Marketing report by Ellen Wray

Ellen Wray - 3241204 Unit title: Professional Practice, Code: FTY651 Promotion Pathway Submission Date: 27/01/14 Title: 2000 Word Marketing Report

Contents

Introduction

The Mother brand

Brand Pyramid

Brand Positioning - Mulberry

SWOT Analysis - Mulberry

Launching the sub-brand

Brand Positioning

Primary Research

The sub-brand Consumer

The sub- brand identity

MULBERRY DESKTOP

Branding

15, 16

Promotional Strategies

17, 37

Overview

Appendix

40, 84

List of Illustrations

85, 86

Bibliography

Introduction

“Mulberry is an English luxury brand inspired by the cool of the city and the craft of the countryside.” The brand focuses on craftsmanship, innovation and the use of beautiful high quality materials creating products to last. Mulberry already have a range of notebooks and technology cases however the range is small and doesn’t stand out from it’s competitors. Therefore making a hole the market for my sub-brand Mulberry Desktop to fill. It will include a large range of functional yet stylish leather cases and stationery. For the benefit of this report the research will focus on the existing mother-brand, Mulberry, outlining it’s brand identity, its product and it’s consumer in order to find any missed opportunities. After identifying these I will adopt the role of brand director and launch a sub-brand that will address the gap in Mulberry’s market. I will outline the sub-brands visual and corporate identity as well as briefly outlining the new product offering. I will also construct a consumer profile and consumer analysis. The last part of the report will be an integrated promotional strategy. This will include a series of promotional strategies suitable for the sub-brand. This will coincide with the launch of the new sub-brand and how the product will get to market.

The mother-brand Mulberry

Securely placed in the luxury accessory market, Mulberry seemed the perfect fit for a mother-brand. It is a classic British heritage brand working with the best craftsmen and materials to create beautifully made leather goods. Mulberry’s brand identity is quirky, humble yet super stylish, very different to other loud luxury brands that focus on being ostentatious.

Mulberry’s market share is relatively small. It’s a brand with a loyal customer base and continues to involve it’s consumers through videos and social media. It’s product range is relatively small compared with it’s competitors who offer just clothing and accessories, handbags serving as the most lucrative earner. Mulberry’s consumer is a variety of people from all ages 21- 80 and from all backgrounds. It all comes down to the attitude of the consumer, therefore possessing a high level of disposable income, increasing likelihood of investing in high quality goods. They are a person who loves British brands, often in a well paid job meaning they can afford good quality well made products. (See appendix 7)

Brand Pyramid

The brand pyramid outlines the market levels and illustrates what level Mulberry and the sub-brand are in. Mulberry is at the Ready to Wear market level, shown in the brand pyramid below. (See appendix 1).

Haute Couture

Chanel, Valentiono

Ready to wear

Mulberry and Sub-brand

Middle Market High end High Street Whitles, Cos

Mass Market High Street

Topshop and H&M

Value Market, discount retailers Primark, Peacocks

Brand Positioning Map

From the brand positioning map below Mulberry’s perception along with it’s competitors is identified. (See Appendix 2). Mulberry’s competitors are all British luxury heritage brands. (See Appendix 3.)

Brand Positioning Map - Motherbrand Fashionability High 6

Price Low

Price High

Fashionability Low

SWOT Analysis of Mulberry

The SWOT below explains Mulberry’s strengths, weaknesses, opportunities and threats. (Reference appendix 4) All of the above initial research has helped me understand what is missing and what sub-brand Mulberry would benefit from. Ansoff’s model and SOSTAC both used to develop and find a hole in the market. (See appendix 5 and 6)

Strengths •USP- quality and British heritage •Emma Hill as previous creative director •Well established brand with a large celebrity following •Great marketing strategies – Mulberry Is know for it’s fashion week parties. •Good price for the quality of the product •Strong customer service – no pretentious feeling when entering a store. •Well developed and recognisable brand image

Opportunities

Threats

•Technology is on the up •Competitors lack fashionability •Target the international market •Has potential and demand for a diffusion range targeted at a younger market at a cheaper price point. •Could develop it’s technology range a lot further •Consumers want items that will last and that are good quality

•Made in Britain – Not 100% but this could change to everything being made in Britain. Still a selling point •Emma Hill leaving Mulberry however her replacement may bring a fresh take on the brand •Sales aren’t growing as fast – my sub-brand may help this. •Weather is so unpredictable, which affects how people shop. The product on offer needs to be trans-seasonal.

Launch the sub-brand

Situation Analysis To help develop the sub-brand I have created a SWOT and brand positioning map of the competitor Smythson.

SWOT Analysis of Smythson

Strengths

Weaknesses

•Huge range of products •Personalisation Service •Heritage behind the brand •Craftsmanship •Unique Design •Royal Endorsement •Samantha Cameron – Creative Director

•Doesn’t do clothing

Opportunities

Threats

•Could develop the brand further

•Is the notepad market still in demand or is it all digital? Curr ently people are still writing on paper however there is a big increase on tablets being used.

•Consumers always need cases and purses/ handbags •Could develop further into the gift market

•Traditional more than fashionable •High price point

•Technology is constantly developing therefore Smythson needs to keep current.

