Bairdd courseprojectpart1doc by Dominica Baird

VOX DENIM

MADE

FOR

CURVES

LXFM M.A. FINAL PROJECT outline, timeline and research plan. DOMINICA BAIRD September 20, 2015 LXFM M.A. FINAL PROJECT lxfm 749 fall2015

Table of Contents

Abstract

Background

Project Outline

Research Design

Appendix

Glossary

References

Biographical Statement

Abstract The purpose of this research is to support a plan to create a line of denim bottoms fit specifically for hourglass and pear figures in sizes ranging from 8-24. Women who have curvy body types frequently complain about having problems finding clothing that fitsâ&#x20AC;&#x201D;particularly with pants. Furthermore, plus-sizes also grapple with fit issues in addition to the lack of fashionable, high-quality options in the marketplace. In order to determine the best product assortment and marketing plan, it is important to thoroughly examine the issues that affect this underserved customer that will prove there is a demand for the proposed products. This research will examine the factors that make it difficult for curvy women to find proper fitting pants, including lack of diversity in fit models and vanity sizing. It will also explore the reasons that the plus-size market has been marginalized by both society and the fashion industry. Despite the fact that 67% of American women fall into the plus-size range (generally sizes ranging from 14-24),1 the retail industry has been long-criticized for its lack of plus-sized options. The reasons for the categoryâ&#x20AC;&#x2122;s poor sales will also be examined. Once the need is established for the brand, further research will focus on the plus-size and denim market place in order to determine the competitive landscape and positioning strategy. Both primary and secondary research will be used in order to better understand the target customerâ&#x20AC;&#x2122;s product needs and buying preferences. 1

Bogenrief, Margaret. "Retailers Can't Ignore 100 Million Plus-Size American Women Forever." Business Insider. December 21, 2012. Accessed April 26, 2015.

The research questions that will be addressed are as follows: 1. Why is it difficult for hourglass and pear shaped women of any size to find pants that fit properly? 2. Why is the plus-size market underserved? 3. Why do plus-size clothing lines typically underperform sales expectations? 4. What is the feasibility of a line of denim bottoms targeted towards hourglass shapes in size ranges 8-24? 5. What is the right product assortment for this proposed brand? 6. What is the right competitive strategy for this proposed brand?

Thesis There is sufficient market need to support the creation of a denim brand specifically targeted to hourglass and pear figures in sizes ranging from 8-24.

Background A life-long struggle to find jeans that fit my hourglass figure was my inspiration to become a fashion designer. There seemed to be an opportunity in the market for jeans that addressed women’s different body types. Initially, working in the fashion industry provided me with a great deal of understanding of some of the factors that were causing me to have problems finding clothes that fit. My work with two design houses and numerous fit models provided me with some valuable, yet anecdotal evidence—none of the fit models looked like me. The fit models I had encountered were all apple or ruler shapes, I never once worked with a fit model who was a pear or hourglass shape. It became evident that this was why so many pants gaped at my waist—they were fitted on bodies that had larger waists in proportion to their hips. Further questions were posed when I considered how the company I was working for treated its limited plus-size offerings. There was no thought put into any of the plus-size styles, they were always a randomly selected straight size style that was made bigger, usually had sleeves added and offered in black. The head designers would openly talk about their disdain for the customers and my team was always instructed to hide the plus-size samples from the owner of the company because “he hated to look at them.” The negative attitudes towards the plus-size customer were perplexing because it seemed like a missed opportunity to increase market share. Research into the plus-size apparel category confirmed my observations. The increasing numbers of plus-size women was confirmed by a 2014 study conducted by

the Plunkett Research firm. The analysts found that the size most frequently worn by American women is now a 14. In addition, plus-sizes account for 67% of the population.2 Further research shows that it’s not just the size itself that is increasing, women’s bodies are changing as well. Studies have shown that women today have a more pear-shaped silhouette compared to previous decades. As a result, clothing for the lower body frequently has fit issues.3 Nevertheless, despite the fact the majority of American women are plus-size, plus-size fashions make up only 9 percent of the $190 billion annually spent on clothes.4 The lack of sales can be correlated to consumer frustrations. Numerous surveys of plus-size customers indicate the market is underserved and that consumers are disappointed with their lack of options. For example, an NPD poll reported that 62% of plus-size women have trouble finding plus-size clothing that they want. Another survey of 1,500 women revealed that 77% of respondents found it difficult to find “well-fitting garments.”5

