Spiritual Nature A/W 2013
Rebecca Harris 24934364 ARTD 2041 The Fashion Market
Contents
Trend Direction 1-2: Soft Informtation 3-4: Hard Information
Market Report 4-6: Market Analysis & Competition 7-9: Consumer & Brand Analysis Range Concept 10-11: Range Concept Range Plan 12-15: Range Plan Financial Plan 16-17- Finance Plan Marketing Activities 18-19- Marketing Plan Bibliography 20- Bibliography Appendix App 1: Trickle down/ Bubble Up Theory App 2: Brainstorm for Spiritual Nature Trend App 3: Fashion Process within macro-subjective and objective realms App 4: Roger’s Diffusion Of Innovations App 5: Porter’s 5 Forces Theory App 6: Competitor SWOT Analysis: Zara App 7: Competitor SWOT Analysis: J Brand App 8: Rag and Bone SWOT Analysis App 9: Like For Like Comparison Table: Skinny Jeans App 10: Like For Like Comparison Table: Biker Jacket App 11: Marketing Environment Diagram App 12: Consumer Segmentation Variables Table App 13: Rag and Bone Consumer Pen Portrait App 14: Ansoff’s Matrix Theory App 15: Rag and Bone Product Range Analysis App 16: Spiritual Nature Collection Pyramid Diagram App 17: Blog Post from Rag-bone.com App 18: Theodore Levitt’s Total Product Concept Theory: Skinny Jeans App 19: Spiritual Nature Price Architecture App 20: Sales Plan for A/W 2013 App 21: Phasing Sales Plan for A/W 2013 App 22: Channels of Distribution Diagram App 23: Press Release Layout for Spiritual Nature
Trend Direction The trend, “Spiritual Nature”, derives from the initial macro trend of E-wakening. This macro trend relates to a shift in consumer attitudes towards the planet. Consumers are becoming much more sustainably aware and are sensing the importance and urgency of taking better care of the environment. They will seek to find enlightenment from non-materialistic experiences through nature and spirituality. The trend is of a “Trickle-down” effect (appendix 1), as the range is inspired by cultural, social and environmental changes, and will begin at the luxury end of the market, through Rag and Bone. The adoption process for this trend will follow the process between Macro-subjective and objective realms, as displayed in appendix 3. In fitting with Rag and Bone’s target market and core consumer, the early majority will mainly buy into this trend, as well as early adopters. Soft information The starting point for Spiritual Nature was a cultural reference within the E-wakening macro trend. The imagery of film director and photographer, Sayaka Maruyama provided a visual foundation for this micro trend. Her work usually depicts her subjects at one with nature and their surroundings, with lots of leaves and foliage, in a multitude of colour over washes, creating a surreal and almost psychedelic look. Other artists such as Pierre Debusschere and Sofia Ajram also incorporate nature into their visual work, to create a magical aesthetic. This distorted and warped quality led to the overall look of the Spiritual Nature trend, which also looks back to the psychedelic florals and free-spirited atmosphere of the late 60’s, but combines this with the digital modern age. Looking back to the Free Love culture of the late 60’s, icons of style inspiration include Jimi Hendrix and particularly Janis Joplin, who mixed different textures and materials, and wore a lot of tie-dyed and floral prints. Rag and Bone 1
The Rain Room is a very popular exhibition at the Barbican, on until 3rd March 2013. The Rain Room invites visitors to “experience what it’s like to control the rain.” They then walk through a carefully choreographed rain down pour, and can take in the beauty of it, without getting wet. These types of experiences are going to increase over the next couple of years, as consumers will seek less commercial experiences. Over the summer, awareness for the planet will be re-sparked through blockbuster film, Elysium, telling the story of the world in 2159, where the wealthy population live on a man-made space station, whilst the poor reside on a ruined Earth. These cultural experiences mean that by autumn 2013, consumers will be ready for the Spiritual Nature trend. Spiritual Nature is set to be a slow-moving trend, fitting with the brand of Rag and Bone and their consumer, as this trend will be more focussed on style and design, rather than something too fashion-forward and daring; a fast fashion trend which will deteriorate quickly. As Rag and Bone’s target consumer lies between Early Adopters and Early Majority (appendix 4), the trend will be something which this customer will be happy to adopt, and feel brave enough about wearing. “20 Fashion innovators and 20 fashion followers were interviewed. The study showed that the pattern of adoption is different for the fashion innovators compared to the fashion followers. For example, 73.7 percent of innovators chose “feeling different” as the first, while 63.2 per cent and 89.4 percent respectively said “trial” and “to be fashionable” were the second and final steps. On the other hand, the pattern of adoption goes the opposite way.” (A. Cholachatpinyo, I. Padgett, M. Crocker & B. Fletcher, 2002) Rag and Bone 2
Hard Information One of the key elements of this micro trend is the fabric, with both the actual materials used and also the manipulation and effects given to them. Tie-dye and fabric manipulation techniques such as fraying and coating gives denim a new update with rubbed metallic finishes to natural dusky tones. Consumers will embrace this new look after an overwhelming past few seasons of floral and geometric prints. In fitting with the sustainable and environmentally aware aspect of the trend, new fabric innovations will be part of the Spiritual Nature trend, giving a luxury spin on sustainable clothing and helping Rag and Bone further a competitive edge over competitors, being one step ahead. These fabrics will include organic cotton and linen, silks, wools and more sustainable alternatives to polyester, such as lyocell. The colour palette for Spiritual Nature is varied, with some bold and some neutral shades, which have all been muted slightly to fit with the Rag and Bone consumer and aesthetic. One key colour for A/W 2013 included in the palette will be the Mulberry Wine purple. This tone is set to be hugely popular for the season, and the Spiritual Nature collection combines this colour with unique distorted tie-dye prints, on feminine dresses. Other colours have been taken from natural imagery of lakes, rocks and desert landscapes, as well as some from the work of Sayaka Maruyama. In relation to this new outlook on nature, the prints are all distorted and unclear, with surreal twists having been given to more traditional floral patterns and images of lakes and rocks. Key silhouettes include the flare dress, which will move forward from the popular skater dress, which has been a key shape from 2012. The simple a-line maxi dress will also be a huge trend for this season due to its basic shape and the ability to be dressed up and down easily. These dress shapes will be balanced with masculine and minimalist tailored pieces such as the statement blazer and sleeveless tux jackets. This combination of masculine and feminine styles will work well with Rag and Bone, helping contribute to its overall urban and modern aesthetic, mixed with a traditional emphasis on quality. Rag and Bone 3
In this day and age, consumers are seeking clothing which is not just practical and investable, but also makes a statement. Spiritual Nature is a trend which recognises and addresses both of these aesthetics- there are a combination of stand out prints, but these are balanced and given a sense of practicality through the minimalist silhouettes and netural shades within the colour palette.
Market Report Market Analysis & Competition
In recent years, there has been a rise in the development of premium and luxury denim brands, who have carved a niche into the denim market for quality and innovation.