From extensive research into Mulberry the main opportunity for the brand I believe to be is a desktop range. From technology cases to notebooks I will be launching this sub-brand filling the hole in the market. I believe this will be highly successful, they currently have a small limited range of desktop products however they don’t stand out from it’s competitors. The new range will be a lot larger and more functional.

Brand Positioning Map

The brand positioning map below reinforces my SWOT analysis findings, with regards to a big gap in the desktop market for functional luxury products. The sub-brand would therefore fill said hole.

Brand Positioning Map - Sub-brand Functional High Sub-brand

Price Low

Price High

Functional Low

Primary Research

In order for the sub-brand to be successful I carried out a questionnaire on survey monkey to a range of consumer segments. The questionnaire will further help to identify valuable customer information, for example; consumer behaviour, industry opinions. From this I can also gain valuable information on consumer behaviour, what makes them buy and what their opinion is on luxury brands. The first time it was sent via email the age range was very limited to just 18- 24. Even though consumers cannot be solely grouped on their age, they do tend to have similar attitudes. Therefore I needed to reach a wider audience to create a variation which I received by 11 emailing more participants. From the overall response the answers were very positive towards the luxury market, reassuring that money is still being spent despite the current economic situation. However it does depend on a consumer’s disposable income. The key findings from the results are: •Quality is a key factor of what consumers are looking for in a luxury product •Exclusivity is a big attraction to a luxury brand – small quantities of each product or a capsule collection in collaboration with an artist. •Price point of £300 maximum •Out of any designer items accessories were the most popular product consumers would buy The results have been helpful although the sample size was small causing a limitation it still managed to give me an insight into what consumers are looking for. (See appendix 9 for results)

The Sub-brand Consumer

The target consumer for the sub-brand has very similar attitudes to the Mulberry consumer, however they are more up to date with technology. Consumer profiles and consumer segmentation methods were used to discover the brandâ&#x20AC;&#x2122;s target consumer. (See appendix 6) The Lauterborn model is very much the same as the 4 Ps (See appendix 8) just worded with the customer in mind first rather than the product. The 4 Cs is much more suited for Mulberry Desktop brand as we put the customer and the consumer first. 12

Brand Identity

A brand onion is the best way to identify the sub-brands essence, values, personality and touchpoints. Each have been illustrated below. (See appendix 7) Launch parties Strong shop VM Social media posts Fun promotional strategies in-store shop in shop

Brand Touchpoints Brand Personality Brand Values

Fun, quirky and luxurious. Organised, 13 understated and very humble.

Brand Essence

Quality, functional and luxurious. Appeals to all ages. Men and Women

British craftsmanship with a quirky edge creating highly functional desktop products

MULBERRY DESKTOP

USP - Unique Selling Point Well crafted leather goods that are functional yet highly stylish Mulberry Desktop is a range of leather-crafted goods. Each product will support and protect the item within it, along with other secret pockets and useful detachable straps. The design will be kept as stylish and as streamline as possible. The range will include: 14

• Laptop cases (for all models and sizes) • Tablet cases (for a range of sizes) • Phone cases (different sizes and shapes) • Pencil cases • Notepads

The Logo and Branding

Keeping the brand essence and values in mind the logo was designed which will be used across all branding including the packaging and swing tags. Mulberryâ&#x20AC;&#x2122;s brand identity is very low key and humble, which links very well to their brand essence as itâ&#x20AC;&#x2122;s important that the brand differentiates itself but not so much that it segregates itself from the mother brand. Therefore adopting current customers, emotional associations to the brand, but adding an aspect of differentiation. This will be in the colour way, still using the same Mulberry font and tree logo. (See appendix 10 for initial logo designs) 15

The Logo

The Logo and Branding

The bag

Swing tags - slotted into the products

rather than attached

Promotional Strategies

The promotional strategies outline how the sub-brand will get to market and create brand equity. The sub-brand will have a strong promotional mix through utilising an integrated marketing plan. Promotional Objectives: •Encourage a 20% sales increase of the sub-brand and Mulberry brand •Create brand awareness amongst the whole audience segment •Communicate USP •Remind •Reassure •Create/ reinforce brand image throughout and evaluate a year after the launch (See appendix 11 for definitions)

Time plan

The time plan graph illustrates each stage of the brand development and how it will increase the brand equity. By 2015 the brand equity will have increased massively due to the promotional strategies.

Brand Ambassador

Celebrity endorsement can be highly valuable to a brand therefore I have chosen Harley Viera Newton to represent MULBERRY DESKTOP. An American model and DJ who was born in the U.K. and epitomises British quirky chic style. Her look and attitude fits perfectly with the MULBERRY DESKTOP brand. Harleyâ&#x20AC;&#x2122;s contract with us will include her blogging and tweeting about the brand as well as using the products and being photographed with them. Although this will be overt endorsement she fits the brand so well to the public it will be seen as covert. (See appendix 12 for celebrity endorsement)

Fig 4

Press Release

(See appendix 14 Press release)

