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Brand Portfolio of Peter England

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					MARKETING MANAGEMENT BRAND OBSERVATION PORTFOLIO PETER ENGLAND

Introduction

Peter England, the hallmark of honesty, started off with shirts and now comprises of the entire men's wardrobe containing the full range of garments. Popular for lifestyle brands. The largest selling shirt brand in the country. Owned by Madura Garments in India with a retail value of 130 crores.

Background
Launched in March-April 1997 in India. Became a 1 million brand in 2 years. Market Segment when launched :Segment Premium Mid-Price Economy Price range Rs 500+ Rs 250-500 Below Rs 250 Share 15% 35% 50%

Marketing Concepts
Marketing objective
To build Peter England into the largest selling brand in India. To establish Peter England as an international quality brand at an affordable price. To create a quick and universal awareness of the brand’s USP of quality and price. To build strong brand preference and sustain brand loyalty through attractive imagery and constantly reiterate the product’s pluses.

Marketing Mix
Peter England follows the four Ps of the marketing mix: Product architecture – The range comprises regular office wear, special occasion wear and casual wear. Pricing – Price grid integrity is maintained by ensuring that 65 per cent of the brand offering is below MRP 500 through 'Core' range. Promotion – Bold usage of vernacular media, Press and TV media , Print media, right brand associations through sponsorships. Place/Distribution – 162 exclusive outlets across 69 towns, distribution through monthly advance ordering to customizing to the retailer needs in terms of the design-size-style preference.

CONSUMER BEHAVIOUR

Customer Value And Satisfaction
Ensured the consumer's need for 'product plus brand imagery'. Delivery of consistent good quality was ensured. Contemporary designs, colours and fabrics were used. Wide distribution ensured easily availability Well-orchestrated merchandising drove guaranteed market visibility.

Contd…
Tied up as 'Just honest-to-goodness quality. Available at an honest-to-goodness price'. Thus emerged the brand line: “Peter England - The honest shirt”. The brand’s communication has moved from telling the consumer to “what the brand is” to “what the brand does”. The launch of suits has re-energized it and now it is “Peter England- Honestly Impressive”.

Market Evolution
Tied up as 'Just honest-to-goodness quality. Available at an honest-to-goodness price'. Thus emerged the brand line: “Peter England - The honest shirt”. The brand’s communication has moved from telling the consumer to “what the brand is” to “what the brand does”. The launch of suits has re-energized it and now it is “Peter England- Honestly Impressive”.

The Honest Shirt Honestly Impressive

SEGMENTATION, TARGETING AND POSITIONING

Segmentation,Targeting And Positioning

6. Develop Marketing Mix for Each Target Segment 5. Positioning for Medium priced and Economy Segment 4. The Middle income segment was the target. 3. Measures of Segment Attractiveness 2. Develop Profiles of Resulting Segments 1. Identified the income Segment of the Market

Market Positioning

Market Targeting

Market Segmentation

Market Segmentation
While venturing into “The Ready to wear garment” sector, it identified the shirt segment as its focal entry point. Since then it has identified further segments namely trousers and suits with further sub-segmentation in each segment.

Niche Marketing
Catering to Executives through Formals Casual Wear through Elements Via The Anti Wrinkle Collection The Solids Collection The Festival Collection The English Cottons Collections The Summer Mints Collection

Segmentation Procedure
INITIALLY It identified Customer’s need for Brand + Product Imagery. Used the Demographics and lifestyles to enter the mid price segment.(Rs 250500) in both Formal and Casual( Elements) Test launch in diverse Geographies.(Like Suits & Blazers) Huge Potential and Good Growth rates in the mid price segment. Value proposition of Quality Via the imported fabric + Affordable Price EVENTUALLY Targeted Multiple Markets Ventured into: Trousers in 2000. Suits in November 2004. Innerwear in April 2005. Lifestyles

Basis For Segmentation

Formal,Casual,style Statement,ambitious

Income,occupation, Age(25-28),gender(men)

Situational Factors

Bases for Segmenting Business Markets

Income,Price Range

Value for price, Quality,durability

Criteria For Segmentation
Substantiality Identifiability Measurability Accessibility
The middle income segment is large.Peter England now considers high income Level segments. The segment is identifiable . The middle and high income groups have access to marketing mix(Televisions, Newspapers,hoardings etc). The price ranges available are economic, mid – price and premium.