Bogenrief, Margaret. "Retailers Can't Ignore 100 Million Plus-Size American Women Forever." Business Insider. December 21, 2012. Accessed April 26, 2015. 3

Alexander, Marina, Gina R. Pisut, and Andrada Ivanescu. "Investigating Women's Plus-size Body Measurements and Hip Shape Variation Based on SizeUSA Data." International Journal of Fashion Design, Technology and Education 5.1: 3-12. Print. 4

"The Funny Math of Clothing Sizes." The Business of Fashion. 21 Oct. 2013. Web. 26 Apr. 2015. 5

Lutz, Ashley. "The Plus-Size Industry Is On The Verge Of A Revolution." Business Insider. June 23, 2014. Accessed April 26, 2015.

Project Outline Table of Contents 1.0 Executive Summary 1.1 Business Overview 1.2 Critical Success Factors 1.3 The Market (opportunities) 1.4 Plan objectives 2.0 Company Description 2.1 Mission, Vision & Goals • Financial Goals • Non-financial goals • Background information on the business • Business Objectives • 2.2 Management Team 2.2 Product Description • Full-color flat sketches 2.3 Unique Characteristics / USP 2.4 Future Products • Extension into other types of apparel • Fully customized items using body scanning 3.0 Situational Analysis 3.1 Industry Profile 3.2 Market Economic Factors 3.3 Market Analysis Summary 3.4 PEST Analysis 3.5 SWOT Analysis 3.6 Competitive Analysis • Competitive Portfolio 4.0 Target Market 4.1 Segmentation • Demographics • Psychographics • Behaviors (Denim purchases) 4.2 Personas • Customer Lifestyle Board 5.0 Primary Research 5.1 Interviews • Bernadett Vajda • Gina Barone • Plus-size retail expert 7

5.2 Survey Results 6.0 Marketing Mix 6.1 Product 6.2 Price 6.3 Promotion 6.4 Place 6.6 Packaging 6.7 Positioning • Brand Positioning Matrix 6.8 People 6.9 Distribution Strategy 7.0 Promotional Strategy 7.1 Brand Strategy • Branding Mockups 7.2 Advertising and Promotion • Ad Mockups 7.3 Sales Strategy 7.4 Publicity 7.5 Promotional Events 7.6 Evaluating Marketing Efforts 8.0 Digital Strategy 8.1 Online Marketing Strategy • Display Advertising • Email Marketing • Pay-Per-Click Advertising (PPC) • Search Engine Optimization (SEO) • Social Media Marketing • Social Media Mockup • Viral Content Campaigns • Blogging • Blogger outreach • Contests • Mobile marketing 8.2 E-commerce Strategy • Website Mockup • App Mockup 8.3 Evaluating Digital Marketing Efforts 9.0 Management Team 9.1 Organizational Structure 9.2 Personnel Plan 10.0 Financial Analysis 8

10.1 Key Assumptions 10.2 Sales Forecast 10.3 Cash Requirements 10.4 Break-Even Analysis 10.5 Projected Financial Statements: • Cash Flow Statement • Income Statement • Balance Sheet • Ratio Analysis  11.0 Conclusion Appendix Works Cited

