Transcript Fashion Marketing

Chapter 2
Fashion and Marketing
Fashion and Marketing
Fashion Marketing Basics
Marketing Strategies
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Fashion and Marketing
Chapter Objectives
Define the term marketing.
Explain types of customer characteristics used
to define a target market.
Explain fashion merchandising.
Describe the four components of the marketing
mix.
Identify the four types of promotion.
Identify the seven functions of marketing.
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Fashion and Marketing
How Fashion Is Marketed?
Marketing is a series of
activities that fashion
businesses undertake so
that customers will buy
products from them instead
of their competitors.
Section 2.1
Definition:
marketing the
process of developing,
promoting, and
distributing products to
satisfy customers’
needs and wants
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Fashion and Marketing
The Marketing Concept
To market effectively,
fashion marketers follow
the principles of the
marketing concept.
Section 2.1
marketing concept the
idea that businesses
must satisfy customer
needs and wants in order
to make a profit
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The Marketing Concept
Identify
customers
Business
Determine what
customers want
Make the right products
available at the right time
and at the right price
Section 2.1
Communicate to
customers
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Fashion and Marketing
The Marketing Concept
Retailers must consider the
• location
• atmosphere, and
• image of the store.
Products must match
• style,
• quality, and
• price to their customers.
Section 2.1
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Fashion and Marketing
Target Market
Fashion marketers can
conduct research to identify
a target market.
Identifying a target market
is achieved through market
segmentation.
Section 2.1
target market the
specific group of people
that a business is trying
to reach
market segmentation
a way of analyzing a
market by categorizing
specific characteristics
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Fashion and Marketing
Target Market
Specific customer characteristics
that are expressed as statistics
include:
1. Demographics
2. Psychographics
3. Geographics
4. Behavioristics
– Purchase occasion
– Product benefits
– Usage level and commitment
Section 2.1
demographics statistics that
describe a population in terms of
personal characteristics age,
gender, income, ethnic
background, education, religion,
occupation, lifestyle
psychographics studies of
consumers based on social
and psychological
characteristics such as
attitude, interests, and
opinions
geographics statistics about
where people live
behavioristics statistics
about consumers, attitudes,
use, or response to a product
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Fashion and Marketing
Diverse and Changing
Markets
The fashion market is too large and too diverse to reach
with a single marketing approach.
Consumer buying habits do not always remain the same.
Businesses must offer new products and develop
strategies that affect their diverse customer bases.
Section 2.1
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Fashion and Marketing
Fashion Merchandising
Fashion merchandising
involves developing plans to
make products available.
Section 2.1
fashion merchandising
the planning, buying, and
selling of fashion apparel
and accessories to offer
the right merchandise
blend to meet consumer
demand
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Fashion and Marketing
Fashion Merchandising
Merchandising is the main
function of apparel retailing.
Retailers buy large quantities of goods at wholesale
prices.
Retailers sell the goods individually at retail prices.
Retailers are also responsible for store operations,
financial control, personnel, and sales promotion.
Section 2.1
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Fashion and Marketing
Fashion Merchandising
Merchandising market factors include:
Economic issues that influence customer buying habits
New technology developed by a competitor
Section 2.1
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Fashion and Marketing
Fashion Online
Operating an e-tail business on an electronic channel—the
Walking
past attractively
displayed
fashions
in store
windows
Web—can
be costly, due
to design,
delivery,
returns,
and
expenses.
canoperating
easily lure
you into a store to shop. However, it’s not so
easy to draw customers online.
Though Many larger dot-com companies crashed in the
1990’s,indicates
small stores
Harris Cyclery
of West
Newton,
Research
that like
99 percent
of pop-up
or banner
ads
Massachusetts, actually increase sales using a basic Web
dosite.
not get
clicked.
One
linkingbusiness
through Web
Today,
a third
of solution
Harris’sisbicycle
ridessites
in on
that
already
an established
the
Web toattract
get hard-to-find
partsdemographic.
and personal service.
Describe an e-business’s home page to your class after
viewing one through marketingseries.glencoe.com.
For more information, go to marketingseries.glencoe.com.
Section 2.1
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Fashion and Marketing
2.1
A. What is a target market?
B. What customer characteristics are used to
segment markets?
C. What is fashion merchandising?
Section 2.1
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Fashion and Marketing
The Marketing Mix and Fashion
marketing mix four basic marketing
To successfully sell a fashion
strategies, known as the four Ps of
product to target customers,
marketing—product, place, price, and
Businesses must apply the
promotion
Advertising
marketing mix.
