Baker's Reconnecting Strategy - Case Study Example

? Marketing mix Task: It is vital to that the new range of clothes needs a different strategy of marketing mix. This regards the fact that Cheryle Baker has only dealt with female clothes. In terms of products, there are notable factors in consideration towards the same. To begin with, the products will target the young female and male audience. This is appropriate because it is the age that Cheryle Baker adequately understands. In this sense, she would study the trends and develop relevant brands for the modern market (McDonald, Ward, & Smith 2007, p. 112). This is the initial tip in attaining a feasible market for these products. The company should, first of all, deal with feasible products for introduction into the market. In this sense, it better to deal with t-shirts and simple top clothes. Additionally, it should concern with jeans clothes and jackets. A modern addition to the same pertains to khaki products. This is because they possess perpetuity in fashion world. In this sense, the products face a high certainty of sales. In terms of style and design, it is essential that the company separates its clothes products in terms of functionality and appearance. However, the functionality will rely on appearance and psychology games as pertains to the customers. For example, there could be light denim for hot weather. On the other hand, heavily designed denim would be for cold weather. In another sense, there could be workman oriented clothes or street articulated clothes. Additionally, there could be quality differences in terms of costs. In terms of denim products, fine clothes would represent better quality. However, this should occur within a range of fineness that remains fashionable for the young age. This means that the company should not compromise on the quality because the same would necessitate a divergent range of prices. In close relation to the same the company should entail various sizes to clothes. In terms of trousers, it should consider the range of sizes between young individuals of 14 years of age to 31 years. In this sense, clothes should consider development and height of target audience. Average fit and height of clothes is essential for mass markets whereby sizes would only diverge by insignificant differences. However, a market study should entail average prices for both female and male markets. For instance, there is a recent preference for fitting clothes among the male markets. This means that should all cloths should strive towards average definition of size. In terms of prices, there are few factors to consider in the same. To begin with, there should be range of prices that customers should be aware. In this sense, the fashion line creates a sense of quality and affordability of the same. Market segments are divisible into two vital aspects. For instance, the marketing team should consider the lower income sections. In addition to the same, the marketing team should consider the higher income groups. This is achievable in terms of placement and distribution. In higher income neighborhoods, they should set higher prices. That is because such a group considers high quality which is to coincide with prices. Low prices might connote poor quality of clothes. However, there is a highly fashion conscious group among the high income earners. This group would be slightly price sensitive thereby the prices should be reasonable in order that the fashion line does not lose the group. In terms of low income neighborhoods, the stores should have slightly higher prices than the average consumer prices in such areas. This should be higher by only 20 percent. This is because such consumers would perceive such clothes as of better quality than their daily products. In terms of promotion, there would be notable aspects to the same. To begin with, the clothes market is a wide one that needs marketing techniques that reach an extensive audience. The immediate audience for such products would pertain to the UK consumers. It is crucial to note that the marketing would mostly target the youth audience that is IT sensitive. In this perspective, the fashion line should use social networking sites for advertizing and overall marketing. A prominent example pertains to employment of facebook networking site in creating a consumer base. This strategy would involve brief information about the company and posting pictures of products for consumers. These consumers attain updated information in case they subscribe to the site. The management of the company ensures administration of the site whereby they avail updated information and respond to queries. These sites would entail initiating debates in order to assess customer information and attain opinions of customers. In addition, the company could utilize spaces in magazines for adverts. It is vital to note that advertisement is more suitable in magazines than newspapers. This is because magazines tend to be more fashion oriented than newspapers. Well-designed adverts are necessary for fashion-oriented consumers. However, additional adverts in newspapers would be vital for less fashion oriented consumers. Such promotions should follow creation of new products. Promotional Plan for Baker Products Jan Feb March April May June Advertising Newspapers v v v Magazines Magazines Magazines Promotion 8 percent discount v In terms of placement, the company could utilize notable aspects in availing their products to consumers. The best idea for a distribution strategy would pertain to acting aa a wholesale agent. To begin with, it would enable formation of franchise agreement. It also enables support from other business entities. In addition, the company absolves itself from the costs and uncertainties of distribution. Most importantly, this strategy allow for direct selling by fashion houses. Fashion houses, in this case, refer to companies that sell different brands of clothes in their stores. In notable instances, customers buy clothes according to brand of fashion houses rather than the companies. The best mode of transport would pertain to use of vehicles. This is because it is financially feasible for the local UK market. In addition, it is convenient for irregular distribution whereby stores would order for more products. However, the use of trucks is efficient for significant amounts of clothes. There are trucks that are specially designed for transport of clothes. In spite of the fact that clothes are less predisposed to destruction out of transport by vehicles, they should face transport by compartments for preservation of their original design. In close relation to the same, there should be packaging by use of paper bags and chemicals that absorb moisture. In terms of the people, it is vital to offer notable after sale services for perpetuity of consumers. This regards communication services that maintain correspondence with customers. To begin with, customers should attain free packaging services as depends on the amounts of purchase. This means that very large amounts of purchase should entail provision of bags. It is vital to note that the company should provide e-mail numbers for communication. Other methods of accessing complaints pertain to liaising with stores of sales. In close relation to the same, the communication channel should synchronize with the relevant management process. The management process should scrutinize complaints for relevant actions. In addition, they should examine the distribution process in a manner that ensures availability of products to demanding consumers. The management process is critical in evaluating the feasibility of marketing strategies and the amount of supplies to stores. It is vital to provide the reasons for the particular promotional objectives. Traditional roles of marketing and advertising pertain to informing consumers and reaching out to the same. Social networking sites are new modes of communication that opens up the market in