MARKETING MANAGEMENT

BRAND OBSERVATION
PORTFOLIO
PETER ENGLAND
Introduction

Peter England, the hallmark of honesty, started off with shirts and now
comprises of the entire men's wardrobe containing the full range of
garments.

Popular for lifestyle brands.

The largest selling shirt brand in the country.

Owned by Madura Garments in India with a retail value of 130 crores.
Background

Launched in March-April 1997 in India.

Became a 1 million brand in 2 years.

Market Segment when launched :-

Segment Price range Share

Premium Rs 500+ 15%
Mid-Price Rs 250-500 35%
Economy Below Rs 250 50%
 Marketing Concepts
Marketing objective

To build Peter England into the largest selling
brand in India.

To establish Peter England as an international

quality brand at an affordable price.

To create a quick and universal awareness of the brands

USP of quality and price.

To build strong brand preference and sustain brand loyalty through

attractive imagery and constantly reiterate the products pluses.
 Marketing Mix
Peter England follows the four Ps of the marketing mix:

Product architecture The range comprises regular office wear, special occasion
wear and casual wear.

Pricing Price grid integrity is maintained by ensuring that 65 per cent of the
brand offering is below MRP 500 through 'Core' range.

Promotion Bold usage of vernacular media, Press and TV media , Print media,
right brand associations through sponsorships.

Place/Distribution 162 exclusive outlets across 69 towns, distribution through

monthly advance ordering to customizing to the retailer needs in terms of the
design-size-style preference.
CONSUMER BEHAVIOUR
 Customer Value And Satisfaction

Ensured the consumer's need for 'product plus brand
imagery'.

Delivery of consistent good quality was ensured.

Contemporary designs, colours and fabrics were
used.

Wide distribution ensured easily availability

Well-orchestrated merchandising drove guaranteed
market visibility.
 Contd

Tied up as 'Just honest-to-goodness quality.
Available at an honest-to-goodness price'.

Thus emerged the brand line: Peter England - The
honest shirt.

The brands communication has moved from telling
the consumer to what the brand is to what the
brand does.

The launch of suits has re-energized it and now it is
Peter England- Honestly Impressive.
 Market Evolution

Tied up as 'Just honest-to-goodness quality.
Available at an honest-to-goodness price'.

Thus emerged the brand line: Peter England - The
honest shirt.

The brands communication has moved from telling
the consumer to what the brand is to what the
brand does.

The launch of suits has re-energized it and now it is
Peter England- Honestly Impressive.
The Honest Shirt
Honestly Impressive
SEGMENTATION,
TARGETING AND
POSITIONING
Segmentation,Targeting And
Positioning

6. Develop Marketing
Mix for Each Target Segment Market
5. Positioning for Medium priced Positioning
and Economy Segment
4. The Middle income segment
was the target. Market
3. Measures Targeting
of Segment Attractiveness
2. Develop Profiles
of Resulting Segments
Market Segmentation
1. Identified the income Segment
of the Market
 Market Segmentation

While venturing into The Ready to wear garment
sector, it identified the shirt segment as its focal entry
point.

Since then it has identified further segments namely
trousers and suits with further sub-segmentation in
each segment.
 Niche Marketing

Catering to Executives through Formals

Casual Wear through Elements Via
 The Anti Wrinkle Collection
 The Solids Collection
 The Festival Collection
 The English Cottons Collections
 The Summer Mints Collection
 Segmentation Procedure
INITIALLY

It identified Customers need for Brand + Product Imagery.

Used the Demographics and lifestyles to enter the mid price segment.(Rs 250-
500) in both Formal and Casual( Elements)

Test launch in diverse Geographies.(Like Suits & Blazers)

Huge Potential and Good Growth rates in the mid price segment.

Value proposition of Quality Via the imported fabric + Affordable Price

EVENTUALLY

Targeted Multiple Markets

Ventured into:
 Trousers in 2000.
 Suits in November 2004.
 Innerwear in April 2005.
 Lifestyles
Basis For Segmentation

Formal,Casual,style Income,occupation,
Statement,ambitious Age(25-28),gender(men)

Bases
for Segmenting
Business
Situational Markets Income,Price
Factors Range

Value for price,

Quality,durability
Criteria For Segmentation

The middle income segment is large.Peter

Substantiality England now considers high income
Level segments.

