RetailStrategy.
SuperdryInfo. mission statement current situation STP Superdry’s SWOT Superdry’s 7PS
MarketAnalysis. Competitors identification Competitors 7Ps analysis
ResearchInsights. Consumer behavior. Retail environment insight.
StrategyPlaning.
SuperdryInfo. mission statement current situation STP Superdry’s SWOT Superdry’s 7PS
Premium British Quality Street-wear. Vintage Americana & Japanese motifs. MissionStatement.
Superdry offers an international brand proposition targeted at discerning youth customers who are looking for stylish street clothing that is uniquely designed and well made by British tailoring. Inspired by with vintage American/Japanese culture and lifestyle, (Supergroup PLC., 2012).
Positive profitability. 314 £m 2012 revenue Continuously growth. +31.9% revenue growth. 101 global stores. Global expansion. (Supergroup PLC., 2012) .
CurrentSituation.
• •
Half of retail sales are generated by t-shirts, casual tops and jackets. Womenʼs wear represents 34.5% of total retail sales. The forthcoming spring/ summer 2013 ranges have more distinctive feminine handwriting and stylistically represent a move forward of the womenʼs ranges. • Sales of accessories such as iPad/iPhone covers, headphones, and bags have seen growth of almost 300% compare to 2011, showing a significant growth of brand-conscious customer. (Supergroup PLC,, 2012) .
Demographic ABC1. male & felmale 18-25 years old Students Young Professionals. High level of education. Highly engage with popular culture
SegmentationTargeting.
(Supergroup PLC., 2012)
Psychographic Generation Y. (18-29 years old) Misfit. Pack of Wolf. Embrace sense of freedom & rebellion. Narcissism & Admiration. Style & Substance. (Solomon et al., 2010)
Targeting People in targeted segment who
• • •
Style & Substance not Style over Substance. Price/Quality conscious. Prefer vintage American/Japanese motifs and culture.
Key Consumer’s tribe
Jocks & Athletic. Vintage Thrifter. Biker & Military Cool.
SegmentationTargeting.
Psychographic Generation Y. (18-29 years old) Misfit. Pack of Wolf. Embrace sense of freedom & rebellion. Narcissism & Admiration. Style & Substance. (Solomon et al., 2010)
Targeting People in targeted segment who
• • •
Style & Substance not Style over Substance. Price/Quality conscious. Prefer vintage American/Japanese motifs and culture.
7Ps Analysis highlight.
•High-detailed and quality, wide choices of products ranging from cosmetics to hand bags.
•Flagship store to emphasis on brandʼs presence, spread retail store to other cities centers(103 stores UK wide).
•Price of product ranging from 2X£(T shirts and small accessories) to 2XX£(Premium jacket and tailor-wear) .
•Sale promotion on special in-store event, Designer collaboration, free delivery for online order.
•Use of sensory stimulus, dim light and upbeat. Vintage industrial look decoration (old wood, steels)
•Staff are well trained and helpful.
Strength
Weakness
Premium product quality.
Weak brand experience.
Matching Functionality and Fashion-ability.
Lack of focus on product offering & collection.
Strong product style. Has strong operation background. Substantial customer base.
Opportunities
SWOT Superdry.
Threat
Matching between style and target consumer’s lifestyle.
Competitors with a more stronger brand direction. (eg. Hollister)
Rise of online shopping platform and revenue. (Supergroup PLC, 2012)
Fast moving nature of fashion industry & trend. Competition barrier is low.
Penetration of asian culture&trend in Western world. (Iwabuchi, 2003)
MarketAnalysis. Competitors identification Competitors 7Ps analysis
7Ps Analysis highlight. •The product is about the fantasy of Southern California, hot lifeguards and beautiful beaches laidback lifestyle and All-American image Apparel and accessories.
•Affordable price tag, similar to Superdry except premium range and outerwear, 2X£ - 1XX£.
•29 stores UK wide which imitate the southern California beach house atmosphere.
•Use of sensory stimulus, upbeat music, fragrance, sex appeal.
•Seasonal
in store discount and online promotion code.
•Staff as brandʼs showcase, well trained and helpful.
Strength Unique retail environment which help stress brand values. Well selected and well trained staffs. Represent unique Californian beach life. Weakness Product quality is low compare to other similar brand. Over priced.
Competitor’s Strength&Weakness. Hollister is the fantasy of Southern California. It’s all about hot lifeguards and beautiful beaches. Young and fun, with a sense of humor, Hollister never takes itself too seriously. Hollister’s laid-back lifestyle and All-American image is timeless and effortlessly cool. Hollister brings Southern California to the world.
