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Sheffield Hallam University Topshop Report By Scarlett Davison BA (Hons) Fashion Management and Communication
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CONTENT 1. Executive Summery 2.Introduction 3. PESTEL 4. SWOT 5. Competitors 6.Consumer Demographic 7. Product Selection 8. Social Media and Influencer Marketing 9.Marketing Mix 10.Proposed Stratagy 11. Bibliography 12. Appendices
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1.EXECUTIVE SUMMERY The purpose of our work is to help the brand, Topshop, become as popular and successful as it once was by making changes to its image and its message to consumers. To help the store, we made a survey as primary research and used online articles to support this (as secondary research). From our primary research, we found that 63.79% of those who had taken the survey shop online more than out on the high street (graph 4), due to this, one of our recommendations for the brand is that Topshop’s online and social media should be updated as it is not on par with other shopping sites such as Pretty Little Thing. The style and colour scheme of Topshop’s current online shopping site is plain and uninteresting, this would lead the consumer to become bored due to the simplicity of the site. This is one of our main recommendations for the store due to the increase of online shopping buy consumers currently (Financial Times, 11th Jan 2018). We also recommend that Topshop needs to change its current demographic. Topshop currently aims its clothes at 15-30-year olds (The Guardian, 2002) our survey supports this as 21.14% of the fifty-eight people (graph 5) who had taken the survey were under the age of eighteen. If Topshop aims is clothes at a more mature age demographic, sales will be boosted, and profit will increase due to the consumers higher income. The younger generation want clothing for cheaper, however Topshop should increase their quality of clothing and sell products for similar prices to what Zara do to obtain a more prestige image. The final main recommendation we are proposing is a more varied size range. Our survey revealed that 84.48% (graph 3) of those interviewed believe that Topshop should have a more diverse range of model and 56.14% (graph 6) would more likely buy for the store if they used a model of different sizes.
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2.Introduction The report is about how we believe Topshop could improve their brand with three main recommendations (social media design, a range of sizing and changing the age demographic) to result in higher sales and in turn, more profit. The main problems we want to overcome is the falling profits and the inclusivity of the consumer, as we feel as though Topshop could include a wider range of people. We want Topshop to return to its past state of being a luxury high street store and wanting it to overcome its current financial state, which have declined recently (The Telegraph, 2018). Topshop used to be one of the most popular high street stores (Retail Gazette, 2017) and was an obvious choice if the consumer wanted fashionable clothing for less. However, recently the shop has declined popularity, especially after allegations such as bullying and sexual harassment by the owner of the brand, Sir Phillip Green (PressReader, 2019). The survey that was conducted includes questions about the consumer and the store, to compare the results to the current standings of Topshop, for example, their pricing of products and if the consumer thinks it’s reasonable. We also used secondary research in our findings, this included looking at different articles on Topshop’s financial state, with its falling profits. From our survey, we found that 63.79% of 58 people shop online more than on the high street (graph 4). We also found that 77.59% believed that Topshop was too expensive. Only 7 of the people interviewed were above the age of 24, meaning the rest of those who answered were Topshop’s current age demographic, strongly supporting the recommendations that need to be made as we based these recommendations on the results of the survey. We are mainly wanting to over come the problems with Topshop’s website and social media accounts by making them more engaging for the consumer. We also want to change the demographic of which Topshop aims its products at.