“The US and global jeans market received positive growth rates of 3% and 2% in 2008 and 2009, respectively, 2010-2011 marked a return to strong growth. While overall apparel recorded positive value growth throughout the recession, jeans out-performed the wider market segment thanks to being one of the most versatile and consistent items of clothing in the American wardrobe.” (Wood, L. 2012) The success rate of these new premium denim brands alongside Rag and Bone- including J Brand, a main competitor in this market- is evidenced further through brands expanding into new markets. Both J Brand and Rag and Bone’s product offering now includes full Ready-to-wear ranges and other collaborations with clothing and accessories designers and brands. An article in the Financial Times quoted that “Luxury denim is a great market niche, it now represents around 20 percent of the $13.8bn US jeans industry.” (Paton, E. 2012) Rag and Bone 4
In the UK imports are predicted to increase by 6.7% over 5 years (Keynote, 2011). This will be of an advantage to the premium market, as consumers will be overwhelmed by cheaper, poor-quality fast fashion, and will desire well-made investment pieces. Evidently, the premium denim and designer clothing market is experiencing growth, which means for brands such as Rag and Bone, there are opportunities to increase business through new stores and new products. Despite the positive economic outlook, Rag and Bone must be aware of the threat of new entrants to the market and the threat of new products. (Appendix 5: Porter’s Five Forces). Consumers are a lot more fickle in this market and as it is harder for brands to maintain loyalty, they are always at risk of being abandoned for a new brand with a slightly different edge. This is why Rag and Bone need to be gaining greater global market share and increasing their product offering to keep their consumers satisfied. There is a lot of competition to Rag and Bone. These are presented on the Positioning Map of Competitors (fig 1). The map shows brands offering premium denim as their sole product- such as Current/Elliott and 7 For Mankind- and brands that include premium denim as a core product, including Burberry Brit and J Brand. The high street brands represent a large threat to Rag and Bone currently, as consumers now shop across different markets for clothing. Zara’s range of products and aesthetics are largely similar to Rag and Bone, and the strengths of the brand (Appendix 6) could easily sway a customer to purchase a lower-priced alternative from there as opposed to Rag and Bone. Top Shop also pose as a threat with their denim, as the depth of their jeans range extends to very fashion-forward styles, yet at a lower risk price for the consumer. One direct competitor and potential threat to Rag and Bone is J Brand. J Brand has labelled themselves as “a fashion leader”, having expanded to their own ready-to-wear ranges, as well as well-reputed collaborations with designers such as Christopher Kane. The brand’s position is evidenced further in (appendix 7). In order for Rag and Bone to have competitive
Fig 1: Brand Positioning Map
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edge over J Brand, they need to keep communicating to consumers, and deepen the relationships they have with them. As shown in Rag and Bone’s SWOT analysis (appendix 8) opportunities lie in increasing availability online globally, advertising more and potentially progressing and diversifying into new product markets. Through comparing current core products, it is clear to see Rag and Bone do have an edge over J Brand through their price range. Comparing a basic pare of skinny jeans (appendix 9) shows that Rag and Bone and J Brand use essentially the same blend of materials, yet J Brand charge £50 more than Rag and Bone. Although price is not necessarily as important in consumer decisions at this level of the market, if Rag and Bone are known for their high quality and offer a cheaper price than J Brand, the consumer is likely to choose them over J Brand. Two other key changes in the overall luxury marketing environment (appendix 11) can give Rag and Bone ideas for being a step ahead of their competitors. Firstly, seasons are becoming much less segmented, as the weather becomes more unpredictable. Designers and brands are now focussing on pre-season ranges and resort collections, as well as the main S/S and A/W. A recent article in Vogue cites, “According to Rogers, many high-end brands have started mirroring the high street (late April onwards), including Stella McCartney, The Row, 3.1 Phillip Lim, Alexander McQueen and Acne.”(Copping, N. 2012) Rag and Bone can in future respond to this by developing ranges to be bigger, and separating the seasonal collections into specific drops to distribution. The other key shift is in sustainability, which Spiritual Nature will help Rag and Bone address. In a recent New York Times article, PPR director Mr Zeitz, spoke of how he intends to make luxury immediately connote to sustainability. “Fashion is a logical place to start to raise awareness for sustainable causes… we should bring in an environmental attitude… luxury should automatically be about sustainability and quality.” (Menkes, S. 2012) Rag and Bone can catch onto this quickly with the collection and become a spearhead for this future-forward take on luxury. Rag and Bone 6
Consumer & Brand Analysis
Rag and Bone’s target consumer (see appendices 12 & 13) appreciates quality, practicality and style. The consumer is an early adopter of trends, however is more likely to buy into more daring trends on the high street, and purchases key items from premium brands, including Rag and Bone. When considering Val’s theory, they are experiencers mainly, however in recent years have shown traits of also being makers, with a greater awareness of our planet. The consumer purchases from Rag and Bone because they are guaranteed something easily wearable, luxurious and stylish. The brand values which Rag and Bone stand for (see fig 2 Brand Onion) are relatable and extremely important to the consumer, with an emphasis on value through quality products, and the laid-back attitude Rag and Bone adheres towards fashion and trends. This emphasis on quality and manufacturing is essentially the brand’s unique selling
proposition. The name Rag and Bone relates to the underpinning British roots of the New York-based label. The brand combines British tailoring with a New York urban style and attitude. The font used for the brand logo is simple, understated and quite work-related in a way. It conveys the unpretentious nature of the brand not trying to be anything over-fashionable or something fake. The lower case also links to it not trying to be an overpowering luxury brand such as Gucci or Prada. The stripped back interiors of the stores reflect the authenticity of the brand’s values. Each store has exposed brick walls, metal railings and overhead scaffolding with lights hanging. The pictures on display are in black and white and there is a very minimal look overall, with a touch of quirky unstructured style in the accessory stands and randomly
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Figure 2: Rag and Bone Brand Onion
Understated advertising campaigns
Laid-back
Manufactured in factory in America Urban
Re-do bestsellers in new fabrics e.g. biker jacket
Well-made clothing with commercial appeal
Consistent, stripped down interior in store
Unpretentious
Relaxed
Fun Affordable and accessible to a wide market
Approachable
Offer core basics alongside readyto-wear
Genuine
Tailored urban contemporary classics with a relaxed edge
Laid-back and authentic connection with consumers
Modern
Wide, accessible price spread
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Put on in-store events including performances by mucisians
Urban styles with classic tailoring Natural
Attitude Balance of hard & soft materials, neutrals & colour, prints & solids
angled shelving. There are sofas and areas to relax, emphasising the laid-back nature of the brand. Rag and Bone has so far built its reputation on being one which makes excellent quality staple pieces such as jeans and biker jackets. The brand used no advertising until A/W 2012, with Kate Moss as the face, in a simple print campaign. This seemingly quieter rise to popularity has led to the brand being well-respected for the foundation values of genuine quality. Promotional videos so far on Youtube only extend to backstage footage, immediately creating a more personal connection to the consumer than a mass advertising campaign. From comparing the various SWOT analyses and Like For Like comparisons, a brand strategy can be formed. There is no need to reposition the brand, as it is in a favourable differentiating position currently. The brand will extend its product offering through Ansoff’s theories of Market Penetration and Product Development. (Appendix 14: Ansoff’s Matrix). Rag and Bone can differentiate themselves further through using more sustainable materials in collections, whilst keeping the unique selling proposition of quality. At the moment this luxury sustainability is a niche in the premium market. The brand is also in a position now in which they could advertise more, and on a greater level, as they are established and well-reputed among the fashion industry. The product offering of basic core items could easily appeal to a wider market that are not so interested in fashion and trends, but appreciate quality, practicality and minimalist style. It is also important now that Rag and Bone is expanding its store count globally, that the online distribution channels reflect this. The brand needs to create an online flagship of which Asian and European countries can also purchase from. This will of course increase costs of shipping and transportation; however the profits returned will be far greater, as the brand picks up popularity in these countries.
