Marketing Report by Charlotte Quick

Marketing Report

Charlotte Quick UCA 1105364 Phil Rowland, Mary Carson 01

Contents...............................................................[02] Executive Summary.............................................[05] Introduction..........................................................[07] 1.The Proposal 1.1. Company Overview......................................[09] 1.2. Company Figures.......................................[013] 1.3. The New Product........................................[015] 1.4. USP ..............................................................[017] 1.5. Ansoff Matrix...............................................[019] 2. The Marketing Mix 2.1. People/Demographics ...............................[021] 2.1.1. Typologies ............................................. . [025] 2.1.2. Psychographic Profile .............................[031] 2.2 Product 2.2.1 Product Overview ....................................[033] 2.2.2. CAD Range Plan .....................................[035] 2.2.3. Sourcing ..................................................[043] 2.2.4. Sustainability/Ethical Policy....................[045] 2.3 Price 2.3.1. Pricing Policy ...........................................[047] 2.4 Place 2.4.1. Distribution .............................................[049] 2.4.2. Omni Channel ........................................[051]

Contents 2.5 Position 2.5.1. Price/Style Matrix ..................................[053] 2.5.2. Competitor Evaluation .........................[055] 2.6 Promotion 2.6.1. Brand DNA ............................................[061] 2.6.2. Branding .............................................. [063] 2.6.3. Experiential Retailing ...........................[067] 2.6.4. Integrated Marketing ...........................[069] 2.7 Persuasion .................................................[081] 3. Launch Marketing Business Plan 3.1. Estimated Sales .......................................[082] 3.2. Marketing Costs ......................................[083] 4. SWOT ..........................................................[084]

5. Conclusion .................................................[087]

Appendices ...................................................[089]

Bibliography ..................................................[109]

Executive Summary

This report was commissioned to put forward a proposed strategy for a collaborative childrenswear range between leading retailer John Lewis and designer Orla Kiely. With previously successful partnerships including Donna Wilson for John Lewis and Alice Temperley â&#x20AC;&#x2DC;Somersetâ&#x20AC;&#x2122;, John Lewis looked to further their collaborations portfolio and with a strong relationship currently with designer Orla Kiely a proposed range between the two brands was projected. When establishing the consumer target market the demographic of an AB demographic become apparent and the need for a premium priced childrenswear range was higher amongst those aged 30+ with financial security. After various primary and secondary research results revealed that the UK market lacked a mid priced brand that placed style over fashion and quality over price. Research suggested parents are seeking tradition clothing and are shying away from stereotypical colours instead they seek classic garments in a variation of colour and design something Orla Kiely is infamous for. Competitors within the market allowed for competitive pricing strategies placing the Orla Kiely for John Lewis brand between M&S and The Little White Company, what makes the Orla Kiely for John Lewis brand so different is their unique USP. This report concludes with an evaluation of current strength and weaknesses and the opportunities for a further progression of the brand.

Introduction

This report was composed to provide further validation for a new childrenswear collaboration range between UK retailer John Lewis and Irish designer Orla Kiely. Using both substantial primary and secondary resources, fundamental areas of research are highlighted throughout the marketing report. Primary research consisting of focus groups and questionnaire where conducted, providing both quantitative and qualitative response which where non biased and accurate therefore aiding the development of a successful business proposal. Through secondary research further depth and breadth within the market both nationally and internationally where gained and sources used where of the highest level of accuracy. Secondary resources used: Mintel, WGSN, LS:N Global, Drapers, Business of Fashion, John Lewis Press Centre and Companies House. Limitations within the report included the accessibility to business plans and figures in particular with Orla Kiely however every effort has been made to make sure the most accurate figures and statistics possible are reported and published within the report.

1.1 Company Overview

With 43 stores in the UK, John Lewis is one of the most recognizable stores on our highstreet. What makes this brand unique is that its principles and founders message is still instilled within the brand today, never loosing its sense of their identity John Lewis was built on a vision for success which is powered by its people and 150 years later it is now owned by 90,000 partners with all profits and benefits shared amongst them. John Lewis department stores cater for all including a large childrenswear where they offer their own John Lewis clothing range aswell as brand such as Polarn O Pyret, Little Joules and Donna Wilson for John Lewis.

