DANA
Marketing Report 2014
Content Executive Summary / 4
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Understand The Little Tibet
About the brand / 8 The scarf market / 10 The handicraft market / 12 Current point of sale – The Old Spitalfields Market / 14 Other point of sale – Trade shows / 16 Competitors & Comparative shop report / 18 Sales / 20
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Why rebrand is necessary and its purpose Masculine image of TLT / 24 Mis-association of the products / 25 A clichéd name / 26
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Extra benefit of rebranding
Business growth and increase brand awareness / 30 Refine product range / 30
10 11 4 5 6 7 8 9
Analysis
Market pyramid / 34 Brand positioning map / 36 Brand Onion / 38 S.W.O.T. analysis / 40
Product
Refine product line / 45 Total product concept / 46 Product attributes /47 Ansoff Matrix / 48
Target audience
Old consumer pen portrait / 51 DĀNA consumer pen portrait / 52
Pricing architecture Pricing architecture pyramid / 56 Pricing architecture matrix / 57 Internal perceptual map / 58
Place
DĀNA point of sale / 61
Physical evidence
New visual brand identity / 62 Silk fragrance / 72 Staff uniform / 74 Stall concept / 76 Website design / 78
12
Process
First time customers / 87 Repeat customers / 87
Promotional strategies
Promotional strategy overview / 89 Timeline / 90 Launch day / 94 Product video “Morning Ritual” / 95 Loyalty package / 96 Charity boxes / 98 Social media / 100
New brand
Vision, value and mission / 108 Ethical concern / 108 Point of difference / 110 Alignment / 112
Conclusion / 116 Appendices / 118 List of Illustrations / 146 Bibliography / 149
Executive summary Having identified that The Little Tibet (TLT) has problems as a brand, this report will analysis these problems further and provide solutions. It will first examine TLT’s situation with the use of marketing models for the following objectives: • TLT’s market – scarf market and handicraft market • TLT’s competitors • Reasons to change the brand name • Purposes and benefits of rebranding • How TLT reflects on other brands • Consumer buying behaviour It will then establish a set of rebranding strategies for the new brand “DĀNA “, with the guideline of marketing mix 7P’s. It will continue to adopt marketing models with the following objectives: • Establishing new brand position with the aid of market pyramid, brand positioning map, brand onion & S.W.O.T. analysis • New consumer profiling with analysis of the data collected from consumer research in the Old Spitalfields Market • New pricing architecture by using pricing architecture matrix & pyramid and internal perceptual map • Refining product line • New brand visual merchandising and packaging • Promotional timeline and strategies • New brand point of difference and alignment
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Fig. 1 Tibetan textile (2010)
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The Little Tibet
Understand The Little Tibet
Fig. 2 TLT’s sign (2013)
Fig. 3 India sourcing trip (2014)
About the brand Understand The Little Tibet
The Little Tibet (TLT) was founded 3 years ago in the Old Spitalfields Market in east London. The idea of The Little Tibet is based on the founder’s, Mr Pasang, homeland. He wants to bridge London and his birthplace, Tibet, in terms of craftsmanship skills and inspirations. The Little Tibet endeavours to emerge as a textile based accessory and handicraft store within a friendly environment. It offers a full range of textile based products sourced from the Himalayan regions including Tibet, India and Nepal. The majority of these products are handicraft products, which act as a tribute to the local craftsmen. TLT’s buyer travels annually to the Far East to source different, unique and authentic products for the store.
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TLT Market pyramid See appendix A
Haute couture Couture High-end fashion Luxury and designer brand Middle market Designer’s diffusion lines Affordable luxury brands Mass market High street retailers Value market Supermarket clothing line
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Fig. 4 Kashmiri embroidery shawl from The Cashmere House, (2014)
The scarf market Understand The Little Tibet
The scarf market is the niche division of the fashion market; many fashion brands sell scarves and shawls. In the UK market, there are Luxury brands selling scarves for over £1000, boutique brands sell for around £200, high street brands sell for £25 and value brands sell for as cheap as £5. The price range varies greatly.
Below is the brand positioning map (see appendix B) correlating price and quality, it shows TLT is in a highly competitive environment siting closely by the scarf specialities. From the competitive shop report (see appendix D), TLT promotion is weak compared to its competitors in the Regent Street, yet it has the strongest visual merchandising
among the others. Moreover, the limitation of the market stall compared to a shop is affecting the brand’s performance. The perceived image of a market stall is different from a shop, people are less likely to spend buy a lot of money in the street market.
TLT Brand positioning map See appendix B
High Quality
High Price
Excellence of London
Low Price
Low Quality
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The handicraft market Understand The Little Tibet
About 60% of TLT products are handicraft products, which were produced in either hand-loom, hand-sew or hand-embroidered methods. The handicraft market is a growing market in the developed countries such as the UK, Europe and the US. It will continue to grow with increasing international and domestic tourism, as well as a growing interest in interior decoration. The UK market seems to be flooded with handicraft products. Camden Market in north London has many ethnical stores selling Tibetan, Indian and handicrafts from other countries, the majority of these products are in low quality and low price. TLT is also based in London street market, it offers medium to high quality products with a mid-price range, as shown in the handicraft market price segmentation pyramid (see appendix C).
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Fig. 5 Indian handicraft shop “Namaste” in Camden (2014)
“NEW DELHI: The Textiles Ministry has asked handicrafts exporters to nearly double their overseas sales target to Rs 33,000 crore in the next three years.” (The Economic Times, 2013)
Handicraft market price segmentation pyramid
Luxury/ High-end Middle Low-end
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Current point of sale -The Old Spitalfields Market Understand The Little Tibet
TLT is established and running in a historic street market in east London, the Old Spitalfields Market, which mainly attracts: • tourists in the summer and Christmas time • office workers at lunch time during the week • generic market visitors of all age at weekends • east London fashion gurus on Sundays Market traders in the Spitalfields Market expressed the sales has fallen year by year, the market is often filled with traders selling the same products and some products are in very low qualities. Based on this information collected in January, a consumer research (see appendix O) was carried out in the Spitalfields Market in March, 2014. 82% of 28 interviewees are aged between 21-45, and 50% of these 28 interviewees are only willing to pay for £10 to £20 for a scarf. Thus, it may not be a sustainable selling point for TLT.
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Fig. 6 TLT market stall (2014)
Fig. 7 TLT handicraft product (2013)
Other point of sale -Trade shows Understand The Little Tibet
TLT had participated in Ideal Home Christmas Show in both 2012 and 2013 - the Christmas shopping destination mainly for the local English people. Every year, the show runs for 5 days in November with ÂŁ15 entry fee. The 2013 show was more successful as TLT rented a better and bigger location. It received many new customers and some of these customers had turned into repeat customers. Thus, trade show had provided a great opportunity for TLT to increase exposure.
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Fig. 8 TLT handicraft product (2013)
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Competitors
Understand The Little Tibet
Competitors of TLT are mainly located in London. It includes: Scarf market • The Cashmere Shop (Knightsbridge, central London) • Excellence of London (Regent Street, central London) • The London Textile Co. (Regent Street, central ondon) A competitive shop report (see appendix D) had been carried out focusing on the scarf market because scarf product is the brand essence. The bestselling items are silk scarves, although TLT range is slowly emerging to handicraft products for diversity. Handicraft market • Homesoul (New and Old Spitalfields Market, east London) • Araucaria (Camden Lock, north London) • Opium (Chelsea, central London) • Namaste (Camden Lock Village, north London)
Competetive shop report Appendix D All the shops visited have not adopted any fashion trend considerations or paid little attention to shop front graphics design, some have poorly displayed windows. There is definitely a market for the woollen and silk products importing from Scotland, India and Nepal, targeting mainly the mature tourists. TLT mainly retails silk scarves with little woollen capes and cashmere scarves to compete with these shops, its range does not cover any woollen Scottish blanket or scarf. However it has a much more interesting mix, selling different Indian/Tibetan handicrafts, the mix of these ranges had created a unique stall image which should be the strength of TLT. Since it has the best visual merchandising and the lowest price point compared to its competitors, TLT attracts consumers of a broader age range than its competitors. However as a brand, it has not established a strong brand image.
