concept development
DESCRIPTION
Concept Development Report focusing on combining traditional craftsmanship techniques and technology.TRANSCRIPT
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CONTENTSTable of
Executive Summary 4
Brand Values 5
Aims and Objectives
Visual Identity
Brand Concept 7 - 9
The Consumer 11 - 15
Consumer Profile 16 - 21
The Competitors 23 - 48
Market Positioning 49
PESTLE 50 - 53
SWOT 54
Range Plan 57
Production 58 - 59
Supply Chain 60
Retail positioning 61 - 62
Online Presence 63
Publicity and Marketing 64 - 65
Conclusion 67
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Catherine McAleer will operate as a limited company,
selling a range of luxury women’s footwear. This
concept development report will look at the various
aspects of establishing an SME design business.
The strongest unique selling point for Catherine
McAleer is the brand’s Irish background and use of
traditional Celtic craftsmanship. The collection will be
inspired by juxtaposition; of tradition and technology,
vintage and modern, masculine and feminine. It will
hold a deep memory of the past, which has been thrust
into the future of new technology.
Research has identified three main consumers; the
Irish, British and Tourist consumer, they vary in age
yet have similar needs. Against strong competition
such as Bally, Lanvin and Rupert Sanderson, Catherine
McAleer intends to become an identifiable brand within
the market, through the use of intricate design details
and strong sculptural features, which will command
attention. The company will sit among these luxury
brands in stores such as Brown Thomas in Ireland and
Selfridges, London. Expansion to other countries will
develop once UK and Irish stockists are established.
A strong online presence will be acquired through a
company website and stores such as net-a-porter.
The collection will consist of a small refined range of
shoes to suit the consumers’ needs. It will include a
combination of flat and low to mid-height heels and
one limited edition high heel, all available in a variety
of sizes and colours. The manufacture and component
supplies will be sourced in Ireland where possible.
ExecutiveSummary
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Brand Values
~ Refined luxurious products
~ Attention to detail
~ Distinguished
~ Quality
~ Unique limited edition value
~ Amalgamating art, craft and design
~ Promotion of Irish craftsmanship
Aims
~ To create a luxury branded footwear company
under the trading name, Catherine McAleer.
~ To source materials and production within Ireland
where possible.
~ To establish a brand identity that communicates
uniqueness and quality.
objectives
~ To offer an exclusive limited edition footwear
design to customers.
~ To acquire at least five distinguished stockists in
Europe in the first year of trading.
~ To break even after two years of trading.
~ To move to own workshop after five years of trading.
Visual Identity
~ Luxury quality
~ Celtic aesthetic
~ Irish descent
~ Vintage inspiration
~ ‘The design is a way to communicate the emotion
behind the brand and company’s philosophy.’
(www.emotionalbranding.com)
~ (Brand logo can be found in Book 3: Body of Work)
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BrandConceptTechnological advances of the 21st century have brought increased material benefits and comfort to
Ireland, the price paid, in terms of the country’s cultural heritage, has been high. ‘The indigenous,
the traditional, and the work of the craftsman have been neglected’. (Mc Williams, 2007: 273) Author
and economist David McWilliams suggests that the only way Ireland can get back on its feet, after the
current recession, is by calling back our “Global Tribe,” who have dispersed throughout the world. We
need to be producing our own goods, creating jobs and utilizing the skills of our workforce. ‘We can
reimagine Ireland and reposition ourselves for the 21st century. No other country is doing this or can
do this because no other country has a bigger diaspora, no other nation has fewer enemies, no other
people have a stronger brand and no other tribe is as flexible.’ (Mc Williams, 2007: 273)
As the creator and designer of the Catherine McAleer (CMA) brand is a native of Ireland, there
is a powerful patriotic connection to her country of origin and a commitment to combining the
ancient skills with modern technologies in order to forge a unique collaboration of both elements.
Throughout the brand and in the designs, there will not only be a strong focus on Irish craftsmanship,
such as embroidery, and metal work but also a reflection of the latest technological advances. As the
brand expands it will offer local employment in other area of the business.
A recent report prepared by Indecon International Economic Consultants, Economic Significance and
Potential of the Crafts Sector in Ireland, highlights the fact that the craft sector makes an important
contribution to national and local economic development in Ireland. A summary of the key measures
of direct economic contribution of the Irish craft sector is presented in the table below.
It is evident that there is a significant home and export market for Irish craft. Branding will help drive
the company forward and ensure its future prosperity.
