You are on page 1of 2

1.

Reposition the Brand:

Advantages:
- Lower production costs by manufacturing in countries with lower labor costs.
- Medium-priced products may attract a broader customer base.
Disadvantages:
- Loss of the 'Made in America' appeal may alienate loyal American customers.
- Competing solely on price may compromise brand image and perceived quality.

2. Develop the Hudson Brand:

Advantages:
- Leveraging the 'Made in America' tag can enhance brand prestige and authenticity.
- Selling at higher price ranges can increase profit margins.
- Celebrity endorsements and product placement can boost brand visibility and
desirability.
Disadvantages:
- Higher pricing may limit market penetration, especially in price-sensitive segments.
- Dependency on celebrity endorsements can be costly and may not always translate
into increased sales.

3. Hire a Top Designer:

Advantages:
- Collaborating with a top designer can infuse creativity and innovation into product
design.
- Targeting specific market segments (business travelers, fashion-conscious buyers)
can create tailored offerings.
Disadvantages:
- Introducing products under a new label may dilute brand recognition and confuse
consumers.
- High-end designer collaborations can be expensive and may not guarantee success.

4. Develop a Wider Product Range:

Advantages:
- Offering a wider range of products can cater to diverse customer needs and
preferences.
- Selling at lower, competitive prices may attract budget-conscious consumers.

Disadvantages:
- Increasing product variety may lead to operational complexities and inventory
management challenges.
- Lower pricing may affect perceived brand value and profitability.

5. Stretch the Hudson Brand:

Advantages:
- Expanding into high-quality watches and jewelry can diversify revenue streams and
tap into luxury markets.
- Partnering with Swiss manufacturers can ensure top-notch quality and
craftsmanship.
Disadvantages:
- Venturing into new product categories may divert focus and resources away from
core offerings.
- High-end luxury markets may be competitive and require significant investment in
branding and marketing.

6. Develop Sales Using E-commerce:

Advantages:
- Selling via e-commerce can reach a broader audience and provide convenient
purchasing options.
- Competitive pricing online can attract price-sensitive consumers and drive sales.
Disadvantages:
- Heavy reliance on e-commerce may reduce opportunities for in-person brand
experiences and interactions.
- Intense online competition may require substantial investments in digital marketing
and customer acquisition.

Based on the analysis, the two marketing strategies that Hudson Corporation should
focus on to expand sales in European markets are:

1. Develop the Hudson Brand:

By promoting Hudson products as an exclusive brand with the 'Made in America' tag
and selling at higher price ranges, the company can capitalize on its brand heritage and
authenticity. Celebrity endorsements and product placement can further enhance brand
visibility and appeal.

2. Hire a Top Designer:

Employing a top designer to produce a new range of smaller suitcases and shoulder
bags aimed at business travelers and fashion-conscious buyers allows Hudson to target
specific market segments with innovative and premium offerings. This strategy aligns with
the company's goal of expanding its product portfolio while maintaining its brand identity.

You might also like