Identifiability
The segment is identifiable .
Measurability

The middle and high income groups have

Accessibility access to marketing mix(Televisions,
Newspapers,hoardings etc).

The price ranges available are economic,

Responsiveness mid price and premium.
 Targeting

Mid Price segment concentration.

Entry into Premium segment.

Followed the Selective Specialization Strategy through Shirts

 Trousers
 Suits
 Inner wares
 Accessories
 Positioning

Peter England brand has been positioned for the masses and is in the mid-
price category. It offers value for consumers at affordable price.

It is distinctly positioned for different categories as that it is ensured that

Madura Garments brands grow through different target customers rather
than cannibalizing on each others target segment.

Peter England is a shirt brand. Once launched, it got into the consumers
mind under the honesty platform and the logical extension that should
happen in the marketplace is this evolving into an honest wardrobe. So,
allied products are offered that are appropriate to the brand and ensure
the same benefits, it is a proper extension.
 Positioning For Competitive Edge
Product Position
 Peter England shirt was projected as an Honest Shirt

 The image was reinforced by Honestly Impressive

Positioning For Competitive
Strategies

Shirts,Trousers, Suits, Design,quality,value

Accessories ,inner wares for money

Quality ,Durability,
Quality and style Away G Honesty/ trustworthiness
from organized market H C

A
D
E Casuals ,Formals
B
F
Mid-price against
Unorganized market

Middle and High

Income group
Developing Competitive
Differentiation

Shirts ,Trouser,Accessories Quality,Durability

Areas for Competitive

Differentiation

Honest Shirt Middle Income,High Income,

Men

Robust Distribution chains,

Shops,exclusive showrooms
PRODUCT
Product
Shirts,Trousers,Accessories
 Range realigned into regular
office wear, special occasion
wear and casual wear.
 A string of innovations  Quality and Price:Mid priced
delivering value introduced
to Premium range.Quality
across all above categories
starting from English cotton increases with Price
shirts at Rs 375 right up to  Range:Wide range in all
British micros at Rs 595. collections.
 Trousers range from Rs 545  Material and Style :
classic formals to wrinkle-free
Trendy,formals,business
cotton chinos at Rs 895.
 Elements polo tees at Rs 299 casuals.Guarantee against
an instant hit in casuals. material ,stitching and
colour.
 Product Mix

Width:
Madura Garments have two categories of brands
 premium section, which includes Louis Philippe, Van Heusen,Allen Solly

 popular brands like Peter England, Elements and San Frisco jeans wear.

Length:
Peter England is into :
 shirts, trousers, and accessories like ties, belts and socks.

Depth:
Peter England shirts available in:
 Price range varied
 Different colors
 Different designs
Product Levels
Augmented
Potential Durability Product
Product
Packaging
Peter Style
England

Clothing
Quality
Design

Warranty

Actual(Basic+Expected) Core
Product Product
Major Branding Decisions

Brand Name Selection

Peter England

Brand Sponsor

Manufacturer
Madura Garments

Brand Strategy
Brand Extension
(Trousers,Accessories,Suits,etc)
 BRAND DECISIONS

Attributes: Good Quality

Benefits :
 Functional : Comfort
 Emotional : Simplicity

Values : Honesty

Culture : Fashionable

Personality : Honest

User: Young Executives

 Contd

Word Association : Honesty

Personifying The Brand : Down to earth

Laddering Up To Find The Brand Essence

 Why Peter England ?

Because it is a good buy.

 Why is it a good buy?

Because it is affordable and good quality

 Why is affordability and good quality important to you ?

Because I want to look good and at the same time not spend too much
BUILDING BRAND IDENTITY

The honest shirt Honestly Impressive

PROMOTION
DECIDING ON THE MARKETING
COMMUNICATION MIX

Promotion TV and print, the main vehicle for PE

Local support added through hoarding campaigns
showcasing product innovations

Right brand associations built through sponsorships
(such as WISDEN Cricketer Awards 2003 co-
sponsor) to build consumer connection
Advertising: Media selection

Peter England has around 160 showrooms, spread across 69 towns. So,
optimum to cater to audience through television.