Direct Economic Contribution of the Craft Sector
________________________________________________________________
Estimated Value of Output €498m
Estimated Employment 5,771
Value of Exports €125.5
Value of Irish Market Sales €373.5m
________________________________________________________________
FIG. 1
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CMA will employ the skills of local crafts people and especially that of design graduates whose talent should
be nurtured. Figure 2 below shows the number of students who are currently studying craft related courses
in Ireland. If there is a lack of jobs in Ireland for these skilled people, they will go to other countries for
employment, whereas jobs should be created in Ireland for those students. The extent of the recent problem
was outlined in the latest Central Statistic Office figures, which shows that Irish emigration is ‘now at its highest
level since the Great Famine, with 111 people leaving the country every day.’ (www.cso.ie)
Catherine McAleer will be in a position to profit from recent craft
promotions in Ireland and also gain investors.
‘The Crafts Council of Ireland and Northern Ireland have designated
2011 as the Year of Craft. The year marks the 40th anniversary of the
Crafts Council of Ireland and will be celebrated through a diverse range
of dynamic events and programes to showcase the very best of craft
made on the island.’ (http://www.craftinireland.com/)
The Craft Council of Ireland emphasizes that ‘craft practice has
significant social benefits, for example, enhancing well being and
contributing to social inclusion.’ (http://www.ccoi.ie/)
‘Enterprise Ireland is the government organisation responsible for
the development and growth of Irish enterprises in world markets.
We work in partnership with Irish enterprises to help them start,
grow, innovate and win export sales on global markets. In this way, we
support sustainable economic growth, regional development and secure
employment.’ (http://www.enterprise-ireland.com/en/)
Artistic and
Creative Courses
Total
Art, Craft & Design
Courses related to craft
Craft Courses
Number of Courses
376
225
100
51
Number of students
10,152
6,075
2,700
1,377
Artistic and creative PLC
Courses (% of total)
100%
59.80%
26.60%
13.60%
Total PLC Courses
(% of total)
14.50%
8.70%
3.80%
2.00%
_________________________________________________________________________
Fig. 2
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Although it is idealistic to believe that creating craft products will be the answer to unemployment and the
off-shoring of jobs, they do perform an underrated function by building and binding communities. Craft
depends on skills being passed from one person to another and becomes a lifestyle, not a job. ‘Very few jobs
can offer the same satisfaction. The tradition lives on in the skill, the craft, the pride, and if it dies we will be
the poorer for it.’ (Hands, 1970, 15mins) Creating local supply chains generates a ‘healthy local economy that
retains money, has a stronger immune system and is less vulnerable to global fluctuations in labour and cur-
rencies.’ (Barton, http://www.independent.co.uk/)
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Who will purchase CMA shoes and buy into the brand is a key factor for a start up
business and much emphasis has been placed on researching and targeting the right
people. Questionnaires were carried out in areas such as Sloane Square, Knightsbridge
and Notting Hill. Further questionnaires were answered by consumers in Belfast and
Dublin city centre and also at Kilkenny Design Centre.
The Consumer
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Results show that consumers are most interested in the quality,
comfort and style of the shoes they purchase. A recent Mintel report
also suggests that there has been a ‘significant rise in women investing
in quality clothes, with almost a quarter (23%) buying fewer items
but better quality garments, compared with one in eight in 2010.
Under-35 females and those in the AB socio-economic group, as well
as women with children aged 0-4 are most likely to invest in quality
clothes.’ (Mintel, Women’s Fashion Lifestyles, 2011)
15% of women claimed that the country of manufacture was
important in their decision-making. ‘I like to look and feel good, that
means quality shoes. Italian or British are know to be well made.’
(See Appendix 1) People are aware of where their shoes come
from and know which countries produce quality products. The
questionnaire was adapted for the Irish consumer and when asked
if it was an attractive trait for companies to be Irish-made, almost
100% replied that it was, ‘it has a reputation for being of good
quality and high craftsmanship.’ (See Appendix 1) Garvan de Bruir,
who runs a traditional design and craftsmanship studio in Kildare
replied, ‘yes they are, but handmade products will always be fighting
against the brand recognition factor and the complete merchandising
and marketing machine, as opposed to just a product comparison.
Around the world, the campaign for ‘local sourcing’ has always
been promoted.’ (Appendix 2, page 38) These are positive words
of reassurance for CMA, this means creating a brand alongside the
craftsmanship of the product will be extremely important to the long
term success of the company.
Comfort
Style
Quality
Ethical
Value for money
Brand Ethos
Investment
Country of manufacture
Most Important Factor When Purchasing Women’s Footwear (%)
15%
18%
17%
7%
8%
15%
9%
11%
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The results from the questionnaire indicate that
the consumer aged 36-40 is the largest spender
on shoes priced £450 - £750.