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Range Concept The key quality of Spiritual Nature for Rag and Bone is that of balance. Jackson and Shaw claim “a critical issue in developing a range of products is to balance the width and depth of the range.” (2001) Not only this, but there must also be a balance between the creative and commercial aspects of the collection. With Rag and Bone, this balance is ever more crucial to the success of the range, considering the target consumer is fashionable, but not daring or an early innovator of trends. Another balance needed is that of urban edge, with a feminine quality. Marcus Wainwright said, “I think that’s a signature of our general inspiration for the brand when we’re designing collections; it’s all about the clash between hard and soft and uptown and downtown. That’s effectively the way girls dress in New York, the way our girl dresses. They’re not all done up and our girl is not necessarily all feminine either, but sometimes she is. I think that balance between the two is what we try to get out of the show.” (Wagenblast.P, 2012) In order to strike the balance of commercial and creative, the initial starting point of the Spiritual Nature trend- lots of bold prints and stand-out colours- was adapted to fit Rag and Bone’s consumer, and what they are ready for. Some colours were muted slightly, neutral shades were added into the palette, and there are pieces with all-over print, some print, and no print. There is a combination of bolder statement pieces with basic, core items. Each product- apart from the jackets- has at least two different colour/ print options; one being in a neutral shade, the other being in a brighter colour or print. This gives the range some depth as well as width. The collection pyramid (appendix 16) fully shows the width of the range, which matches with the intended high-end accessibility of Rag and Bone. The grunge maxi and flare dresses provide great party looks for the Christmas season. Rag and Bone 10
The leather jacket and statement blazer are new twists on bestselling classics of the brand (appendix 17). The vests, jeans and high-quality knits will be good volume drivers, particularly around the present-buying weeks of the Winter season. The items have less of a perceived “risk” associated with them to the consumer, as they know they will be worn. The prints themselves are images taken from artists mentioned in the trend direction, which have been distorted slightly to add to the intended psychedelic aesthetic, and to represent the idea of looking at nature in a new, deeper way. The materials used in this range are also critical to the sustainability of the collection. “The Earth’s natural resources are limited by the planet’s capability to renew them. Forests and harvested products are renewable over a number of years or months, provided that exploitation does not exceed regeneration. Fibre crops such as cotton and hemp and those based on cellulose from trees, such as lyocell, have the potential to strike the critical balance between speed of harvesting and speed of replenishment and to be renewable. In contrast, for fibres based on minerals and oil, there is a gross imbalance between rate of extraction and speed of regeneration (which for oil is around a million years); hence they are described as non-renewable.” (Fletcher. K, 2012) In order to achieve this possibility of being renewed quickly, only organic and natural materials derived from plants and animals will be used for the range; including organic cotton and linen, natural silk, wool and lyocell. These materials are incorporated into the typical product features and benefits of Rag and Bone (appendix 18), including being well-made and with a great fit. The intention from this is to put environmentally friendly and sustainable clothing in a new, fashionable light, with a luxury, well-made, tailored quality. This will not only help to influence other luxury brands to take more sustainable steps forward, but will place Rag and Bone in a more unique position among competitors, and add a further edge.
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Cream Cotton Vest Retail Price: £185 Target Cost Price: £37.00 Target Margin: 76% Mark Up: 5 Unit Buy: 500 Total Buy: £92,500 Attributes: 100% cotton
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Black Silk Vest Retail Price: £250 Target Cost Price: £50.00 Target Margin: 76% Mark Up: 5 Unit Buy: 500 Total Buy: £125,000 Attributes: 100% organic silk
Cream Asymmetric Drape Jersey Retail Price: £285 Target Cost Price: £51.81 Target Margin: 78.2% Mark Up: 5.5 Unit Buy: 400 Total Buy: £114,000 Attributes: 100% recycled polyester
Range Plan
Graphite Asymmetric Drape Jersey Retail Price: £285 Target Cost Price: £51.81 Target Margin: 78.2% Mark Up: 5.5 Unit Buy: 550 Total Buy: £156,750 Attributes: 100% polyester
Graphite Skinny Jeans Retail Price: £180 Target Cost Price: £36.00 Target Margin: 76% Mark Up: 5 Unit Buy: 400 Total Buy: £72,000 Attributes: 90% cotton 10% lyocell
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Graphite Rock Skinny Jeans Retail Price: £200 Target Cost Price: £40.00 Target Margin: 76% Mark Up: 5 Unit Buy: 406 Total Buy: £81,200 Attributes: 90% cotton 10% lyocell
Amber Rock Skinny Jeans Retail Price: £220 Target Cost Price: £44.00 Target Margin: 76% Mark Up: 5 Unit Buy: 350 Total Buy: £77,000 Attributes: 90% cotton 10% lyocell
Range Plan
Light Dusk Skinny Jeans Retail Price: £220 Target Cost Price: £44.00 Target Margin: 76% Mark Up: 5 Unit Buy: 260 Total Buy: £57,200 Attributes: 90% cotton 10% lyocell
Sun Knit Jumper Retail Price: £365 Target Cost Price: £66.36 Target Margin: 78% Mark Up: 5.5 Unit Buy: 340 Total Buy: £124,000 Attributes: 100% merino wool
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Graphite knit jumper Retail Price: £365 Target Cost Price: £66.36 Target Margin: 78% Mark Up: 5.5 Unit Buy: 350 Total Buy: £127,750 Attributes: 100% merino wool
Sleeveless Tux Retail Price: £395 Target Cost Price: £49.38 Target Margin: 85% Mark Up: 8 Unit Buy: 250 Total Buy: £98,750 Attributes: 60% cotton 40% organic linen
Range Plan
Statement Blazer Retail Price: £495 Target Cost Price: £61.88 Target Margin: 85% Mark Up: 8 Unit Buy: 200 Total Buy: £99,000 Attributes: 60% cotton 40% organic linen
Graphite Rock Flare Dress Retail Price: £400 Target Cost Price: £58.52 Target Margin: 82.4% Mark Up: 6.8 Unit Buy: 300 Total Buy: £120,000 Attributes: 97% cotton 3% lyocell
Ruby Flare Dress Retail Price: £410 Target Cost Price: £58.57 Target Margin: 82.9% Mark Up: 7 Unit Buy: 250 Total Buy: £102,500 Attributes: 97% cotton 3% lyocell
Ruby Flare Dress Retail Price: £410 Target Cost Price: £58.57 Target Margin: 82.9% Mark Up: 7 Unit Buy: 250 Total Buy: £102,500 Attributes: 97% cotton 3% lyocell
Lake Maxi Dress Retail Price: £695 Target Cost Price: £86.88 Target Margin: 85% Mark Up: 8 Unit Buy: 250 Total Buy: £173,750 Attributes: 80% cotton 20% lyocell
Range Plan
Panelled Biker Jacket Retail Price: £1,015 Target Cost Price: £126.88 Target Margin: 85% Mark Up: 8 Unit Buy: 200 Total Buy: £203,000 Attributes: 1: 100% leather 2: 100% cashmere Lining: 100% organic silk
Finance Plan
The entry price point for this collection is £180 for a core basic pair of skinny jeans. Basics are key volume drivers and will sell easily, therefore there is a low starting mark-up of 5 for these items, as the margin does not need to be so high. The mark-up then slightly increases depending on the product and price. The flare dresses have been given a mark-up of 6.8 for the grey versionas this neutral shade will sell moreand 7 for the ruby version. The ruby dress will cost slightly more to make because of the colour, and with the maxis, the amount of material is also considered. The most expensive and daring statement pieces have been given a high mark-up of 8, as these are forecast to sell the least, due to the design, colours and high prices. Overall, there is a varied range of margin to