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Fig. 9 Pashminas selling in Excellence of London (2014)
Sales
Understand The Little Tibet Christmas time is the busiest time for the market traders. In 2013 financial year, the company had reported its Christmas sales remained the same as 2012, although its product range had been expanded.
Fig. 10 TLT in trade show (2013)
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Why rebrand is neccessary and its purpose
Masculine image of TLT Why rebrand is necessary and its purpose
Without any marketing expertise, the company has a weak marketing communication. Although both brand name and logo heavily express its Tibetan heritage, they do not appeal to the customers. The masculine image cannot efficiently attract women. The newly ordered packaging has the box colour in red and logo in serif font, it didn’t achieve continuity within the existing brand image. The visual brand identity is struggling to be consistent and feminine in order to be recognised as a fashion accessory brand. One of the purposes of rebranding is to give a fresh, modern and feminine visual brand identity, with the aid of new colour palette. It will then be able to visually tell the story, and become recognised as a feminine brand.
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Mis-association of the products Why rebrand is necessary and its purpose
Key products selling in TLT that are made in India include • Silk scarves and shawls • Embroidery shawls • Tibet shawls • Kantha bedspreads Tibetan heritage of the brand sometimes misleads the customers to believe that all the products are Tibetan, especially the shawls products. Since Tibet, Nepal (of cashmere and pashminas products) and India belong to the Himalayan regions, it is wise to shift the brand heritage from Tibet to Himalayas. One of the purposes of rebranding is to stop the mis-association issue, and to strengthen the Himalayan heritage, which has been incorporated in all the products.
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Fig. 11 TLT silk shawl range (2013)
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A clichéd name Why rebrand is necessary and its purpose The Little Tibet is a highly clichéd name. From the Google search engine, businesses called “The Little Tibet” and “Little Tibet” can be readily found. “Little Tibet” is a boutique resort in India; “Little Tibet House” is a hostel in Argentina; “Little Tibet” is a restaurant in India; “Little Tibet Resort” is a resort park in India; “Little Tibet Gift Shop” is located in the US which also sells shawls and Himalayan clothing and accessories; “The Little Tibet Shop” is also based in the US, selling Buddhist accessories; as well as “The Little India” and “Little India” are extremely popular restaurant names in the UK, according to the Google search engine. Therefore “The Little Tibet” name cannot help consumers in associating it to a unique accessory brand; instead, it may remind them of a hostel or a restaurant. It should be replaced by a more modern name, which can help in associating with the mix of fashion/handicraft products, and to attract women. One of the purposes of rebranding is to adopt a unique, fresh and modern brand image, and stop being one of the clichéd names.
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Fig. 12 Model in Kashmiri embroidery shawl (2013)
Extra benefits of rebranding
Business growth and increase brand awareness Extra benefit of rebranding
The ultimate goal of this rebranding project is to grow business. To carry out an in-depth marketing research and closely examine and adjust the 7Ps – product, place, price, promotion, people, process and physical evidence; followed by changing the brand name, logo and heritage; and lastly to establish a set of new promotional activities and long-term strategies. This rebranding exercise aims to refine the brand touchpoints, in order to convey an emotional function and build a strong brand image for the public.
Refine product range Extra benefit of rebranding
The current product offerings are slightly uncoordinated and unconnected, This rebranding exercise is a good chance to fine-tune its product offers. It will be further discussed in the Product section.
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Fig. 13 Hand stitched Indian bag (2014)
Analysis
DĀNA market pyramid
Analysis
The new brand’s position remains the same as TLT, DĀNA sits at the mass market in the fashion market pyramid, offering affordable products in a more boutique style branding approach. (Market pyramid – see appendix A
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Haute couture Couture
High-end fashion
Middle market
Mass market
Value market
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DÄ€NA brand positioning map Analysis
The brand positioning map (see appendix B), correlating price and quality, shows the new brand position has a slightly upper position in both price and quality. It is just about the same as TLT, as the quality of new brand offerings will remain high and the cheapest range would be taken out.
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High Quality
High Price
Excellence of London
Low Price
Low Quality
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Old brand onion
Analysis
Essence Himalayan textile-based accessories and handicraft
Originaility
Brand personality Honest
Brand in action Trade shows
Expertise
Passionate about Tibet
Excellent customers serivce
Ethnicity
Easy-going
Sourcing from the Far East
Traditional
Open
Promotional discount
Brand value
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“The onion can be used as a guide to ensure all aspects of the business and key brand touchpoints accurately reflect the brand values.” (Posner, 2011) Brand onion - see appendix E
DĀNA brand onion
Analysis
Essence Quality Himalayan accessories and handicraft
Brand value Directional
Modern
Originaility
Confident
Expertise
Passionate about Himalayan regions
Promotion
Traditional
Open
Branding
Enthusiastic
Professional
Reassurance
Ethnicity
Brand personality
Brand in action Refined product range Added value
Social media commitment
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Old S.W.O.T analysis Analysis
Weaknesses Strengths •Excellent customer service with adoption of personal selling technique •Distinctive product range with high quality material •Global sourcing (India and Tibet) •Evergreen product range •Strong relationship with suppliers •Excellent location with high tourists footfall
•Potential to take on an agent or PR company •Employ stock management to provide online store access •Potential to diversity and target younger audience by offering great value products •Rise of social marketing
•No quality control process resulting in the products that are not in perfect condition •lack of staff to aid the business to run smoothly •No adoption of stock management and therefore difficult to expand to online store •Weak brand image with little promotion •Undifferentiated marketing •Lack of marketing expertise •Website is not user-friendly and is not yet an online store •Low transparency behind the products such as workers’ wages in India
•Rise in cost of new stocks •New competitors in the Spitalfields market or nearby (Brick Lane) •Downfall on sales in the whole Spitalfields market •Sensitive brand name for sourcing in China as Tibet’s situation in China is highly controversial
Opportunities Threats
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DĀNA S.W.O.T analysis Analysis
The S.W.O.T. analysis (see appendix F) demonstrates the new brand has strengthened its point of sale, offering both online and offline locations for shopping, also providing a social media platform for consumers to receive up-to-date information. The diverse and modern ethnical style mixing Tibetan and Indian elements gives the brand a unique visual identity, allowing the brand an edge over its competitors.
Strengths •Focus on social media •Distinctive product range with an ethnical background •Global sourcing (India, Tibet and Nepal) •Modern and refreshing brand image •Good relationship with suppliers •E-store can help reach to a much wider audience or new market •Online store provides a more convenient shopping – 24/7 •Sales will no long rely on the location of the market pitch.
•Can sell through platforms such as eBay and Amazons, also attracting customers to the online store •Can boost sales through discount sites like Groupon •Advertising especially online •Product range can be expanded. •Can expand to other markets in Brick Lane.
Opportunities 41
Weaknesses • Restricted/tight budget •Lack of staff to aid the business to run smoothly •Postage will increase the price for online shopping •Extra resources will be required to deal with the returned goods
•Online store will face high competition as customers can carry out price checks easier •Online store will take time to build up a good reputation •Growing number of market traders selling Indian craft. -Footfall to website - S.E.O.