Figure 3 proves people are interested in
purchasing limited edition shoes and many
would be willing to pay up to £1000 for them.
The results again identify the age group 36-40
as the highest spenders. This information will
contribute to the pricing strategy for the range.
(see page 57)
0
10
20
30
40
50
60
70
80
90
Yes Maybe No
Percentage (%)
Average Amount Spent on Women’s Footwear In Relation To Age
Average Amount Women would Spend on Limited Edition Footwear, In Relation To Age
Percentage of Women Who Would
purchase Limited Edition Footwear
fig. 3
0
1
2
3
4
5
6
7
20-‐25 26-‐30 31-‐35 36-‐40 41-‐45 46-‐50 51-‐55 56-‐60 60+
£0-‐150
£151-‐300
£301-‐450
£451-‐600
£601-‐750
£751-‐900
£901-‐1050
0
1
2
3
4
5
20-‐25 26-‐30 31-‐35 36-‐40 41-‐45 46-‐50 51-‐55 56-‐60 60+
£0-‐150
£151-‐300
£301-‐450
£451-‐600
£601-‐750
£751-‐900
£901-‐1050
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Questionnaire answers, demonstrates that it varies where people purchase their shoes and clothing. Many
answers did indicate, regardless of earning power that their style was very much vintage inspired and often
purchased from charity shops. Overall the questionnaire indicated that women’s outfits combined high street,
designer and vintage, whereas their accessories and shoes were often purchased from designer stores to
acquire quality and comfort from these items.
After extensive research into CMA’s potential consumers, three types of consumer were identified and
examined. ‘Consumer A’ is the primary customer. Working and living in Ireland, she is aged between 25
and 35. Secondary ‘Consumer B’ is a British woman, aged between 30 and 40. ‘Consumer C’ is the tourist
customer, who is the youngest aged between 20 and 28. The graphs below indicate that Ireland and the UK
have two different demographics; therefore the Irish consumer is slightly younger than the UK consumer.
0 50000 100000 150000 200000
0-‐ 4 years
10-‐14 years
20-‐ 14 years
30-‐34 years
40-‐ 44 years
50-‐ 54 years
60-‐ 64 years
70-‐ 74 years
80-‐ 84 years
90-‐ 94 years
100 years+
Ireland: Female Popula0on
Ireland
0 1000000 2000000 3000000
0-‐ 4 years
10-‐14 years
20-‐ 14 years
30-‐34 years
40-‐ 44 years
50-‐ 54 years
60-‐ 64 years
70-‐ 74 years
80-‐ 84 years
90-‐ 94 years
100 years+
Uk: Female Popula.on
Uk
Ireland and UK Female Population in relation to age
Fig. 4
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The tourist consumer is becoming more and more important to Ireland and the UK’s economy. The Irish
craft sector has close relationships with the tourism industry, which provides Ireland with an important
source of revenue, evidenced in the chart above. Foreign tourists account for almost 20% of the craft
purchases, which means this is an influential consumer who cannot be ignored.
A survey conducted by Shoparazzi, a member’s only shopping club, revealed that ‘over £3 billion is spent in
the UK each year on fashion by tourists, making shopping tourism a significant contributor to the economy.
As many as 1 million people per annum may be visiting Britain each year just to shop.’
(http://www.fashionunited.co.uk/)
The following consumer profiles give a snapshot into the lives of consumers identified.
Tourist (Foreign)
Tourist (Irish)
Local Shoppers
Analysis of Craft Purchases in Ireland - Craft Consumers by Type
Fig. 5
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Consumer A
Kristine Kilty
31
Interior designer
£ 76,000 per annum
~ No children
~ High disposable income.
~ Needs to look professional at work
but also show her personal creative
style.
~ Loves visiting vintage markets.
~ Kristine has a great understanding
of design and quality.
~ She loves taking her time and en-
joying the finer things in life.
~ Spends a lot of money on herself,
likes to look and feel good.
~ Works hard for her money and
lives a hectic lifestyle of work, travel
and socializing.
~ Can’t live without her iPhone.
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Vintage Bag£55 - Market
Vintage Coat£125 - Annies
Vintage Cuff£39 - Market
Hat£320 - Eugina Kim
Lace-up Boots£395 - Marc Jacobs
Nail Polish£21 - Chanel
Candle£36 - The White Company
Bicycle£625 - Pashley
Sunglasses£123 - RayBan
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Consumer B
Norma Black
37
London
Sales and Marketing Executive
£120,000 per annum
~ Married, no children
~ Fits into the ‘Wealthy Achievers’ category
in the Acorn structure.