reflect the wide price architecture. The highest price point in the range is £1,015, with an average price point of £385.29 for the entire collection. Rag and Bone have a relatively wide range in price in order to ensure that the brand is accessible to the younger age group of the target market, as well as the older. “...as they steadily expanded into new product categories, Wainwright and Neville were careful to strike the right balance between desirability and accessibility, offering items at both high and low price points. “We make clothes that people can afford and clothes that the market has an appetite for,” said Wainwright. “You can buy the very aspirational stuff, like $3000 shearling coats, or you can buy everyday items like T-shirts and jeans. There’s a little Rag and Bone 16
bit of everything for everyone.� (Cordero. R, 2012) Blazers and leather jackets are popular bestsellers for Rag and Bone. The boldness of the statement jacket and the high RSP of the leather jacket justifies a balance in units bought, related to two possible ways the consumer may choose to purchase; either a bold statement at a lower price, or an investment in a classic item for more expense. Rag and Bone’s Market Skimming Price strategy is justified by the high quality of materials used and the production methods. The margins are higher because of this, as well as the overheads of keeping up stores, transportation and wages. The company saves some cost through having a close operational relationship with their manufacturers and suppliers. The initial sales plan (appendix 20) shows a positive increase in Like For Like sales through each department of the range for this upcoming season. The phasing plan (appendix 21) states clearly that December will bring the most profit, with it being around Christmas, and with department stores such as Selfridges stocking the range, the brand will receive more foot fall from not just the target customer, but tourists and relatives shopping for presents. October will most likely be the quietest month, however the PR and advertising campaigns supporting this range will bring in business, and this will hopefully grow by November. As presented in the plan of distribution (appendix 22), the main flagship stores in each city will receive the most amounts of units each month, as it is crucial that as the main touch point for the brand, there is stock available. Each store will receive the full collection. This is to drive as much footfall into the actual Rag and Bone stores, enabling consumers to experience the brand in its fullest form, and to maximise on any extra potential sales. New York and London will be particularly busy, with New York being the home of the brand, and London being the only store in Europe. Seoul in South Korea is the newest and smallest of the stores, so this location will receive less units, especially in December, as only 41% of South Koreans are Christian and therefore celebrate Christmas. In December, Selfridges will increase in footfall and sales due to Christmas shopping. NetA-Porter will also receive more units this month as time-strapped customers will purchases presents and outfits for events on line. Some distributors will only receive certain items in the collection, explained further in the appendix. Rag and Bone 17
Marketing Plans
One key part of the marketing efforts for the Spiritual Nature collection will be the visual merchandising in all stores. As this was seen as an opportunity in the SWOT analysis, Rag and Bone can take advantage of an even better and more effective display for this new collection. The visual merchandising for this collection will include photographs of landscapes, flora, forestry and old festivals, in the same sort of frames used in store currently. There will be more flowers and these photographic images will not just be on the walls, but also the table displays as well. The visual merchandising will be consistent across all stores and department stores, in order to give the consumer the full experience of Spiritual Nature. As the idea of Spiritual Nature is to place sustainability and being more in-tune with the planet into a more luxury light, an app will be created for the collection in order for consumers and potential customers to see the full ideas behind the clothing. In order to not confuse distribution channels, there will not be an opportunity to purchase via the app, but links can direct users to either Rag and Bone’s main website in the US, or net-a-porter for the UK. The app will include a feature on the materials used and their origins, as well as a look book of the collection and an upload page for users to showcase their new purchases. A majority of the promotional mix will be utilised for the marketing of Spiritual Nature. As well as a print advertisement being featured in Elle and Vogue magazine, PR will also play a large role in the promotion. A press release (appendix 23) will be sent to major fashion publications, websites and blogs to raise awareness of the launch and new collection, a month ahead of the launch date. As the collection features some more statement dresses, celebrities who are already fans of Rag and Bone will be contacted and asked to wear them at an event.
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Social networks will be of importance, with the brand’s Twitter having a following of 76,251 followers, and the Facebook with its 176,531 fans. Updates will begin 3 weeks prior to the launch and will gather pace and continue through the season. Followers will be encouraged to upload photos of their new Rag and Bone pieces and will be asked for feedback, for example “favourite item from the Spiritual Nature collection?” One other highly important aspect of the promotional mix to be considered is personal selling; the “process” part of the marketing mix. Personal selling contributes to the overall store experience and therefore perception the consumer builds of the brand. “Many of the larger department stores such as Harvey Nichols and Selfridges will offer the assistance of a personal shopper, to help the individual with the whole retail experience. Some extend this through to personal styling advice; others, at the very top, tailor an individual VIP shopping and styling service for their best customers. In a world of increasingly bland service, especially in the UK where service has never been highly rated on any international scale, new levels of service provision may well be the next ‘fashion’ in fashion business differentiation. Currently working on the sales floor is not seen as an important role in fashion marketing. Good fashion marketers realise that it is here at the customer interface, the business is either won or lost.” (Jackson. T & Shaw. D, 2009) Staff will be briefed on the new collection, in order to be able to really explain the brand to customers. It is at this level that Rag and Bone can gain further competitive edge, if the experience is perfect. Overall, the aim of the new Spiritual Nature collection is to build effective relationship marketing, entice potential new customers, and to gain greater market share among competitors, due to Rag and Bone being a pioneer of a new movement in luxury clothing.
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Bibliography
Books Jackson. T & Shaw. D (2001) Fashion Buying & Merchandising Management. Hampshire. Palgrave. Jackson. T & Shaw. D (2009) Fashion Marketing. Hampshire. Palgrave. Fletcher. K & Grose. L (2012) Fashion & Sustainability: Design for Change. UK. Laurence King. Hines. T & Bruce. M (2007) Fashion Marketing: Contemporary Issues. 2nd Edition. Oxon, UK. Routledge. Posner. H (2011) Marketing Fashion. UK. Laurence King. Breward. C (2003) Fashion. Oxford, UK. Oxford Universtiy Press. Lobenthal. J (1990) Radical Rags: Fashion of the Sixties. USA. Abbeville Press Inc. Tungate. M (2005) Fashion Brands: Branding Style from Armani to Zara. London. Kogan Page Ltd. Rhodes. Z (2011) Vintage Fashion: Collecting and Wearing Designer Classics. London. Carlton Books Ltd. Raymond. M (2010) The Trend Forecaster’s Handbook. UK. Laurence King.