an extensive ways. This is because it is a wide network of communication between enthusiasts and those who are able to feel attraction towards certain products. Magazines are suitable for attracting fashion enthusiasts. This is vital because they are the best modes for penetrating conservative markets. Since they can try new products, they influence the rest of the population in trying out the same. On the other hand, newspapers are vital for providing updated information. Updated information entails new products, discounted prices and seasonal offers. There are notable factors that would influence the pricing strategy in the UK. To begin with, it is vital to note that cost of production would greatly influence the pricing strategy. High cost of production materials, such as textiles, would eventually affect the pricing strategy of the firm. In this perspective, high production costs influence high prices while low costs influence lower prices. In addition, a pricing strategy depends on the market demand for such products. The fashion industry experiences a dynamism that necessitates quick adaptation to the same. Low demand on certain products would necessitate offer of low prices. This also applies to nature of design that exists in demand. In certain instances, a pricing strategy would depend on the performance of the business. A poorly performing business might necessitate lower prices for pulling customers towards business’ products. This is because the counter strategy entails pushing up sales. In this perspective, it is vital to select items for discount prices. Other factors pertain to warranty and policies of purchase return. It is vital to note that there are different pricing strategies available to the company. To begin with, penetration pricing is the idea of gaining market share by offering initial low prices. As the name suggests, it is an idea of penetrating a market. However, it is suitable for new products. In the end, the company could offer high prices as customers realize the value of the product. Higher prices should coincide with loyal customer base who are attached to the brand. In this sense, higher prices would not scare customer base to another brand. Skimming forms an additional strategy to penetration pricing. Unlike the former strategy, skimming refers to offer of high initial prices. This strategy pertains to availing the product to customers that can discover the value of the same. It is notable that the prices should cut back by time. This is a strategy of having a wider market. This is psychological in the sense that the products would attract customers even in cases of slight price differences. It is appropriate for products that have high costs of production. In this sense, the company strives to gain high profits for compensation of production costs. A common form of pricing strategy pertains to marginal cost method. This is a method of equaling prices to the marginal costs of producing such products. Marginal cost of production refers to the additional cost that arises out of extra unit of output. In this sense, the company would charge additional costs that rise out of extra costs of labor and textiles. In psychological pricing, the business accords sensational psychological impacts by setting certain forms of pricing. It is notable that psychology plays a role in most pricing methods. A common method pertains to fooling customers of prices as lower. In the real sense, the prices might be higher. In odd pricing, a business might use decimal or normal digits of 9. Such a price would usually lower by cents or one shilling from the intended price. Such pricing is suitable for avoidance of bargaining by customers since the prices seem to entail discounts. It is vital to note that price strategy can merge to form a system of strategy. A common method that submerges, in other strategies, pertains to price discrimination. This pertains to separation of markets into segments. In this sense, the business offers lower prices for certain products while it offers higher prices for certain segments. The advantage of this strategy pertains to the idea that prices works differently for market segments as regards income status for the same. High income consumers would accept high prices since their attachment, for quality, surpasses their need for saving on prices. This would pertain to the age of customers as their income rises according to their age. The most appropriate strategy for the segmented UK market would pertain to penetration pricing. This is because Baker is launching new male products into the market. In addition, both female and male products will possess a unified brand attachment in the aspect of young consumers. In penetration pricing, the business would offer slightly lower prices than their intended ones. This should relate to fashionable and high quality of products. In this sense, the business attracts a wide market of youths. This is in the aspect of the dynamic expectations of the young population. It is also vital for subsequent study of the market for analysis of pricing strategies. In the end, the business should lower its prices as it gains over a wide market. The lowering of prices should entail study of competitor prices. In this sense, the business might offer slightly lower or higher prices for more customers and better profits respectively. It is vital to offer SCLEPT analysis of the UK market and the respective effects on the marketing mix. To begin with, the UK market shares a complex social environment. It is notable that there is a strong appreciation for aesthetics in the market segment. This relates to the fact that the UK countries have experienced economic progress that makes the population have the sense for beauty towards life. In addition, both the young population has preference for products that make them stand out among others. However, such dynamism follows a particular line of products. For instance, clothes’ design might change along a line of average definition to fit and style. In addition, it is vital to note that the UK market demands production of conservative pieces that define their culture. In terms of technology, there are notable aspects to the same. To begin with, young individuals are shifting from traditional media to information through applications and social networking sites. It is notable that technology is a highly dynamic aspect and this translates in the expectation and the lifestyles of the UK youth. Additionally, technology is shifting from traditional computers to mobile handsets that are highly available to the youths. This pertains to high demand and use of android and internet enabled phones such as apple products. This means that such consumers access diverse and huge amounts of information with least effort. They are able to compare quality and prices of products in determining their consumption choices. Besides, it becomes difficult for new businesses, which do not avail their information in the internet, to survive. A capture of a market necessitates significant presence in the blogosphere. In terms of economic aspects, it is crucial to highlight that the UK is currently experiencing a slump of financial health. This regards the recent world recession that has spared few countries in the world. This means that most consumers cut back, their expenditure, on luxury items as they focus on functional items. However, there exists the drive to seem prosperous amidst such times. This provides hope to the Baker business at a cost of lower prices. It means that it would be detrimental, in the short run, for the business to offer luxury items at high prices. In terms of politics, UK is a significantly stable segment that faces little danger of political upheavals. In this sense, it does not majorly affect the strategies and marketing mix of a business. Bibliography McDonald, M, Ward, K, & Smith, B 2007, Marketing due diligence: Reconnecting strategy to share price, Elsevier, New York. Read More