~ Divides her time between her homes in
London and Paris.
~ Hires a car, while travelling,.
~ Although Norma has a serious high powered
job she enjoys having an eccentric dress sense.
~ She shops locally and appreciates good quality
products, ranging from the food she eats to
the cloths she wears.
~ She enjoys trips to the theatre and opera.
~ Takes care of her appearance and health.
Feeling young and stylish yet likes to be
comfortable.
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Fragrance£72 - Jo Malone
Leather Journal£45 - Aspiral
Laptop case£189 - Estime
iPhone£501.99 - Apple
Snakeskin bag£2735 - Bottega Veneta
Ankle Boots£315 - A.P.C.
Trench Coat£2100 - Donna Karan
Snake Ring£180 - Roberto Cavalli
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Consumer C
Jennivi Jordan
24
China
Freelance Stylist
£26,000 per annum
~ Single
~ Private means, fund her expensive taste.
~ Parents are typical A1 ‘Wealthy
Achievers.’
~ Jennivi mainly buys designer
clothes and accessories when in Britain as
prices are lower than in China.
~ Loves all things vintage but invests in key
pieces every season from various luxury
designers including Miu Miu and Dior.
~ She is not brand loyal and open to buying into
new designers creations.
~ She loves to read online blogs
~ Keeps up to date with news and events via
her iPad which she takes everywhere.
~ Keen interest in travelling but will always stay
somewhere high end.
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iPhone Case£52 - Juicy Couture
Fashion Notebook£9.95 - Christian Lacroix
Camera£1269.95 - Canon
iPad£499 - Apple
Scarf£165 - Alexander McQueen
Ballet pumps£225 - Chanel
Oversized Alexa Bag£925 - Mulberry
Lace dress£445 - Anna Sui
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The following pages look at the top six rivals. By examining their marketing mix, hosting
interviews with sales assistants and conducting individual shop reports, it is clear there is a gap in
the luxury market for hand-crafted, limited edition Irish designs. Additional information regarding
the primary and secondary competitors can be found in Appendix 3.
TheCompetition
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Bally offers an extensive range of beautifully crafted
shoes. ‘People come to Bally because of their reputation
for excellent quality, craftsmanship and timeless designs.’
(Har Lee, C, Appendix 2, 42) The original range, which
rarely changes, consists of low pumps, ballerina flats
classic boots and brogues – among which are the
companies best sellers.
A secondary collection was launched this season to
celebrate 160 years in business. This line is much more
fashion forward, aimed at a younger customer. Bally is
considered a competitor for Catherine McAleer because
of their craft heritage and strong customer base.
Primary Consumer
Age: 35-65
Nationality: British/European
What they buy: Low pumps, ballet flats, brogues.
Overview: The Bally wearer leads a hectic lifestyle, usually
in full time employment and a full time mother. She
needs something comfortable, stylish, well made and
aesthetically pleasing.
Secondary Consumer
Age: 20-28
Nationality: Chinese/Asian
What they buy: Very high, trend driven platform heels.
Overview: ‘Generally a graduate student with private
means’ (shop assistant: Bally, New Bond Street) She wants
something exquisitely beautiful yet fashionable to match
her designer outfit.
ContesseBallerina
£335
MarcelleMoccasin
£250
DeodaraWedge
£450
MameAnkle Boot
£895
DogesBoot
£695
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Celebrity Followers
Demi Moore
Kristen Stewart
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Online Presence
~ E-commerce.
~ Easy to use and purchase products.
~ Mature layout, aimed at older consumer.
~ Plain background.
~ Neutral colours associated with craft.
~ Outline of unique heritage.
~ Time-line of promotional images.
~ Films promoting traditional craft methods.
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Although originally started as a clothing brand, Lanvin
has expanded its product range into shoes, bags and other
accessories, which have been just as successful. While
Lanvin offers a limited selection of shoes compared
with other competitors, the range is refined and perfectly
selected for the consumer. Every season, ‘the inspiration
is always to create beautiful, intelligent products which
fits the brand.’ (Carson, A, Appendix 2, 40) Lanvin is
a primary competitor for CMA in terms of the design
aesthetics and similar target consumer.
Primary Customer
Age: 35-55
Nationality: Italian/European
What they buy: High pumps, medium height boots, ballet
pumps.
Overview: An extremely modern and stylish mature woman
with a flare for fashion. Tastes are understated with a
touch of luxury.
Secondary Customer
Age: 25-35
Nationality: European
What they buy: 4” high platform heels, mid heel boots for
winter and casual dress.
Overview: Often a regent graduate who is now in full time
employment, tastes are mature, yet their style has a fun
side.