Online Articles Wood. L (2012) Business Wire. Berkshire Hathaway Company. Available from: http://www.businesswire.com/news/ home/20120703006041/en/Research-Markets-WeConnectFashion-USA-Jeans-Market-Research [Accessed: 22/11/2012] Paton. E (2012) Financial Times. USA. Financial Times Limited. Available from: http://www.ft.com/cms/s/2/2ad368f408a9-11e2-b57f-00144feabdc0.html#ixzz2D4B44JoT [Accessed: 22/11/2012] Menkes. S (2012) New York Times. USA. The New York Times Company. Available from: http://www.nytimes. com/2012/12/18/fashion/18iht-fsustain18.html?_r=0 [Accessed: 20/12/2012] Wagenblast. P (2012) Dazed Digital. USA. Dazed Group. Available from: http://www.dazeddigital.com/fashion/article/14418/1/exclusive-rag-bone-womenswear-ss13 [Accessed: 13/12/2012] Cordero. R (2012) Business of Fashion. USA. The Business of Fashion Ltd. Available from: http://www.businessoffashion. com/2012/09/first-person-rag-bones-wainwright-and-neville-say-focus-first.html [Accessed: 28/11/2012] Magazine Articles Copping. N (2012) Catch Me If You Can, Vogue.( Jan 2013) 60 E-journals Cholachatpinyo. A, Padgett. I, Crocker. M & Fletcher. B (2002) A Conceptual Model of the Fashion Process: The Fashion Transformation Process Model, Journal of Fashion Marketing and Management [Online] 6 (1) 11-23 Available from: http://www.emeraldinsight.com/1361-2026.htm Websites Magazines & Trade Publications www.wgsn.com Vogue www.rag-bone.com Drapers www.net-a-porter.com Marketing Week www.stylesight.com Dazed & Confused www.businessoffashion.com www.keynote.co.uk www.anothermag.com www.dazeddigital.com www.thesustainableangle.org www.vinemo.com www.youtube.com www.ft.com www.selfridges.com
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Appendix
Appendice 1
Trickle down/ Bubble up theory Taken from Jenkyn. S (2011) Fashion Design, Portfolio
Trickle down effect Exclusive high culture; film and pop stars Those who associate with them, early adopters Magazine and newspaper readers. Independent shops- first copies. Middle market- goods available on high street General public and low culturegoods widely available Mass dissemination Expensive versions appear in exclusive shops Fashionistas demand special versions Magazines, newspapers and TV notice the trend Middle market gives the trend a name Street fashion and low-culture groups
Bubble up effect
Appendice 2- Brain Storm for trend
Spiritual Nature
Starting Point I was particularly interested in the photography of Sayaka Maruyama. Her work explores the relationship humanity has with nature. Her images depict a spiritual connection with nature as her subjects always appear fully emerged, free and at one with their surroundings. I want to use this as an inspiration and starting point for my range for Rag and Bone. I feel this could be well-suited to the contemporary yet rock n roll image of the brand. The natural imagery and multi-coloured hues in the photography can link to the late 60’s and psychadelia, a time when humans were enjoying “free love”, bohemia and nature.
Cultural influences As Rag and Bone is a contemporary brand, I have researched contemporary photographers whose work has a sense of the 60’s and being at one with nature, further than Sayaka Maruyama. Marc Colle’s floristry has been hugely popular at recent fashion shows, and he has collaborated with photographers including Pierre Debusschere. I have looked at both artists’ individual work including the film by Debusschere “The Lake” shown at the bottom. Sofia Arjam also presents her subjects as being part of nature and her images have a slightly magical, surreal quality to them, placing the viewer in an almost dream-like state. I am also looking into music icons of the era including Janis Joplin as they very much influenced style, and psychedelic artists of this decade.
I am thinking of using these artistic influences and photographic images as inspiration for prints which could be used for parts of the collection, and as a starting colour palette. Historical Context I am researching into the styles and movements of the late 60’s/ early 70’s, the time of free love and psychedelia. The hippy trend was also in its prime and people were travelling, living a bohemian lifestyle and appreciating nature and humanity. I feel the spirit of this era would work well with Rag & Bone’s laid-back image. Political/Economical Rag & Bone are already doing well to limit their carbon footprint and also promote ethical manufacturing as all of their clothing is made in the USA in their factory. The name of Rag & Bone relates back to the earliest form of recycling, when a man would come and collect everyone’s rubbish in Britain back in the 1800s. I am visiting a Future Fabrics expo to get inspiration for new, higb-quality, yet more sustainable fabrics which could be used for this particular collection, to bring Rag & Bone’s sustainability forward. Some research resources so far and planned to use further: Anothermag.com - dazeddigital.com - Future Fabrics Expo 2012 - Lobethal. J, Radical Rags: Fashion of the 60s - thesustainableangle.org - Video: When Hippies Ruled The World - Owen.T, High Art: A History of the Psychedelic Poster Grunenberg. C, Summer of Love: Art of the Psychedelic Era - Keynotes - Film: Cubitt. S, Ecomedia - Breward. C, Fashion Phaidon, The Fashion Book - Jackson & Shaw, Fashion Buying & Merchandising Management - Brooks. A, I Love Your Style - ragandbone.com - vimeo.com - youtube.com
Appendice 3
Fashion Process within macro-subjective and objective realms Taken from Cholachatpinyo. A, Padgett. I, Crocker. M & Fletcher. B (2002) A conceptual Model of the Fashion Process
Social Issue- Consumers becoming more aware of the planet and seeking more enlightening and sustainable things Social Trends- The Rain Room exhibition, popularity in meditation and yoga, new “Soul Spin� exercise classes combining exercise with motivational talk, photographers increasingly involving nature more in work Roles of Media
Cluster of Lifestyles
Modification
Conformity
Anti-conformity
Alt. Dress
Macro-objective realm
Concealment
Adapt Dress
Escape Dress
Roles of designer, manufacturer and manufacturing
Fashion Trends
Accept Dress
Social, Cultural, Economic and Political Factors - Pressure for retailers and brands to adapt to environmental change, consumers spending money again steadily, consumers seeking investment and classic items in recession, rejecting material things and feeling overhwlemed by increase in technology being used, wanting to give something back to environment, well-being spiritually and physically
Macro-subjective realm
Appendice 4
Roger’s Diffusion of Innovations
Early majority 34%
Late majority 34%
Early adopters 13.5% Innovators 2.5%
Laggards 16%
Rag and Bone’s typical consumer are not particularly trend innovators, but are more early adopters of trends who take certain parts of current fashions, and incorporate them into their own classic style. The Rag and Bone consumer will adopt a trend once it has been innovated and toned down to be slightly more commerical and suitable for every day wear.
Appendice 5 Porter’s Five Forces
Threat of new entrants
Bargaining power of suppliers
Competitive rivalry within industry
Bargaining power of buyers
Threat of substitute products
The pressures which Rag and Bone need to consider mostly at this current time in the market place is the threat of new entrants and the threat of susbstitute products. The brand have a strong relationship with thei suppliers and so should not need to worry about being let down by them. Rag and Bone are always at risk of being forgotten because of a new start-up retailer or brand opening in the market, offering a slightly different niche. Rag and Bone can lessen the pressure and risk of this happening by continuing to expand their product offering and to offer a more unique selling proposition. Similarly, if a brand is offering the same sort of product but either at a lower price or with a greater material, Rag and Bone may lose out on custom due to this. By emphasising the quality of Rag and Bone’s clothing and the materials used in the new collection, Rag and Bone can reiterate the value being offered through their own products, rather than another brand’s.
