Human Cocoon
Market Research Sohair Maghazi Student No: 8301 Sensations (Human Cocoon) Course No: E19CA/CB BA Fashion - Year 3 West London College
AGENDA
Company Profile Designer Profile Market Research The Collection Target Market SWOT Analysis Market Analysis Market Positioning Market Segmentation Competitors Typologies Demographics Psychographics Customer Profile Invoice
BACKGROUND OF MAGHAZI FASHION
Human Cocoon is a visionary project, which has been inspired by pre-20th century Islamic fashion trends while building on the notion that less is more. I’ve always been intrigued by the architecture of designing and producing garments that can be worn in different ways. Hence the cocoon effect which takes a transferrable shape, focusing on the conceptual and contextual aspects that feed into the design process. Maghazi Fashion is an authentic take on style-meeting-substance and skill. The main objective of the label is to emphasise the importance of craft and technique and to accentuate functionality.
DESIGNER PROFILE
Sohair Maghazi is the founder of Maghazi Fashion. She established the label in 2014 and describes it as “a line of ready-to-wear products with a cultural twist to modern designs”. Graduating with a Short Course in photography in 2010, she decided to follow her dream in fashion design and pursue a 3year long course. Sohair is due to complete her BA in Fashion Design in the summer of 2015 when she will set out to execute her 5 year plan for her brand مغازي
MARKET RESEARCH
Value for money is still the key factor driving consumers when buying new clothes at the moment. Some of the important questions that will be explored during and after my process of design and development are; how is my chosen market developing, how do my garments compare to my competitors in Dubai, how do I increase loyalty and sales across all channels and how are my garments priced to meet the needs of my target market. Â
THE COLLECTION Maghazi Fashion is a collection for AW 15 - 16. Clean lines, cultured silhouettes and the transferrable fits are qualities that define the approach. The principal motivation of the label is to design well-constructed garments, incorporating fine fabrics and materials. Another objective is to emphasise cultural elements through design. Logo – Maghazi written in traditional Arab calligraphy
مغازي
TARGET MARKET
Maghazi Fashion has set itself up to initially launch in Dubai with a 3 year plan before venturing out into other Middle Eastern countries such as Abu Dhabi, Saudi Arabia and Egypt. Dubai and fashion are nearly synonymous. Being the powerhouse in the Middle East, this small region is currently raking in almost half of the province's market share of retail spending. Age Gender Occasion Lifestyle Sector Slogan USP
25 – 45 years Female Work, Leisure/ Social, Weekend Contemporary, Chic, Quirky & Different Lifestyle and Retail Extraordinary Clothing Speciality, Shape shifting and Designer clothing for fashionable women
UAE, Dubai
Dubai is a city in the United Arab Emirates known for luxury shopping, progressive architecture and a lively nightlife scene. The population is currently estimated at 1.7million The official language of Dubai is Arabic whilst the national religion is Muslim The Islamic dress code in Dubai prohibitions on wearing "indecent clothing" or revealing too much skin are aspects of the UAE to which Dubai's visitors are expected to conform, and are encoded in Dubai's criminal law
Influx of tourists and expatriates transforms Dubai’s retail landscape With the unrest in many parts of MENA, Dubai has become the preferred destination for tourists from across the region. Undoubtedly, the high quality retail offerings found in Dubai make it a popular shopping destination among the Gulf Cooperation Council (GCC)[1] countries. The GCC countries, as a group, account for the largest share of overnight visits to Dubai. In 2013, the number of hotel guests in Dubai increased by 10.6% to 11 million, with hotel occupancy reaching 80%. Dubai’s retail sector has also benefitted from the surge in affluent tourists from a number of emerging markets, notably China and Russia.
SWOT ANALYSIS Strengths • Using high-end, innovative fabric combinations • The fashion designer has left her imprint on each and every one of the items sold in the store • The inspiration of the first boutique store is to make the collection give a vintage feel which makes it popular with the elite class • High Social Media and online presence, generating a high popularity and word-of-mouth following. Weaknesses • Limited production for certain items • No previous Sales or Marketing experience • Smaller population of Target Market then most Middle Eastern Countries
SWOT ANALYSIS
Opportunities Online Retail and E commerce is gaining large amount of importance Eventual expansion into other UAE and Middle Eastern sectors Product expansion into beauty products and footwear Open flagship boutique in the one of the leading malls of Dubai Threats Economics fluctuations Competitors with a larger budget and presence Price sensitivity within Target Market
MARKET ANALYSIS
The UAE retail market has gained momentum over recent years. Retail sales grew 24% during 20092013, reaching US$26.4 billion. This was largely driven by the rapid growth in non grocery items. As the premier trading hub and a perceived safe vacation spot in MENA, Dubai’s strong rebound has naturally attracted a growing influx of both investors and tourists. Dubai International Airport is now the world’s second busiest airport in terms of international passengers, with the number growing by 15% to 66 million in 2013. In the same year, the retail sales of Dubai Duty Free grew by 11%, reaching a record high of US$1.8 billion. Tellingly, this is the highest sales value of all airport retailers worldwide. In addition, Dubai’s successful bid for the World Expo 2020 has proved another vote of confidence in the emirate’s strengthening economy, further boosting investor optimism. The flourishing retail sector in Dubai is expected to provide enhanced business opportunities for those Hong Kong exporters and retailers who are able to offer trendy, stylish products with unique designs.