7Ps Analysis highlight. •The product is for outdoor lifestyle key items are such as down jackets, sweat shirt and chinos.
•Affordable price tag, cheapest among 3 brands, 1X£ - 1XX£.
•109 stores UK wide which imitate outdoor rugged country style.
•Heavy use of visual merchandising, window display.
•Seasonal
in store discount, student discount, online promotion.
•Well trained and helpful.
Strength Price is the most affordable and cheapest among 3 brands Product quality is fairly high and comparable with superdry. Product ranges suitable for British lifestyle. Weakness Obscure brand image. Offer similar offering to Hollister but without unique selling points.
Competitor’s Strength&Weakness. Hunt down the perfect wave, ski from dawn till dusk, shed your 9 to 5 skin… because when all is said and done… Better a bad day on the slopes than a good day in the office. It all began in 1988, two friends desperately trying to avoid working for a living and enjoying all that the French Alps had to offer. The life was way too good to end too soon… but money was running short. A plan was needed… design some sweatshirts, sell ‘em at night, ski during the day, stick around till Spring then head for the beach. Fat Face had been born. We design kit for those who love to get out there, stuff that’s built to withstand the demands of an active lifestyle. So, whether you’re into extreme sports or just enjoy getting out amongst it… Life is out there, make the most of it.
Premium price
Lower Quality
Premium Quality
BrandPositioning. (Supergroup PLC, 2012) (Abrecrombie&Fitch, 2011) (Fatfaces, 2012)
Lower price
High. Fashion industry is organic and dynamic with no saturate point.
Medium. Could be affect by price of material. Have own-production line and retail channel.
High.
High.
Highly competitive market. Red Ocean.
Fashion industry has low switch-cost. Cross-buying behavior.
High. Fashion industry is organic and dynamic with countless substitutes brands. Piracy.
ResearchInsights. Consumer behavior. Retail environment insight.
66% of buying decision happen in store environment. Customer seek exclusive shopping experience.
(Cognizant, 2012)
ConsumerBehavior. Shopping decision based on 2 set of motives personal & social purpose. Customer seek exclusive shopping experience (sense of belonging, club and social group). Gen Y preferred diverse choice and spacious retail environment.
Gen Y men purchased is less frequent but are big spenders. Time frame of shopping for women is weekly and monthly while for men is seasonal Style role model has a positive influence on customer purchase and evaluation. (Pentecost&Andrews, 2010)
(Cognizant, 2012) (Bainbridge J., 2013) (Forbes, 2011)
Retailment. 66% of buying decision & Capsule Collection. happen in store environment.
(Cognizant, 2012)
RetailEnvironment&Strategy. Retail environment should be extension of brand and provide a source of aspiring experience which added to sale activity, (Bridson&Evans, 2004).
Flag-ship store help customer understand the brand and become a part of brand culture, (Moore et al., 2010).
Focus of staffing should shift from well trained staff to be brand advocates, (Pettinger, 2004).
Store image is cognitive certain physical feature and environment can form belief, (Moore et al., 2010).
Retail strategy should focus and target on product owner which will create brand advocacy and repeat purchase, (Bridson&Evans, 2004).
Inventory look up and check out process are customer’s key concern with the highest expectation, (Cognizant, 2012).
StrategyPlaning. Strategy objective Strategic action
ExistingMarket.
ExistingProduct.
NewProduct.
Market Penetration
Product Development
Market Development
Market/Product Diversification.
StrategyObjective. NewMarket.
(Ansoff, 1957)
Gain strategic advantages by putting
“Brand� back to the heart of retailing activity. StrategyObjective.
Physical References / Promotion
Put BRAND back on course.
Product / Price / Promotion
Capsule collection strategy.
Advertising to start to promote brand’s value.
Strengthen brand’s image.
Link brand to popular culture. (Solomon et al., 2010)
Encourage target consumer to engage in impulse purchase.
Product placement
Attract consumer to stores.
& endorsement. Flagship store to display brand’s story.
Process / People
Improve service and staffs. Staff as brand’s advocate. Use staffs to promote brands.
Super’s club strategy. Secret sale promotion exclusive for member. Increase “premium-ness” of the brand.
Use staffs to create retail ambient.
1.
Put BRAND back on course.
Freedom. Discovery. Ambitious.
Physical References / Promotion
Promote Brand value.
1.
Put BRAND back on course.