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3.PESTEL Analysis
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4. SWOT Analysis
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5.Competitors Topshop’s main current competition is H&M and Zara. H&M has the same age demographic as Topshop, but H&M is cheaper, and this is a big factor as to why the consumers of this age demographic purchase their clothes. In the survey that we conducted, we found that 77.59% of 58 people interviewed believed Topshop’s prices are too expensive (graph 2) and 62.79% (graph 5) of those who answered were between the ages of 18-24 (within Topshop’s target audience) supporting the idea that cheaper clothing is a factor as to why people buy from certain shops. Another big competitor for the brand is Zara. The brand is known for being a fashionable and luxurious brand but with a more affordable high street price (The Fashion Enterprise). Both stores sell similar types of clothing e.g. smart coats and sophisticated shoes, however, Zara aims its clothing at an older clientele, who don’t mind paying extra for items within the store. We believe that the best option for Topshop would be to change the age range that they aim at, not only for their profits to rise, but to create a more prestige and luxury environment for their store. This in turn should help Topshop return to its place in the high street market before the decline in sales in 2017 (Telegraph, 2018).
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Brand Positioning Map
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This mood board is Topshop’s current competitors, the brand has the same prices as Zara but has the qualityand similarites as H&M however Topshop is more expensive.
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6.Consumer
Demographic Topshop’s current demographic is aimed at 15-30-year olds (The Guardian 2002), the store also wanted to create and sell clothes for the “unique individual”. However, the majority of items sold in the shop are simple and basic t-shirts that younger teens are most likely to buy. Furthermore, you can buy these types of T-shirts for cheaper at other stores such as H&M. Currently, the store is aiming their clothing at a majority of people who don’t have a high income e.g. young teens and students, so their profit is unlikely to be high. Topshop instead should aim at a higher age demographic who have their own home and a full-time job, people within this age bracket are more likely to have a higher income a more stable financial state. Due to having a higher financial state, the consumer is also more likely to have more of a disposable income, of which they can use to purchase clothes from the store. In our survey, 46.55% said that when it comes to the quality of the clothes in Topshop, it depends on the garment, meaning there is no consistency of the quality of the clothes. We believe that if Topshop want to keep the higher prices and stay on par with Zara, that they should increase the quality of their clothing.The mood board shows how Topshop currently has a younger demographic and makes clothes for that demographic, however for Topshop to progress, they should change the demographic they aim at and produce more mature clothing instead of graphic T-shirts.
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7.Product Selection Topshop has 510 stores over 37 countries, 300 of which are in the UK. The store sells a wide range of products and are known by most because of their jeans collection. They have eight different styles, meaning that everyone will most likely have a style that appeals to them. The maximum price for the jeans sold by the brand are £65. Topshop also sells a wide range of brands within its store, including Calvin Klein, Tommy Hilfiger and House of CB to name a few, all these brands have been sold within stores for years and so are clearly selling well, Calvin Klein in particular. This is most likely down to the fact that the Kardashian family recently did a campaign for the brand in 2018 (Billboard, 2018). The brand also sells Ivy Park, however, due to rumours of unfair labour of employees, there has been mixed opinions on the collection (The Sun, 2016). Furthermore, through primary research, it was found that Beyoncé’s gym wear collection isn’t in all Topshop stores, meaning that Ivy Park clearly has more popularity in some places and less in others. Topshop consistently has a 10% discount for students which sometimes rises to 20%. The store also has frequent sales throughout the year e.g. putting summer clothes on sale when the winter season begins.
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8.Social Media and
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Influencer Marketing
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Topshop uses multiple social media platforms including Instagram, Facebook and Twitter. Topshop’s Instagram is extremely basic and simple, with their pictures mainly being models of one physical demographic or influencers wearing their clothing. There is nothing eye-catching that stands out to the consumer that would make them want to continue browsing. The stores online shop also has the same visual aesthetic, with a white background and similar looking models in every picture. Its Instagram account has 9.4 million followers compared to PrettyLittleThing’s 10.1 million. Instagram was introduced in 2010 and PrettylittleThing wasn’t founded until 2012, this means that Topshop had a two-year head start on the online brand but still has less followers. This supports the idea that the brands Instagram and online shop is clearly lacking and in turn, resulting in less support from consumers. To change this, Topshop should possibly consider a new colour scheme or change the artistic director for photoshoots and try a different style. The only main strategy the brand uses when it comes to its social media is the use of influencers. The store frequently uses influencers on its Instagram and its these images that receive the most likes, suggesting that this strategy is a positive one and should continue to be used. However, Topshop has never done a clothing line or collaboration with an influencer which would clearly boost sales if you take the social media evidence into account. The only issue with the influencers that Topshop use is that most of them are white and all of them are slim, to boost sales the brand should include a wider range of people from society to gain more followers as they are including more than one type of person. The store should also continue to use influencers that have a large online following to, again, reach more of the population.