Appendice 6
Competitor SWOT analysis: Zara Strengths Weaknesses • Have vertically integrated sup- • Brand have separate video camply chain paigns for mens, womens and kids • Meet consumer demand quickly ranges, but these are not widely and have on-trend pieces in store reached due to “no advertising polwithin weeks of design icy” and the videos only shown on • Established globally with sig- website nificant product offering • Home ware is not available on • Loyal customer base- has strong main clothing website relationships with consumers via • Range of products could be betFacebook and other social networks ter-edited; some can appear out of • Has taken advantage of mobile place and stand out for wrong reatechnology with two separate apps sons • Wide product category range• Some sizing isn’t clear and womens, mens, home and kids there isn’t always a wide range of • Highly accessible entry price size point • There are no defined distribution channels for the fragrance- it is difficult to purchase • The quality isn’t much better than other high street retailers, but the price can be higher Opportunities Threats • Have the potential to broaden • Consumers switch easier between advertising and increase reach brands and as other fast fashion, • Could integrate home and cloth- low price retailers gain more fashing websites- although keeping to ionability, brand is at risk of lostwo separate sites, there could be a ing customers link between the two to make a seam- • Product range is really similess shopping experience and maxim- lar to high end brand and designers, ise potential sales and consumers can always opt for the • Could provide a fit and size designer version, to make it known guide on line or within an app to they have the real thing help potential customers • Other high street competitors • Could deepen brand’s relation- offer lower prices, Zara must make ship with consumers through a blog- sure to maintain values other than bringing together the film, look book just the price and “street style” photography sections of website and furthering them
Although at the other end of the market level spectrum, being a high street brand, Zara is a large competitor to Rag and Bone. Consumers mix different markets in their wardrobes these days, and Zara are likely to offer incredibly similar styles to Rag and Bone for a much cheaper price. However, the quality of Zara is not always well-reputed and so consumers are also as likely to go for the Rag and Bone version, as they know it is worth the money and has greater value. Rag and Bone can gain greater competitive edge through emphasising the quality of the collections, incomparable with fast fashion brands.
Appendice 7
Competitor SWOT analysis: J Brand Strengths • Have labelled themselves as a “fashion leader” among the premium denim market • Have a large celebrity and fashion industry backing • Has collaborated with designers: Proenza Schouler in 2010, and Christopher Kane for A/W 2012 and Resort 2012 • Guest bloggers contribute to blog • Known for the denim giving one of the best fits; most talked about quality of the denim • Has launched sub-brands including a maternity line and “Blue Label”; targeted to women with a curvier figure • Launched J World- a website which consumers can upload their photos to Opportunities • Further collaborations with guest bloggers/ celebrities that love the brand • Advertising campaigns on Youtube/ TV, and more in print • Expand on publicity of fundraising and events
Weaknesses • Brand are stocked on many on line retailers and may run the risk of becoming too accessible • The ready-to-wear is still not as popular as the denim • The brand’s publicity is not far-reaching; certain charity fundraisers and initiatives, and collaborations have not been as popular as they could have • Do not note well where the brand’s products are manufactured
Threats • Rag and Bone offer similar styles and materials and have a high fashion ranking, but their entry point is also lower than J Brand’s • Rag and Bone have already become more popular for their readyto-wear collections. J Brand need to gain more competitive edge in this category
J Brand, like Rag and Bone, started as a premium denim brand in 2005, and has since expanded to ready-to-wear. They are similar in their main vision of offering premium denim of a high-quality and with emphasis on a perfect fit. They have even gone further with this key emphasis on fit by launching a maternity line and a label for curvier women. However, while all these initiatives are great routes of expansion, they could have been publicised better, further than their own website. The brand has put on a few events for charities, but these also have not been very popular or well-known. They could deepen their brand identity through doing this. The brand have done well to collaborate with designers and increase their fashionable image, however need to work on their own ready-to-wear lines first, and make their own fashion ranges popular, to gain an edge over competitors.
Appendice 8
SWOT analysis: Rag and Bone
Strengths • Has established and built reputation as a brand for high-quality tailoring and manufacture • Has direct control over manufacturing as majority is made in America in factories close by • Low carbon footprint • Large celebrity following and loyal customer base, particularly for core product: denim • Maintains distinctive urban contemporary style, without trying too hard to be fashionable • Currently expanding standalone stores globally • In tune with culture and pleasing a wide market- e.g. addressing Gay Pride event with window displays • Make efforts to help others through charity work- e.g. hurricane Sandy fundraising
Weaknesses • Only have a US on line store • Lack of key occasion pieces such as party dresses for Christmas in store for A/W 2012 • Some visual merchandisingparticularly on tables- seemed a bit too minimal and not exciting • Have yet to take advantage of full advertising possibilities- A/W 2012 campaign is first and extends to only print • Sometimes critiqued for vague inspirational references for readyto-wear collections
Opportunities • Could branch out on line to include UK and Asia currencies and delivery options, especially as there are now bricks and mortar stores in these locations • Potential to expand on product collaborations- e.g. Oakley sunglasses for S/S 2013 • Could do capsule collection with high street brand • Potential to diversify into other product areas -e.g. homeware, fragrance • Innovations of new materials and sustainable fabrics- could incorporate into product offering and present sustainable clothing in a new luxury light • Potential to extend reach through video/ online advertising campaign • Could extend digital presence in-store to more than just 2 monitors • Could increase in-store events with musicians & celebrities in new stores
Threats • Many contemporary brands offer similar pieces • Smaller denim-specific brands are gradually gaining popularity and collaborating with high profile designers • Mass market brands have become more innovative with design and quality, particularly denim • Other brands are branching out more and extending reach and market penetration through collection collaborations across different market levels
Appendice 9
Like for Like comparison: faded low-rise skinny jeans Price Point
Fabric
Added features
Diesel
£140
98% cotton 2% elastane
J Brand
£215
98% cotton 2% elastane
Angled cut seams for “iconic identity”. Higher back to provide extra coverage. Added stretch, popular in fashion industry and worn by celebrities.
Citizens of Humanity
£245
44% rayon 29% LA based label cotton 25% cupro with large Hol2% polyurethane lywood following of the brand.
Rag and Bone
£165
98% cotton 2% polyurethane
Made in LA. 5 pocket jeans.
Rag and Bone and Citizens of Humanity both offer brand values of a laidback, American attitude, with a high emphasis on quality. Polyurethane is used in both of the brands’ jeans, which is of a higher durability and overall quality than the elastane used in the other three brands’ products. Citizens of Humanity are purely a denim brand and therefore are more specialist than Rag and Bone. They use innovative and more uncommon materials as a unique selling point, and are able to charge a higher price for it. Top Shop offer cheaper options than the other labels, however it is still somewhere the Rag and Bone consumer may opt to shop for jeans. The brand’s denim offering has expanded rapidly over the past 2 years, to include more depth in their range, using a wider variety of materials, and providing something very fashion-forward. For the consumer this is a case of fast fashion; quality is sacrificed for an accessible price and perhaps a more daring and fashion-forward item than they would normally purchase. Like Rag and Bone, J Brand started as a purely denim brand and have now diversified into ready-to-wear collections. Their popularity and high-ranking status for the fit and fashionability of their jeans- and now clothing- mean that although the quality is essentially the same as Diesel’s, they can charge a higher price, as their products are much more on trend. Diesel’s quality of material isn’t of particular significance, however the fit, cut and attention to providing extra coverage at the back for when the consumer bends over conveys how much they have thought into the practical aspects of a consumer’s lifestyle, and a woman’s personality.
Appendice 10
Like for Like comparison: biker jacket Price Point
Fabric
Zara
£119
Material 1: 66% Looks very simpolyester 33% ilar to Rag and wool 1% elastane Bone version. Material 2: 100% cow leather
J Brand
£1,190
100% lamb leather Lining: 100% polyester Lining 2: 55% polyester 45% viscose
T by Alexander Wang
£470
Fabric 1: 61% rayon 29% nylon 10% spandex Fabric 2: 100% lamb leather
Luxuriously tailored, has connotations with Alexander Wang designer.
Burberry Brit
£1,095
100% lamb leather Lining: 100% cotton Sleeve lining: 100% acetate Filling: 100% polyester Collar: 100% shearling
Combination of luxurious materials, detachable shearling collar. Quilted detail on arm.
