Transcript MM Presentation

Introduction
• Charles & Keith is a Singapore footwear and
fashion accessories label owned mainly by Charles &
Keith(Singapore) Pte Ltd.
• Charles & Keith has a global network that covers more
than 165 stores across 25 countries with them
specialising in items
• Including Shoes, Bags & Accessories
• Their mission is “To offer high quality products and
services, with a commitment to perfection.”
Marketing Orientation
• Societal Marketing concept:
• Places great importance on being a socially
responsible company by contributing in numerous
ways to the community it operates in by focusing
on 3 main principles:
 Humanitarian Causes
 Human Excellence
 Environmental Initiatives
Target Market
• Demographic Targeting strategy
• Charles and Keith current target market
working class women who like to wear quality
shoes.
• Target market for new product
• working class who will require the use of
formal wear
Strategic Direction
Why Charles & Keith was chosen:
• Potential Market Share
• Enterprise of the Year 2009
• Pledges to the Society for the Physically
Disabled (SPD)
SWOT Analysis
Strengths:
Weaknesses:
• Excellent brand awareness
• Strong brand positioning
• Broad portfolio
• Long term experience
• Strong management team
• Online presence
• High pricing of products
• Uncomfortable footwear
• Imitation of goods
Opportunities:
Threats:
• Expansion of products/services
• Brand endorsements by models and
celebrities
• Expand outside Asia
• Intense competitions
• Changes in consumers’ taste
• Economic factors (recession)
Ansoff’s Model
• For Charles & Keith, we will be adopting the
Product Development strategy for our new
product – formal wear
• These products are new products for the
existing markets
Gap Analysis
• GAP analysis is a growth strategy that helps
companies compares actual performance with
potential performance.
• There are three types of strategies:
• Intensive growth, which is a current portfolio
of the company that is trying to achieve growth
within the current business.
•Integrative growth strategy, where companies are able to
build or acquire businesses that are related to their current
business
• Diversification growth, which means that the company
would be interested to attract business that is unrelated to
the current business
BCG Model
Question Mark category
• -low market share
• -high market growth
Positioning
• Based on survey, Quality and Price ranked at
top 2 priority for making a purchasing
decision.
• Positioned to offer the best quality product at
affordable prices
Marketing Direction
Product
Quality
 Quality has a direct impact
 Uses only top quality materials to produce our
merchandise
Design and Style
 Famous designer Ashley Isham to lead our
design team
 the new line of formal wear we are planning to
introduce will be very popular and
well-received
Packaging
 Adopting societal marketing concept
 Our packaging concept would be
environmental friendly
 Shopping bag in the form of “Briefcases” to fit
in and complement with the formal wear’
• Can be reused
Product life-cycle strategies(Introduction)
 Starts when the C&K formal wear line is first launched.
 In this stage, as compared to other stages, profits are
negative or low because of the low sales and high
distribution and promotion expenses.
 Because the market is not generally ready for product
refinements at this stage, we would only produce basic
version of the product at this stage(1 or 2 designs)
 So it is important to build selective distribution and gain
product awareness among early adopters and dealers
through using heavy sales promotions to entice trial.
Product life-cycle strategies(Growth)
• Even though there will be a growing number of competitors, our sales and
profits is still expected to increase during this period together with
maximizing market share being our marketing objective.
• However, to sustain rapid market growth and continue growing our market
share, we would aim to use these strategies to remain competitive:
 Improving product quality(Use better material etc)
 Introducing more designs and product lines
 Reducing sales promotions
• In the growth stage, our firm would face a trade-off between high market
share and high current profit. By financing on product improvement,
promotion, and distribution, the company can capture a dominant position.
Product life-cycle strategies(Growth)
 If the product satisfies the market, it will enter a growth
stage, in which sales will start climbing quickly.
 The early adopters will be satisfied with the quality &
design of the formal wear we plan to introduce and later
buyers will start to follow their lead, especially if they
hear favourable word of mouth.