Responsiveness

Targeting
Mid Price segment concentration. Entry into Premium segment. Followed the Selective Specialization Strategy through Shirts Trousers Suits Inner wares Accessories

Positioning
Peter England brand has been positioned for the masses and is in the midprice category. It offers value for consumers at affordable price. It is distinctly positioned for different categories as that it is ensured that Madura Garments brands grow through different target customers rather than cannibalizing on each other’s target segment. Peter England is a shirt brand. Once launched, it got into the consumer’s mind under the honesty platform and the logical extension that should happen in the marketplace is this evolving into an honest wardrobe. So, allied products are offered that are appropriate to the brand and ensure the same benefits, it is a proper extension.

Positioning For Competitive Edge
Product Position Peter England shirt was projected as an ‘Honest Shirt The image was reinforced by ‘Honestly Impressive’

Positioning For Competitive Strategies

Shirts,Trousers, Suits, Accessories ,inner wares

Design,quality,value for money

Quality and style Away from organized market H

G C

Quality ,Durability, Honesty/ trustworthiness

A D E B F

Casuals ,Formals

Mid-price against Unorganized market

Middle and High Income group

Developing Competitive Differentiation
Shirts ,Trouser,Accessories Quality,Durability

Areas for Competitive Differentiation

Honest Shirt

Middle Income,High Income, Men

Robust Distribution chains, Shops,exclusive showrooms

PRODUCT

Product
Shirts,Trousers,Accessories Range realigned into regular office wear, special occasion wear and casual wear. A string of innovations delivering value introduced across all above categories starting from English cotton shirts at Rs 375 right up to British micros at Rs 595. Trousers range from Rs 545 classic formals to wrinkle-free cotton chinos at Rs 895. Elements polo tees at Rs 299 an instant hit in casuals.

Quality and Price:Mid priced to Premium range.Quality increases with Price Range:Wide range in all collections. Material and Style : Trendy,formals,business casuals.Guarantee against material ,stitching and colour.

Product Mix
Width:
Madura Garments have two categories of brands – premium section, which includes Louis Philippe, Van Heusen,Allen Solly popular brands like Peter England, Elements and San Frisco jeans wear.

Length:
Peter England is into : shirts, trousers, and accessories like ties, belts and socks.

Depth:
Peter England shirts available in:
Price range varied Different colors Different designs

Product Levels
Potential Product
Peter England Durability Packaging Style Augmented Product

Clothing
Quality Design

Warranty Actual(Basic+Expected) Product Core Product

Major Branding Decisions
Brand Name Selection
Peter England

Brand Sponsor
Manufacturer Madura Garments

Brand Strategy
Brand Extension (Trousers,Accessories,Suits,etc)

BRAND DECISIONS
Attributes: Good Quality Benefits : Functional : Comfort Emotional : Simplicity Values : Honesty Culture : Fashionable Personality : Honest User: Young Executives

Contd…
Word Association : Honesty Personifying The Brand : Down to earth Laddering Up To Find The Brand Essence Why Peter England ? Because it is a good buy. Why is it a good buy? Because it is affordable and good quality Why is affordability and good quality important to you ? Because I want to look good and at the same time not spend too much

BUILDING BRAND IDENTITY

The honest shirt

Honestly Impressive

PROMOTION

DECIDING ON THE MARKETING COMMUNICATION MIX

Promotion – TV and print, the main vehicle for PE Local support added through hoarding campaigns showcasing product innovations Right brand associations built through sponsorships (such as WISDEN Cricketer Awards 2003 cosponsor) to build consumer connection

Advertising: Media selection
Peter England has around 160 showrooms, spread across 69 towns. So, optimum to cater to audience through television. Also, communicating through print medium, for expanding retail network. To build Peter England’s retail, going for vinyl outdoors – for announcing the new collection as well as the new locations.