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The Orla Kiely brand was founded in 1995 in order to express Orla’s vision and appreciation for pattern, colours and textures. Once a small unknown handbag designer the brand grew to international recognition and in 1995 Orla and her business partner and husband Dermott Rowan created Kiely Rowan Plc, which owns both Orla Kiely and Olive and Orange. Having started as a small business providing handbags at London Fashion Week, Orla Kiely has become infamous for graphical prints and colour palettes her retro vision has built a brand that now produces Womenswear, accessories, homeware, Childrens books and fragrances. Orla Kiely also has produced numerous collaborations including a shoe range with ‘Clarks’, a Womenswear ethical range for ‘People Tree’ and a exclusive menswear line for ‘John Lewis’ to coincide with their 150th anniversary celebrations. John Lewis and Orla Kiely have a strong, long running relationship in stores including the Orla Kiely pop up home space where all of the Orla Kiely homeware products where displayed together for the first time in celebration of her collection launch.

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1.2 Company Figures

The John Lewis Partnership annual report for the year ending January 2014 showed figures for profit reaching a high of £329.1million. Revenue for the partnership was up by 6.6% and for the John Lewis brand up by 7.4% valuing £3.3bn. Gross sales for the partnership rose by 6.6% to £10.2bn whilst John Lewis gross sales increased by 7.5% from the previous year to £4.1bn In terms of operating profit the partnership increased its figures to £423,6mill whilst the John Lewis brand reached £226.1mill up by 4.3% on the previous year.

Kiely Rowan plc reports figures for the year ending 31st March 2014 show a 16% rise in profits with operating profits rising to £314,339 from the previous years figure of £271,039. Gross profit also increased to £3.6m in 2014. Sales however have decreased by 10% to £9.1m, Chief executive Rowan Dermott has said this decrease in figures is down to... "The companies has moved away from discounting and is pushing its focus towards growing its retail and online business and with a well managed product line the business has an exciting future"

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1.3 New Product

Over the next 5 years the UK childrenswear market is forecasted to increase by 16.2% reaching a value of ÂŁ7.6bn by 2018 (Mintel, 2013) With the continuing increase in birthrates placing the UK within the top 10 highest rates in Europe with and average of 12.2 births per 1,000 (ISTAT 2013) there is a continual need for childrenswear and a market opportunity for brands to branch out into new sectors. The UK's average age for a women to have a child is now at a record high of 30 years (Daily Mail, 2014) this is due to women becoming more financially stable before becoming mothers and therefore are likely be driven more towards mid to high end priced brands. With the royal birth of Prince George and the awaited second arrival in April 2015 brands including John Lewis have seen and increase in parents choosing traditional clothing. "John Lewis has seen sales of traditional children's clothing increase by 92% in 2014... Sales of traditional rompers increase by 13% after a garment was seen on Prince George and the increase in traditional brands favoured increased sales by 32%" (How we shop, live and look report 2014) The Orla Kiely for John Lewis range provides premium style childrenâ&#x20AC;&#x2122;s clothing at a mid price range. Offering timeless classic cuts and designs recognizable of the Orla Kiely brand whilst providing durability and practicality the range will be for both boys and girls ranging from Newborn to 6yrs divided into 0-3yrs and 3-6yrs.

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1.4 USP

Each garment will be lined inside and within the pockets with the signature Orla Kiely 'Stem Printâ&#x20AC;&#x2122; whilst the outside of all garments will have a stitched stem emblem design, making the garments unique to other brands and also instantly recognizable yet in a subtly way. The prints used within the collection are distinctive to Orla Kiely and will also include new designs exclusively created for the Orla Kiely for John Lewis brand giving the customers a luxury signature finish.

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1.5 Ansoff Matrix The Orla Kiely for John Lewis collection sits between the lines of Product development and Diversification.

New Market

Existing Market

In terms of the positioning of the two brands John Lewis will be introducing a new brand to an existing childrenswear market within its stores, with an established target consumer group. Orla Kiely will be diversifying from Womenswear and homeware into the childrenswear market. The brands collaboration will have a strong launch point with exclusivity and the advantages of capitalizing on the two brand names and wider merged consumer base.