People spend 22 hours per week out of their premises. A 2 weeks bus campaign will reach 88% of London population. While a well planed multi-format approach will reach 90% of London population. (Pringle and Marshall, 2012)
Physical References / Promotion
Promote Brand value.
1.
Put BRAND back on course.
Retail environment should be extension of brand and provide a source of aspiring experience which added to sale activity, (Bridson&Evans, 2004). Flag-ship store help customer understand the brand and become a part of brand culture, (Moore et al., 2010).
66% of buying decision happen in store environment. (Cognizant, 2012)
Physical References / Promotion
Retailment.
1.
Put BRAND back on course.
Retailment.
Physical References / Promotion
SuperCAFE Break out space
T-SHIRTS GALLERY Fitting room. Tills.
SuperMEN’s dream gallery. Key MEN’s collection. Tommy Guns’s Salon.
MENswear Fitting room. Tills.
BrandShowcase.
Brand’s gallery. Key collection showcase. Window merchandising.
Denim&Shoes’s locker. Fitting room. Tills.
WomenDepartment+.
SuperWOMEN’s dream gallery. Key WOMEN’s collection. SuperCAFE
WOMENswear Fitting room. Tills.
T-ShirtsGallery. MenDepartment+. (Cognizant, 2012)
2.
Super’sCLUB.
Product / Price / Promotion
Customer seeks exclusive shopping experience and privileges (sense of belonging, club and social group), (Cognizant, 2012). Retail strategy should focus and target on product owner which will create brand advocacy and repeat purchase, (Bridson&Evans, 2004).
2.
Super’sCLUB.
Product / Price / Promotion
Super’sSTUDENTS.
Super’sCLUB.
MembershipDiscount. AdvanceCollection News&Events. EncourageImpulse&Repeat Purchase.
2.
CapsuleCollection.
Product / Price / Promotion
CapsuleCollection, a concept where a limited supply of desired and exclusive products is released in the market to generate quick sales and reinforced brand始s value. (Bainbridge J., 2013)
H&M X Lagerfeld : +24% monthly sales (2011). H&M X Lanvin : +11% monthly sales (2011). H&M X Versace : +30% monthly sales (2011). (Bainbridge J., 2013)
2.
CapsuleCollection.
Product / Price / Promotion
ReinforcedBrand’s Value. NewUSP. MediaExposure. EncourageImpulse Buying.
2.
CapsuleCollection.
Product / Price / Promotion
ReinforcedBrand’s Value. NewUSP. MediaExposure. EncourageImpulse Buying.
3.
Super’sCREW.
People / Process
Focus of staffing should shift from well trained staffs to be brand advocates because they are the first contact point that customers would make during their shopping experience, (Pettinger, 2004).
Inventory look up and check out process are customer’s key concern with the highest expectation, (Cognizant, 2012).
Moore M. C., Doherty M. A., Doyle A. S., 2010, “Flagship stores as a market entry method: the perspective of luxury fashion retailing”, European Journal of Marketing, Vol. 44 Iss:1, pp. 139-161 Ansoff, I.: Strategies for Diversification, Harvard Business Review, Vol. 35 Issue 5,Sep-Oct 1957, pp. 113-124 Pettinger L., 2004, “Brand culture and branded workers: service work and aesthetic of labour in fashion retailing, Consumption Market & Culture, Vol.7 Iss:2, pp. 165-184 Bridson K., Evans J., 2004, “The secret to a fashion retailing advantage is brand orientation”, International Journal of Retail & Distribution Management, Vol.32 Iss:8, pp. 403-411 Pentecost R., Andrews L., 2010, “Fashion retailing and the bottom line: the effects of generational cohorts, genders, fashion fanship, attitudes and impulse buying on fashion expenditure”, Journal of Retailing and Consumer Servies, Vol17, pp. 43-52 Solomon R. M., Bamossy G., Askegaard S., Hogg K. M., 2010, “Consumer behavior: the European perspectives”, 4th ed., Essex:Pearson
ReferencesList.
Iwabuchi K., 2003, “Recentering Globalization: Popular Culture and Japanese Transnationalism”. Durham and London: Duke University Press Cognizant, 2012, “2012: Shoppers experience study”, London:Cognizant Supergroup PLC., 2012, “Annual Report: 2012”, London:Supergroup PLC. Bainbridge J., 2013, “Sector insight: youth fashion”, Marketing, 27 February, p. 18 Forbes, 2011, “Why Karl Lagerfeld’s collection for Macy’s is the retailer’s ticket to profit”, available at:http://www.forbes.com/sites/