Advertising (9%Sales)

A Difference Original concept of Peter England by Madura Garments was exposed in the south through Tamil advertising. Dynamic and adaptable strategy Public Presentation Pervasiveness Amplified Expressiveness Impersonality

Direct Marketing

Sales Promotion
Communication:tv , newspapers ,internet , hoardings,vernacular media etc. Incentives:discounts , sales ,’Buy One Get One Free Offer’. Invitation:

Public Relations and Publicity

The ‘Honest Shirt Campaign’ create a distinct positioning for itself. High Credibility:Six month against guaratee against material,colour, stiching. Honest to goodness price and quality. Ability to Catch Buyers off Guard Dramatization

Developing Effective Communication

Middle Income & High Income Group

Making Peter England a global Brand Shirts in yarn,Striped,Plain,Formal Trousers Knit & Jeans wear,Beach Cargos,Cotton Capri's … Multi brand outlets,Departmental stores,Exclusive Brand Outlets Establishing Budget Newspapers,Television,Magazines,Hoardings, Internet etc

Managing The Sales Force
Managing sales force

Recruiting Innovative Enthusiastic sales Force

Monitoring target Levels

Group Management training(GMT)

Supervising sales representatives

Rewards and growth opportunities

PRICING

Pricing Objective
Peter England aims at maximizing its market share Introduces Market Penetration pricing

Peter England in 1997 the journey begins …
Peter England follows Value Based Pricing Goes in for a High Value Strategy Offers the consumers premium quality at medium price

Pricing Strategy
Price grid integrity maintained by ensuring 65 per cent of the brand offering was below MRP 500 through 'Core' range At the same time premium products introduced at the top end through collections like ‘the solids collection’ and ‘the festival collection’

Factors For Price Setting
Internal Factors
(Cost Of Fabric,Segment Targeted, raw materials)

Pricing Decisions

External Factors
(Taxes,Import Duties,Govt.Policies)

Contd.
PE forced to pay excise duty in 2001 Used higher priced imported fabrics Faced stiff competition from regional players Resulted in price increase Forced out of the mid price segment Decline in sales

Pricing Adjustments
Sales Promotions- Summer Season offer – buy 2 get 1 free (2005) Promotional pricing- cash discounts offered to online shoppers on various online stores such as yahooshopping.rediff.com Discriminatory pricing- PE shirt in shop priced at Rs. 565; PE shirt online available at Rs. 446

Turnaround In Pricing Strategy
Made arrangements for low priced quality fibre in India to reduce production costs Went back to the below Rs 400 price point with 75 per cent of the merchandise being priced below Rs 500 Currently market leader in the mid price segment Generated revenues of about Rs 150 crore in the last fiscal and about 30 lakh shirts were sold under this brand name.

The Peter England range available at……
Shirts priced at below Rs.500 Trousers priced at below Rs.1200 Innerwear starting from Rs. 64 to Rs. 499

DISTRIBUTION

Place / Distribution
Place/Distribution – The distribution strategy is adapted to meet newer demands Core range was made available “on tap” so that the retailer could increase his stock turns through weekly replenishments Collections distributed through monthly advance ordering to customizing to the retailer needs in terms of the design-sizestyle preference Branded shelf route taken in MBOs to showcase the range The Peter England exclusive outlet network expanded to 162 across 69 towns

Distribution Channels
Most efficient and powerful distribution network Loyal and dynamic network of agents & distributors Strong retail presence with over 250 dedicated retail outlets(Planet Fashions) and over 1500 multi brand outlets Fashion

Distribution Channels
Current Trends
1. 2. 3. 4. 5. Web based ordering for agents (Fashion brands) Automatic replenishment system for distributors (Distribution brands) Online order processing for factory stores Plans to set up showrooms and Mega stores in the UAE, Sri Lanka and Bangladesh. ‘ Plans to tie-up with indiatimes.com and sify.com for online selling.