Market Penetration

Product Development

Market Development

Diversification

Existing Products

New Products

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2.1 People

The Orla Kiely for John Lewis target consumer are parents who fall predominantly within the AB demographic. Aged between 30-40 and earning an annual income of ÂŁ40,000+ these prosperous parents or expectants live a content life with a disposable income with a healthy lifestyle and attitude to brands. The Orla Kiely for John Lewis also attracts the C1 demographic; those who will chose to provide luxuries for their children above themselves and will use all sources of income to provide for this lifestyle. The marketing typologies researched, reflect the similar lifestyle choices and attitudes to brands of the Orla Kiely for John Lewis and can be categorized into 3 stand out groups these are the following: The Prosperous Parents,Dad 2.0â&#x20AC;&#x2122;s,andTheThirty Five Upâ&#x20AC;&#x2122;s

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Demographics

2.1.2 Typologies

Prosperous Parents • AB Demographic • 30-40years • £40,000+ annual income • One of both parents work A comfortable lifestyle with family as a top priority, a traditional approach to parenting the prosperous parents chose childrenswear brands which are well known and respected including Petit Bateau, Polarn O’ Pyret and Gap Kids. In terms of their chosen brands the prosperous parent mixes premium brands with highstreet brands such as M&S, John Lewis, Russell and Bromley, Reiss and Jaeger. The prosperous parent will always chose quality over high fashion and tradition over innovative design.

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Dad 2.0 • AB C1/C2 Demographic • 25-35years • Varied Income • Stay at home dads Gone are the days fathers where stereotypically fathers where seen to occasionally help with the nappies and school runs, Dad 2.0 is the new conscious father. Dad 2.0 puts his child/ children before all other aspects of life and is happy to be defined by his family roles. When choosing brands for his child Dad 2.0 tends to lead by example and will dress them in a similar attire with a relaxed and somewhat classic approach to fashion Dad 2.0 will shop for childrenswear in Zara, John Lewis, House of Fraser and Debenhams. In terms of their chosen brands Dad 2.0 favour designers such as Ben Sherman, Hackett, Levi Originals and Penguin Original. A mix of style, branding and quality comes into play when Dad 2.0’s go shopping for thier children

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Thirty Five Up’s • AB C1 Demographic • 35-45years • £35,000+ annual income ThirtyFiveUp’s are redefining work and lifestyles; they are against the globalized excesses of the generations Jones’s and are more interested in family and communities opting for a flexible lifestyle seeking pleasure in books and art something they will pass these values down to their children. When choosing childrenswear brands the Thirty Five Ups like high quality and will shop within Gap Kids, Petit Bateau and independent retailers investing in pieces which provide quality and longevity. Their children will be dress in clothing, which will echo a sense of style over time and will pass on clothing to siblings. In terms of the Thirty Five Ups personal style they prefer premium brands that show minimal branding and again provide quality and longevity. Favoured brands include Cos, Acne, Jil Sander and Carhartt.

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2.1.3 Psychographic Profile

The Orla Kiely for John Lewis customer has a disposable income meaning a stronger purchasing power. In terms of psychographic profiling the 3 marketing typologies identified would be located within the early majority to late majority due to their financial status placing them within the early majority however their lack of conformity to high fashion childrenswear could place them within the late majority as they chose style and practicality over high fashion. In terms of the attitudes, which refer to the emotional, rational and patronage approach to buying, the Orla Kiely for John Lewis customer falls within both emotional and rational. Emotional: Based on feelings of a family friendly brand the customer values the traditional family values of the John Lewis company, looking after their staff and valuing their customers. Rational: The Orla Kiely for John Lewis offers durability and practicality, which is a high priority within childrenswear

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2.2.1Product Overview

Orla Kiely for John Lewis is to be launched in April 2016 with a Spring/Summer collection. The 42 Piece collection, for boys and girls aged Newborn-6years and will include Clothing, Outerwear and Shoes. Inspiration for the Spring Summer 2016 collection comes from Orla’s personal childhood memories. “With the idea of a ‘happy spring’ in mind, I have created a joyful burst of prints inspired by an outdoor childhood memory with all its flora and fauna. The designs visualize memories of strawberry picking, apple trees and running wild in flower fields dancing in the bursts of sunlight. I used a palette of rich jewellike colours such as emerald and red and summer hues of orange, blues and greens, combined to lift and enhance the true spirit of spring/summer 16”. -Orla Kiely The clothing collection will be made from 100% Cotton, which will be machine washable and delicate on young skin. Raincoats will be made from PU Polyester with cotton linings again easily washable and also stain resistant. Shoes will be made from 100% Leather on upper and a rubber sole providing long lasting wear. The design of the garments are classic styles as a survey conducted revealed 65% of those asked would prefer to dress their child/children in classic clothing (Rompers, Dungarees, Knitwear) over fashion led clothing.