Bibliographyâ&#x20AC;Š Abnett, Kate. "Marina Rinaldi: Sizing up Luxury." The Business of Fashion. April 12, 2015. Accessed April 26, 2015. Abnett, Kate. "Reaping Plus-Size Rewards Online." The Business of Fashion. April 12, 2015. Accessed April 26, 2015. Alexander, Marina, Gina R. Pisut, and Andrada Ivanescu. "Investigating Women's Plussize Body Measurements and Hip Shape Variation Based on SizeUSA Data." International Journal of Fashion Design, Technology and Education 5, no. 1, 3-12. Banks, Libby. "Denim Still at the Cutting Edge of Fashion - FT.com." Financial Times. March 21, 2014. Accessed April 26, 2015. Bellafante, Gina. "Plus-Size Wars." The New York Times. July 31, 2010. Accessed April 12, 2015. Bogenrief, Margaret. "Retailers Can't Ignore 100 Million Plus-Size American Women Forever." Business Insider. December 21, 2012. Accessed April 26, 2015. Cussen, Mark. "Money Habits Of The Millennials." Investopedia. 2015. Accessed July 12, 2015. Conley, Sarah. "One Problem With Plus-Size Fashion: Customers Aren't Buying It." Time. August 21, 2014. Accessed April 26, 2015. "Denim Jeans: State of the U.S. Market." Cotton Inc. October 1, 2011. Accessed April 12, 2015. Hampp, Andrew. "Momentum & AEG Live Study Details Millennials' Brand Reception at Music Festivals: Exclusive." Billboard. July 16, 2015. Accessed August 22, 2015. "Jeans in the US." Euromonitor Passport. May 15, 2015. Accessed July 12, 2015. Kaplan, Michael. "Fashion Should Take Plus-Sizes Seriously." The Business of Fashion. November 25, 2013. Accessed April 26, 2015. Keiningham, Timothy, Lerzan Askoy, Alexander Buoye, and Bruce Cooil. "Customer Loyalty Isn't Enough. Grow Your Share of Wallet." Harvard Business Review. October 1, 2011. Accessed August 23, 2015.

Kissane, Bernadette. "Jean Blues?--What Is the Future of Denim in the US?" Euromonitor Passport. May 28, 2015. Accessed July 12, 2015. Koger, Susan. "Op-Ed | Serving Women of All Sizes Has Business Benefits." The Business of Fashion. April 12, 2015. Accessed April 26, 2015. Landsman, Stephanie. "Hey Millennials: Time to Start Spending Already!" CNBC. February 8, 2014. Accessed July 12, 2015. Lewis, Robin. "Millennials: Double Trouble for Retail." Forbes. April 30, 2014. Accessed July 12, 2015. Lockwood, Lisa. "Panel Laments Plus-size Challenge." WWD. November 24, 2014. Accessed April 12, 2015. Lutz, Ashley. "The Plus-Size Industry Is On The Verge Of A Revolution." Business Insider. Business Insider, Inc, 23 June 2014. Web. 26 Apr. 2015. Marshall, Janinine. "Denim Industry Encouraged by Millennials." The NPD Group. May 20, 2015. Accessed August 16, 2015. Mason, Nicolette. "Fashion Needs to Drop Its Elitism and Accept Plus-Size." The Business of Fashion. April 15, 2015. Accessed April 26, 2015. Meltzer, Marisa. "Plus-Size Fashion Moves Beyond the Muumuu." The New York Times. December 31, 2014. Accessed April 26, 2015. Merkin, Daphne. "The F Word." The New York Times. August 21, 2010. Accessed April 12, 2015. "Millennials Fueling the Experience Economy." Eventbrite. September 1, 2014. Accessed August 22, 2015. "Millennials: Breaking the Myths." Nielsen. 2014. Accessed August 22, 2015. "NPD Group Reports Size Matters to American Women." NPD Group. September 10, 2012. Accessed April 26, 2015. Schawbel, Dan. "10 New Findings About The Millennial Consumer." Forbes. January 20, 2015. Accessed July 12, 2015. Sender, Tamara. "Plus-Size Is a Huge Growth Opportunity." The Business of Fashion. April 12, 2015. Accessed April 26, 2015. Silva, Tom. "In Search of Millennials." The Huffington Post. October 24, 2013. Accessed July 12, 2015. 11