This is a moodboard showing Topshop’s current online state with repetitive pictures and plain colours. 22
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9.Marketing Mix
Price: Topshop is known to have a mid to high price point in terms of high street fashion and although the brand is classed as fast fashion, its prices are significantly higher than other stores such as H&M or Primark. Although some of Topshop’s garments are expensive and go into the hundreds its average price range is between £20 and £60. Product: Topshop mainly sells clothing but also sells; cosmetics, shoes and accessories. They have different sections within their store to tailor to different body shapes e.g.. petite and maternity. Topshop have still not developed a plus size range and their sizes only run from 4-16. The store is mainly known for is wide collection of jeans in many different styles, this is a positive move by Topshop as it can include more than one type of consumer and in turn, boost sales due to reaching a wider demographic. Topshop also has different collections within its stores such as Topshop Boutique which has a higher price point and is more exclusive. The store has also sold the “Kendall and Kylie” collection in their stores to boost sales due to the popularity and following of the celebrities. The brand also sells a large range of accessories such as bags, scarves and purses, as well as selling multiple different makeup products such as lipstick, eye-shadow and highlighter. Place: The Topshop stores are normally placed on the busy high streets of each city e.g. Fargate in Sheffield or Oxford Street in London. This is a good move by the brand as the stores are based at the busiest parts of the city with thousands of people walking past every day. The brand has a known online presence due to its website and free app which can be downloaded from the app store. The brand also appears in Debenhams and House of Fraser stores, showing its strong presence in the high street market. Promotion: The main way in which Topshop promotes itself as a brand is through the use of social media. It uses platforms such as Instagram, Twitter and Facebook to attract the audience they aim their clothes at. The brand uses images of influencers wearing their clothes on their Instagram account to show their followers that people who have a large following wear their clothes. This in turn will result in more people buying from Topshop. The store also advertises the use of a student discount to attract more customers as consumers will want to buy clothes for less money.
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10.Proposed Stratagy Recommendations
The first recommendation for Topshop is to change their consumer demographic. In the past, Topshop was known to be one of the more luxurious fashion brands, with the high street price and would be put into the same category as Zara. However recently, due to the decline in sales and profit (The Telegraph, 2018), Topshop seems to be lagging behind Zara (Harpers Bazaar, 2017). In the survey, it was found that 77.59% of the 58 think that Topshop is too expensive (graph 2), however the majority of the people who answered were younger than 30, some even under 18, this correlates with the results as the younger generation including students don’t have as much disposable income as they are either too young for a job or have to pay rent and university fees. Zara has similar prices to Topshop and yet is doing better profit wise (Harper Bazaar, 2017) this means that the next logical step is to change the demographic to 18-40 and rather than change price, increase quality, like Zara. This change keeps some of the current consumers at the store and doesn’t exclude them but at the same time introduces people with more disposable income who can afford to pay the prices and in turn, increase profit. The mood board explains how Topshop should keep Zara as a competitor due to how well its doing, it also includes online sites due to how well they are doing currently. Another recommendation is for Topshop to introduce a plus size range. The brand already has; petite, tall and maternity ranges and so includes a range of different consumers however, with body positivity stronger than ever and brands using models with stretch marks (Independent, 2019) Topshop should consider a plus size range to include another microcosm of society. The brand currently has a size range of 4-16, however we think that the brand should add more sizes or add a plus size collection like the other ones that it already has.