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2.2.2 CAD Range Plan

Orla Kiely for John Lewis is to be launched in Spring/Summer 2016 with a 42 piece collection for both girls and boys aged Newborn to 6years. The collection is a bright and bold range with unique Orla Kiely prints, the style of the range is classic and in a gender neautral palette as primary research showed parents found the sterotypical pink and blue unappealing. (See Appendix B)

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2.2.3 Sourcing Strategy

The materials and prints used within the Orla Kiely for John Lewis range are all sourced from factories across the world including China, India and Turkey. By using offshore sourcing the overall cost of production will be lowered. Both John Lewis and Orla Kiely have dependable factories managers within these areas that provide vigorous checks to support a healthy workmanship providing customers with reassurance and knowledge of where their garments are produced.

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2.2.4 Ethical Policy

John Lewis and Orla Kiely use factories recognized by ISEAL alliance, a global membership for sustainable standards, providing good codes of practice and working together to improve standards. Sedex global database is also used to monitor international labour standards within the Orla Kiely for John Lewis supple chain and organizations including WFTO and Fairtrade are referred to when monitoring workforces. Whilst upholding international agreed standards Lucy Shaw, responsible sourcing manager for John Lewis explains the importance of the companiesâ&#x20AC;&#x2122; internal standards policy â&#x20AC;&#x153;We aims to build relationships with suppliers providing long term satisfaction, improving the lives of works in terms of wages, working conditions and labour age laws and providing a transparency and traceability within the supply chainâ&#x20AC;? (isealalliance.org) In order to reduce waste all packaging within the Orla Kiely for John Lewis range will be 100% recyclable.

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2.3 Pricing

When pricing the Orla Kiely for John Lewis range the aim is to generate maximum sales and gain maximum profit. In terms of a strategy the pricing set is competitive to main competitors and also reflects the current pricing policy within the John Lewis stores. Key items within the range have been set higher that those of competitors due to the style and the designer collaboration however these are not set more that ÂŁ5 above competitor prices and will not deter customers. Profit margins are 66% for boyswear within the range and 67% for girlswear. Orla Kiely for John Lewis margins are appropriate for the size and style of the range.

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TOP STORES

MID STORES

Oxford Street 300 Oxford Street, Marylebone, London W1C 1DX 020 7629 7711

Liverpool 70 South John Street Liverpool L1 8BJ 0151 709 7070

Westfield Stratford 101 The Arcade Montfichet Road London E20 1EL 020 8532 3500

Nottingham Victoria Centre Nottingham NG1 3QA 0115 941 8282

Bluewater Kent Greenhithe, Kent, DA9 9SA 01322 624 123

York Vangarde Shopping Park York YO32 9AE 01904 557950

Birmingham Grand Central New Street, Birmingham Opening Sep 2015 Edinburgh St James Centre, Edinburgh EH1 3SP 0131 556 9121

Southampton WestQuay Hampshire SO15 1QA 02380 216 400 Heathrow Terminal 2 London, Hounslow TW6 1EW

2.4.1 Distribution The Orla Kiely for John Lewis range will be stocked within 10 stores, which will be split into top and mid stores. The reasoning behind the distribution of the brand within 10 of the 31 John Lewis stores is due to a number of reasons. Footfall The footfall and spending per customer within top and mid stores provides assurance of sales however smaller quieter stores may lead to unsold stock which could have been sold within these top stores and therefore not a financially beneficially decision. Pricing The exclusivity of the range within 10 stores is reflective on the pricing, which is slightly higher than other childrenswear brands distributed throughout all 31 stores. Location All of the 10 stores the range will be distributed within are prime locations within large shopping complexes and are within locations, which attract tourism. John Lewis and Orla Kiely are both British brands, which attract sales from Asian tourism due to the love for British style. Space The 42-piece collection will take up a large amount of square feet with visual merchandising and smaller stores would not be able to allocate the intended space to showcase the collection. Top stores will showcase the entire collection whilst mid stores will showcase top sellers. The range will also be available online to allow international sales with delivery available in Europe and the rest of the world costing between ÂŁ7 to ÂŁ25 pounds and taking between 2-11 working days.