Also, communicating through print medium, for expanding retail network.

To build Peter Englands retail, going for vinyl outdoors

for announcing the new collection as well as the new locations.
Advertising (9%Sales)

A Difference
Original concept of Peter England by
Madura Garments was exposed in the
south through Tamil advertising.
Dynamic and adaptable strategy
Public Presentation
Pervasiveness

Amplified Expressiveness
Impersonality
Direct Marketing
Sales Promotion

 Communication:tv ,
newspapers ,internet ,
hoardings,vernacular
media etc.
 Incentives:discounts ,
sales ,Buy One Get
One Free Offer.
 Invitation:
Public Relations and Publicity

 The Honest Shirt Campaign

create a distinct positioning
for itself.
 High Credibility:Six month
against guaratee against
material,colour, stiching.
 Honest to goodness price
and quality.
 Ability to Catch Buyers off
Guard
 Dramatization
Developing Effective Communication

Middle Income & High Income Group

Making Peter England a global Brand

Shirts in yarn,Striped,Plain,Formal Trousers

Knit & Jeans wear,Beach Cargos,Cotton

Capri's

Multi brand outlets,Departmental stores,Exclusive

Brand Outlets

Establishing Budget

Newspapers,Television,Magazines,Hoardings,
Internet etc
Managing The Sales Force

Managing sales
force

Recruiting Innovative Monitoring target

Enthusiastic sales Levels
Force

Group Management
training(GMT) Supervising sales Rewards and growth
representatives opportunities
PRICING
 Pricing Objective

Peter England aims at maximizing its market share

Introduces Market Penetration pricing

Peter England in 1997 the journey begins

Peter England follows Value Based Pricing

Goes in for a High Value Strategy

Offers the consumers premium quality at medium price
 Pricing Strategy

Price grid integrity maintained by ensuring 65 per
cent of the brand offering was below MRP 500
through 'Core' range

At the same time premium products introduced at the

top end through collections
like the solids collection and the festival collection
Factors For Price Setting

Internal Factors
(Cost Of Fabric,Segment Targeted,
raw materials)

Pricing
Decisions

External Factors
(Taxes,Import Duties,Govt.Policies)
 Contd.

PE forced to pay excise duty in 2001

Used higher priced imported fabrics

Faced stiff competition from regional players

Resulted in price increase

Forced out of the mid price segment

Decline in sales
 Pricing Adjustments

Sales Promotions- Summer Season offer buy 2 get
1 free (2005)

Promotional pricing- cash discounts offered to online
shoppers on various online stores such as
yahooshopping.rediff.com

Discriminatory pricing- PE shirt in shop priced at Rs.
565; PE shirt online available at Rs. 446
 Turnaround In Pricing Strategy

Made arrangements for low priced quality fibre in

India to reduce production costs

Went back to the below Rs 400 price point with 75
per cent of the merchandise being priced below Rs
500

Currently market leader in the mid price segment

Generated revenues of about Rs 150 crore in the
last fiscal and about 30 lakh shirts were sold under
this brand name.
 The Peter England range available
at

Shirts priced at below Rs.500

Trousers priced at below Rs.1200

Innerwear starting from Rs. 64 to Rs. 499
DISTRIBUTION
 Place / Distribution

Place/Distribution The distribution strategy is adapted to

meet newer demands

Core range was made available on tap so that the retailer
could increase his stock turns through weekly replenishments

Collections distributed through monthly advance ordering to
customizing to the retailer needs in terms of the design-size-
style preference

Branded shelf route taken in MBOs to showcase the range

The Peter England exclusive outlet network expanded to 162
across 69 towns
 Distribution Channels

Most efficient and powerful distribution network

Loyal and dynamic network of agents & distributors

Strong retail presence with over 250 dedicated retail
outlets(Planet Fashions) and over 1500 multi brand
outlets Fashion
 Distribution Channels
Current Trends

