CASE REVIEW ANALYSIS : THE FASHION CHANNEL

Oleh :
Citra Dewi Wulansari
Hairin Nisa
Ri!" A#ras"ah $utra
$r%#ra& 'a#ister 'ana(e&en
Fa!ultas E!%n%&i!a )an *isnis
+ni,ersitas -a)(ah 'a)a
./01
Case Su&&ar"
The Fashion Channel (TFC) is a TV network specially for fashion with up-to-date and
entertaining features and information broadcast. TFC founded in 1! by two entrepreneurs.
"ince beginning# TFC got profit growth abo$e industry a$erage. %n &''!# TFC forecasted their
re$enue at ()1'.! million. *omen )+ , +- were its most a$id $iewers by demographic annual
sur$ey. TFC didn.t know about the $iewers detail beyond demographic annual.
/ana wheeler is senior $ice president of TFC who proposed new marketing strategy for
TFC. %n &''0# TFC spending about ( &+ million for cost of marketing and ad$ertising# it.s
increase ( 1+ million than &''! spending. /ana wheeler will con$ince the company.s leaders to
appro$e it. "he ha$e a big presentation to prepare because this for TFC marketing strategy in the
future. /ana *heeler thought there will be a tough competitor for the ne1t decade so TFC ha$e
to prepare some good strategy to face it.
2ared Thomas is a C34 of TFC# he had belie$ed that TFC.s marketing messages should
appeal to as broad a group as possible in order to achie$e the highest possible $iewership
numbers. /ana *heeler wants to con$ince the founder and C34 of TFC for his strategy to get
appro$e. %f /ana *heeler idea appro$e by the company.s leaders# TFC will spending more
money to in$est in marketing and ad$ertising than &''! spending. TFC need to strengthen up the
competiti$e position to their competitor ne1t decade.
'ain Issue
TFC did not plan any market research and e1pect that the market will remain constant.
TFC should prepare before anything happens to the market changing.
TFC as the first Fashion Channel didn.t e1pect that competitors would come and be a
follower of TFC.s idea.
$r%2le& S%l,e)
H%w t% sur,i,e %n 3%&4etiti,e &ar!ets5
06 'ar!etin# Resear3h
The ad$ertising business model was built on attracting a mi1 of male and female
$iewers on a regular basis as measured by 5ratings6 and TFC.s ad sales also sold
access to these $iewers $ia ad$ertising spots.
.6 'ar!etin# Se#&entati%n
*heeler first considered maintaining a broad appeal to a cross segment of Fashionistas#
7lanners 8 "hoppers# "ituationalist.
76 *%%st $er8%r&an3e %n $%tenti%nal 'ar!et
9arket approach would be to focus more on the Fashionistas and the "hopper 8 7lanners
to put the brand image on $iewers.
Alternati,e S%luti%n
*e choose 9arketing "egmentation and boost performance on potential market :
7ositi$e impact :
- 9ore focus on potential market# the TFC could become a market leader on that segment.
- TFC could build strong# uni;ue# and fa$orable brand image on that segment.
<egati$e impact :
- The implication of 9arketing "egmentation make market share become smaller than
before# because if TFC do the segmentation portion of consumer will be di$ided into
se$eral parts so TCF can.t reach whole market.
- The risk is a little bit high to targeting one market segmentation only. =ecause there is
tendency that customer loyalty will decrease and impacted to market failure.
Re3%&&en)ati%n
- >dding $alue to TFC program for e1ample? make a new program beside the fashion
runaway like a celebrity lifestyle or tutorial that still talking around fashion.
- TFC ha$e to more efficient to spending their budget on operating e1penses in &''0.