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2.4.2 Omni-Channel

Stores Orla Kiely for John Lewis will be sold in main regional stores including the John Lewis flagship store on Oxford street. Currently within the stores homeware department, Orla Kiely has a large sq foot concession and has previously had a pop up floor space and window display area dedicated to her entire homeware collection launch. The childrenswear range will cover a large sq foot selling place and by selling within their busiest stores in prime locations the range will benefit from tourism. E-commerce John Lewis annual online sales increased by 19.2% in 2014 at a value of £1.4bn (John Lewis annual report 2014) with online sales accounted for 28.1% of all overall sales. The entire range will be available online providing a fast, efficient site with easy navigation and low delivery costs, ‘Click and Collect’ service will also be available as 56% of sales online used the collection service in 2014 (John Lewis annual report 2014) M-commerce Portable shopping app for smartphones and tablets accounted for 50% of online traffic in 2014. (John Lewis annual report 2014) the John Lewis app will feature a Orla Kiely for John Lewis range with image close ups and product details.

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2.5.1 Price/Style Matrix

Orla Kiely for John Lewis is placed towards higher priced classic styled clothing. The main competitors are The Little White Company, Marks and Spencerâ&#x20AC;&#x2122;s, Polarn O. Pyret, Mini Boden and Gap who all share similar pricing strategies and clothing style. (See Appendix A)

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Reason for competition

Mini Boden

1884 LEEDS,UK

1991 LONDON, UK

Started as a single market stall now an international retailer

Started as a small mail order Mini Boden launched in 1992

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Produces

Founded

Marks & Spencer’s

Womenswear Menswear Childrenswear Accessories Homeware

Marks and Spencer’s is a leading UK retailer and considers John Lewis a main competitor both offering classic style and high quality childrenswear, it is a family brand with family at the heart of its decisions.

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• • • • •

Womenswear Menswear Childrenswear Accessories Homeware

Boden and Mini Boden are well respected outdoor brands, their childrenswear is fun yet traditional offering the practicality parents wish for. All of these elements are the same within the Orla Kiely for John Lewis range.

2.5.2 Competitors The Little White Company

Gap Kids

1994 LONDON,UK

1969 NEW YORK,USA

Started as a UK luxury home company, expanding in 1997

Started as a single jeans store Gap Kids followed in 1986

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Womenswear Childrenswear Fragrances Accessories Homeware

The Little White Company in terms of style is similar to Orla Kiely for John Lewis with garments suited to gifting and special occasions. The Little White Company is the highest priced brand within the competition.

• • • • •

Womenswear Menswear Childrenswear Accessories Maternity

Gap is a main competitor as its considered a leader in childrenswear clothes in terms of mid priced designer wear. The range of clothing has a gender neutral palette as used within the Orla Kiely for John Lewis range.

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Marks & Spencer’s

• Baby 0-3years • Girls 1-12years • Boys 1-12years

Product Detail

Product Example

Size Guide

• Baby 0-3years • Girls 3-16years • Boys 3-16years

Mini Boden

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CABLE KNIT CARDIGAN

PRETTY POINTELLE CARDIGAN

Age Range: 0-24Mnths

Age Range: 0-3years

Price: £20.00

Compositon: 100% Cotton

Compositon: 95% cotton 5% cashmere

The Little White Company

Gap Kids

• Baby 0-24mnths • Girls 1-12years • Boys 1-12years

• Baby 0-24mnths • Toddler 1-5years • Kids XS-XXL

TEXTURED FRONT CARDIGAN

BUTTON FRONT CARDIGAN

Age Range: 0-24Mnths

Price: £26.00

Price: £22.95

Compositon: 100% Cotton

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Omni Channel

Marks & Spencer’s

Example

Social Media

• Online • Instore • Mobile App

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Mini Boden

• Online • Instore • Catalogue • Mobile App

Facebook 2,064,998 likes

Facebook 254,826 likes

Twitter 402k Followers

Twitter 39.7K Followers

Instragram 124K Followers

Instragram 51.6K Followers

Pinterest 17K Followers

Pinterest 54K Followers

The Little White Company

Gap Kids

• Online • Instore • Catalogue

• Online • Instore • Mobile App

Facebook 125,657 likes

Facebook 658,5772 likes

Twitter 10.1K Followers

Twitter 18.6K Followers

Instragram 18.1K Followers

Instragram 175K Followers

Pinterest 21K Followers

Pinterest 4K Followers

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Who is the customer?

What does the customer believe in?

How does the brand make the customer feel?

What does the brand do for the customer?

What are the brands key ingredients?