1. Web based ordering for agents (Fashion brands)

2. Automatic replenishment system for distributors
(Distribution brands)
3. Online order processing for factory stores
4. Plans to set up showrooms and Mega stores in the
UAE, Sri Lanka and Bangladesh.
5. Plans to tie-up with indiatimes.com and sify.com for
online selling.
Channels for Consumer Products

AGENTS : 15 Agents
PRODUCER: 8 factories and a warehouse
WHOLESALERS : 22 IN NUMBER
RETAILERS : 120 exclusive
franchisee showrooms
3500 retail outlets spread across
the country.
Merchandise through 500 Multi
Brand Outlets (MBOs)
Six Peter England mega stores in
Kolkata, Bangalore and Pune.
 Changing Channel Structure
 All Factories are ISO 9000 Certified by RWTUV of
Germany
 Recent initiatives in a SATCO Washing unit and Wrinkle
Free unit
 State of the art ordering system for agents &
distributors
 Automatic replenishment systems for showrooms and
distributors
 Sophisticated software systems to collect orders, ensure
superior order fills and customer service
 First company in India to implement Enterprise
Resource Planning (ERP) in inventory-specific solution
called 'Apparel and Footwear Solution.'
Changing Channel Structure
 VMS : Vertical Marketing System

Contractual Marketing System

 Coordinates distribution through formal agreements

 among channel members.
PRODUCT LIFE CYCLE
 Introductory Stage

Introduced for the mid priced sector

Brand became a rage between 1998 and 2000

Had competition from players in the unorganized sector

Factors that hindered its growth(Pushed out of mid price
sector)
 Rules favoring unorganized sector
 Taxes and Import Duties
 Import of fabric (40 % from middle East)

The price of the products increased

Out priced in comparison with the unorganized players

Finally pushed out of the mid priced sector in 2002
Summary of Product Performance In
Introductory Stage

Sales Low sales

Costs High cost per customer

Profits Negative or low

Marketing Objectives Aimed at capturing the mid priced segment

Product Peter England Shirts

Price Medium - priced

Advertising Honest Shirt

 Growth Stage

New strategy in 2002

The hindering factors got nullified due to
 Change in Rules by Government
 Developments in India to match the fabric
 Relaxation of duties

New strategy in 2002

In 2003 offered honest pricing with international
quality

Rs 400 price point with 75 per cent of the
merchandise being priced below Rs 500
 Contd.

Building of the distribution chain

Focused on Quality Retail

Opened of shops and showrooms

Focused on shirt items

Peter England grew by 20% over the previous year.
Summary of Growth Stage

Sales Sales increased by 20 percent

Reduced costs due to fabric and reduced

Costs duties

Profits Rising profits

Marketing Objectives Maximize market share

Focus on international quality and non shirt

Product items

Price Medium Pricing

Distribution Building distribution chains,retail outlets

Through Televisions ,newspapers,hoardings

Advertising
etc.
 Maturity Stage

To build Peter Englands retail, vinyl outdoors used
for announcing the new collection as well as the new
locations.

90 per cent of the sales come from unorganized
retail and only the remaining from organized.

To sustain this growth, the more important part of the
agenda is to transform them into lifestyle brands and
more and more into organized retail.

Peter England major event and installation credits
include Site designer, Universal Playground,
Adelaide Festival of Arts 2004
 Contd.

Evolved into a complete lifestyle brand which has both
formalwear and casual wear

This brand generated revenues of about Rs 150 crore in the
last fiscal and about 30 lakh shirts were sold under the
"Honestly impressive" catch line.

The brand is no more uni-dimensional and known for its value
for money benefits(Premium level).

More number of shops and exclusive showrooms.

Shirts in the new collection have anti-microbial
characteristics.
Maturity Stage

Sales Peak Sales

Low cost per customer due to fabric and

Costs reduced duties

Profits High profits then lower profits

Maximize profits while defending market

Marketing Objectives share
Diversify brands and models, Trousers , suits,
Product inner-wears, lifestyles,accessories .
Price to match or best competitors (Medium
Price Pricing)
Build more intensive distribution
Distribution 150 showrooms, spread across 69 towns.
Stress brand differences and benefits.
Advertising Honestly impressive.
Marketing Strategies For Product
Life Cycle