Threats
Fig. 14 TLT silk shawl (2014)
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Product
“The difficulty for all fashion marketers is to achieve the correct balance between being too innovative or being too safe and staid.” (Jackson & Shaw, 2009)
Refine product line Product
The current product offers are slightly uncoordinated and unconnected. This rebranding exercise will bring out the solution with the following actions. • Add in new products that are more directional • Maximise the quantity of the bestselling products • Introduce product attributes • Introduce “online exclusive” items to encourage consumers to shop on DĀNA online store • Withdraw products that do not sell
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Total product concept Product
Total product
Core product Quality Himalayan accessory and handicraft product
Actual product
Himalayan heritage/ associations
Competitive prices
Excahnge policy
Quality-orientated
perceived valiue
Packaging
Added valiue
Branding
Service Delivery
Total product concept - see appendix G
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Fig. 15 TLT silk shawl close up (2014)
“As early as in the 19th century, centers like Paisley in Scotland grew around the production of machine-made versions of handcrafted textiles such as the highly prized shawls of Kashmir in India.” (United States Agency International Development, 2006)
Product attributes Product • • • • •
Made by Himalayan people – Indian, Tibetan and Nepalese Use of high quality material – silk, cotton and wool The products are unique, ethnical and beautiful Dedicated packaged Attached with the scent of Chomolungma (Silk Fragrance)
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Ansoff Matrix Product
Market penetration DĀNA’s product range falls into this growth strategy as the business is selling an existing product within the same market. The strategy allows the business to focus on the products that sell well. Also to achieve • Maintain or increase market share of current products • Strengthen the brand equity within the growth markets, i.e. handicraft market and scarf market • Increase usage by existing customers
Product development The company will continue to source new products from the India Handicraft and Gift Fair, and start sourcing from China in the near future.. It will slowly introduce more colourful, modern, and directional products into the new brand, and key selling items will remain the same.
New products • • • • • •
Kantha iPad cases Ethnical style beaded clutch bags Ethnical style pom-pom bags Hand-made felt purses Hand-made felt carpets Woollen floor coverings
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New product
Market penetration
Product development
Market development
Diversification
New market
Existing market
Existing product
Ansoff Matrix - see appendices H
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Target audience
Old consumer pen portrait Target audience Kelly is a 38-year-old lady living in Shoreditch, London with her boyfriend, David. They own an apartment with a balcony. They have no kids, yet living with a dog. She graduated with a High Diploma in Sport Science, and working at leisure centre since then. She has a disposal income of ÂŁ25,000 p.a. She has a vibrant social life that her friends like to gather in her house occasionally. They also like hanging around in east London, drinking in different pubs and attending sample sales in Brick Lane. She shops once a month spending up to ÂŁ500 as she shops for her boyfriend as well. In the evenings she likes to bring her dog for a walk with David after dinner, they like walking by the Thames River as they like the urban scene.
Fig. 16 TLT target audience
TLT adopts a clichĂŠd approach to hippy, ethnical handicraft product. With undifferentiated marketing; it serves all ages. However, its main customers are 35+, it also has a considerable amount of elder customers. In contrast, it misses out many younger customers (under 25) who rather purchase cheaply made scarves in the Spitalfields market. A new consumer pen portrait is created to engage and connect with the young consumer but still adhering to handicraft, original Tibetan designs and products. (Consumer segmentation variables, appendix I)
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DĀNA consumer pen portrait Target audience Eva is a 25-year-old receptionist working in a gym. She lives in London with her family. She loves fashion and she goes to Oxford Circus twice a month. Occasionally she shops around at different markets like Camden Market and Brick Lane. Although she isn’t a big fan of vintage fashion, she loves the cultural diversity within these markets. She is keen on taking friends to Brick Lane on Sundays for the food and fashion. Since working in the gym, she started doing work-out once a week and every month she is on diet for a few days.
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Fig. 17 Consumer pen portrait (2014)
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Price
Fig. 18 TLT silk shawl
DĀNA
pricing architecture pyramid Price
DĀNA is based in a street market in London. Unlike the fashion industry where it tries to encourage non-price competition by the branding and creation of unique designs and images for ranges, traders in the street market are more engaged in price competition. Thus, DĀNA pricing strcuture will remain highly competitive, as the “nature of competition in the market” plays an important role for the external factora influencing price decisions. See appendix J Pricing architecture pyramid - see appendix K
Top-price product
Vintage Kantha bedspreads
£65 - £210
Premium price product
Embroidery shawls
£55 - £120
Mid-price product
Indian/Tibetan handicraft products £35 - £75 Lowest price product
Silk and pashminia shawls £25 - £35
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Pricing architecture matrix Price
£210
Emboridery shawls
Vintage Kantha bedspreads
£120
£120
£65
£45 £35
silk scarves and shawls
£25
Silk and wool shawls
cashmere shawls
£55
£15
cotton £5 shawls
Entry level price
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£35
£25
£75 Handicraft products
Vintage Kantha bedspreads
£210
£55
DĀNA
Exit level price
Emboridery shawls
The Little Tibet
£35
Fig. 19 Vintage Kantha bedspreads
Internal perceptual map Price
The internal perceptual map shows one of the most popular handicraft products, the vintage Kantha bedspread has been adopted to reach consumers on different budgets. The basic ones are of standard quality, and the running stitches are not done to a high standard. Sometimes they come with dirt marks. The premium ones are of very good quality, and the running stitches are neatly and tightly finished. They are stocked in the highest quantity. The exclusive ones show top quality finishing with extra tight and neat running stitches, they have thicker layers. They are in very low stock.
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Vintage Kantha bedspreads Exclusive £185
x
Quality
£145
x
£85
x
£65
x
Basic Price
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Premium
£210
x
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Place
DĀNA point of sale Place
• • • • • •
Market stall – Old Spitalfields Market, east London Online – e-store danashop.co.uk Amazon Etsy Trade shows Ideal Home Christmas
The brand will consider retailing at concession counters in the future for some of the products, as well as running more Christmas markets in other parts of the UK.
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Physical evidence
New visual brand identity Physical evidence
Feminine, sophisticated and modern. Blue is the brand colour, it stands for ETHER or WIND element in Tibetan prayer flags. Here, DĀNA uses blue to convery an image of dependability and trustworthiness, with a sense of timelessness to reflect the evergreen product range. The Tibetan inspired pattern is part of our visual brand identity, it comes with 4 colours under the brand’s colour palette – blue, pink, golden and white. The colour palette reflects the modern and fresh approach of the brand, with a relaxing mood.
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This is the final logo, it is saved in the brand library as danalogo.ai.
Fig. 20 Logo Logo for social media
Logo aginst white
Logo aginst light grey
Logo aginst medium grey
Logo aginst dark grey
background
background
background
background
Logo aginst black background
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Fig. 21 Colour palette We have chosen a 4-colour colour palette: blue, pink, gold and white. Tints may be used in any colour if necessary.
Pantone 2747 C
Pantone 7425C
Pantone 157 CP
Pantone White
Fig. 22 Colour palette in greyscale
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Fig. 23 Colour palette breakdown Colour in 20% increment is included for printing references. Primary colour
Secondary colour
Blue
Pink
20% 40% 60% 80%
20% 40% 60% 80%
Tartiary colour
Gold
20% 40% 60% 80%
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White
20% 40% 60% 80%
Typography This is the key element in this rebranding exercise. It helps the brand communication.