Digital Marketing & Social Media

The mother brand’s social network is lacking in interesting content and often just includes the products. The posts are usually the same across each site which doesn’t necessarily entice the reader. MULBERRY DESKTOP will have a range of social media platforms. Including: Facebook, Twitter and Instagram. Each one will take a different approach to connecting with the consumers and promoting the brand. The blog will be connected to the main website on which you can buy the products, see how they are made and browse other content. All social media will be interlinked with links to the other pages on each site. All social media channels have a different style, for example with Facebook people like more text and photos whereas Instagram is just images. Weibo will be used to reach out to international consumers, (the equivalent of Facebook and Twitter) The content will be similar but slightly different and language appropriate in order to appeal to the different market. Direct marketing will take place in the form of emails, having access to Mulberry’s data on their current customers is a great advantage I can therefore employ data management tools to segregate out the sub-brand’s specific audience and thus conduct an email marketing pipeline. This can also support the product launch, launch party information and further touch point for customers. The Collaboration with The Royal Society for the Protection of Birds (RSPB) will also feature across all social media as well as MULBERRY DESKTOP having a feature on their sites as a form of free advertising. The social media manager will be in charge of each site working with Mulberry to increase promotional reach. Social media will constantly be reviewed. (See appendix 12)

Fig 5

Facebook

MULBERRY DESKTOPâ&#x20AC;&#x2122;s Facebook will be used primarily as a portal for customers to write reviews good and bad, share their new purchases through uploading images. It will also be an outlet to launch competitions. Content will be posted twice a day at peak times (10am to 4pm) (Smith, B (2013). Social Media Today. (online) therefore maximising customer interaction. Posts will support events and other goings on of the brand to help generate buzz.

Twitter

Twitter will be used to share silly facts and quotes all tweeted by the Mulberry Birds which will feature within the campaign. Tweets will be posted a few times a day which wonâ&#x20AC;&#x2122;t overload readers but keep them interested and raise the brand awareness.

Instagram

The Instagram page will be another way for consumers to share images of how they use their MULBERRY DESKTOP. It will contain fun light-hearted but relevant photos, which will be posted at least 3 times a day. Images are a lot stronger than words and with Instagram photos can be posted more often without annoying the viewer. To some extent posts across all social media channels will be uniform.

The Website

The website uses very much the same layout as the Mulberry site however it has a different colour scheme separating the two brands. There will be a link to the blog and all social media channels. The blog will include content on how the products are made and competitions as well as other brand news. Having both the website and blog together will work as an advantage as the consumer can search the products, shop and explore the brand further also keeping the campaign integrated.

Collaborating with RSPB

X Fig 6 26

Collaborating with a charity is a big advantage for both brand and Charity. It will lighten the image of MULBERRY DESKTOP making it much more human and accessible. It will create a high amount of brand awareness as RSPB is very well known and MULBERRY DESKTOP is not as of yet. For RSPB it will add a stylish appeal and attract a new range of donors. RSPB is the perfect fit for MULBERRY DESKTOP. Both British, a nature charity fits well with MULBERRY DESKTOP’s brand essence and values along with it’s love of countryside. Making a brand appeal to a different type of consumer, a charity enhances a brand’s image. The collaboration will be long term with a percentage of the profits from the collection going to the charity, as well as other events in the future to support and bring awareness to both the sub-brand and RSPB.

The Launch Party

Mulberry is famous for itâ&#x20AC;&#x2122;s Fashion week parties as they already have a great reputation for their parties, I plan to use this as an advantage for the Launch of MULBERRY DESKTOP and create a launch party but with a difference. I plan to hold only one launch party for which all editors, buyer and bloggers can mix it giving them a chance to network whilst viewing the new brand. The aim of the launch party is to get the press excited about the new brand, to create a buzz and brand desire.

The Launch Party

The RSPB collaboration will form a strong theme to the launch party as birds play a big part in the MULBERRY DESKTOP identity.

The Location The launch party will be held at the Wetlands Conservation London. Itâ&#x20AC;&#x2122;s totally out of the box to what a fashion brand would usually do. The wetlands often works with RSPB, therefore fitting well with the theme. 28

Guests will be transported to the location by MULBERRY DESKTOP buses on which there will be drinks and music. With the WIFI on the bus guests will be able to chance tweet and Instagram, publicising the launch. Once the guests have arrived they will have a chance to look around before walking across a candle-lit bridge to the floating building which will be specially built for the event. Mulberry trees will line the entrance covered in decorative birds. Guests will then get to view and try out the new collection.

The Launch Party

Pies and Cocktails Food and drink will be served hand picked to link to the brand, mini British pies and wildflower martinis. As MULBERRY DESKTOP is British it fits perfectly. Menuâ&#x20AC;&#x2122;s illustrated below

The Launch Party

Entertainment

Music is a vital part to the launch party and our brand ambassador Harley Veira Newton will be DJing. Our social media manager will be posting regularly enabling followers who arenâ&#x20AC;&#x2122;t at the party to be involved. 30

The Launch Party

The guest list Press editors and buyers from department stores will be invited along with loyal customers. Below is the guest list

The Launch Party

The Extras Little touches will add that extra wow factor to the launch.

