People Tree: Sustainable & Fair Trade Fashion Marketing Plan

Tran Nguyen

People Tree: Sustainable and Fair Trade Fashion ─

1. Executive Summary For over 20 years, People Tree has worked coherently with Fair Trade artisans and farmers around the world to develop ethical and eco friendly fashion. The company initiated in Tokyo, Japan by British entrepreneur, Sa a Minney in 1991. Minney realized that the Japanese were not familiar with sustainable living. Therefore, she decided to launch Global Village, a non governmental organization emphasizing environmental issues.

From then on, she revised her organization’s name to People Tree and continued to expand. Minney decided to return to England and opened up a location in London.

Customers recognize People Tree as a pioneer in fair trade and environmentally sustainable fashion. The company aims to generate business in a new direction by creating opportunities for people who live in the developing world.

2. Environmental Analysis A. Fair Trade Fashion In the past, the words “ethical,” “fair trade,” “organic” and “sustainable” were not thought of as fashionable terms. People Tree has transformed ethical, sustainable fashion into something desirable and inelastic. The company produces high quality, fashionable products for women and men as well as collaborating with leading designers to create unique collections. Unlike many fashion brands that talk about ethics in fashion or corporate social responsibility, People Tree goes further by following the principles of Fair Trade in every aspect of its business. Each product is made by artisans and producers who work to Fair Trade standards. People Tree is certi cati ed in Fair Trade Manufacture under the World Fair Trade Organization. The company is the world’s rst clothing company to receive the World Fair Trade Organization Fair Trade product mark in 2013. Fair Trade makes a powerful di erence, and People Tree aims to alleviate poverty in the world's most marginalized communities.

B. Sustainable Fashion

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People Tree developed the rst integrated supply chain for organic cotton from farm to nal product and was the rst organization anywhere to achieve GOTS (Global Organic Textile Standard) certi cation on a supply chain entirely in the developing world.

The company works hard to ensure that sustainable methods of production minimizes environmental impact. The majority of the cotton used is certi ed organic and fair trade, all the clothes are dyed using safe and azo-free dyes. People Tree uses local products as much as it can, choosing natural and recycled products over synthetic and non-biodegradable materials. All products are weaved by hands from artisans and farmers. Most products are shipped overseas, instead of air, reducing the impact on global warming.

C. The Marketing Environment 1. Competitive forces. The competition of the sustainable industry is not as strong as fast, ready to wear fashion. Slowly, sustainable and fair trade fashion have become popular over the years. However, as a competitor in the overall fashion industry, People Tree faces strong competitors as it was the rst of its own kind. The company has struggled to market towards consumers because they have the option to buy cheaper, a ordable fashion.

As consumers become more conscious about climate change, People Tree may have potential to cater to a larger audience.

2. Political forces. There are a lot of politics when it comes to the fashion industry. Is it ethical? Are the garment workers being treated well? Many fast fashion companies such as H&M and Forever 21 have come under re for mistreating their garment workers. People Tree ensures to establish ethical treatment of their artisans and workers in the developing world to establish fair trade. On the other hand, climate change and pollution are endangering our earth and the wildlife that lives on it. People Tree works with organic bers to reduce the use of synthetic pesticides. The company replaces chemical dyes with natural dyes from plants. Sustainability is a crucial practice that everyone on Earth should start practicing.

3. Technological forces. There are no expected technological in uences or events that could a ect People Tree’s mission.

4. Sociocultural forces. Not only does People Tree promote sustainability and fair trade, the company is promoting the works done by di erent cultures across the world. Promoting the works done by di erent groups and cultures gives the brand name authenticity. Every working person in the world should have the right to be treated respectfully and ethically. Even though People Tree’s price points are higher than fast fashion clothing, the company wants potential customers to realize they are paying for high quality garments ethically done by artisans and farmers.

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D. Target Markets The Target Audience was once on a narrower spectrum; however, over the years the audience has immensely broaden. Before, Minney aimed to market customers in Japan about the awareness of sustainability. Since then, Minney brought People Tree Ltd. to life, having duo locations in Tokyo and London, catering to a bigger market.