Logo font Znikitmitno 24
Primary font Geosanslight
ABCDEFGHIJKLMNOPQR STUVWXYZ abcdefghijklmnopqrstuvwxyz 0123456789!@£%
ABCDEFGHIJKLMNOPQRST UVWXYZ abcdefghijklmnopqrstuvwxyz 0123456789!@£%
Secondary font Estrangelo Edessa
Serif font Minion Pro
ABCDEFGHIJKLMNOPQRST UVWXYZ abcdefghijklmnopqrstuvwxyz 0123456789!@£%
ABCDEFGHIJKLMNOPQ RSTUVWXYZ abcdefghijklmnopqrstuvwxyz 0123456789!@£%
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Logo type and sub-line
DANA
Gifts from the Himalayas
Logo font Znikitmitno 24 Primary font Geosanslight Fig. 24 business card design
DANA
Gifts from the Himalayas
Julia Tsang Marketing Manager juliatsanghin@yahoo.com.hk juliatsangshin.wordpress.com
danashop.co.uk
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Fig. 25 Swingtag design
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Gifts from the Himalayas
DANA
Gifts from the Himalayas
DANA
DANA
Gifts from the Himalayas
3 colours will be used on different products. One side is DÄ€NA pattern and the other side is DÄ€NA logo.
Fig. 26 Carrier bag design Big and small sizes are available. Front and back are plain but logos in pink on the sides. Material is recycled paper with super glossy finishing and rope handles.
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Fig. 27 Silk shawl box design DÄ€NA pattern fully printed on a shoe box-style gift box, tissue paper inside sealed with a DÄ€NA logo sticker.
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Fig. 28 Pattern of DÄ€NA box
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Silk Fragrance Physical evidence
Silk Fragrance is a Chomolungma scented perfumery product invented by DÄ€NA. It is for spraying on DÄ€NA products, as a reminder for their Himalayan origin. Through in-depth research and experiments, 10 ingredients have been chosen and are listed on the right. It is sweet and is topped with a hint of fresh orange scent and undertones with rose honey. It is packaged in a 8ml atomiser bottle, as a light and convenient bottle for carrying around. It is easy to use and the scent will last for a week.
Fig. 29 Silk Fragrance packaging design (2014)
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Frankincense
Plum
Myrrh
Peach
Patchouli
Jasmine
Rose
Orange blossom
Honey
Bergamot
Fig. 30 Silk fragrance ingredients (2014)
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Staff unifrom Physical evidence
Staff dress code will be clean cut light colour dresses and topped with silk scarves, colours of their preference. So they will have a clean and fresh look, they will also act as live models in the stall.
Fig. 31 Staff dress code (2014)
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Kantha bedspreads 4-6 spotlights
Stall concept Physical evidence
The market stall will have a white tilelike fabric backdrop to create a textured background, and a big DÄ€NA wooden sign painted in white/blue at the front. Silk scarves and shawls will be hanged on back of the wall with custom made white leather strips hangers. There will be a glass counter in the middle displaying bedpsreads and other accessories such as bags and jewellery. Tidiness of the stall will be maintained at all time.
Fig. 32 Stall layout (2014) Size of 2 market pitches in the Old Spitalfields Market 1:200 Woollen shawls Embroidery shawls
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“The tidiness of the store was regarded as the most important element in maintaining good ambient conditions.” (Hines and Bruce, 2007) Full-body length mirror
Space for displaying Tibetan shoes “Sonpas”
Wooden DĀNA sign
Silk shawls are hanged by custom made white leather strips
Bedspreads and bags displayed in glass counter
Wrap & cash table/ Carrier bags
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Embroidery shawls
Website design
Fig. 33 website homepage design (2014)
Physical evidence
DÄ€NA online store targets savvy online consumers and avid social media users with unique and directional tastes. The new website design will meet the standard of fluent user experience in order to achieve a high search engine optimization (SEO) and ranking. On the homepage there is a blue box highlighting latest products, videos and campaigns. On the side there is a hoover-to-scroll-down menu featuring shop by product and shop by region, which will offer consumers a rather different product filter. The social media fields such as Facebook, Twitter and email empower the site to connect with new user interaction. The site also focuses on providing a clear and informative brand voice, which should help to build a stronger brand image.
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Photo slideshows of products, stall, customers, editorial shoot etc.
Pop-up menu in pink, when mouse hoovers on the topic
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Fig. 34 “About” page consists of 4 sections.
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Fig. 35 Online shop layout (2014)
Each product is individually named.
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The brand will sometimes offer “online exclusive product� on the online shop.
Magnifying glass will become active when the mouse hoovers over on the photo.
Twitter, Facebook and e-mail icons at the bottom for consumers to share their favourite item.
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Brand touchpoints Physical evidence
Brand touchpoints - see appendix L
Scent - Silk Fragrance Charity boxes Salesperson
Stall visual merchandise
Experience online and in-stall
Packaging & carrier bag
DÄ€NA
Product quality & style
Product performance
Exchange policy Loyalty programme
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Promotion
Product video
Online advertisment
Blog
Social media
Website Pre-purchase Purchase Post-purchase
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First time customers
Process
Process
A customer purchasing a silk shawl from DĀNA will go through a series of steps from considerations to final purchase and ultimately considering a re-purchase. The first step may be researching and comparing styles and price points of scarves online and in different shops. Next she may be attracted by DĀNA visual merchandising and start feeling the scarves by hands, follow by trying on different colours, listening to friends and salesperson’s advices, making a card payment and before she leaves, she will be asked to subscribe the monthly newsletter so she will receive a bottle of Silk Fragrance and a brand loyalty card. Staff will spray the Silk Fragrance onto the scarf while packing. Staff will also give her the instructions of applying the Silk Fragrance and the scent is associated with Chomolungma (Everest) of Himalaya. She may as well be told about the 30 day exchange policy. Lastly she will receive one DĀNA token to be put into the charity box; at that time staff will explain that each token means 50p of each (her) purchase, which will go directly to her chosen Himalayan/Tibetan charity as donation. The brand is highly aware of customer’s expectation of prompt service (waiting time before being served by staff and/or receiveing the product from postage). It is crucial for maintaining a positve customer experience.
Repeat customers Process
Repeat customers will receive a stamp on their loyalty card while making a payment. Staff may occasionally ask them about how they feel about the content of the newsletters. They will receive a DĀNA token at the end to be put into the charity box.
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Promotional strategies
Overview
Promotional strategies The brand will be focusing on cost effective promotional strategies, which will consist of two parts – online and offline. Gaining traffic to the brand’s online shop is the core of the online part and the offline part will focus on attracting physical attention from the public. The promotional strategies aim to build up brand awareness, brand loyalty and brand equity, as well as to increase brand exposure and sales. Ultimately they will help DĀNA to become more widely known to its market and gain market share.
To evaluate these strategies’ effectiveness DĀNA will carry out numerous actions including collecting feedback from customers, measuring online site’s conversion rate, sales increase, “column inch” coverage for advertisement and so on. All campaign will go through 4 stages of evaluation (see measurement matrix, appendix M) for a clearer estimation of effects: Formative evaluation before the campaign begins, to anticipate the outcome by gathering market information. It measures communication intentions. •
Process evaluation during the campaign, to measure campaign input and output. It measures communication efforts. •
Outcome evaluation after the campaign, to evaluate the effect on the target audience. It measures communication effects of awareness, recall etc. •
Summative evaluation for evaluating the long-term impact of brand loyalty and relationship by accessing target audience’s attitude change and purchase intention. It measures communication impacts. •
It is important to recognise that evaluation is not the end of the linear process but an integral and important part of the circular CAMPAIGN planning framework. (Dahlen et al, 2010)
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Promotional Timeline Promotional strategies
Product shoot and film Open Facebook, Twitter and Tumblr pages and inform existing customers about the new social media DÄ€NA online site launch Product preview
Brand equity
Google & Facebook advertisment : pay-per-click >Measure the conversion rate
Pre-launch period 90
Online store offical launch
Process evaluation: launch event
Give out flyers in Brick Lane
Outcome evaluation: launch event
Launch events - 2 days Promotional discount 5% off Formaive evaluation: launch event
Gather customers feedback
Launch period
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Publish launch event photos on Social media and Website’s blog
Measure increased sales
Publish discount codes on newsletter
Post-launch period
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Offer discount codes for students
Launch Silk Fragrance refill pack
Second financial year Higher brand equity
Product placement - fashion bloggers
Stop online advertisment
Process evaluation: online ads
1 year from launch day: Summative evaluation
Outcome evalation: online ads
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Product analysis
Charitable events
Launch day Promotional strategies
There will be a 2-day launch event at DĀNA’s market stall in the Old Spitalfields Market over the weekend with the following activities: • • • • • • •
Fill the stall with a lot of DĀNA balloons Hand out flyers to inform the public Showcase the new product film Drinks and DJ Launch day discount 15% off Introduce the charity boxes Introduce loyalty package and monthly newsletter
L AUNCH P A R T Y 31 MAY - 1 JUNE 2014
Fig. 36 Launch Party poster design (2014)
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Product video “Morning Ritual” Promotional strategies
To promote the bestselling items, DĀNA has created a product film “Morning Ritual” with a few scenes that were inspired by Tibetan-Buddhism. The story is about a girl obsessed with the silk shawls. She sleeps with them and every morning she has a ritual with the shawls. The film aims to attract the younger, edgier consumers’ attention so its atmosphere tends to be mysterious, religious, fun and fashionable. The girl wears normal daily wear to show how to style the Indian Silk effortlessly, as an inspirational guide.
