FASHION MARKETING AND COMMUNICATION OPPORTUNITY BY BETH SARGENT MELISSA PENDLEBURY SHANNON DAVIES
Introduction
After looking into what opportunity we could focus on we wanted to change the amount of returns to online retailers. With this in mind we thought it would be a good idea if a customer could view an item on themselves or somebody real rather than the item just being shown hanging up or lying on a surface before purchasing, that way they will have some idea of what the clothing would look like on them so are less likely to send something back. The three ideas we have thought about are having a scanner than will scan somebodies body and store it on the computer so it can be seen on the customer, being able to upload a photograph that the customer has taken themselves and upload it then choose what item they would like to see on their photograph and lastly having the brand come up with an app where you can scan different items and see it on a model so you can see how the item hangs when it’s worn.
NET-A-PORTER LOGO
What is E-tailing? MISSGUIDED LOGO
ASOS LOGO
As a group, we looked into etailing as we were interested in knowing the amount of sales that are returned online. Statistics show that ‘30% of all products ordered online are returned as compared to 8.89% in brick-and-mortar stores (Rudolph, 2016). As online shopping is so commonly used, we want to come up with ideas and possibilities to reduce customers from returning so many items due to not being able to view the clothing on themselves. Electronic etailing can be used for selling from business to business or business to consumer (Investopedia, 2017). In order to be a successful e-tailer the company needs to require strong branding with engaging websites that are regularly updated. The services aim to out do their competitors by ‘offering and adding value to customers lives’ (Investopedia, 2017). The advantages of etailing includes the support that it gives brick-and-mortar stores as it provides them the opportunity to have a geographic reach to increase their sales. However, etailing is also at a disadvantage as it can be expensive for companies to maintain their websites. In addition, etailing does not allow the consumer to get the full shopping ‘experience’ when buying the garment as they would if they brought it from a physical brick-and-mortar store (Investopedia, 2017). Today, online retail has ‘overtaken store shopping in popularity’. There has been a recent study which shows that in January 2015 87% of consumers shop online compared to 78.3 who use physical stores (Rigby, 2017).
Past
The history of ecommerce goes back to 1991 when the internet was opened to commercial use. In 2000 there was a great number of business companies represented in the world wide web (ECOMMERCE). A huge increase in the public began to purchase available goods services through the use of internet. Eventually the ‘brick and mortar’ retailers began to recognize the advantages of the e-tailing business so they began to create their own online retailing. Statistics show that ecommerce sales continued to grow from 2000 and by the end of 2007 the sales accounted for 3.4 percent of total sales which is shown on the graph above (ECOMMERCE LAND, 2007). Guy Chiswick suggests that with consumers opposing to shop online rather than visiting physical stores, retailers need to ensure their sites have an ‘attractive and convenient presence online to improve revenue’ (Chiswick, 2015). The use of online shopping will continue to rise in the near future due to the progressing technology so successful companies will need to ensure they have set up an online retailer meeting the customers needs.
GRAPH TO SHOW ECOMMERCE SALES
MISSGUIDED CLOTHING
MISSGUIDED DESCRIPTION BOX AND SIZE GUIDE For our opportunity, we have chosen to look at three different online stores, each with different target audiences. Net-A-Porter launched in June 2000 by Natalie Massenet (Wiseman), it has successfully established itself as a luxury brand. The brand targets a high end audience. Missguided, first established in 2009 by Nitin Passi who remains the sole owner of the company. Missguided targets a younger, middle class audience, selling affordable garments. ASOS launched also in 2000 as a fashion and beauty online store. ASOS targets a broad audience from ages 16 to 34 years old (ABOUT US, ASOS). We have chosen these etailers each for different reasoning. Net a porter would be a relevant company to focus on for our opportunity as customers want to see why they are paying so much for a garment. Misguided’ target audience is well suited as young female teenagers would want to upload pictures of themselves to the website. ASOS has a broad target audience, meaning certain consumers could possibly like this idea. The following research represents our build up to how we made a final decision.
MISSGUIDED CLOTHING When E-tailer’s first started, they would present their clothing by using basic images of models wearing the clothing, allowing you to read reviews and select your size. These images have been screengrabbed from the Missguided website, showing the clothing that is being presented on the model, with a description box, size guide and price. Over the years technology has expanded and etailers have progressed with their websites, making it possible for consumers to view the clothing through other options such as the online catwalk.