What is the brands USP?

What is the essence of the brand?

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2.6.1 Brand DNA

Personality: Caring, Maternal, Friendly and fun Values: Tradition, Quality and Respect Emotional Benefits: Valued, Special, Happy Physical Benefits: Comfort, Practicality, Uniqueness Attributes: USP Prints, British brand, Appropriate, Practical Positioning: Distinctive Prints and emblem, High Street and Designer collaboration and Mid Market/Premium High Street pricing. Essence: Tradition, Family, Iconic Orla kiely and Quality

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2.6.2 Branding

The brand name is simple yet has importance as the two names themselves both have meanings Orla Kiely suggests bright colours and bold prints with a 70â&#x20AC;&#x2122;s inspired feel whilst John Lewis is known as a family friendly brand with a excellent reputation for quality. The colours used within the logo are bright are bold when against the white background. The colour evoke happy, cheerful and fun emotions which is what the Orla Kiely for John Lewis brand is about. The logoâ&#x20AC;&#x2122;s font is similar to that off a childâ&#x20AC;&#x2122;s writing, symbolic to the range available. Again this is a fun and childlike font yet easy to read and still fits within the two brands.

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Labelling SWING TAGS The Orla Kiely for John Lewis will consist of two parts the front tag will include the logo whilst the second tag will have the iconic Orla Stem and on the back of this will be the pricing and bar code. The Swingtags will be high glossed and a Orange button and string will be used to attach the tags to the garments. A button detail is a simple yet effective tool, adding a premium feel with attention to detail.

CLOTHING LABEL The clothing label will be a simple design with the size clearly marked this will be stitched within each garment

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Packaging BAGS Bags are reflective of the brand and the white background draws the eye to the logo. The iconic pattern on the sides are recognisable, bright and fun.

GIFT BOX Available to purchase, giftboxes add a finishing touch to a gift these gift boxes come in to styles, top lid or slide out box and will be lined with tissue paper

BOX PRICING Small RRP: ÂŁ3.00 Large RRP: ÂŁ4.00

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2.6.3 Experiential Retailing

Visual Merchandising The concession space is to translate the brand and the inspiration of the collection. Spring Summer 16 is about childhood memories of the outdoors this will be done by bright colours, large potted ceramic sunflowers arranged around the space, wicker picnic baskets used as tables to display clothing and faux grass patches to display shoes. An Orla Kiely wallpapered wall will have fitting attached at different heights to prompt the customerâ&#x20AC;&#x2122;s eyes to travel and see the entire collection. A board will also be within the concession space displaying a raincoat with a diagram written in chalk explain the USP and practicality of the garment this will be eye catching and informative.

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2.6.4 Integrated Marketing

Research has shown that people are responsive to social media marketing, ‘Prosperous parents, Dad 2.0’s and the ThirtyFive Up’s all use social media to engage with family, friends and brands with many owning more that two electronic devices. Twitter : 500 million Tweets are sent per day (Twitter. com) and both Orla Kiely and John Lewis have a combined following of 240K. Orla Kiely for John Lewis will follow all tweets with #ORLAFORJOHN in order to gain trending advertisement. Facebook: with 1.39bn active users each month (Facebook.com) Orla Kiely will run a page with daily updates, images and exclusive content Instagram: Behind the scene content will be used to engage with customers and the use of the hastag #ORLAFORJOHN will be circulated.

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Rain Communications an independent PR agency is responsible for all of the John Lewis media coverage and digital marketing campaigns and in order to maintain consistency within the brand, rain communications will be responsible for the coverage of the Orla Kiely for John Lewis range. PR strategy • Press Launch 1 month before store launch, to introduce range and gain media coverage in the lead up to the official launch, slowing building brand awareness. • A lookbook and press release given to all press and bloggers with informative information on range inspiration. • Magazine coverage off pre launch to be featured in Red magazine as a main feature and smaller mentions within Mother and Baby, Stylist and other publications. • Instore launch with a special Instore event for loyal customers of both brands, featuring a Q&A with Orla and exclusive 15% discount.

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Magazine Advertising

Staying in the style of both Orla Kiely and the John Lewis advertisement the campaigns are featured on a white background in order to make the logo and image the main focal point. The images within the campaign evoke emotions of Happiness, Families, Laughter and fun. All images are in natural surroundings outside reflection Orlaâ&#x20AC;&#x2122;s vision of her childhood memories. Advertiisng will within specially selected magazine publications engaging with the target demographic.