Fig. 37 Product video - animated short fashion film - “Morning Ritual” (2014)
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Loyalty package Promotional strategies
The first time customers will all benefit from the loyalty package. Each will receive a bottle of Silk Fragrance, which represent the brand scent, by signing up for the monthly newsletter. They will receive a brand loyalty card to redeem a silk shawl for free at the eighth purchase.
Fig. 38 Loyalty card design: Receive a free multicolour shawl at the eighth purchase. The card is electronically able to capture full details of the consumer’s purchasing pattern, and her contact details. The system allows the brand to target her with specially personalised sales promotion offers, through the monthly newsletter.
Loyalty Card 1
2
3
Loyalty Card 5
1 5
2 6
3 7
Like us on Facebook Follow us on Twitter @danashop Join us on Tumblr Shop on danashop.co.uk admin@danashop.co.uk
£5 Off Free multicolour shawl
6
7
Like us on Facebook Follow us on Twitter @danashop Join us on Tumblr Shop on danashop.co.uk admin@danashop.co.uk
Each time you buy our lovely product we will give you a lovely stamp.
£5 Off
DANA
Gifts from the Himalayas
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£5 Off Free multicolour shawl
Each time you buy our lovely product we will give you a lovely stamp. £5 Off
DANA
Gifts from the Himalayas
THROWS
View on a web browser. SCARVES & SHAWLS
NEWS & BLOG
DANA
Fig. 39 Newsletter template Subscribe to DÄ€NA newsletter to access many exciting promotional offers, and receive a Silk Fragrance for free.
BAGS
KANTHA BEDSPREADS
SHOES
L AUNCH P A R T Y 31 MAY - 1 JUNE 2014
R S V P PA R T Y PA R T Y & RECEIVE A SILK FRAGRANCE + C H A M PA G N E
FOR FREE
F t T Learn more at danashop.co.uk Not you? Unsubscribe here
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Charity boxes Promotional strategies
The owner of TLT, Mr Pasang, is concernd about the Tibetan people in Tibet and Tibetan in exile. He supports Tibetan in all aspects. There are many Tibetan living in poverty and poor condition in different parts of the Himalayas regions including Nepal, India and Bhutan. DĀNA has chosen 3 charitable organisations to support including: • • •
Tibet Foundation (help save Tibetan culture); Tibet House Trust (relieve poverty for Tibetan); Himalayan Trust UK (help mountain people in Nepal).
These all are registered charities in the UK and have offices in London. Boxes will be installed in the market stall and each token equals to 50 pennes in each purchase so consumers can choose their favourable charity box.
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Fig. 40 Charity boxes (2014)
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Social media Promotional strategies
Facebook page will be updated once a day, mostly in the evenings. It will be the most informative social media platform for consumers to follow our news. Fig. 41 Facebook page
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Fig. 42 Facebook page close-up There is a section on the side showing “recent posts by others on your brand� indicating the brand popularity,
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Fig. 43 Twitter page It will be updated twice a day, giving a more relaxing conversation. with the followers.
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Fig. 44 Different backgrounds Twitter page’s background will update more frequently showcasing the latest colour and style of the new product.
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DĀNA’s Tumblr page acts as an inspirational moodboard, offering an insight of DĀNA style, as well as the cultural backgorund of the product origins.
Fig. 45 Tumblr page
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Fig. 46 Tumblr page close up Visual will be Tibet based which is the founder’s homeland.
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New brand
Vision, value & mission New brand
Vision Every woman can benefit from the fine work of Himalayan accessories. Values Deliver a high quality accessory brand from the hands of the Himalayan artisans. Anticipates and satisfies people’s desires and needs. Promote confident and uniqueness within individuals. Mission To bridge the Himalayan artisans and advanced economic regions from other parts of the world; to inspire every woman and enhance their confident to unique styles.
Ethical concern New brand
DĀNA places a huge concern on different aspects of ethical issues within the Himalayan communities. It is aware that countries in the Himalayan regions are developing countries so the habitants’ working and living condition are poor. It will investigate the factories condition, which produce DĀNA products, in the near future and avoid poor labour conditions. It will also support the local Himalayan people. Through establishing a close link with the Tibetan and Himalayan charities it will undertake a set of charitable activities to aid whoever needs help.
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“Social consciousness among buyers is increasing. Consumers want to know more about products and their producers. Do they damage the environment? What do they do in the community? Do they donate political funds? Do the organizations disclose information, and so on?� (Smith, 1998)
Fig. 47
Fig. 48
Point of difference New brand
DÄ€NA offers a high quality and complex product range of handicraft and scarf products, while its competitors are mostly offering either one or the other. The combination of both ranges creates a one-stop shopping environment for the consumers. The scarf range has similar offering to its competitors although the size of the range is smaller, the price is, however, highly competitive as it is significantly lower than its competitors. The handicraft range has a mix of Indian and Tibetan styles, which is different to the majority of its competitors within the handicraft market. Moreover, each product is carefully chosen as a unique, directional and contemporary style. Lastly, compared to its competitors, DÄ€NA has adopted a modern approach and stronger communication to connect with its consumers and bring together the artisan with the modern application of social media. Social networking and newsletter can keep the consumers aware of the brand and know about the latest news; they can also offer an integrated interaction with them. In addition, aligning DÄ€NA with key charitable organisations and offering consumers the option to donate to their favourable charity by using charity boxes will also help the brand to establish a more positive and proactive image.
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Fig. 51
Alignment New brand
The brand is aligned well with the consumer as it provides them a customised set of promotional strategies and marketing mix of 7P’s. The brand targets female consumers aged 25+, as under 25s tend to purchase affordable trendfocused fashion while the 25 and above group are more likely to have a larger budget for purchasing unique style fashion and home accessories. The consumer research (see appendix O) carried out in March 2014 showed that 50% of the interviewees are willing to pay £11-£20 on purchasing a scarf while 29% of them are willing to pay £20 and more, 82% of them are aged 21 – 45. The brand entry price is £25 for a processed reversible scarf which is priced between £10-20 and £20+. The aim of the promotional strategies is to provide a smooth user experience (see Process, section 10). The loyalty card, newsletter, social media and charity boxes would help the consumers to be connected and engaged with the brand whereas the brand scent “Silk Fragrance” will help strengthen the brand identity. DĀNA runs an online store as well as a market stall, which makes it more convenient for the repeat consumers; it also offers a platform to reach a wider audience. Thus, the brand is engaged with its targeted audience.