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Recommendations Continued The more people Topshop include within their brand, the more sales and profits they will have. If Topshop does this, then it could also be known to be one of the first main high street brands to have a plus size, it could set an example for other high street stores such as H&M. A final recommendation is for the brand is to change its social media and online website. The survey showed that 63.79% (graph 4) of people prefer online shopping to shopping on the high street, this means that Topshop should make their website and Instagram as engaging and exciting as possible, to keep the consumer browsing through their products. Currently, the brands Instagram is very simple and mundane, giving the consumer no reason to keep an interest in the store. The brand could use a new colour scheme so that the social media account is more interesting and eye catching. They could also include a range of models so that every consumer can relate to their clothes in some way and be able to get an idea of how they would look in them. The store already uses images on their Instagram of influencers with large followers wearing their clothes and these photos receive many likes, the brand should keep doing this and possibly introduce other influencers who have many different followers (Forbes, 2018) that they can bring to the brand. From there, Topshop should possibly consider collections with the influencers as their large following will attract more consumers. As for Topshop’s website, they should consider a new artistic director or photographer who would bring an exciting visual aspect e.g. David LaChapelle. An exciting website will grip the consumer and make them continue looking through the site, most likely resulting in the purchase of items and in turn, increasing profit. The moodboard is my proposed demographic to show the type of people Topshop should aim at e.g. a more mature audience and people with different body types.
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This mood board is to explain how Topshop should continue to use well known influencers but use a more diverse range e.g. skin colour and body size, to attract a wider audience.
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11. Bibliography Charlotte Horler. 2016. A Critical Review On ZARA´s And TOPSHOP´s Arrival In The Sustainable Fashion World. [ONLINE] Available at: https://www.mochni.com/a-critical-review-on-zaras-and-topshops-arrival-in-the-sustainable-fashion-world/. [Accessed 14 February 2019]. Creativepool. 2017. London pride window. [ONLINE] Available at: https://creativepool.com/topshoptopman/projects/london-pride-window-for-topshop. [Accessed 27 January 2019]. Doll Beauty. 2019. Doll Beauty. [ONLINE] Available at: https://www.dollbeauty. co.uk/. [Accessed 28 January 2019]. Dr John O’Brian. 2018. Could the financial crash happen again?. [ONLINE] Available at: https://www.rte.ie/eile/brainstorm/2018/0914/993687-financial-crash-lehman-brothers-10-years-on-ireland-recession/. [Accessed 28 January 2019] Ed Bowsher. 2018. Online retail sales continue to soar. [ONLINE] Available at: https://www.ft.com/content/a8f5c780-f46d-11e7-a4c9-bbdefa4f210b. [Accessed 30 January 2019] Ella Alexander. 2017. Zara is officially more popular than Topshop. [ONLINE] Available at: https://www.harpersbazaar.com/uk/fashion/fashion-news/news/a40816/ pretty-little-thing-uk-popularity/. [Accessed 14 February 2019]. James Mills. 2016. Exposed: Sweatshop ‘slaves’ earning just 44p an hour making ‘empowering’ Beyonce clobber. [ONLINE] Available at: https://www.thesun.co.uk/ archives/news/1176905/exposed-sweatshop-slaves-earning-just-44p-an-hourmaking-empowering-beyonce-clobber/. [Accessed 27 January 2019] Jess Cartner-Morley. 2019. Topshop Instagram, street style and Green end chain’s golden age. [ONLINE] Available at: https://www.pressreader.com/. [Accessed 2 February 2019] Katie Morley. 2016. The rise of online-only shops: customers lured by free returns and low prices. [ONLINE] Available at: https://www.telegraph.co.uk/ news/2016/07/29/the-rise-of-online-only-shops-customers-lured-by-free-returnsan/. [Accessed 2 February 2019]. 31
