An international clothing brand

Marketing Elective ² Pr. Ulrike MAYRHOFER Marta Herencia Valenliente ² Isabelle Izquierdo ² Apoorav Mahajan ² Jaya Sharma

POSITIONNING ƒ MARKETING MIX : ƒ Product Policy ƒ Pricing Policy ƒ Distribution ƒ Communication .AGENDA ƒ SEGMENTATION ² TARGETING .

Product Policy: ƒ Physical Attributes ƒ Symbolic Attributes ƒ Service Attributes .

with minor adaptations for countries with more fashion sensitive or demanding or more willing to spend customers ƒ Sizes: Standard sizes produced but labeled according to target Nation·s norms ƒ Quality: Standardized aimed at good price/quality ratio ƒ Packaging: Standardized with instructions/information in target countries· language .Physical Attributes ƒ Form/Design: Standardized Product lines.

specific needs in nations controlled via product orders from retailers ƒ Color of packaging: Standardized. lest a color is considered offensive in a nation .Symbolic Attributes ƒ Product Name: Product lines with same standardized names ƒ Logo: Standardized ƒ Colors of product: Standardized.

Service Attributes ƒ Payment conditions: standardized ƒ Delivery: Medium of delivery same. Hire locally who understand customer needs. ƒ Have fashion advisors visit prime exclusive stores before launch of new product lines to create hype and add value to customer experience ƒ Online Service: Enhance. Offers for free delivery over certain amount of purchase can be introduced to promote sales ƒ Sales service: ƒ Invest on salespeople. with focus on standardization . Costs can vary according to region.

Advantages of recommended Policy ƒ High degree of standardization brings economies of scale and enables maintaining good price to quality ration ƒ Consumption patterns for Target group is largely same across Europe. hence customer satisfaction is not endangered by standardization ƒ Special ranges for certain countries satisfy higher demanding consumers and enable higher margins on special ranges ƒ Standardization of logos and names helps build a universal image ƒ Localization of sales staff. instruction in local language assure consumer comfort and loyalty .

legal environment« ƒ OUR GOAL : an affordable mid-range price which meet the expectations of a good price quality ratio for young families . demand.PRICING POLICY ƒ OUR METHOD : We use the Market Approach because this approach doesn·t focus only on the costs but also integrates many others factors such as competition.

OBJECTIVES COMPETITORS Quality product at an affordable price Benetton. Zara« good price/quality ratio Selective distribution . DISTRIBUTION SYSTEM ECONOMIC ENV. Gap.DETERMINANTS OF PRICING POLICY: DETERMINANTS COSTS Esprit manages to keep low costs=> Prices can be affordable for the customer Young families want good quality for them and their children at reasonable price DEMAND STRATEGY LEGAL ENV.

PRICING POLICY : STANDARDIZATION AND ADAPTATION? COMMON PRODUCT LINES LOCALLY ADAPTED PRODUCT RANGES STANDARDIZED PRICING VARIABLE PRICING .

ƒ even the young people such as teenagers can afford the clothes ƒ AVOID PARALLEL IMPORTS : Standardized prices for the collections· stock and basic products will help avoid parallel imports .STANDARDIZATION PRICING POLICY FOR THE BASIC LINE ƒ STANDARDIZED AFFORDABLE PRICES : ƒ The differences between buying power must not be a problem since the prices are inexpensive.

ƒ PENETRATION PRICING POLICY : A penetration pricing policy should be followed because Esprit should be considered as a stylish. That means that a French customer won·t even be able to find the same product in Germany and to compare prices. .  Prices adapted to the local characteristics of the market and the customers. yet affordable brand in order to attract more customers.VARIABLE PRICING FOR THE LOCALLY ADAPTED PRODUCT RANGE ƒ ´fashion productsµ frequently renewed and locally adapted are only available in the local market. Standardized ƒ AVOID PARALLEL IMPORT : Adapted pricing for the ´fashion productsµ frequently renewed won·t cause parallel imports because the fashion products are also adapted to the country/market.

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