"Sizing Up The Plus-sized Market: Segment Up 5 Percent, Reaching $17.5 Billion." NPD Group. June 30, 2014. Accessed April 26, 2015. "Social Influence: Marketing's New Frontier." Crowdtap. April 1, 2014. Accessed August 22, 2015. "The Funny Math of Clothing Sizes." The Business of Fashion. October 21, 2013. Accessed April 26, 2015. Thoma, Marie E., and Rajeshwari Sundaram. "Comparing Apples and Pears: Womens' Perceptions of Their Body Size and Shape." Journal of Women's Health 21, no. 10 (2012): 1074-081. Walker, Rob. "Big Is Beautiful: Plus-size Gathers Momentum." Euromonitor Passport. January 21, 2014. Accessed April 12, 2015. "Why Is the Fashion Industry Ignoring the Plus-size Market?" The Business of Fashion. April 12, 2015. Accessed April 26, 2015. Zoeller, Stephen. "Millennials Marketing: How to Market to Millennials Effectively Stephen Zoeller's Marketing Blog." Stephen Zoeller. December 1, 2014. Accessed August 22, 2015.

Deliverables • Full-color marketing plan in e-book format • Website homepage • App • Sample ad • Sample social media post • Hangtags • Linesheets • Storefront • Shopping Bags

Methodology Research Questions: 1. Why is it difficult for hourglass and pear shaped women of any size to find pants that fit properly? 2. Why is the plus-size market underserved? 3. Why do plus-size clothing lines typically underperform sales expectations? 4. What is the feasibility of a line of denim bottoms targeted towards hourglass shapes in size ranges 8-24? 5. What is the right product assortment for this proposed brand? 6. What is the right competitive strategy for this proposed brand?

Research Approach Qualitative Research: • Interview Bernadett Vajda, New York based image consultant and plus-size model • Inquire about any difficulties she faced as a plus-size model • Ask about fit issues that she and her clients face • Ask about what brands and strategies in the plus-size market work vs what do not

• Interview Gina Barone, co-director of Select Division at Wilhelmina Models • Gain insights fit about model’s body-shape diversity • Inquire about the demand for plus-size models

• Ask about the pressures faced by non-straight size models

• Interview a retail professional who has experience selling plus-size fashion • Inquire about his or her insights as to why many plus-size brands sell poorly • Ask about fit issues his or her clients face • Ask what they think it would take for plus-size brands to be more successful

Conduct a survey to determine the difficulties they face in finding proper fitting clothes, if they feel pressured by any outside source (such as vanity sizing or media images) to only purchase certain sizes. Also determine what factors go into their denim purchases. Goal: 100 responses.

Potential Survey Questions: • What is your body type (hourglass, pear, apple, banana, etc..) • Have you ever experienced problems finding the proper size and fit? • Do images of very thin models affect your shopping habits or body image? • Are you aware of sizing inconsistency between brands? • Are you aware of vanity sizing? If so, does it affect the way you shop? • How many pairs of jeans do you own? • What is the most you would spend on a perfect fitting jean? • How often do you wear jeans? • What are your favorite denim brands? • What do you like about your favorite jeans?

• What are the most important factors impacting your denim purchases? • What retail channels do you prefer to use to purchase clothing? • How do you learn about new clothing brands—magazines, social media, blogs, etc..?

Quantitative Research: • Use existing research to determine how many women have hourglass shapes • Research the effects of how vanity sizing and the unrealistically thin ideal body affect women’s buying habits

Primary Research: • Plus-size model / image consultant interview • Model agent interview • Retailer interview • Survey

Secondary Research: • Use and expand upon the book and journal sources found in the annotated bibliography • Market / Competitive research—including competitive brand portfolios, pricing and channels • Use course materials from Media Bistro’s Digital Marketing Boot Camp to prepare digital marketing plan

Research Plan What do I need to know?

Why do I need to know this?

What kind of data will answer this question?

Where can I find this data?

Whom will I need to contact for access?

Why is it difficult for hourglass and pear shaped women of any size to find pants that fit properly?

In order to best determine how to deliver a product that will solve the problem

Industry insiders, sizing research, body-type research

Primary and secondary research (peerreviewed studies).

Modeling agency interview (fit model insights), Plus-size retail specialist interview.

Why is the plussize market underserved?

In order to Industry insiders, determine what the market research, obstacles will be to surveys enter the market.

Primary and secondary research (data on difficulties facing plus-size brands, articles on plussize stigma in fashion industry)