ASOS WEBSITE
Present Asos
ASOS WEBSITE
ASOS WEBSITE
ASOS WEBSITE
We then looked at what each e-tailer has to offer was doing in todays present day to see how and what we could do to expand the companies to help their websites cater to their audiences and how to help them reduce their online returns. Asos offer for its audience a range of ways to view their outfits such as a catwalk view to see the outfit on someone, the downside to this is the consumer is all shapes and sizes and not always the same shape as the model. They also offer delivery that is free when you spend over £20 encouraging the consumer to purchase more for that incentive of the free delivery, or you can choose the option of 12 months unlimited next day delivery for £9.95 which makes the consumer spend more to ensure they get their full benefits of the price. Asos offer a-list, with every £1 the consumer spends you receive 5 points and with every 500 cleared points gets you a £5 voucher to spend on anything you want, again another opportunity Asos take to capture the audience’s attention to purchase more to receive their bonuses. The CEO of asos Nick Beighton summarises their market growth by saying; “We will not be growing up with our customers and will remain forever young.” (“Asos Sticks By Its Strategy - Even If It Means Losing Older Customers | Tutor2u Business”) Showing they want to stick with their specific target audience they set and not develop for an older generation which could be seen as a downside for the company as they are not willing to expand themselves considering they offer such a wide variety of brands, and therefore the audience may think the target market is a wider generation gap.
NET-A-PORTER WEBSITE
NET-A-PORTER WEBSITE
NET-A-PORTER WEBSITE
Net - a - porter Another online e-tailer we looked into and what they were doing in their present day was Net – a- porter. Sarah Watson, Vice president at net-a-porter says; “What does it mean to get personal? Today, it is no longer good enough to broadly segment a customer by age or gender; now they want to be romanced and, most importantly, understood.” (“Net-A-Porter’s Digital Chief On How Brands Can Get Up Close And Personal To Consumers”) showing how as
a brand they are developing themselves to make the consumers experience with them personal and not being shown or told you can and cant purchase from net – a –porter because of your age. They have their own online magazine ‘The Edit’ and printed magazine ‘the porter,’ the edit is a snapshot weekly version of the printed monthly porter showing the consumer the latest trends in fashion travel and lifestyle. With the printed magazine (porter) allows you to scan barcode on your phone with the app for quick and easy way to purchase the item rather than scrolling and looking through online. This does not only give you that online purchase but the whole experience of allowing them to tell you a story with it from the magazines. Net-a-porter features Editors notes, the editor gives a description of the item along with their opinion of outfit options you can choose from with links to click so it’s very quick and simple to purchasing the whole outfit making it visible to the consumer see a whole outfit they didn’t think or even know they needed. When purchasing from net-a-porter you can choose between two packaging options, signature and basis. This gives that expensive feel and one off luxury for the consumer this is definitely a strength of net-aporter. Net-a-porter targets to generation Y this typically covers people born between the mid 1960’s and the early 1980’s, and therefore people who can afford more expensive items of clothing but not have the time to search for the clothes.
MISSGUIDED WEBSITE
MISSGUIDED WEBSITE
MISSGUIDED WEBSITE
MISSGUIDED WEBSITE
Missguided Finally, we looked at e-tailer Missguided. ‘Missguided says it is working towards the ultimate goal of “one-to-one customer targeting”, with the company part the way through a personalisation strategy that it expects will continue to boost online conversion rates in the years ahead.’ (“Missguided Looking To Get Even Closer To Its Customers - Essential Retail”) Showing how they want to develop as a company to ensure the consumer is achieving the best service online in order to expand their sales and reduce returns received from consumers, and as a group we want to develop and idea that reduces this element. Missguided offer to their consumer cheap standard delivery, considering their target audience is students between 16-35 years old, also known as generation Z, ‘Gen Z grew up with technology, so being connected and tech savvy is in their DNA,’(Generation X, Generation Y, Generation Z, And The Baby Boomers) therefore this suits their lifestyle of wanting quick easy fast fashion straight to their door. Join the Missguided squad allows consumers to sign up to latest deals and news, this makes it feel exclusive for the consumer and they get to be in with the brand and know the exclusive inside gossip allowing the consumer to have a closeness with the brand unlike others that don’t offer this service. Missguided collaborate with many different styles and types of people such as celebrities, bloggers and models allowing them to create a collection that suits their styles and the something that the consumer will love. This allows to reach out to a wider audience than their target market as other audiences who follow the celebrities but not the brand normally, also their target audience are at an age where they revolve around celebrities and bloggers and if they see their fashion icon in MissGuided clothes they will also want to purchase. Also they offer hashtag babes of MissGuided, images that the consumer posts on their Instagram feature and stream straight to Missguided’s live feed on the website so it gives you a way of seeing different ways people style their outfits, allows the consumer to experience their own fashion blogger moment by featuring on the website.