Now, on a consumer standpoint, People Tree markets towards customers who want to live a sustainable lifestyle. People have become more aware of global warming, pollution, and climate change. They consume sustainable, organic products and partake in the slow food movement. The ideas of going green have crossed into other industries such as fashion. Slow fashion is gradually becoming popular. People are more conscious about what they wear and how their choices of clothing a ects them. As the movement continues to grow, so will People Tree.

On a worker’s standpoint, People Tree exempli es as a fair trade mogul. The company generates business and jobs for artisans and farmers in the developing world. In today’s fast fashion, companies mass produce clothing to sell to a wide range of customers.

However, the workers who create the garments are often neglected and mistreated. People Tree focuses on giving artisans and farmers good working conditions and incentives for their work. By generating business and jobs, People Tree is an exceptional example for fair trade that other companies can follow by.

Before, People Tree was struggling as a company because it was the rst of its own kind. As consumer markets have been pushing to go green, People Tree will continue to grow as a company and a staple in sustainable, fair trade fashion.

E. Current Marketing Objectives and Performance To reduce repetition, the marketing objectives and performances are all stated in bullets A-D.

3. SWOT Analysis A. Strengths 1. People Tree is the leading fashion company to promote sustainable and fair trade fashion.

2. The company has had famous celebrities such as Emma Watson to be the ambassador of its brand.

3. By reducing pollution, People Tree ships their merchandise by sea to reduce pollution.

4. Even though People Tree has two main locations, it sells its merchandise through several store vendors.

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5. The company promotes work done by artisans and farmers in developing countries.

6. The garment and textile workers are being treated and paid ethically for their work.

B. Weaknesses 1. It is a bit peculiar that Minney chose to market People Tree in Japan. Japan already has rich, niche fashion. She should have started in England for a more e ective expansion.

2. By shipping the merchandise by sea, are those workers being treated ethically?

3. Shipping by sea is slower and takes more time to ship to the customer.

C. Opportunities 1. The company has opportunities for expansion overseas, such as Australia and The United States where both countries are becoming more aware of sustainability.

2. Having more celebrity endorsements can help the company grow and become popular.

3. Collaborating with sustainable and wildlife organizations to promote all companies is a great opportunity.

D. Threats 1. Fast fashion is more a ordable for consumers, which will defer them from shopping at People Tree.

2. If People Tree expands its markets to the US or Australia, it has to compete with “sweatshop free” fashion businesses such as Black Milk Clothing and American Apparel.

E. Matching Strengths to Opportunities/Converting Weaknesses and Threats 1. People Tree can expand to countries like Australia and The United States to grow as a company. More countries are becoming more aware of climate change and sustainability.

2. Emma Watson was one of People Tree’s famous ambassadors. Having more famous ambassadors like Leonardo DiCaprio (who supports sustainability and raising the awareness of climate change) can help the company grow to become a strength.

3. One weakness was the geodemographic. If People Tree started domestically in England rst, it may have had a better expansion as a company. Now, People Tree should start expanding to other countries.

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4. Shipping by sea does eliminate some pollution; however, is it ethical for those workers on the ships? As solar power planes are being perfected, People Tree can utilize those planes to ship at a much faster rate.

5. People Tree’s price point is higher than the average fast fashion clothing tag.

However, the cost and labor of the garments need to be considered.

Collaborating with other charities and organizations can bring awareness to a bigger audience. Otherwise, celebrity endorsements can help translate the message.

4. Marketing Objectives Presently, people are becoming more aware of climate change and human rights issues. Business are looking into going green and provide better work ethics. Since people are becoming aware of what they it, this practice can be translated into the fashion industry. The more people think about the quality, the time and labor that is put into a garment, people perhaps become more aware about fair trade and sustainable fashion.