Lara Robertson. 2018. How Ethical Is Topshop?. [ONLINE] Available at: https://goodonyou.eco/how-ethical-topshop/. [Accessed 28 January 2019]. Martin Robinson. 2015. How Ethical Is Topshop?. [ONLINE] Available at: https://www.dailymail.co.uk/news/article-2921587/Pop-star-Rihanna-winslegal-battle-against-high-street-chain-Topshop-judges-rule-store-did-not-rightsell-T-shirt-face-without-asking-permission.html. [Accessed 28 January 2019]. Martin Robinson. 2015. Rihanna wins £3million legal battle against high street chain Topshop as judge rules store did not have right to sell T-shirt her face on it without asking permission. [ONLINE] Available at: https://www. dailymail.co.uk/news/article-2921587/Pop-star-Rihanna-wins-legal-battleagainst-high-street-chain-Topshop-judges-rule-store-did-not-right-sell-T-shirtface-without-asking-permission.html. [Accessed 28 December 2018]. Megan C. Hills. 2018. Survey: YouTube Is America’s Most Popular Social Media Platform. [ONLINE] Available at: https://www.forbes.com/sites/meganhills1/2018/03/23/social-media-demographics/#5d96ccea783a. [Accessed 15 February 2019] Miranda McMinn. 2002. Do I look my age in this?. [ONLINE] Available at: https://www.theguardian.com/theobserver/2002/oct/13/featuresreview. review. [Accessed 28 January 2019]. Natasha Wynarczyk. 2019. Boohoo praised for showing bodysuit model’s stretchmarks. [ONLINE] Available at: https://www.independent.co.uk/ life-style/boohoo-stretchmarks-body-positivity-white-bodysuit-image-instagram-twitter-a8732336.html. [Accessed 15 February 2019] PrettyLittleThing. 2012. PrettyLittleThing. [ONLINE] Available at: https://www. prettylittlething.com/. [Accessed 2 February 2019]
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Rita Thompson. 2018. The Kardashian Sisters Strip Down For Fall 2018 Calvin Klein Underwear Campaign: See the Pics. [ONLINE] Available at: https://www.billboard.com/articles/news/8468118/kardashian-family-fall-2018-calvin-klein-underwear-photos. [Accessed 6 February 2019]. Sophie Christie. 2019. Topshop posts £10.9m loss as it grapples with tough retail environment. [ONLINE] Available at: https://www.telegraph.co.uk/business/2018/05/23/topshop-posts109m-loss-grapples-tough-retail-environment/. [Accessed 22 January 2019]. The Fashion Enterprise. 2018. 5 Reasons Why Zara Is Successful. [ONLINE] Available at: https://www.thefashionenterprise.com/magazine/5-reasons-zara-successful/. [Accessed 1 February 2019]. Topshop. 2019. Topshop Student Discount. [ONLINE] Available at: https:// www.topshop.com/en/tsuk/category/topshop-students-student-discount-2316596/home?dual_run=monty&. [Accessed 1 February 2019]. Topshop. 2019. Topshop. [ONLINE] Available at: https://www.topshop. com/?dual_run=monty&. [Accessed 28 January 2019]. Unknown. 2016. David LaChapelle. [ONLINE] Available at: https://www.artsy.net/artist/david-lachapelle. [Accessed 15 February 2019]
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Images Figure 1
Unknown, (2019), Toffee goes with everything [ONLINE]. Available at: https:// www.instagram.com/p/BtWDlq9Flne/ [Accessed 18 February 2019] Unknown, (2019), Joannahstyles [ONLINE]. Available at: https://www.instagram. com/p/BtA_-mThgqa/ [Accessed 18 February 2019] Unknown, (2019), This is how we do snow boots [ONLINE]. Available at: https:// www.instagram.com/p/BtbjujqBolH/ [Accessed 18 February 2019]. Unknown, (2019), New season neutrals [ONLINE]. Available at: https://www. instagram.com/p/BtOmAMEh7v9/ [Accessed 18 February 2019]. Unknown, (2019), Adding a touch of spring to your wardrobe [ONLINE]. Available at: https://www.instagram.com/p/BtBf5A9lYT5/ [Accessed 18 February 2019]. Unknown, (2019), Introducing the dress of the season [ONLINE]. Available at: https://www.instagram.com/p/BsnwTQIlORf/ [Accessed 18 February 2019]. Unknown, (2019), Same you, just a different wardrobe [ONLINE]. Available at: https://www.instagram.com/p/BsOaxqnBXot/ [Accessed 18 February 2019]. Unknown, (2019), The neon hoddie to make sunny winter days even brighter [ONLINE]. Available at: https://www.instagram.com/p/BsyafD4jPJo/ [Accessed 18 February 2019] Katherine Bond, (2019), Another day, another teddy coat [ONLINE]. Available at: https://www.instagram.com/p/BrTAMaKgPlH/ [Accessed 18 February 2019].