Rag and Bone
£1,325
Fabric 1: 100% wool Fabric 2: 100% leather Lining 1: 50% cotton 50% bemberg Lining 2: 100% rayon
Added features Featured on runway at New York fashion week. Unique style of layered materials.
Rag and Bone differ themselves from other brands in the table through the variation in style of this particular biker jacket. The leather is given an under layer of wool and through this the style is transformed. Both Rag and Bone and Burberry Brit have used a vast and luxurious combination of materials for these jackets, and can therefore position the product at a higher price point. The price sits at the higher end of Rag and Bone’s spread, however the consumer would purchase this for both its unique design, and that it could be worn many times. What is practical and adds to the versatility of the Burberry Brit jacket is its detachable collar, perhaps if the Rag and Bone jacket were able to separate it would increase the value as the consumer would be given two more ways of wearing the same piece. The Zara jacket is still of a high quality with the top layer being 100% leather, and there is still a good section of wool in the blend of the other material. It is the same sort of layered style as the Rag and Bone biker coat, and a lot less expensive. The Rag and Bone consumer may choose to purchase from Zara over Rag and Bone for this item as they look so similar, and the Zara jacket still appears to look expensive. It would be a staple item which would be worn a lot.
Appendice 11 Marketing Environment
MACRO environment
Internal environment
Consumers purchasing more online through apps and websites Rise in importslack of quality for a cheaper price
Luxury brands starting to take more sustainable initiatives in business
Premium brands collaborating with brands in other markets to create spin-off product collections Fast Fashion on the high street has resulted in demand for more from luxury brands
A slight overwhelming influx of technology
Rag and Bone expanding globallybuilding more flagships
Premium brands collaborating with high street chains
Strong relationships with suppliers and manufacturers Collaborating with other Distributing to more brands on accessories and homeware products retailers and multi-channel- through apps, online flag ships, online department stores and stores
Average age for getting first mortgage is 35 years old.
Brands expanding into fragrance, homeware and kids ranges- becoming inevitable
Despite recession there has been an increase in expenditure- however consumer likely to buy disposable items or investment pieces
Brands adhering to more, shorter seasons and creating more ranges
People taking longer to grow up and take responsibility..
Micro environment
Appendice 12
Segmentation Variables
Demographic Variables • Male and Female • Aged 20-35 • Generations X and Y • DINKYs, YUPIs and HEIDIs • Working in urban city areas, in media or fashion industries • Well-educated, possibly used to being in debts from university and is likely to spend on clothing and experiences rather than saving for a mortgage • Either starting out in careers and of a relatively low income but still wishes to purchases statement/ investment pieces from luxury brands • OR already has a high income and larger propensity to spend •
Psychographic and Behavioural Variables • Enjoys a busy lifestyle balancing work with other social endeavours such as going to gigs, out to dinner and parties • Work hard but one day aspires to have a more laid-back lifestyle with more time to appreciate less materialistic things • Is comfortable with themselves, however needs a couple of clothing pieces which denote class and style • Finds value in well-made clothing which is ontrend but will go with a lot of looks and will not go out of fashion quickly • Mixes high street with premium brands, may purchase online a lot to save time • Interested in and aware of fashion but isn’t a dedicated follower or a “victim” • Is independent and laid-back
Geographic Variables • Resides in popular, quite busy locations • City and urban places • Renting apartments • Large areas which are hubs of activity with potential for lots of social outings
Usage and Benefit Variables • Seeks products which will last for a long time and remain on-trend from premium and luxury brands • Goes to the high street for faster-moving trends which may be slighlty more daring and fashion-forward. Happier to take a risk in this market and for a smaller price. • Purchases a couple of key luxury pieces a month, and spends more regularly on more impulsive buys from high street stores. May also buy large quantities of basics from Top Shop or Zara. • Is less loyal to brands- will go for a cheaper price for a similar product. However, may go to certain brands for certain products- e.g. Rag and Bone for jeans.
The Rag and Bone consumer is very on-track with popular and indie culture, and is interested in music as well as fashion, often attending gigs and discovering new bands or musicians. The consumer is at a stage in their life where work is quite a major part of their lifestyle, and they will incorporate more casual or fashionable items into their daily work wear. They may work in the fashion, music and media industries.
Technology is a large part of this consumer’s lifestyle- whether for work or personal use, they are a part of social networks and online communities. They also purchase online and keep track of their favourite brands through Twitter, e-marketing and Facebook. This consumer shares large aspects of their life through photograph platforms such as Instagram and Tumblr blogs.
The consumer is an early adopter of trends and once a look has been innovated, they will purchase and adapt it into their personal every-day look. When place into VAL’s theory, they are experiencers- who spend regularly and largely on clothing, and need clothing to fit many different aspects of their busy lifestyles. However, these experiencers are also demonstrating more traits of makers, as they become more aware of looking after our planet. Being a well-educated Generation Y individual, and aware of fashion, the consumer appreciates high-quality and remains loyal to Rag and Bone for it’s well-tailored, yet edgy and modern pieces. Their Rag and Bone jeans are a staple, favourite item in their wardrobe and are worn a lot.
This consumer fits into either the DINKY (Double Income No Kids Yet) or HEIDI (Highly Educated Independent Individuals) bracket of life stage, and therefore has a larger propensity to spend on themselves. The Rag and Bone consumer mixes different brands from different market levels, and as well as purchasing jeans, knits and tees from Rag and Bone, may also shop in Zara and Top Shop for jackets and boots which will have a similar style aesthetic to Rag and Bone. For a more luxury purchase the Rag and Bone consumer may turn to Burberry, Chloe, Proenza Schouler or Balmain. Their motivations for purchasing are for self-actualisation and esteem, they are not afraid of dressing slightly different to peers and want to be one step ahead with the looks they put together.
Rag and Bone’s core consumer is aged 20-35, and is living in a city or urban area. The consumer is female or male, and leads a generally busy lifestyle involving work, going out and socialising. The Rag and Bone consumer is trend-aware, however doesn’t necessarily follow all fashion trends. They like to mix basic items with a few stand-out pieces which reflect their personality. They often wear urban and indie items such as ankle boots, wedge trainers, skinny jeans and biker jackets. Layering is also a key way of creating different looks, and clothing has to be practical as well as stylish.
Consumer pen portrait for Rag and Bone
Appendice 13
Appendice 14
Ansoff’s Matrix Existing Products Existing Markets
Consolidation or Market Penetration
New Products
New Markets
Market Development
Diversification
Product Development
In relation to Ansoff’s Matrix, the key areas in which the new A/W 2013 line will address is market penetration and product development, within existing markets. Rag and Bone may well be in a position to diversify into other markets, however they can still make some developments to their current products. The products will be developed in this instance by the introduction of some new, recycled and natural materials. The materials will be applied to similar designs and styles of previous ranges, to maintain a consistent aesthetic, however they will be approaching a whole new domain in fabric and this gives potential to not only capitalise on sales and single transaction value from existing consumers, but it also will entice new consumers, who are seeking more sustainable and environmentally friendly clothing, however are struggling to find this with the same luxurious quality found in the usual designer and contemporary markets. The aim of the product development is inevitably to lead to market penetration. The development through new materials will help to increase average spend and the amount of customers.
