Fashion Channel Case Study: The Fashion Channel
TFC (The Fashion Channel) was a channel totally dedicated to fashion. It had up to date fashion and entertaining features which were broadcasted 24X7. The channel was started in 1996 by two entrepreneurs and it became a very successful network which had constant revenue and profit growth above the average since its beginning.
TFC was one of the widely available niche networks which had almost 80 million subscribers on cable and satellite television. The channel never had targeted any segmentation or has done any branding to attract more subscribers and to improve the rating. But currently, in the market, the channel has to face competitors like CNN and Lifetime. These competitors were definitely affection the growth of the channel as it provided
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The undecided targeting of the group may lead to forming illogical strategies which may hinder the growth of the channel. TFC has the largest customer group of females between 35-54 years of age which counts around 27.45% of their customer base. The competitor channels like CNN and lifetime also have their own fashion shows like fashion tonight and fashion today respectively. The fashion today on CNN focuses on men and the men only comprise of around 45% of the viewers. On the other channel Lifetime, their show focuses on the females of age 18-34 years of the age group which consists of their 27.09% their viewers. The market share of all the channels TFC, Lifetime and CNN are 1 million, 3.3 million and 4 million respectively. Therefore, both the channels are the biggest threat for TFC.
In order to come over the problems, senior vice president of marketing of TFC, Dana Wheelers prepared the recommendations and alternatives for the problems to attract the customer base and to dominate the competition. She also worked on how to increase the rating of the channel and how to increase the advertising revenue. She suggested that TFC should focus more on the women of 18-34 years of age. She took out the three segments in which women of age 18-34 year of age were
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