People Tree aims to protect the environment and use natural resources sustainability throughout trade and promote environmentally responsible initiatives to create new models to promote sustainability. Customers deserve good quality products; therefore, People Tree supplies products with friendly and e cient service. Building awareness to empower customers through fair trade and sustainable products with help propel a good model for the company. Not only do the customers deserve good outcomes, People Tree provides a supportive environment for all workers within the company. Alas, People Tree can then set an example of a fair trade and sustainable company with people centered values.

5. Marketing Strategies A. Target Market 1. Target Market 1: Generation Y aka “Millennials” are becoming more aware of climate change and human rights. a. For example: The Baby Boomers are a diverse group of people; however, they are of an older demographic. Most of generation Y will have about 6-7 more decades to change the the ethics in sustainability and fair trade.

2. Target Market 2: Eventually, Generation Z or the generation that are still being born are the next target audience. a. For example: In order to target Gen Z, marketing towards Gen Y will make an impact on them. A chain reaction of in uence will perhaps make an in uence on Gen Z. 3. Target Market 3: Targeting other continents such as North America and Australia is an e ective way to expand the business’s mission.

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a. For example: There are no agships in The US or Australia. If People Tree feels that it does not t the niche market in those countries, it can collaborate with celebrities or another brand from that country to get the company’s message out.

B. Marketing Mix 1. Product: Products are made with organic cotton. Otherwise, made with hand woven non synthetic bers to create each piece. People Tree sells both Men’s and Women’s garments.

2. Price: Because of the ethical work and practices done by the company, artisans, and farmers, the price of the garments are in a high moderate fashion market. The price covers the costs to make the fabrics, pay the workers an ethical living wage, and the cost of the bers to make the fabric.

3. Distribution: People Tree’s agships are in London, UK and Tokyo, Japan.

People Tree has collaborated with several stores across the world to sell their garments.

4. Promotion: Minney was featured in a documentary called “True Cost,” for viewers to become aware of sustainable, fair trade fashion. She wants people to become aware of what goes into a garment and the true cost that makes it up. Many fashion bloggers have talked about the ethical practices of People Tree. The company also has a blog called “The Thread” that features information leading to a healthy, sustainable life.

6. Marketing Implementation A. Marketing Organization 1. Functions: As mentioned before, People Tree has two agships on two di erent continents. The company works with artisans and farmers from the developing world to giving them an ethical wage to live a safe, humane life.

As a sustainable fashion company, People Tree vows to utilize organic, non synthetic bers to create each piece. Each piece is shipped by sea to diminish pollution on earth.

2. Products: Products are made with organic cotton. Otherwise, made with hand woven non synthetic bers to create each piece. The garment dyes are natural, chemical-free. People Tree sells both Men’s and Women’s garments.

3. Region: People Tree’s agships are in London, UK and Tokyo, Japan.

4. Types of Customers: Customers who support sustainability and fair trade fashion.

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B. Activities, Responsibility, and Timetables for Completion 1. In 1-2 years, celebrity endorsements is something to consider.

2. In that same time frame, reaching the U.S. or Australian fashion market is another thing to consider.

3. If celebrity endorsement does not work out, collaborating with another sustainable organization can help boost both organizations.

4. Plan goals to establish agships on other continents. Otherwise, make more connections and implement brand at di erent vendor stores.

7. Evaluation and Control A. Monitoring Procedures 1. To analyze the e ectiveness of People Tree’s marketing plan, comparing its actual performance with plan objectives is crucial. To facilitate this analysis, monitoring procedures should be implemented to create various activities required to initiate the marketing plan. The procedures include: a. Implement a business meeting with all the representatives in each job department (i.e. nance, human resources, artisans, farmers) to evaluate future plans for the company. b. Conducting a perpetual comparison of the actual and planned activities on a monthly basis for the rst year. After that, a quarterly conduction will be issued after the initial implementation phase. The whole People Tree business team will report their comparison of actual and planned outcomes directly to Minney, the company’s founder and CEO. c. Each department team is responsible for determining what changes must be made in procedures, product focus, or operations.