabardine fabric, which he used in lots of
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A faithful Burberry customer that has grown up with the brand may only like some of what the luxury brand has to offer such as bags, scarfs and classic trench coat. According to Pinterest research Burberry customers are in the age band of 25-35 and have high paid jobs with a high income to be able to afford Burberry, this is backed up in a Mintel report saying most customers who buy luxury brands are aged 25-34 (Mintel Report, 2014).
Mintel did some consumer market research in November 2011 on what people think a luxury brand is and who mainly purchases luxury goods. This surprised me as the study showed that 43% of adults buying luxury brands are under 25 years of age (Mintel Report, 2011). This shows that the majority of Burberrys customers could be under 25. In the report Mintel asked 2,000 internet users aged 16+ ‘what defines a luxury brand?’. It is suggested that the majority of people think a luxury brand is defined by ‘the use of higher quality materials and craftsmanship.’
Media Channels and Communication Methods – Infographic
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This proves that Burberry is a very successful business and has high awareness as a well-known luxury British company. Burberry’s check tartan pattern and logo is easily recognisable as well as the infamous trench coat, which help keep the brand with its roots and heritage which makes their products unique in comparison to other luxury brands. This also makes the brand easily recognisable within the fashion industry. Nevertheless, this makes the companies infamous products easy to copy. High street stores such as Topshop, French Connection and John Lewis have interpreted their own versions of Burberrys trench coat. The bad side to this is these brands are more easily accessible and have a larger audience due to the fact that they're more affordable. Where as Burberry has a smaller clientele which means they can charge more for their luxury products. Their classic trench coat is selling at £1,295 where as Topshop’s is selling at £75 and John Lewis is selling at £189 (Prices directly taken from retailer’s websites December
NASCAR Background: NASCAR stands for the National Association for Stock Car Auto Racing. NASCAR was founded in 1948 by Bill France Sr. Bill France Sr was a mechanic at the time. NASCAR’s first event was held at Dayton Beach in 1948 and that’s where NASCAR’s headquarters are now. NASCAR hosts races all over the United States, Mexico, and Canada.
A person bought payed more to get a product with a brand name. Even though it was more expensive, it was worth it. “Is It Worth It”, by Scholastic Scope, examines the controversy of whether it is worth to pay more for brand names. Designer brands are worth purchasing because it makes a person feel where he or she belongs. First of all, wearing brand name labels makes a person feel like he or she belongs.
If a brand has a good reputation, customers and businesses, are more likely to purchase that brand. Examples include logos and packaging. (B2B and B2C Similarities and Differences , n.d.) These need to capture the attention of their customers because businesses have competition and therefore need to stand out.
Both labels are known as high-end yet Kate Spade seems to be more consumer friendly than Tory Burch. The crowd that typically wanders into Kate Spade is nothing but normal to us, the intimidation factor of prices is not overwhelming, unlike Tory Burch but more so tolerable. At Kate Spade having to find products in a buyers budget is part of the challenge but is also part of the fun, whereas at Tory Burch income and budget is a major hindrance when wanting to purchase a
The activity of LVMH is mainly focused in luxury industry and its spectrum of products is divided into five generic fields: • Wines & Spirits • Fashion & Leather Goods • Perfumes & Cosmetics • Watches & Jewellery • Selective retailing According to the financial report of LVMH as of 2013, below are the revenues generated across the above mentioned fields. It can be observed that the Fashion and leather goods have consistently generated the maximum revenue for LVMH accounting to over 33%. Porters Five Forces Framework Fashion and leather goods have generated the most revenue for LVMH.
This seems quite odd as the concept of luxury is tied to rarity and exclusivity. This has put a question mark on the sustainability in the growth of Louis Vuitton, for how long it will be maintained. But it is to be noted that the growth in revenue due to more
The major customers are the ones who are status conscious may purchase higher priced goods for prestige. Designer labels and other luxury goods are used as strategies by these companies. Now, this creates the drive to buy goods even at higher rates. Economy pricing is a familiar pricing strategy for organizations that include Wal-Mart, whose brand is based on this strategy.
As mentioned earlier, the products of Louis Vuitton are fashion based that range from leather goods to ready to wear, from luxury trunks to shoes, jewellery, watches, sunglasses, books and accessories. Louis Vuitton is pioneer in the global based fashion houses and the the products are offered through lease departments in high end department stores, e-commerce website and standalone boutiques. Louis Vuitton is found to be the significant luxurious fashion based brand while being a standout among numerous world 's profitable brands due to the fact that the profit margin approaches to 40 percent at most. From six back to back years i.e. from 2006-2012, It has been named as the most valuable luxury brand globally.
3. Chapter 2 – Methodology 3.1 Introduction This chapter challenges all levels of knowledge, according to the ‘Bloom’s taxonomy’ method. Within this chapter the aim is to focus on a specific US clothing line called American Apparel, founded in 1989 by a Canadian named Dov Charney. Today, this company is based in all corners of the world, however its main quarters are in Los Angeles, California.
The target market of louis Vuitton in divided into two key segments, the wealthy middle aged women from 35 to 54 years old is the first segment while the fashionable young female adults from the age 18 to 34 years old who have income saved to buy one wishes. Average customer of Louis Vuitton are high level & social class people who are into fashion and very conscious as well. High social status is achieved by owning such products from Louis Vuitton. Demographic Segmentation Louis Vuitton has used Demographic segmentation to segment the market.
Giorgio Armani: By having brand ambassadors who symbolize an elite group, it is apparent that the product range too caters to a class with a good amount of disposable income. It would probably involve itself in more endorsements by people who can trigger an aspirational lifestyle. Moreover it would also actively involved in diversification. d. Yves Saint Laurent: This caters to the everyday needs of an urban, fashion conscious and bold woman.
3.3 Customers and Competitors Customers Amazon customers consist of upper & middle class social groups who have inclination towards using E-commerce portals and are comfortable with online shopping. Majority of the customers are professionals or businessmen who are busy with their business/Job & find it convenient to purchase anything online rather than visiting the physical outlet in order to save time & money. Furthermore, the customers might also be the ones who are searching for deals.
In terms of controlling, the management of Marks and Spencer has frequent reporting of expenditures with costs to provide a form of feedback. The reactions of managers to such type of data rely on the expectations or the formal budget or planned targets. The management believes in collecting and assigning cost data that is being shifted away from control. There is a recognition related to the repetitive exercise of planning and re-planning for creating a full time job for accountants. The assessment and evaluation of cost data in the aspects of launching new product by Marks and Spencer is about gaining insights and learning ways for achieving the goals of organisation in most effective manner.
The brands set different prices of its product base on design, size and heritage. This is due to brand loyalty that each brand possesses by each luxury group. Particularly put extensive brand portfolio to cover different customer segments. As such, the brand is niche in the market leading to rivalry of the competitors in this industry to
As a rule, most scholars start by proposing their own definition to luxury. Aerin Lauder states Luxury as “Anything that feels special. It can be a moment, it can be a walk on the beach, it could be a kiss from your child, or it could be a beautiful picture frame, a special fragrance. I think luxury doesn't necessarily have to mean expensive.” Michael Kors however finds true luxury in caviar or a day with no meetings, no appointments and no