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Triad for brand alignment
Brand
Consumers
Marketing mix 7P’s
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Fig. 49
Fig. 50
Conclusion To conclude, through extensive research and analysis the report has examined the brand’s situation thoroughly and provided a set of rebranding strategies. These rebranding strategies focus on the marketing mix 7P’s, which will help to ensure that the brand and its promotional strategies are aligned with new targeted consumers. The promotional strategies are feasible and logical because they are contemporary and are suited for the targeted consumers’ needs. These integrated promotional strategies interlink with one another or the brand’s identity. Thus, the promotional scheme is likely to work and they will evolve over time. More strategies will be developed in the coming years. For instance, blogging and product placement with fashion bloggers will work together; advertising in magazines with multiple exposures; building up a flawless social media platform such as Pinterest, Instagram and Google+, holding photography contest and working with a PR company. The goal is to increase the profit margin significantly in the first financial year and steadily afterwards. The brand will continue to look for business opportunities and expansion. Currently it has one market stall and the online store is under construction. As a London based brand its short-term expansion goal is to gain numerous stalls in London street markets; and then into a wider part of UK and take part in concession counters, too. Its long-term expansion goal is to enter into the vintage/contemporary furniture market by slowly expanding the home accessory range.
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Brand repositioning map See appendix N
One stop shopping:
Future positioning
Convenience
Furniture, fashion & home accessories, gifts & handicraft
DÄ€NA position Gift & Handicraft, Fashion and home accessories
TLT position
Aesthetic & style Contemporary, modern
Directional
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Classic, timeless
Fig. 52
Appendices
Market pyramid Appendix A
Market pyramid reflects the complete fashion industry levels. It is divided in six layers from haute couture to value maket, where the closer to the ground, the more affordable clothing for the consumers and therefore the lowest quality. It is highly important for a fashion brand to know where it sits at the pyramid to target to the right audience. (Posner, 2013)
Bubble up
Haute couture Couture High-end fashion Luxury and designer brand Middle market Designer’s diffusion lines Affordable luxury brands Mass market High street retailers Value market Supermarket clothing line Trickle down
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Brand positioning map Appendix B
Positioning map or perceptual map is a marketing model that is used to identify a brand’s position in oppose to its competitors. The most common catalogs include fashionability, quality and price. This marketing model can also identify the gap(s) in between the map for opportunity of new market(s). Thus, it provides a clearer vision for the brand position, giving it a hint if it needs to re-adjust the brand position. (Jackson and Shaw, 2009 & Posner, 2013)
High Quality
Brand E
Brand F
Brand C
High Price
Brand D
Brand B Brand A
Low Quality
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Low Price
Handicraft price segmentation pyramid Appendix C
Handicraft price segmentation pyramid divides the handicraft goods into 3 levels, from high, medium to low (Global market for Handicraft, 2006). Four basic artisan markets have been identified by Morris and Turok (1996), • Functional wares: items that made in a workshop or small factory by mass-production, such as pottery and furniture for national or export markets >> low end; • Souvenirs: inexpensive trinkets or simplified traditional crafts made for local or international retail >> low end; • Designer goods: sometimes based on local crafts but always redesigned by foreigners to suit fashion trends for exporting >> middle; • Traditional art: ethnic crafts marketed locally by creating interest in the culture and by maintaining high quality >> luxury/high-end.
Luxury/ High-end Middle Low-end
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Table below lists some key product characteristics for each market segment Key products characteristics Luxury/ High end
• • • • •
Middle
• •
1) 2) 3) Low-end
Very high quality Product looks like artwork that belongs in a wealthy setting Innovative design High-quality packaging, labelling, and marketing materials Purchasing priorities are design and quality Product must have value and be affordable Purchasing priorities are: design price quality, which must match the price
Lower-end, cheap, and readily available • Might have a good look, but quality is lacking • Cheaper materials (e.g., iron instead of brass) • Lower-quality finishes • Purchasing priorities are: 1) price 2) design •
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Example of the UK retailer stores Opium (Chelsea)
•
The Little Tibet (Old Spitalfields Market), • Homesoul (Old Spitalfields Market), • Araucaria (Camden Lock) •
Namaste (Camden Lock Village)
•
Competitive shop report Appendix D
Comparative shop report for The Little Tibet - 21/03/14 Competitors from the scarf market 1. The Cashmere Shop (Knightsbridge, London)
About: The Cashmere Shop sells a wide range of cashmere items including jumpers, cardigans, skirts and shawls. They also stock a selection of clothing for children. 2. Excellence of London (Regent Street, London) About:
Excellence of London
Excellence Of London is a textile shop that specialises in clothing for men, women and children. 3. The London Textile Co. (Regent Street. London) About:
The London Textile Co produces tailored materials.
Products Review Fashion Offer
Best
The Cashmere Shop
Baisc Offer
Best
The Little Tibet
Best
The Little Tibet
The London Textile Co.
Excellence of London Worst
The Little Tibet
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Excellence of London
The London Textile Co.
The Cashmere Shop
The London Textile Co.
Worst
Excellence of London`
Sale and promotion
Worst
The Cashmere Shop
Product comparasion - 5 items
Fig. 53
grossly
Fig. 54
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Fig. 55
Fig. 56
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Fig. 57
Graphic
Unfortunately, there was no graphic displayed in any of the shop
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Window and continuity
The Little Tibet TLT’s market stall is located at the corner by one of the entrances in the Old Spitalfields Market. The look of the market stall was colourful and busy. With few spotlights shining on the silk scarves in different colours, it had successfully grabbed people’s attention. There were 5 halfbodied mannequins hanging on the wall inside, and more scarves were hung on the hangers at the front, silk scarves were the main focus of the stall. As well, there were little Kantha bedspreads, Tibet shawls, Tibetan handicraft at the side.
Fig. 59
Fig. 60
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The Cashmere Shop Compare to other shops in Knightsbridge, the items displayed in The Cashmere Shop’s windows are not trend-led, and appeared badly out of trend. There were 3 women mannequins and 1 girl mannequin slightly interacted with each other, both styled with Scottish woollen check pieces. In front of the mannequins was filled with many products from different ranges, it looked a little bit messy. The overall look of the windows was quite plain. The shop is narrow and deep, which had encouraged the customers to go further in. The long table at the front tend to grab everyone’s attention, the sign was written cashmere shawls for £59.95 and 2 for £90, yet there were many different items on the table which didn’t promote well, including the multicolour silk shawls sold by TLT.
Fig. 63
Fig. 61
Fig. 62
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Fig. 65
Excellence of London Walking off the Regent Street from Piccadilly Circus for 5 minutes was Excellence of London. They have 2 big windows for the shop yet they were terribly styled up. All items had sale signs attached, and that was the strategy they have adopted to attract tourists. Both original and reduced prices were clearly hand written. One window was filled with Scottish check garments, with 7 men/women mannequins and 3 children mannequins. All were dressed in extremely old fashion yet comfy clothing. The other side of the window mainly displayed woollen Scottish textile, and some men accessories such as men jumpers, hats, and ties. Inside, there was a big rounded table at the centre displaying the main items.
Fig. 66
Fig. 64
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Fig. 69
The London Textile Co. The London Textile Co. had the worst window among its competitors. Not only was everything attached with a hand-written sale signs, scarves were randomly draped along the steps, creating a messy scene. There were only 2 women mannequins wearing capes, since they were set apart, there was no cohesiveness between mannequins or scarves. The appearance was very weak. However, the inside of the shop can be seen through the windows, which had created more transparency for the tourists to see if it is worth to go inside.