• Goodie bags – including beauty products, mini bottles of Absolut Wild Tea, A Mulberry Desktop phone case (personalised for each guest), the look-book • Mulberry Trees with decorative birds each with a label for guests to write on. A Mulberry Desktop wish tree • Owls for guests to hold. The Mulberry Desktop birds making an appearance • A mystical magical location for Londoners to escape to

Fig 9

Fig 10

Fig 11

Campaign - The Mulberry Story

The aim of the campaign is to grab viewers attention, increase consumer numbers and generate sales. It will launch just after the party and after fashion week this way magazines will no longer be writing about the catwalk shows keeping the focus on the brand. The campaign will feature the MULBERRY DESKTOP birds as Mulberry has a strong nature link. It will be a quirky fun story all about the products. The birds will be using the tablets, phones and laptops encased with the MULBERRY DESKTOP products. It will be a 2D printed campaign as well as a stop frame animation with a mix of collage and illustration. For this MULBERRY DESKTOP will collaborate with fine artist Ben Giles. The campaign will feature on the website, social media sites as well as in magazines such as Vogue and Elle. The 2D print will have a QR code to scan and readers will be taken to the site which will play the animation. (See appendix 11, 15, 16) Below is an example of the look-book layout.

Campaign - The Mulberry Story

After the launch of this campaign I will assess the effectiveness. (See appendix 16)

Shop in Shop

Instead of having a standalone store MULBERRY DESKTOP will have a shop in shop in each of the Mulberry stores as well as concessions within the big department stores.

Visual Merchandising

Customers will enter the shop through the Mulberry store taking them through our motherbrand and gaining new customers for each brand rather than isolating them. The shop layout will include a technology wall featuring our website and social media feeds, bringing in a contemporary and interactive element. The product will bring colour and the MULBERRY DESKTOP birds will feature throughout the store. Below is the shop window and stop layout.

Shop in Shop

The Shop layout

Shop in Shop

Personalisation Service As part of the new store opening a personalisation service will be a big feature. Customers can personalise their purchases with a hand written message or drawing embroidered onto the lining. This will be a free service which will generate sales. This aspect of the service will be clearly advertised across all promotional material.

The Concessions

The concessions will feature in the main department stores starting in the UK and eventually overseas. They will follow the same layout as the shop in shops and carry out the same level of service. The retail price of the product will be restricted so that the retailers cannot significantly undercut sales from Mulberry stores.

Overview

MULBERRY DESKTOP was created to fill that gap in the luxury accessory market where function isn’t something designers think of. It will be highly functional and super stylish. The great product range along with the promotional strategies will increase brand awareness making MULBERRY DESKTOP a highly desirable brand. In keeping with the Mulberry brand image but with a differentiation of fun, functional and stylish that will make the sub-brand stand out against its competitors.

Brand equity will constantly be measured, reviewed (through sales figures and social media followers, retweets, comments, likes) and in order to keep it increasing brand equity future promotional strategies will include: • Charity Auction of a collection in collaboration with a famous artist • MULBERRY DESKTOP shops to expand overseas • More technological savvy cases for example built in charges • Interactive billboard adverts MULBERRY DESKTOP will continue with its current promotional strategies along with new ones (above) introduced in the future I believe it will be a highly successful sub-brand adding to the mother brand.

Appendices

Appendix 1 Brand Pyramid- Basic Hierarchy of fashion

(Posner, H. (2011). pp13) The brand pyramid determines what market level your brand is in. It also shows the market share of each section. In this Pyramid the Value Market holds the biggest share. Mulberry is in the Ready to Wear section which holds a relatively small part in the market share, this is not unusual with luxury brands. Trends bubble up from street fashion and youth culture as well as other cultural subgroups travelling though the hierarchy of fashion, eventually reaching the top when expensive designers versions are created. Alternatively there is a trickle down affect in which trends dictated by Haute couture and high end fashion filter down to the mass market.

Appendix 2 Brand Positioning Map

A Brand Positioning or Perceptual Map allows you to identify a gap in the market against a brands competitors. There is a lot of options on what the axes can be. After trialling a few I decided to go for simple axes that allows me to find a definite gap. A brand compares itself to itâ&#x20AC;&#x2122;s competitors depending on price point, quality and product.

Identifying a brands competitors

Appendix 3 Identifying a brand’s competitor is vital. All brands have competitors and it’s important to keep up to date with what they are doing in order to have an advantage. A brand’s view on their competitors may be completely different to that of a consumer. A brand’s view is highly aspirational. Mulberry’s competitors are Burberry, Aquascutum and Barbour all being British luxury brands. Despite having slightly different price points. They all have keys items that are iconic to the brand: Burberry and it’s trench, Barbour and it’s waxed jacket and Mulberry and it’s handbags. 42

Analysing the sub-brand’s competitors further allows me to identify what they are doing well and not so well. In order for us to fill that gap. Smythson, Aspinal and Ording & Reda being the sub-brand’s main competitors. They all seem to focus a lot more on the aesthetics rather than making the products functional. For a luxury brand with the high price point the product should be functional as well as aesthetically pleasing.

Appendix 4 SWOT Example

Appendix 4 A SWOT Analysis Stands for Strengths, Weaknesses, Opportunities and Threats. A SWOT assesses a business/ proposition. Itâ&#x20AC;&#x2122;s a subjective assessment of data and helps with decision making. The analysis also enables pro-active thinking. Overall it will help to develop and improve a business. A SWOT can also be done on the competitors which enables a brand to compare them and see what they are doing differently. (Posner H, Marketing Fashion pp99). 43

SWOT Analysis

Appendix 4 Below I have produced a SWOT on Mulberryâ&#x20AC;&#x2122;s competitor AQUASCUTUM.