TWITTER LOGO
Future
After looking at the three online brands we agree that Missguided are the perfect brand to include this technology on their website. We have chosen Missguided for their target audience, their target audience is mainly 16-35 year olds (“Big Interview: Missguided Managing Director Nitin Passi - Essential Retail”), therefor they are more likely to want to take a photograph of themselves and see an item on their body. Missguided are very active on social media and their customer’s are probably the same so they would like to be featured on the website and social media. When the customer has clicked on an item they want to view they will have an option to upload image which will be shown underneath the image which is shown on the right hand side.
INSTAGRAM LOGO
MISSGUIDED OWNER
Our final idea is to have an option on an online shopping website where the customer is able to take a photograph of themselves and then upload to the website to see your chosen item of clothing on your body. This will help the customer see what the style and colour of the item looks like on themselves before purchasing so it won’t look completely different when they receive it. Along with uploading the image we thought it would be a good idea for the customer to have the choice to save their photograph and when they purchase and receive the items they can then take a photograph of them actually wearing the item which then can be uploaded along with their online image to feature on Missguided’s social media to show people how realistic it is which could attract more people to use this.
MISSGUIDED WEBSITE
After looking at net-a-porter and Asos we decided that they wouldn’t be the right brand’s as net-a-porter’s target audience are older due to it being luxury fashion so if somebody had enough disposable income to spend £500 on a top they wouldn’t mind sending it back and waiting for the refund. Asos have a catwalk video on each item where you can view a model walking in the clothing so they do already have something quite similar, however we feel that Asos’ target audience is so varied that it’s not likely that a lot of people will take the time to use this technology (“Asos Sticks By Its Strategy - Even If It Means Losing Older Customers | Tutor2u Business”).
BURBERRY LOGO
We have seen something slightly similar to our idea online about how luxury brand Burberry has incorporated interactive technology in their Regent Street store. They have radio-frequency identification in some of their clothing which means when a customer wears the micro chipped clothing they can stand infront of the mirror and the mirror transforms into a screen and shows the customer what that item looks like on the catwalk (“Burberry Regent Street Pilots Interactive Technology�). Even though the customer will still wearing the item, they cant see it on the screen on themselves it is on a catwalk which is another reason we believe our idea would be successful.
BURBERRY STORE 1
BURBERRY STORE 2
INSTAGRAM 2
INSTAGRAM 1
The ideas we have for Missguided to promote this are through their social media as they are very active with their social media. They have already created a hash tag on Instagram called “babesofmissguided” where girls who purchase clothing from there post a photograph of themselves wearing it and use the has hash tag so then they see it and sometimes they repost it. This helps their custom as people are seeing people wearing the clothing and more people will be viewing their social media because of it too. We were thinking if they created a hash tag so people could post a photograph from the website with them seeing the item on their body and then when they’ve purchased the item and take a photograph of them actually wearing it so people can see how realistic it is.
We feel like generation Z who Missguided mainly targets would want to use this technology as it is fun and you could be featured on their social media which is what most girls around that age like. They probably would be curious to see how this technology works so more likely to use it. If this works and people use it we think it will definitely help reduce the volume of returns. INSTAGRAM 3
SWOT analysis
After completing the SWOT analysis for Missguided its clear to see what they are and aren’t doing for their company already and that is why we have proposed the opportunities we have (as you can see above) to try and eliminate the weakness within their brand.
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