Fig. 67
Fig. 68
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Look and feel
The stall was strongly ethnically themed, with Tibetan prayer flags displayed on the top. However, the prices were not enclosed; customers would not know the price of the products unless asking the staff. Also, there was a little space between the table and the curtain at the back, where customers could go inside to explore more colours of the bedspreads and scarves. Yet the space was a little bit too small, it didn’t create a welcoming message for the people to go inside. As a market stall, the overall look was more exotic compare to its competitors.
The Little Tibet
Fig. 70 The shop front was small and welcoming. Inside was bright; there were many spotlights on the ceiling shinning on the products. The interior can be improved by removing the fully-stocked cupboards, which people can see the scarves were unpacked inside plastic bags. The storage-look background was certainly a disgrace. It felt like the atmosphere was specially created for rich and older customers.
Excellence of London
Fig. 72 The shop was divided into half: half for fashion accessory and half for textile; therefore there was not a big space for the scarves and woollen accessories. The shop was very tidy and the background had gotten textiles neatly displayed on the cupboard, giving a more positive feeling than the last two shops. Overall atmosphere was okay and tourist-friendly.
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The Cashmere Shop
Fig. 71
It was spacious, it was the largest shop among others. With a dimmer lighting, this shop certainly had a softer tone for the interior to welcome the customers. However, there are cupboards filled with stocks at the back just like The Cashmere Shop, which could be improved by replacing to graphic.
The London Textile Co.
Fig. 73
staff and busyness The Little Tibet
Mr P was the only staff in the stall that day, he was serving a thirty-something Polish artist who was also his regular customers.
There were 2 members of staff at their 50s and 60s, the younger one was serving 2 elder ladies who were interested in digital-printed scarf, these ladies were about sixty-something and it was believed they had purchased a scarf per person. The older staff didn’t serve me but acting busy, she was probably the boss or manager, and had assumed I was just looking rather than buying.
Excellence of London
The Cashmere Shop
This shop was filled with 3 male and 1 female staff. They were friendly and had tried to help me, so I asked for silk scarves which I then realised they didn’t sell silk scarves in the shop. There was a couple in their 50s and 70s looking at the textiles. Since they stayed for a while so I believed that they had made a purchase.
When I was examining the windows outside the shop, there were 2 couples went into the shop, though I was not sure if they had purchased anything. I went into the shop while no other customer was there. There was an Iraqi staff around fifty-something prepared to serve me, he was helpful yet I wasn’t sure if everyone is comfortable to be watched by a staff when browsing.
The London Textile Co.
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Brand onion Appendix E
There are four layers divided into two parts in a brand onion. Brand identity has “brand essence”, “brand values” and “brand personality”, outermost layer has “brand in action” which reflects brand touchpoints This marketing model is used to analysis and summarize the brand identity, thus over-seeing the brand identity in reality with brand in action. (Posner, 2011)
Essence
Brand value
Represents the heart and the spirit of the brand.
Lays the foundation of what the brand stands for.
Brand personality
Brand in action
Represents a set of human characteristics that could be assoicated with a brand and defines its personality and character.
Represents how the brand identity is made manifest in reality
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S.W.O.T. analysis Appendix F
S.W.O.T. analysis stands for strengths, weaknessns, opportunities and threats analysis. It is a marketing model that provides a clear view on positive and negative factors for the company’s performance both internally and externally. It is particularly useful for analysing the brand position as opposed to its competitors, thus the management team can take actions for improvement according to the reflective information. (Posner, 2013)
Internal
Strengths
Weaknesses
Advantage
Disadvantage
Opportunities
Threats
External
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Total product concept Appendix G
“Consumers don’t buy product or products attributes. They purchase benefits and emotional meaning.” (Ponser, 2011)
Core product
The generic product This is the core product such as a coat, a jumper or a dress.
Actual product
Total product
Price Packaging Styling Quality Design features
Branding Addded value Intangible associations Perceived value Warrenty
The actual or expected product
The total product This is also known as the argmental product, it represents everything a consumer receives including the generic and expected aspects. It also represents the added value, which differentiates from its competitors’ offerings.
The real product is a combination of the generic product plus the tangible attributes. It represents the basic consumers’ expectation.
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Ansoff Matrix Appendix H
Ansoff Matrix demonstrates 4 alternative ways for marketers to grow sales and profits (Hundekar et al., 2010): 1 Market penetration: It involves expansion of sales of existing products in existing markets by selling more to present customers or gaining new customers in existing markets. 2 Market development: In market development a present products is introduced to a new market or segment. It is the creation of new markets by discovering new applications for existing products. 3 Product development: It occurs when a firm introduces new products to a market in which it is well established. It is the introduction of new products in the present market. 4 Diversification: It occurs when a firm seeks to enter a new market with a completely new product.
Existing product
New product
Increasing risk
Product development
Market development
Diversification
New market
Existing market
Market penetration
Increasing risk
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Consumer segmentation variables Appendix I
Customer segmentation variables help a brand to target the right audience, it divides a large customer base into similar subgroups which share similar characters and interests. It acts as a guideline for the brand to establish target consumer profile. 4 criteria are used and are indicated below. Demographic also refers to the life stage of a consumer, which gives one’s basic information such as gender, age, generation and income, thus it is the most widely used classification. (Michael, 2005 and Posner, 2013)
Demographic variables Gender Age Generations Ethnicity Marital status Life-stage Occupation Education Income Social grade classification
Regions Urban/suburban/rural Residental location Housing type Size of city or town Climate
Geographic variables
Psychographic & behavioural variables Lifestyle Social aspirations Self-image Value perceptions Purchase motive & behaviour Interests & hobbies Attitude & opinions
Benefits sought from products Usage rates Volume of purchases Price sensitivity Brand loyalty End-use of product
Usage & benefit variables
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External factors influencing price decisions Appendix J
“The price levels for a product range selected by an organisation can, along with other elements of the marketing mix, decide the success or otherwise in attracting certain target markets.” (Easey, 2010) There are 5 external factors inflencing the price decision as listed below, and 3 internal factors as well including “the ability to control costs, “other elements of the marketing mix” and “the product range”.
DĀNA Pricing structure is hugely influenced this category.
Nature of competition in the market Joint or related demand The nature of the product Other channel members Government policy and legislation
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Price decisions
Pricing architecture pyramid Appendix K
Pricing architecture reflects the pricing structure of a brand, it starts from the lowest cost items right up to the most expensive. Within the price architecture there should be products offered at: • • •
Introductory or low-price point Medium price High price point
The proportion of styles and the stock volume within each tier will be adjusted so that the brand can satisfy its consumers in greatest numbers. (Ponser, 2011)
Premium product extends the offering of a highend brand, making it available to more consumers. Or a highstreet brand can offer premium product to extend range upwards. This price tier can be represented by embroidery shawls.
Top-price product
Premium price product
Mid-price product
Lowest price product
The lowest price tier offers consumers affordable entry-level products. Silk shawls is the best selling products although they sit in the lowest price tier, they will have the largest stock volume.
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A higher number of styles stocked in relatively large volumes occupy the mid-pricing tier - DĀNA Handicraft products.
Top-price products may be stocked in lower volumes; this helps maintain exclusivity : £210 Kantha Bedspreafs is stocked for less than 5 pieces.