Appendice 15 Rag and Bone Product Range Analysis Number of options
Range Depth
Jeans
99
Dresses
12
Wide & deep- skinny, pencil cut, boot cut, flares in different prints/ colours
Tops & Shirts
17
More depth in colour choices
Tanks & Tees
25
Wide in style and deep in colour
Sweaters
14
Wide, 1 plain style comes in 2 neutral shades
Jackets & Blazers
17
Coats
6
Wide & deep- basic tux comes in 4 different colours. Mix of print and solid colour. Bikers come in few different materials.
Skirts
3
Narrow
Pants (trousers)
4
Narrow but deep
Total
198
Good balance- wide and deep. Could have more colours of basic pieces.
Mostly wide, 1 style coming in 2 colours
Wide but shallow
From analysing the product range on Rag and Bone’s online store it is easy to see the core basics of the brand which consumers are more likely to purchase. Jeans are an obvious one, as that is the foundation on which the brand is built and keeps the most loyal of customers returning. Their range of jeans mainly focuses on skinny- still being the most popular fit and the urban “rock chick” aesthetic of the brand- however there are also boot cut and flared options. Tanks and tees are another obvious core basic item, of which nearly each style has at least 2 colour ways. The biker jacket is one of Rag and Bone’s bestselling items and the brand have expanded on the standard leather option to include tweed and knit versions. The options of skirts and trousers are limited however this reflects the type of consumer Rag and Bone mainly attracts- someone who is perhaps too laid-back to want to wear a skirt, and may only choose to wear one for a special occasion. This is also reflective in the dresses, as although there are a variety of styles, only one style has 2 different colours available. The Rag and Bone consumer would purchase a dress from them for a special occasion and therefore would want to make more of a statement with the style. Overall the brand has a very good balance which fits the mould of their type of consumer.
Appendice 16
Collection Pyramid- taken from Business of Fashion
Top items: grunge maxi dresses and flare dresses. Middle: Vests, knits, blazers and statement leather jacket. Bottom: Skinny jeans
A recent article on the Business of Fashion website (http://www.businessoffashion.com/2012/12/the-basics-part-5-design-and-development.html) talks about building a collection pyramid, when running a successful fashion business. The article states that at the bottom of the pyramid are items which are the foundations of the brand and what it is associated with. These items are essential in the product offering and don’t change much each season. For Rag and Bone, this item is definitely the jeans. There are then the items in the middle, which are basic shapes and silhouettes which haven’t really changed each season, but are adapted to new trends through the colour, print and fabrics. In this case, the blazer- a bestselling item of Rag and Bone- and the vests and knits are shapes which have succeeded before, but have been adapted to the Spiritual Nature trend through the materials and colours. The top items are ones which draw more attention to the brand for design and creativity, and are more statement pieces, and more trend-led. These items can be featured in editorials or on celebrities. In this collection, the dresses make good top items, as they will draw attention to the brand and collection.
Appendice 17
Blog Entry from rag-bone.com
http://www.rag-bone.com/blog/2012/03/inspiration-hart-biker-jacket/ Inspiration: Hart Biker Jacket The Hart Biker Jacket is a firm favorite amongst the staff at rag &bone and is fast becoming a best-selling style. We asked Emily Diamondis, our Senior Knitwear Designer, to discuss the piece… Can you share the inspiration behind the Hart Biker Jacket? “We like to use a traditional woven garment and put it into knitwear so that’s where the concept came from. We then took the silhouette of a biker jacket and changed it into another format.” Why do you think it’s so popular? “I’d say the amazing yarn we used which is a yarn bound with another yarn which gives a great tweedy/ melange effect. We played a lot with the stitch and gauge to achieve the texture we were after. Then, of course, we added the leather so it’s taken away from the sweater world and into a shape that’s normally found in wovens. I also think the weight works really well for spring and summer.” Any plans to revisit it? “Yes, we’re actually doing the biker jacket again this fall but in a winter version.” Do you have any styling tips for the Hart Biker Jacket? “I’ve seen it been worn smartly with black trousers and it looks polished and chic. Personally, I wear with a white T-shirt, ripped black jeans and boots. But I think that’s the beauty of it, you can wear it lots of different ways – it looks great with a dress or shorts. It’s such an easy piece.”
Appendice 18 Theodore Levitt’s Total Product Concept for Rag and Bone low-rise skinny jeans Augmented product
Expected product
Perception of luxury and good value through quality
Good quality fabric- durable and long-wearing
Stylish, laidback and “cool” image
Good fitstretch and stiffness
£150-£250
Well-made tailored product with British roots
Rag and Bone low-rise skinny jeans
5 pockets detail
Basic yet stylish deisgn and dye Depth and high stock availabiltiy
Approachable- friendly staff and releaxed store atmosphere
Core product
Appendice 19
Price Architecture
£1,015 Leather Jacket
£585-£695 Maxi dresses
£365-£495 Knits, blazers & short dresses
£180-£285 Tops & Jeans
Appendice 20
Initial sales plan for a/w 2013
Dept
Actual sales ly
Planned sales ty % +/- V LY
Rationale
Tops
£432,000
£488,250
13%
Core items- volume drivers
Dresses
£510,000
£571,750
10%
Emergence of flattering flare dress trend
Jeans
£200,000
£287,400
30%
New prints, new fabrics, popular style
Knits
£195,000
£257,750
24%
New fabric and dye effect
Jackets
£330,750
£400,750
17%
New prints, classic items
Appendice 21 Phasing Sales Plan October
November December
Sales Units 1600
1800
2400
Sales %
31%
41%
28%
Total of 5800 units for collection Appendice 22 Channels of Distribution
Online
Net-a-porter. com
Retail
rag-bone. com
Sloane Square London
Tokyo
Wholesale
Selfridges, London
Madison Ave, NY
Soho, NY
Liberty’s, London
Melrose Ave, LA
Seoul, South Korea
As Rag and Bone is a global brand, it will be stocked accordingly. Each flagship store will distribute the collection as the footfall will be greater, and the store’s profile is higher. When considering online routes to market, Net-a-porter is a major distributor of Rag and Bone and the most-used online luxury seller. In addition to this, in comparison to other online distributors of Rag and Bone, the website’s aesthetic will be more in-line with the look of the collection. Selfridges and Liberty’s are suitable department stores to stock this collection, particularly because of the prints used, which would appeal to the Liberty’s consumer and may generate further potential sales from new customers to Rag and Bone. Selfridges will be a good place to sell many of the basic, core items, particularly around Christmas time, when footfall increases from consumers outside of the London area. The collection will be distributed globally to raise awareness of the new sustainable fabrics being used in the collection and to increase Rag and Bone’s competitive edge in every country it is sold.
Appendice 23: Press Release
Rag and Bone presents Spiritual Nature A/W 2013 Autumn/ Winter 2013 will see a new step forward for Rag and Bone, in not just style, but material innovation. Spiritual Nature is the new collection for the contemporary brand, and has been inspired by a new appreciation for nature and meditation, all mixed up with a touch of Woodstock-esque psychedlia. Rag and Bone is officially putting the word “sustainable” into a whole new light of luxury. Gone are the days when to be aware of our planet meant to wear only beige and green, in a mess of rags and dreadlocks. Taking the foundations of high-quality tailoring and genuinely fantastic fabrics which are all environmentally friendly, and mixing it up with surreal landscape prints, Rag and Bone are onto a new movement in fashion. Prices range from £180 to £1,015, meaning Spiritual Nature is accessible to all Rag and Bone fans. Launching in stores beginning of October, be set to take on a more Spiritual Nature. Please contact press@ragandbone.com for enquiries.