Marketing Models

Appendix 5 SOSTAC gives a great outline of where we are now and where we want to be? Situation Analysis (where are we now?)

Mulberry is a well known luxury brand, number 8 according to Drapers survey results of the top luxury brands.

Objectives (where do we want to be?)

Mulberry aims to be a well known international brand with a vast product range.

Strategies (how do we get there?)

Mulberry will achieve this through developing itâ&#x20AC;&#x2122;s current product offering further and promoting it.

Activities, actions and analysis (what we do and how we measure it) Mulberry will outline a strong promotional strategy along with a time plan.

Control ( evaluation of activities and feedback)

Mulberry will carry out a series of questionnaires on itâ&#x20AC;&#x2122;s customers to gain feedback on whether the developments are having a positive or negative affect on the brand.

Appendix 5 Ansoff’s Matrix

1) Market Penetration: Mulberry’s Iconic handbags - advertise and market to the

international market. To increase spend products will be marketed together as in ‘get the look’. Prices will also be increased. Product range will be increased in size and colour range.

2) Market Development: Expanding to the international market, especially

within the BRIC countries, where they have a high disposable income. 46

3) Product Development: Enlarge and develop the current technology brand

as a sub-brand MULBERRY DESKTOP

4) Diversification: developing more functional.

current product for example an IPAD case making it

Both of the above models link to my mother-brand well however they aren’t very relevant to my sub-brand as they are mainly tools for an existing brands to use.

Appendix 6 Consumer Profiling

Understanding who your consumer is highly important to any business. It means you can position the offer to appeal to the target market, through the product design There is a difference between the consumer and the customer. A customer buys the products and a consumer uses it. For example a mother (customer) buying a toy for her child (consumer). In this case the product needs to appeal to both the consumer and the customer. Not all consumers are the same, they may be the same age but their attitudes can be totally different. It all comes down to consumer segmentation. The segmentation variables are: Demographic - includes the consumerâ&#x20AC;&#x2122;s age, occupation and life stage. Geographic is where the consumer lives. Geo-demographic is a mix of where the consumer lives and who they are. Psychographic is how the consumer thinks and behaves. These variables help to develop a consumer profile, which are highly important to a brand. Having a consumer in mind we are able to create a product that appeals to them. Consumer profiles are made up of an image map and pen portrait.

Appendix 6 Consumer Profiling - Mulberry

Appendix 6

Consumer Profiling - Sub-brand

Appendix 6 Alexandra is a high-powered businesswoman. She lives just outside London and commutes in every day. Her job is her main focus in life and she is determined to be as successful as she can be. With a large disposable income Alexandra enjoys the finer things in life. Good quality and craftsmanship are always key. She only buys designer and expresses her personal style through handbags and jewellery mixed with her smart work wear. She looks for style and function when shopping. At the weekends she relaxes by taking her dogs for walks and going to the local pub with friends. She also enjoys yoga and trips to the local spa. Her beauty routine is high maintenance as she enjoys getting her hair done regularly and buys into designer brands make-up ranges. Alexandra buys her food from the local farmerâ&#x20AC;&#x2122;s market, she wants to support local shops. This is the same with her clothes although she only buys designer the majority of them are British. She loves the heritage behind brands, the quality of the design and all the little details. Alexandra has a group of girlfriends who are all very like-minded, single and hard working. Alexandra enjoys socializing and often hosts dinner parties.

Appendix 6 Consumer Profiling Sub-brand

Appendix 6

Appendix 6 Consumer Profile

Appendix 6 Alana has recently moved to London to start a graduate position in fashion buying. She cycles to work which she sees as her form of exercise and prefers it to getting on a cramped tube. Originally from Bath she is enjoying the big city but does miss the countryside. She returns when she can to ride her horse. She lives in a small apartment with friends she grew up with. Alana mixes masculine and feminine clothing and loves a statement accessory, which are usually designer, she has a large handbag collection as a huge fan of British style she supports the made in Britain movement by buying into the ranges. Zara is her favourite high street shop. Alana likes to be stylish, but understated; she doesnâ&#x20AC;&#x2122;t like to stand out. Quality is a very important aspect when Alana is shopping. She has a low maintenance routine when it comes to beauty and often has a natural look. Her style icon is Alexa Chung. She spends her weekends with friends, shopping going to galleries and drinking cocktails. She is very sociable the life and sole of any party. Alana often attends fashion events, which she finds great for networking as she aspires to be as successful as possible. She has been brought up with technology all around her so frequently uses her Ipad at work and to shop online. Coming from a wealthy background and the fact she has a wellpaid graduate job allows her to have an expensive lifestyle. She buys organic food, as she believes itâ&#x20AC;&#x2122;s healthier and better for the environment.

Appendix 6 Customer Segmentation

Appendix 6 Customer Segmentation is a way of working out who your customer is and everything about them. By using four main segmentation variables, see below.