Brand touchpoints Appendix L
Brand touchpoints refer to point of interaction between a consumer or potential consumer and a brand such as website, packaging and shop display. (Wheeler, 2003)
Promotion
PR/Press/Media Salesperson
Website Advertising Loyalty programme
Brand Return policy Experience in store
Product performance/ Cleaning care
Windows & Display
Garment fit/ Quality/Style
Packaging Carrier bag Labelling
Pre-purchase Purchase Post-purchase
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Measurements matrix Appendix M
Marketers need to evaluate the effectiveness of each promotional campaign with 4 key stages measurements in order to isolate from other campaigns benefits. They should define the evaluation foucs with the following example questions. The actions may include gathering and analysing data, collectiing feedback, measuring increase sales etc, to set the first 3 stages in place, so the brand can ultimately measure the long-term communication impact and brand equity from summative evaluation. (Dahlen, Lange & Smith, 2010)
Example questions
Purpose FORMATIVE Access market dynamics. category needs, brand requirments and strength of mix and media in meeting marketing communications objectives
What was the potential reach of the campaign? How many target users are to be reached? How much to spent on each mix component? Target audience profile?
PROCESS
Measure campaign inputs and outputs during implementation of marketing communications efforts to measure what has been and is being achieved.
What was the potential reach of the campaign? How many target users actually being reached? How much spent on each mix component?
OUTCOME
Measure effects and changes as a result of the campaign to target audiences.
Was there any attitude change in the target audience? Has there been change in relationship status?
SUMMATIVE Evaluate long-term behavioural changes in target audience in terms of permanent attitude change and purchase intentions.
Has the change in behaviour resulted in intended outcomes? What impacts has there been on lifetime customer value?
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Brand repositioning map Appendix N
The map can help visualise the brand’s new position and potential position for the future. (Ponser, 2011)
MCM repositioning map Source: MCM 2008 (Posner, 2011)
Future positioning Merchandise model: Strength in USP and creative range planning, Desirability driven by product mix.
Design style
Fashion, forward, edgy
Designer model: desirability driven by cutting edge design differentiation.
Craftmanshop model: Desirability driven by historic quality or craftsman range.
Classic, timeless
Original position
Ornate, adorned
Aesthetic
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Simple, sleek, sophisticated
Consumer research Appendix O
Old Spitalfields Market consumer analysis - 29/03/14 28 people were interviewed..
Fig. 74
Fig. 75
1. What is the main reason visiting the Old Spitalfields Market?
Interviewees who chose “other� option explained that the fashion selling in the market is different to the high street, it’s a more relaxing place and there is a variation of handmade/craft stalls here.
Fig. 76
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2. What are your top shopping destination(s) other than this market? Other than these 3 popular destinations, there are Convent Garden, Portobello Market/Notting Hill, Camden, South Kensington and Angel, while the elder couple had suggested going to Liberty after visiting the market.
4. What are your online destination(s) ?
Fig. 77
They are Google, Etsy, Topshop, Miracle Eye, Amazon(9 votes), Asos(4 votes), Miss Guided, John Lewis, Waitrose, Uniqlo, eBay
5. How much do you likely to spend on a scarf?
Fig. 78
Half of the interviewees had chosen £10 - £20 for their budget buying a scarf, where the key range of TLT’s silk scarves are £20-£25 which is meeting the consumers’ expectations.
Fig. 79
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List of illustrations 1. Tibetan Textile Sporleder, L. (2010) Tibetan Textile. [Online image] Available from: http://matadornetwork.com/ trips/photo-essay-images-of-tibet/ [Accessed: 21/04/14] 2. TLT’s sign Tsang, J. (2013). TLT’s sign. Photo self-taken in Ideal Home Christmas Show, Nov 2013. 3. India sourcing trip Tsang, J. (2014) Photo self-taken from India, Feb 2014. 4. Kashmiri embroidery shawl from The Cashmere House. Tsang, J. (2014). Photo self-taken for comparative shop report, Mar 2014. 5. Indian handicraft shop “Namaste” in Camden Tsang, J. (2014). Photo self-taken for handicraft market research, Mar, 2014. 6. TLT market stall Tsang, J. (2014). Photo self-taken for comparative shop report, Mar 2014. 7. TLT handicraft product Tsang, J. (2013). Photos self-taken in Ideal Home Christmas Show, Nov, 2013. 8. TLT handicraft product Tsang, J. (2013). Photos self-taken in Ideal Home Christmas Show, Nov, 2013. 9. Pashminas selling in Excellence of London Tsang, J. (2014). Photo self-taken for comparative shop report, Mar 2014. 10. TLT in trade show Tsang, J, (2014) Photo self-taken in Idea Home Christmas Show, Nov, 2013. 11. TLT silk shawl range Tsang, J. (2013). Photos self-taken in Ideal Home Christmas Show, Nov, 2013. 12. Model in Kashmiri embroidery shawl The Little Tibet (2013). Photo from The Little Tibet. Sept, 2013. 13. Hand stitched Indian bag Tsang, J. (2014). Photo self-taken from India, Feb 2014. 14. TLT silk shawl Tsang, J. (2014). Photo self-taken for product shoot, Apr, 2014. 15. TLT silk shawl close up Tsang, J. (2014). Photo self-taken for product shoot, Apr, 2014. 16. TLT target audience Tsang, J. (2014). Photo self-taken for consumer research, Mar, 2014. 17. Consumer pen portrait Tsang, J, (2014). Photos self-taken for consumer pen portrait, Apr, 2014.
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Garcia-Fenech, G. (2013). Yes to these tiger rugs. Yes. [Online image] Available on: https:// www.flickr.com/photos/theunutterable/sets/72157615812562551/with/3385976258/ [Accessed: 12/04/14] Harman, B J. (2013) Mine. [Online image] Available on: http://www.oldbrandnewblog. com/2013_03_01_archive.html [Accessed: 12/04/14] Isabellaphotpgraphing. (2012) Inspirations. [Online image] Available on: http:// isabellasphotographing.blogg.se/category/inspiration.html [Accessed: 28/04/14] 18. TLT silk shawl Tsang, J. (2014) Photo self-taken for product shoot, Apr, 2014. 19. Vintage Kantha bedspreads Tsang, J. (2014) Photo self-taken in India, Feb, 2014. 20. DĀNA logo Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 21. DĀNA colour palette Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 22. DĀNA colour palette in greyscale Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 23. Colour palette breakdown Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 24. Business card design Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 25. Swingtag design Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 26. Carrier bag design Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 27. Silk shawl box design Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 28. Pattern of DĀNA box Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 29. Silk Fragrance packaging design Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 30. Silk Fragrance ingredients Tsang, J. (2014) Imaged created for DĀNA, Apr, 2014. 31. Staff dress code Long, M. (2014) Photo was taken for DĀNA product film “Morning Ritual”, Apr, 2014. 32. Stall layout Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 33. Website homepage design
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Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 34. “About” page consists of 4 sections Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 35. Online shop layout Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 36. Launch party poster design Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 37. Product video – animated fashion film “Morning Ritual” Long, M. (2014) Photo was taken for DĀNA product film “Morning Ritual”, Apr, 2014. 38. Loyalty card design Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 39. Newsletter template Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 40. Charity boxes Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 41. Facebook page Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 42. Facebook page close-up Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 43. Twitter page Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 44. Different backgrounds Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 45. Tumblr page Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 46. Tumblr page close-up Tsang, J. (2014) Imaged created for DĀNA, Mar, 2014. 47. Tibetan décor Gibson, S. (2008). Tibetan temple door frame. [Online image] Available from: https://www.flickr. com/photos/smgibson/3292066691/ [Accessed: 20/04/14] 48. Tsang, J. (2014). Photo self-taken for comparative shop report, Mar 2014. 49. Tsang, J. (2014). Photo self-taken for product shoot, Apr 2014. 50. Tsang, J. (2014). Photo self-taken for product shoot, Apr 2014. Long, M. (2014) Photo was taken for DĀNA product film “Morning Ritual”, Apr, 2014. 51. Tsang, J. (2014) India sourcing embroidery shawl. Photo self-taken in India, Feb, 2014. 52.– 73. Tsang, J. (2014). Photo self-taken for comparative shop report, Mar 2014. 74.– 75. Tsang, J. (2014). Photo self-taken for Consumer research, Mar 2014.
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