Channels for Consumer Products

AGENTS : 15 Agents PRODUCER: 8 factories and a warehouse WHOLESALERS : 22 IN NUMBER RETAILERS : 120 exclusive franchisee showrooms 3500 retail outlets spread across the country. Merchandise through 500 Multi Brand Outlets (MBO’s) Six Peter England mega stores in Kolkata, Bangalore and Pune.

Changing Channel Structure
All Factories are ISO 9000 Certified by RWTUV of Germany Recent initiatives in a SATCO Washing unit and Wrinkle Free unit State of the art ordering system for agents & distributors Automatic replenishment systems for showrooms and distributors Sophisticated software systems to collect orders, ensure superior order fills and customer service First company in India to implement Enterprise Resource Planning (ERP) in inventory-specific solution called 'Apparel and Footwear Solution.'

Changing Channel Structure

VMS : Vertical Marketing System
Contractual Marketing System Coordinates distribution through formal agreements among channel members.

PRODUCT LIFE CYCLE

Introductory Stage
Introduced for the mid priced sector Brand became a rage between 1998 and 2000 Had competition from players in the unorganized sector Factors that hindered its growth(Pushed out of mid price sector) Rules favoring unorganized sector Taxes and Import Duties Import of fabric (40 % from middle East) The price of the products increased Out priced in comparison with the unorganized players Finally pushed out of the mid priced sector in 2002

Summary of Product Performance In Introductory Stage

Sales Costs Profits Marketing Objectives Product Price Advertising

Low sales High cost per customer Negative or low Aimed at capturing the mid priced segment Peter England Shirts Medium - priced ‘Honest Shirt’

Growth Stage
New strategy in 2002 The hindering factors got nullified due to Change in Rules by Government Developments in India to match the fabric Relaxation of duties New strategy in 2002 In 2003 offered honest pricing with international quality Rs 400 price point with 75 per cent of the merchandise being priced below Rs 500

Contd.
Building of the distribution chain Focused on Quality Retail Opened of shops and showrooms Focused on shirt items Peter England grew by 20% over the previous year.

Summary of Growth Stage
Sales Costs Profits Marketing Objectives Product Price Distribution Advertising
Sales increased by 20 percent Reduced costs due to fabric and reduced duties Rising profits Maximize market share Focus on international quality and non shirt items Medium Pricing Building distribution chains,retail outlets Through Televisions ,newspapers,hoardings etc.

Maturity Stage
To build Peter England’s retail, vinyl outdoors used – for announcing the new collection as well as the new locations. 90 per cent of the sales come from unorganized retail and only the remaining from organized. To sustain this growth, the more important part of the agenda is to transform them into lifestyle brands and more and more into organized retail. Peter England major event and installation credits include – Site designer, Universal Playground, Adelaide Festival of Arts 2004

Contd.
Evolved into a complete lifestyle brand which has both formalwear and casual wear This brand generated revenues of about Rs 150 crore in the last fiscal and about 30 lakh shirts were sold under the "Honestly impressive" catch line. The brand is no more uni-dimensional and known for its value for money benefits(Premium level). More number of shops and exclusive showrooms. Shirts in the new collection have anti-microbial characteristics.

Maturity Stage
Sales Costs Profits Marketing Objectives Product Price Distribution Advertising
Peak Sales Low cost per customer due to fabric and reduced duties High profits then lower profits Maximize profits while defending market share Diversify brands and models, Trousers , suits, inner-wears, lifestyles,accessories . Price to match or best competitors (Medium Pricing) Build more intensive distribution 150 showrooms, spread across 69 towns. Stress brand differences and benefits. Honestly impressive.

Marketing Strategies For Product Life Cycle


				
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