Posner, H. (2011) pp99

Appendix 6 Customer Segmentation Sub-brand

Appendix 6 Demographic Variables •Female •20+ •Mix of generations •Life stage – stable job, independently supported. DINKY S and HEIDIs •Well paid job possibly creative •Good Education •High disposable income •Middle class

Psychographic and behavioural variables •Lifestyle – Active, healthy and enjoys the countryside •Social aspirations: To be as successful as possible in their careers •Self image – Stylish and understated •Value perceptions – wants high value, good quality •Purchasing motives and behaviour – purchase products to last the test of time •Interests and hobbies – enjoys long walks, running and visiting art galleries •Attitude – strong environmental attitudes, enjoys socializing and quirky products

Appendix 6 Customer Segmentation Sub-brand

Geographic Variables •Region – London/ South U.K. •Suburban / Urban •Residential location – Town house •Large City – London •Climate – Very seasonal warm summers, wet and cold winters

Usage and Benefit Variables •Benefits sought from products – shoe of wealth / status – protection of technology •Usage rates – everyday •Volume of purchases – small number of purchases per customer as products are made to last •Price sensitivity – sits in line with competitors and the current Mulberry brand pricing strategy •Brand loyalty – strong brand loyalty with customers who buy a lot of items •End use of product – to protect and be functional

Appendix 7 Brand Onion

Posner, H (2011). pp147 The brand onion shows the brand identity. Branding is the process in which a brand image gets and stay in your head. Enables a company to connect with itâ&#x20AC;&#x2122;s consumer. Brand Identity is intangible. You cannot directly assign a value to it. You cannot touch it, hold it, hear it, watch it move however you can touch a logo on a handbag but a brand is so much more than a logo. With a strong brand identity a product can be recognisable from simply a colour. It describes the brand essence and values. It also builds brand awareness. A brand is something that carries emotional associations to the customer, what they feel when they wear a certain brand etc. A brand is a set of mental associations, held by the consumer, which add to the perceived value of a product or service. Keller (1998) With MULBERRY DESKTOP itâ&#x20AC;&#x2122;s humble, British heritage, luxury aspects, that the customers feel when they wear and buy the brand.

Appendix 7 Mulberry’s Brand onion

Mulberry’s brand onion illustrates it’s touchpoints, personality, values and essence.

Good returns policy Strong promotions Fashion week parties Strong celebrity following recognisable advertising - fairytale and fantasy. Luxurious packaging and labels. Social media and videos allows the consumer to step inside the brand Sales person - not overly pretentious British craftsmanship quality, luxury brand. Appeal to a huge range of men and women.

Brand Touchpoints Brand Personality Brand Values

Fun and quirky. Understated and very humble.

Brand Essence

‘British Luxury inspired by the cool of the city and the craft of the countryside”

Marketing Models

Appendix 8 The four Ps is a model that companies need to keep in mind when developing a brand. The marketing mix is highly important.

Product: difference in sizing, seasonal changes, variations in climate and colours. Price: differences in import duties or taxes. Place: retailers may operate from shopping malls and department stores. Promotion: for some markets, a standardised campaign can be used - if a global campaign is used, some subtle changes will still be made by the brand. (Greenwood- Lea, G (2013) pp138)

Appendix 8 Lauterborn model - Cs

By changing the Ps into Cs Lauterborn shifts the emphasis away from product, price, place and promotion onto the consumer.

Customer needs and wants instead of product Cost to the customer instead of price Convenience instead of place 58

Promotion instead of communication (Posner, H (2011) pp48)

Appendix 8 The 4 Ps

MULBERRY DESKTOP Product: The customer wants quality, value and a fashionable product. It also needs to

be functional and protective. The consumer will use the product to protect their laptop, tablet and phone they will also use the notebook and stationery items.

There will be a large range of colours, textured leathers and shapes within the range. The products will be under the name of MULBERRY DESKTOP as a sub-brand it will be separate to the Mulberry brand and marketed on it’s own but in keeping with the Mulberry style. The differentiation will be that the product range will be large and much more functional compared with it’s competitors.

Price: To the buyer the product value is high. It will be made from a high level of

craftsmanship and quality. Price points will be at the same level as Mulberry’s current prices. The price will match/better the competitors

Place: Can be bought online, or in-store in a shop in shop style. Stand alone and

concessions in department stores. UK and abroad.

Promotion: Advertising with a campaign, newsletter, social media, website, billboards. Through PR and direct marketing through emails.

Appendix 9 Questionnaire results

The following graphs show my primary research results, I sent out to a range of ages from 18 - 60 making a varied sample of results.

Appendix 9 Questionnaire results

Overall I feel my questionnaire was very successful and I was able to identify key features my consumers are looking for within the sub-brand or a luxury brand.

Appendix 10 Logo Ideas

The MULBERRY DESKTOP logo went through various colour schemes and font styles, but after development I felt that the original Mulberry text was most suitable. In terms on the name of my sub-brand Mulberry Desktop was the perfect fit. Simple and descriptive. I chose a coloured background in the end as this will work well for the packaging, although with the simple white text. The orange colour was my original idea and this could be used for Autumn/Winter with the lighter green as Spring/Summer branding. The green I felt worked really well. After researching colour in the book color psychology and color therapy it talks a lot about the meaning of the colour green. Colourâ&#x20AC;&#x2122;s can have many different meanings negative and positive. Green gives off a fresh, growth and hopeful vibe. All words that link to the sub-brand.

