Should the brand be repositioned?

Yes, the brand should be repositioned as there is a growing distance between the target group at the
start of the firm's business and its current customers. When the brand started to function, it was
targeted at women from the age range of 30 to 40 working women offering them a stylish wear option
and a high value (premium) clothing line option. With 25 years of operations, the brand has gathered a
loyal customer base but the customer base has aged with the brand leading to the average age to 50
and above of current customers. This has led to a change of perceived image of the brand as one that
caters to old people. In the long run, it won’t be sustainable for the business and its profitability.
Therefore, by repositioning the brand Eileen Fisher will be sending out the message that it is no
longer an old-fashioned brand but a brand that caters to the upcoming and growing generation of
women. Its old clothing line is a “cash cow” for the company while repositioning towards young
women will be investing in the “question mark’ for the company portfolio and essentially turning into
a star for the company.

Consequences of repositioning
It would shift the existing image of customers by re-branding the clothes shown in stores and
commercials. Eileen Fisher will become more attractive to all customers of all age groups when
sticking to their core strengths leading to capturing a large and growing market share. The brand has
proven that they are pioneers in the high-quality apparel sector and that they are not seeking to deviate
from the market. Since emerging women are also eclectic shoppers, Eileen Fisher by shifting their
brand views will open up an opportunity for this segment to purchase the product at current price
points even if they do not commit to the whole range of newly brought out apparel. Currently, Eileen
Fisher’s consumers are becoming older with the brand, and repositioning is required to create loyalty
to younger segments. Nascent women and emerging women don’t have much spending potential to
generate the market share. With these two segments, Eileen Fisher has to face much fierce
competition than she had earlier.

Consequences of not repositioning

If Eileen Fisher chooses not to reposition the brand, the brand will slowly develop into catering to
older and older women as the segment they serve and the segment who is loyal to them keeps aging
with time. This will lead to a reduced market share in the future moving the products of the brand into
the “dog” category as there will be no market growth opportunity or market share. This will also make
the brand image extremely persistent as an old women brand in the long run and eventually
repositioning the brand to cater to another segment may take up extreme capital investment and an
immovable perceptual tag attached with the brand as it may fail to stay relevant in future. Failing to
reposition in time will also lead to competition by new entrants who may have an added first-mover
advantage.

By Group No 11
Chandrakant Vadluru - 20M110
Jaitrik Jay Singh - 20M118
Shivangi Arora - 20M141
Sneha Bhujbal - 20M147