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Unknown, (2019), However, you wear it: the boilersuit is this seasons go to style [ONLINE]. Available at: https://www.instagram.com/p/Bs-W6fIl1Ut/ [Accessed 18 February 2019].
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Figure 3
Unknown, (2019), Introducing the dress of the season [ONLINE]. Available at: https://www.instagram.com/p/BsnwTQIlORf/ [Accessed 18 February 2019].
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Unknown, (2019), Toffee goes with everything [ONLINE]. Available at: https:// www.instagram.com/p/BtWDlq9Flne/ [Accessed 18 February 2019]
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Unknown, (2019), Adding a touch of spring to your wardrobe [ONLINE]. Available at: https://www.instagram.com/p/BtBf5A9lYT5/ [Accessed 18 February 2019].
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Katherine Bond, (2019), Another day, another teddy coat [ONLINE]. Available at: https://www.instagram.com/p/BrTAMaKgPlH/ [Accessed 18 February 2019].
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Katherine Bond, (2019), Another day, another teddy coat [ONLINE]. Available at: https://www.instagram.com/p/BrTAMaKgPlH/ [Accessed 18 February 2019].
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Unknown, (2019), Our new term essentials, guaranteed to score you top style marks [ONLINE]. Available at: https://www.instagram.com/p/BnUD_s9Ab72/ [Accessed 18 February 2019].
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Unknown, (2019), The cult satin skirt is back brighter than ever [ONLINE]. Available at: https://www.instagram.com/p/Bsd4VMhFS8E/ [Accessed 18 February 2019].
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Unknown, (2019), The neon hoddie to make sunny winter days even brighter [ONLINE]. Available at: https://www.instagram.com/p/BsyafD4jPJo/ [Accessed 18 February 2019]
Figure 11
Unknown, (2019), New season neutrals [ONLINE]. Available at: https://www.instagram.com/p/BtOmAMEh7v9/ [Accessed 18 February 2019]. 35
Figure 12
Unknown, (2019), Pretty in pink [ONLINE]. Available at: https://www.instagram. com/p/BtG58PJlCcu/ [Accessed 18 February 2019]
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Unknown, (2019), Practically perfect [ONLINE]. Available at: https://www.instagram.com/p/BtTYOUSgRuD/ [Accessed 18 February 2019]
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Unknown, (2019), Green Cast Jamie Jeans [ONLINE]. Available at: https://www. topshop.com/en/tsuk/product/grey-green-cast-jamie-jeans-8391462 [Accessed 18 February 2019].
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Unknown, (2019), Double demin goes well with double animal print [ONLINE]. Available at: https://www.instagram.com/p/BouSwSPAXa9/ [Accessed 18 February 2019].
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Unknown, (2019), This asymmetric cut suit will boost your mood even more now it’s 20% off [ONLINE]. Available at: https://www.instagram.com/p/Bt6CKp5FEFw/ [Accessed 21 February 2019]
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12. Appendices Graph 1
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