Appendix 11 Promotional Objectives

•To encourage sale increase •To create brand awareness •To communicate USP •To remind and reassure existing Mulberry and MULBERRY DESKTOP consumers of the new brand and all of its offerings. •To create/ reinforce brand image •To modify attitudes/ perceptions I employed SMART to the promotional mix: 74

Speciﬁc, for example to increase sales Measurable, for example, any increase in sales can be identified Achievable, for example, a discount coupon will encourage customers Relevant, for example, a discount coupon will be welcome in a recession. Timed, for example, the campaign will run over specific dates (Lea-Greenwood, G (2013) pp11) The diagram below shows the seven factors that come under the promotional sector of the four Ps marketing mix.

Appendix 11 Advertising

Fashion advertising is a form of promotion used to persuade or encourage an audience to continue or take a new action. It raises awareness which informs and persuades consumers to ultimately generate sales. Advertising is considered to be â&#x20AC;&#x2DC;above the lineâ&#x20AC;&#x2122; activity, which means that it is clear to the consumer where the information originates from. It consists of paid- for communication from company to company or consumers. Traditional methods of advertising (TV Radio Billboard etc.) are expensive, but more modern methods are very cost effective and targeted. E.g.. Google ad-words, Facebook ads. Paid for advertising on other websites that share similar target audiences. It communicates its message through film, image or written word. Advertising is very important to any brand as it creates desire for the brand and its products it also communicates brand identity. Forms of advertising include: TV/Cinema & digital Radio Internet Outdoor advertising e.g. Billboards Print media - magazines as technology develops there has been a fall in print advertising as itâ&#x20AC;&#x2122;s costly and has been significantly impacted by recent technological advancements. (See also appendix 15)

Appendix 11 Public Relations (PR)

PR is a marketing activity which generates publicity. Working alongside advertising aiming to gain media coverage in order to create brand awareness and therefore generate sales. PR can either be done in house or undertaken by an outside agency. According to the Institute of Public Relations, it is defined as the â&#x20AC;&#x2DC;planned and sustained effort to establish and maintain goodwill and understanding between an organisation and its publicâ&#x20AC;&#x2122;. (Smith, T (2013) PR presentation) It costs money for a company to have a PR function but there is no direct cost to the brand for an image being shown in the media as part of a fashion story. 76

PR tools include: Product placement Celebrity gifting Coordinating samples Liaising with journalists and brands

Appendix 11 Visual Merchandising (VM) and Sales Promotion

VM is not just the window but the whole look of the store and it’s layout. How a brand is perceived through the store layout, shop window and store displays. The retail environment is also known as the ‘silent salesperson’ and has to communicate the stores message through music, layout, imagery and atmosphere. It’s highly creative with department stores such as Selfridges, Harrods and Bloomingdales in New York attracting people from all over the world to be inspired. Mannequins and props are highly important for the shop look and feel because they can translate the style through how they are dressed the pose and overall look. Sales Promotion are in store activities which may include short - term discounts to stimulate the demand of the brand. Such as a 10% flyer when customers purchase an item or a buy one get one free offer. Sales promotion and Visual Merchandising will take place within MULBERRY DESKTOP shop in shop.

Appendix 11 Personal Selling and Direct Marketing

Personal Selling is the use of sales personnel to communicate with potential customers. This could be through wearing a certain uniform for clothing from the shop and give off the brand essence through how they present themselves. Direct Marketing consists of mail shots, emails, SMS and QR codes, all of which have relevant and interesting content some of which may have offers. These are all ways of attracting customers and generating sales. They are also very easy to measure, carry segmentation capabilities and leverage the current audience base of Mulberry. 78

Appendix 12 Digital Marketing & Social Media

Assessing how successful our social media is crucial. I will achieve this by analysing the page views, referral traffic, engagement through likes, comments, re-tweets, replies and brand mentions. Sales will be measured by YOY (year over year), or by checking sales figures 1 month after a specific marketing activity has been utilised. Brand awareness success will measured by sending out a customer survey, via email to a range of customer segments.

Appendix 13 Celebrity Endorsement

Celebrity Endorsement, extracts taken from Fashion Marketing and Communication. There will be a contract, which may preclude the celebrity from something as simple as cutting their hair or as complex as ‘bringing the brand into disrepute’. The costs of this type of arrangement are obviously greater than for other types of endorsement, such as making favourable comments about a brand in the press for a one-off fee.

Unpaid endorsement occurs when a celebrity wears the brand because they like it. The celebrity is normally given merchandise to wear at an event. This is called ‘gifting’. One cost can be that the brand may be brought into disrepute if the celebrity behaves badly. Covert endorsement (where it seems that the celebrity has chosen to wear a brand) Overt endorsement (where the celebrity is paid) Word-of-mouth recommendation is a very strong and credible tool. The cult of celebrity is everywhere. (Lea-Greenwood, Gaynor (2013) pp75)

Appendix 14 Press Release

Press releases: These are some of the most frequently used PR tools. They usually consist of one A4-sized sheet containing brief details of a â&#x20AC;&#x2DC;newsworthyâ&#x20AC;&#x2122; item, such as the launch of a new collection by a designer, together with contact names and numbers of the Fashion PR account director or in-house manager. These are circulated to all editors who might have an interest in publishing the story.