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Target Media

The key media publications targeted to advertise the Orla Kiely for John Lewis range include targeted demographic magazine such as Red, Mother and Baby and Baby London which targets affluent mothers within the ABC1 demographic. Other targeted media includes supplement magazines such as The Mail of Sunday’s ‘YOU’ magazine which sells 2.5 million copies a week (Wikipedia) and free magazines such as Stylist which attract a wide varied audience.

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Outdoor Advertising

Advertising will be at main London Underground stations along the escalators including those at Oxford Circus, London Victoria and Green Park all which are located near a John Lewis store and will be used regually by the target consumers 'Prosperours Parentsâ&#x20AC;&#x2122; and the â&#x20AC;&#x2DC;ThirtyFive Up's' Why the London Underground? -Over 50% of Underground users are aged 18-34 -74% of Underground users are ABC1 -Underground users are 6x more likely remeber adverts -79% of people have looked up something or purchased a product seen on underground advertisment (Exterion Media, 2013)

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Targeted Bloggers

The target consumers of the Orla Kiely for John Lewis have all read or regularly read blogs from mothers and fathers within the UK. The blogging industry is becoming an effective way to advertise with many bloggers receiving thousands of visitors a day. Gifting to selective bloggers including ‘Kat got the cream’, ‘Mum of 40’ and ‘Not another mummy blog’ will be sent out in-order to receive maximum exposure of the brand.

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2.7 Persuasion

Brand Name Consumers will be persuaded by the associated brand names both are large international companies and well respected, free from controversy these brands persuade the consumer to purchase within the Orla Kiely for John Lewis brand with their trustworthy, family values and ethics. USP The iconic prints of Orla Kiely are a unique selling point persuading consumers with a exclusive style to the brand Promotion Promotional events including the instore launch Q&A with Orla persuades the consumer to engage with the brand, building a friendly and familiar relationship between the two. Overall the products are the persuasion to the consumer with a unique range that is â&#x20AC;&#x2DC;Exclusiveâ&#x20AC;&#x2122;

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3.1 Estimated Sales

Estimated sales for the first season of Orla Kiely for John Lewis SS16 in stores for a 4 month period from April-August. Capital investment will be from both John Lewis Partnership and Kiely Rowan PLC

TOTAL SALES £688,600 RETAIL MARGIN 66%-67% PROFIT £140,365

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3.2 Expenditure

The marketing a PR aspect although high is a highly important part and will be and investment into overall sales results. All manufacturing will be done overseas and imported.(See Appendix C)

MANUFACTURING £333,685 MARKETING/PR £146,000 TOTAL COST £549,235

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Strengths Orla Kiely for John Lewis fills the gap in the market for a mid price range premium style childrenswear line. Offers a strong partnership between to large a widely favoured brands Range provides values and ethics with a transparent sourcing line Offer a unique selling point with iconic prints Strong marketing and PR strategies using all media platforms

Weaknesses Orla Kiely for John Lewis retails slightly higher than John Lewis Baby and John Lewis Child brand, which consumers may favour Operating in only 10 of 31 stores to preserve exclusivity may lead to a loss in sales. Orla Kiely has no prior experience in childrenswear

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4.0 SWOT Analysis

Opportunities Extension of the Orla Kiely for John Lewis range for those aged 6+ Diversify the brand further

Threats Future high-street/Designer collaboration ranges Rising costs of raw materials and shipments costs Decrease in women having children Decrease in the AB demographic Change in laws within exporting and importing

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5.0 Conclusion

Through extensive research a gap has clearly been identified and the Orla Kiely for John Lewis range has successfully proven to feel this opportunity. The range consists of classic and traditional style clothing opposed to fashion lead clothing, with sales of traditional clothing on the increase the range will have a strong position within the childrenswear market. With the increase in a more affluent UK demographic the opportunity for premium high street ranges in childrenswear has increased and Orla Kiely for John Lewis provides premium style and quality with a premium high street pricing strategy, which is both competitive and effective. Overall this is a creditable business proposal with a currently strong relationship between these two brands a collaboration will only further the relationship and build a stable foundation for future developments into market opportunities

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Appendices

Appendix A: Competitor Evaluation Appendix B: Detailed Range Plan Appendix C: Launch Plan Figures

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Appendix A - Competitor Evaluation

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Appendix A - Competitor Evaluation

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