 Attracted by the opportunities for profit, new
competitors will enter the market. They will introduce
new designs of the product and the market will expand.
Price
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-
Pricing Objective
maximum market share
Pricing Strategy
Market Penetration
Product-Mix Pricing Strategy
Optional Product Pricing
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Pricing Adjustment Strategy
Customer Segment Pricing
Product Form Segment Pricing
Timing Pricing
Psychological Pricing
Discount Pricing
Place
• Direct and Indirect marketing channels
• -Indirect -2 channel levels
• Distribution strategies
• Pedro outlets
• People
• GEMS training
• Matching outfit
• Physical Evidence
• Ambiance of stores
• Segregate the store
Promotion
Our marketing communications objectives:
• to build brand awareness
• influence the consumer decision
• promote our new product – formal wear
Advertising:
• helped shape good company image
• change the customer’s perception of Charles & Keith
• A series of innovative advertising campaigns were used
Sales Promotion
• A form of communication that support Advertising and specifically
meant to help sell Charles & Keith products faster
• Charles & Keith offers warehouse sales, loyalty programs and
membership offers for their consumers
Internet
• Great for building customer relationship, high selectivity and
inexpensive
• Necessary information of the product is put up on the website giving
consumers specific details of the product
• Charles & Keith also use the various social networking sites to
promote their products (Facebook & Twitter)
Outdoor
• Its function is to provide coverage about their new product and
create public awareness
• Billboards & posters can be found in the public places
• Effective headlines and taglines were used to promise a benefit,
arouse curiosity and present something new to their consumers
Print Advertisement
• Able to reach highly targeted audiences and create a vast pool of
loyal readers who feel safe in its very credible environment over the
years
• Charles & Keith advertisements can be seen in magazines such as
CLEO, Her World and Female
Chosen Media
• Internet - relatively inexpensive and it provides immediacy with
latest updates of products for their consumers
Why Online Advertising?
• The Internet has opened up new communication options for
personalized messages to be delivered to targeted consumers
• Reading habits are also changing fast. More consumers are going
online every day, and they are spending more quality time online
than on traditional media
Financial Plan
Charles and Keith is popular among the magazines
for having the most interesting photos of showing
off their shoes and bags.
The cost of advertising in magazines would cost
about $6,800-$12,800 for first or second half of
the magazine or the first 25% of the magazine.
Other
advertising
locations
that Charles and Keith uses.
Advertising
methods
Rates
MRT Stations
$300/week(Min. Ad period 8 weeks)
Bus Stops
$3,500-$7,500/month
(Prime Areas cost more due to high volume of commuters)
Advertising methods
Rates
Television
Television
10 Seconds
10 Seconds $350
$350
15 Seconds $500
$500
15 Seconds
20 Seconds $700
20 Seconds
30 Seconds $700
$1000
40 Seconds $1,350
30 Seconds
$1000
50 Seconds $1,700
60 Seconds $1,350
$2,000
40 Seconds
(Advertising with Channel News Asia)
50 Seconds $1,700
60 Seconds $2,000
Magazines
Magazines
Taxis
Online
Online
Regular Position(Second Half of Magazine) $6,800
Preferred Position(First Half of Magazine) $10,800
Prime Position (first 25% of magazine, guaranteed right hand, facing editorial pages)
$12,800
Regular Position(second Half of Magazine) $6,800
Preferred Position(First Half of Magazine) $10,800
Prime
Position
$200/day
per taxi (first 25% of magazine, guaranteed right hand,
(Wholly taxi, Taxi door, Taxi Top)
facing
editorial pages) $12,800
Personal Website $600/ week (whole page)
Personal
Website
$600/ week (whole page)
Social Platforms
$3,280/week
Social Platforms $3,280/week
Conclusion
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Should expand to selling formal wear
Huge potential to succeed
Complements existing product
Should follow the suggested marketing plan