(Bohdanowicz, J and Clamp, L (1994) pp140) 81

Appendix14 Press Release

Press release example (Lea-Greenwood, Gaynor (2013) pp65)

Appendix 15 Advertising

WHY ADVERTISE? • Communicate brand identity and brand message. • Establish brand position. • Embed specific meanings into consumer’s psyche. • Tap into consumer aspirations. • Create desire for the brand and its products. Advertising MULBERRY DESKTOP will be done throughout it’s social networking however the campaign will feature in all well known fashion magazines. There will be a full page spread of the campaign it will have a QR code link which readers can scan and be taken to the MULBERRY DESKTOP story animation and the website. Product placement will be part of the contract with the magazines. Therefore the products will be reinforced to the reader throughout the magazine as advertisements can sometimes be missed. To make sure the ad is as effective as it can be it needs to be considered in terms of its reach (how many people within the target market are exposed to the ad over a marked length of time) FREQUENCY (the number of times someone is likely to view that advert during the same time frame. (CPT) COST PER THOUSAND also need to be looked at: • Advertising costs can be measures by CPT • The average cost of reaching 1000 target audience. • If the cost of a double page spread in Vogue is £200,000.00, to calculate the CPT, divide the cost by the circulation number (1.2 million) and multiply by 1000 . • £200,000/1.2millionx1000=3166perthousand Pegg, A (2013) Advertising The CPT can be used to work out which magazine is cost effective for MULBERRY DESKTOP’s campaign.

Appendix 16 Advertising Effectiveness

To assess the effectiveness I will measure the awareness of the brand before and after the campaign launch. If the awareness of the brand has increased it means the campaign was very effective thus increasing brand equity. The Mulberry campaign will: • Increase consumer loyalty • Increase brand awareness • Increase customer range • Improve sales 84

Opportunity to see (OTS) Is the frequency of exposure to an advert. Another way to measure the effectiveness. OTS figures are gathered by surveying, interviewing or having members of the target audience keep diaries as to how many times they find themselves exposed to an advert. Average OTS gives a figure to indicate how many people have had an opportunity to be exposed to an ad. Gross OTS - A cumulative figure for the campaign is found by adding together all the different OTS figures for individual ads that make up that campaign. (Pegg, A (2013) Advertising) I would measure the OTS by survey my target market when reading the magazines that my campaign will feature in for example Vogue and Elle. Advertising will partly contribute to the promotional objectives by creating brand awareness.

List of Illustrations

Fig 1: Front page image- Wray, E. (0nline image) Available: http://instagram.com/p/ cZHEGVyoWZ/. Last accessed 18th Nov 2013. Fig 2: Page 8. Martinez, L (online) Available: http://mttmnyc.com/blogs/mobblog/7445376-dreaming-of-spring-2013-spring-handbags. Last accessed 20th Nov 2013. Fig 3: Page 16: Wray, E (ed) http://www.barrypackaging.com/green-paper-bag-with-flathandles-932.html. Last accessed 2nd Jan 2014. Fig 4: Page 19: (Online) http://itsyowyow.com/2011/10/07/snaps-for-a-snapshot-fashionweek-3/. Last accessed 27th December 2013. Fig 5: Page 21: https://about.twitter.com/press/brand-assets. (Twitter). http://slant. investorplace.com/2013/10/fb-facebook-stock-video-advertising-goog/ (Facebook). http:// www.honorslounge.com/2013/10/10/spice-up-your-social-media-5-instagram-accountsyou-need-to-follow/ (Instagram) Fig 6: Page 26: RSPB logo (online) http://www.birdwatch.co.uk/channel/newsitem. asp?c=11&cate=__14537. Last accessed 12th December 2013. Fig 7: Page 28: Better by Bike (online) http://www.richmondlcc.co.uk/2011/02/25/betterby-bike-london-wetlands-centre/. Last accessed 22nd Dec 2013.

List of Illustrations

Fig 8: Page 30:(online) http://www.theluxuryspot.com/music-spotting-home-friends/. Last accessed 15th January 2014. Fig 9: Page 32: (online) http://www.dailymail.co.uk/tvshowbiz/article-2310373/CaraDelevingne-sports-matching-bushy-eyebrows-bird-friends-tweets-latest-zany-pictures.html 15th December 2013. Fig 10: Page 32: (online) Wray, E (ed) http://www.promotionalmerchandise.co.uk/ Bags,c-421.html 15th December 2013. 86

Fig 11: Page 32: (online) http://www.treesdirect.co.uk/uploads/shop/prod/376_00.jpg. 15th December 2013. Fig 12: Page 37: Logos (online) Harrods: http://www.bitterwallet.com/wp-content/ uploads/2010/05/harrods_logo.jpg. Liberty: http://www.thevillagecommunications.co.uk/ sites/default/files/Liberty%20Large-logo.jpg. Selfridges: http://www.thesaucequeen.co.uk/ wp-content/uploads/2013/02/url.jpg. Harvery Nichols: http://www.wildchildmedia.co.uk/ wp-content/uploads/2012/03/harvey-nichols-logo.jpg. Last accessed 15th Jan 2013 Fig 13: Page 39 (online) http://www.mulberry.com/journal/wp-content/uploads/2013/06/ Postman_Lock_620x800.jpg Last accessed 21st Dec 2013.

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