Product
Place
The Four Ps
Publicity
Price
SEE
page 33
in book
Section 2.2
Sales Promotion
Public Relations
Personal Selling
Promotion
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Fashion and Marketing
Marketing Strategies
There are three strategies that fashion marketers
use to increase their business:
1. Increase the number of customers.
2. Increase the average transaction.
3. Increase the frequency of repurchase.
SEE page 33 in book
Section 2.2
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Fashion and Marketing
Channels of Distribution
Before merchandise reaches the
consumer, it goes through the
channel of distribution.
channel of distribution
the path a product takes
from the producer to the
consumer
For apparel and home furnishings, the movement through
the channels of distribution is called the soft-goods chain.
This chain includes three specific segments:
1. Textile segment – fiber, yarn, fabrics
2. Apparel segment – design, manufacture, wholesale
3. Retail segment- stores selling to consumers
Section 2.2
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Fashion and Marketing
The Functions of
Marketing
There are seven functions
of marketing.
In order to have a successful
fashion business, business
owners follow the principles
of these functions.
Section 2.2
functions of marketing
the activities that include
product/service
management, distribution,
financing, pricing,
marketing-information
management, promotion,
and selling
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Fashion and Marketing
The 7 Functions of Marketing
1. Product/Service Management Function
Fashion producers must look for new ways to use existing
items or produce new ones that will continue to interest
the consumer.
2. Distribution Function
The distribution of goods includes the methods of
physically moving and storing goods.
Distribution technology allows businesses to track and
monitor merchandise all the way from the manufacturer to
the retail outlet to the customer.
Section 2.2
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Fashion and Marketing
The 7 Functions of Marketing
3. Financing Function
Financial planning can include many factors, such as
production costs of the product, product pricing for the
customer, and everyday expenses such as rent, supplies,
and payroll.
4. Pricing Function
Pricing includes determining how much to charge for
goods and services in order to maximize profits.
Section 2.2
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Fashion and Marketing
The 7 Functions of Marketing
5. Marketing-Information Management
Function
There are five main elements in a marketinginformation system:
1.
2.
3.
4.
5.
Section 2.2
Input
Storage
Analysis
Output
Decision making
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Fashion and Marketing
The 7 Functions of Marketing
6. Promotion Function
Promotion is the communication technique a business
uses, such as advertising and other promotional methods,
to interest customers in buying the products.
7. Selling Function
The selling function involves the direct personal contact that
businesses have with their customers.
Sales personnel must be able to communicate
the benefits and features of the items so that customers are
willing to pay higher prices.
Section 2.2
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Fashion and Marketing
Marketing the Fashion
Product
Successful fashion marketers combine the marketing mix
and the functions of marketing to develop, distribute, and
promote their fashion products.
Name the P’s of
the marketing mix
List the 7 functions
of marketing
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•
•
•
•
•
Section 2.2
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Fashion and Marketing
Recall and write:
What are the 3 marketing strategies used to
increase retail business
1. increasing # of customers
2. increasing the average transaction
3. increasing frequency of repurchase
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Fashion and Marketing
Checking Concepts
1. Explain the term marketing.
1. Fashion
2.
Marketing is
demographic,
3.
the
psychographic,
process ofis
merchandising
developing,
geographic,
the
planning, and
promoting,
behavioristic
and
buying,
and
selling
2. List four types of customer
ofdistributing
fashion apparel
characteristics used to identify a
products
to satisfy
and
accessories
to
target market.
customers’
offer
the rightneeds
and wants. blend
merchandise
to meet consumer
3. Describe fashion merchandising.
demand.
continued
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Fashion and Marketing
Checking Concepts
4. Name the components
of the marketing mix.
4.
place,
Sales promotion
5. product,
price,
and
Publicity
promotion
Public relations
Advertising
Personal selling
5. List the different methods
of promotion.
continued
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Fashion and Marketing
Checking Concepts
6. Identify the activities associated
with the functions of marketing.
Critical Thinking
7. Compare the marketing
mix with the functions of
marketing.
The marketing
mix
6.7. Activities
include
includes
four basic
product/service
marketing strategies
management,
also
called the four Ps of
distribution,
marketing—product,
place,
price, andpricing,
financing,
promotion.
To sell and
marketingmarket products, all
information
businesses
conduct
management,
marketing
activities
listed
in #7 that can
be
promotion,
and
classified into seven
selling.
basic functions that
include the four Ps.
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