MARKET POSITIONING
مغازي
MARKET SEGMENTATION
Research indicates that women approach retail shopping uniquely by evaluating purchases based on product and company information derived from both personal and expert sources. Additionally, surveys consistently reveal that women buy based on the relationship they forge with a brand. Statistics, studies, and our own personal experiences show us again and again that excellent customer service lowers customer abrasion rates, fosters excellent word of mouth and most importantly, increases sales.
COMPETITORS
The Competition Market Segments are usually driven by who is offering the best quality, most interesting garments for less. The key to success is the quality of the piece of clothing: how it was made and with what materials. Maghazi Fashion aims to provide a premium yet cost effective brand, which can be worn mainly by woman. Some of the prime competitors Maghazi Fashion will encounter in the Gulf State are Arwa Abdelhadi and Basma Abu Ghazaleh who together created women’s wear fashion brand known as KAGE as well as, Leila Al Marashi, the founder of Sugar Vintage is a leading figure in fashion world of UAE. They both have similar concepts to my collections and brand. However, I aim to appeal to a slightly more niche version of higher spenders.
COMPETITORS
TYPOLOGIES
DEMOGRAPHICS
Professional Woman
25 – 45 years
Household Income
£35k +
Education
Generally College Graduates
Ethnicity
Not Specific
Employment
Not Specific
Marital Status
Not Specific
DEMOGRAPHICS The Working Woman; they’re looking for comfort as well as quality for their routinely 9-5 days and are usually going to spend £30 - £50. The Retro Woman; this type of woman loves vintage clothing and would usually get thrills from limited edition, they would generally spend £100+. The Woman on Edge, these woman admire what’s in season, what’s trendy and what their celebrity icons wear, they commonly won’t have a limit in what they’re willing to pay for something they’ll rarely wear. The prime demographic targeted by Maghazi Fashion is the ‘retro woman’. This market is ideal for my garments because all my garments will be of limited edition, the attention to detail in the handmade final silhouettes will add an extra appeal. Also, with the growth of my marketing campaign and word of mouth, the products designed in my collection will also have the opportunity to attract ‘the woman on edge’. Mainly because of the high quality fabric and in-season style used in all of my final pieces. -
PSYCHOGRAPHICS
Personality
Gracious, Intelligent, Energetic
Attitudes
Quality-conscious, Confident, Explorer
Interests
Fashion, Architecture, Spontaneous activities
Buying attitude
Regularly, Fashion Focused, Saves for quality
Lifestyle
Fashion conscious, Builds a personal relationship with brand
The character of Maghazi’s customers are brand conscious, humble yet daring. Living in the UAE enhances her desire for finer fabrics and innovative prints. Surrounded by a community were most conform to the boring type of traditional clothing, she acts as a leader amongst her peers in having the confidence to remain fashion focused. Status symbols are important to her and all those around her so she longs for Maghazi’s designs to make a statement. Her buying habits coincide with her social lifestyle. She’s is extremely active and when she’s not working she could be spending quality time with family. In essence, she eats what pleases her but wears what pleases others.
CUSTOMER PROFILE
Name:
Saraa Ali
Age:
31
Live:
Dubai
Marital Status:
Engaged
Profession:
PA to CEO of Rahma Investment Banking
Income:
£50,000 per annum
Interests:
Fashion, travelling, wine tasting, gym, scuba diving
Style:
Trendy, different, expensive, confident
Saraa has been working closely with the CEO of one of Dubai’s largest Investment Firms for close to two years. He professional mannerism's and brilliant use of multi-tasking skills have seen her excel in her current role. Saraa graduated from Brunel University in London with a BSc in English Literature. She generally spends up to 35hours a week in the office committed to her work but when she isn’t working, Saraa spends a lot time with her fiance diving and wine tasting or with her friends who love to shop as much as she does.
INVOICE
MACROENVIORMENTAL FACTORS
The macroenvironmental factors affecting Maghazi Fashion are those which lie outside our small company and our competitors. We have less control of these external factors, and their impact in changing them is minimal. Instead, small boutiques like ours must adapt to these macroenvironmental factors, which include consumer characteristics, technology, government influence and the economy. The way Maghazi Fashion adapts to macroenvironmental factors determines both the way we differentiate ourselves from key competitors and overall success i.e. Consumer Factors Technological Factors Legal and Political Factors Economic Factors
MACRO & MICRO FACTORS
Positive Factors Clothing Industry
Impact on Maghazi Fashion
Very low interest rates
Cost of financing low
Easy availability of consumer credit
Higher ticket sizes on credit card purchases
Relatively low unemployment, and very low inflation
Stable employees & businesses
A relatively low personal savings Increased consumer spending rate (Positive side of:) Significant continued layoffs at larger Higher-educated employees corporations require job migration
Negative Factors Clothing Industry
Impact on Maghazi Fashion
Weakening consumer confidence (influenced by global terrorism, tension & uncertainty)
Decreased sales
Strong Currency
Lower margins
Slowly increasing unemployment
Value and sale shopping (can also be positive impact)
Decreasing levels of consumer household wealth due to stock portfolios and 401(k) plans that have seen Continued "cocooning" by customers huge losses
Consumers with record high debt levels are defaulting on credit card balances, home mortgages & loans at Increase in returns an alarming rate
(Negative side of:) Significant continued layoffs at larger corporations require job migration and lead to large numbers of consumers employed as temp workers
Reduction in working women who can buy luxury items
RETAIL SPACE
• • • •
Simple and open Radiant with vast amounts of natural light Placing attention solely on garments Creating a visible yet subliminal walking route