Wedge Pump£850
Patent leather Stiletto
£625
Snakeskin Derby shoe£625
Ankle strap stiletto£605
Leather chunky heel boot
£980
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Celebrity Followers
Diane Kruger
Kirsten Dunst
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Online Presence
~ E-commerce.~ Creative and interesting interactive website.~ Extensive company history.~ Design inspiration in the background.~ Sketches by the designers.~ Quotes from designers and directors allow the viewer to feel closer to the brand.
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Rupert Sanderson mixes traditional Italian craftsmanship
with modern design. The use of luxurious textures and
neutral colours makes his collection instantly recognizable.
‘The skills and “hand,” built up over generations in
[his] factory high in the Italian Apennine hills, ensures
that techniques are nurtured and handed down.’ (www.
rupertsanderson.com/craft)
With similar styles, influences of craft and a comparable
price range. CMAs striking features and intricate design
details will provide serious competition.
Primary Consumer
Age: 35-45
Nationality: European
What they buy: 2-4 inch booties, evening shoes, flat pumps.
Overview: This customers job is quite serious, so calls for
footwear that is practical yet stylish, something she will be
taken seriously in. Her fun side comes out at the weekend,
opting to wear leopard print moccasins for casual wear
and high-heeled flirtatious heels for evening.
Secondary Consumer
Age: 25-35
Nationality: European
What they buy: High fashion shoes.
Overview: Always on trend and want to buy into a seasonal
piece but something which is understated and can carry
her from season to season without looking out of date.
Hanover Leather boot£600
AsiagoSuede platform heels
£620
Cecil blitzSuede peep toe shoes
£435
Devonhair calf loafers
£625
HarperSuede pumps£505
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Celebrity Followers
Kylie Minogue
Cheryl Cole
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Online Presence
~ E-commerce
~ Simple website design: modern and sleek
~ Easy navigation
~ Celebrity wearers acknowledged
~ Background of company craft
~ Designer Biography
~ Press pages
~ Linked Blog
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There are a wide variety of shoes at Fendi, which appeal
to a range of customers of all ages and from all around
the world. ‘Currently, Fendi has over 160 boutiques in
some 25 countries around the world.’ (www.fendi.com)
It is clear that competition from this highly branded
company will be intense. Competition between consumers
to get hold of their latest shoe designs is even fierce as
some lines sell out quickly. Style wise, there are similarities
to CMA, such as the vintage feel to the high fashion
designs and a much more sexy vibe to the classic ‘F’ line.
Primary Customer
Age: 38 - 45
Nationality: Arabian/Asian
What they buy: Heavily branded items, driving shoes and
evening platform heels 4”+
Overview: A lady with a lavish lifestyle. She has a need to
have heavily branded items to show off her wealth.
Secondary Customer
Age: 20 - 30
Nationality: Italian/European
What they buy: mid heel, fashion forward quirky shoes.
Overview: A younger generation Fendi follower who has to
have the seasons must have trends. Quirky and unique she
stands out in a crowd and never goes unnoticed.
Monogrammed ballet shoe
£305
Leather peep toe
£599
Cameleon£704
Ankle boot£789
Leather Boot£669
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Celebrity Followers
Kelly Rowland
Eva Longoria
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Online Presence
~ No e-commerce
~ Unique colour scheme sets Fendi apart from
competitors
~ A wealth of information included
~ Links to other websites in association
~ Focused on news, events and other projects
~ Uses ‘Flash’ which is slow to use but the
viewer time to reflect and anticipate.
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‘The king of party glamour’ says Net-a-porter. A designer
who’s style and inspiration remains constant throughout
the years, and is synonymous with glam, rock, and animal
prints. ‘He has also launched a nightclub, a fitting business
venture for the man who designs clothes club girls love
to wear..’ (www.nymag.com/fashion) This emphasises he
is successfully selling a lifestyle. His shoes complement
the clothing design perfectly and make any outfit look
glamorous.
Roberto Cavalli and CMA are similar in that their
customer is more mature but still oozes sexiness and
sophistication, displaying this through her choice of
footwear and clothing.
Primary Consumer
Age: 35-65
Nationality: Italian/ European
What they buy: High heeled boots, evening shoes, high and
flat sandals.
Overview: A flamboyant dresser, oozing sexiness and
personality she cares not for what people think of her.
Secondary Consumer
Age: 20-35
Nationality: European
What they buy: High heeled sandals, boots and pumps
Overview: Confident, care-free and focused on living a
glamorous lifestyle.
Patent Leather sandals£415
Ballet Flats£270
Paillette shoes
£504
Patent leather cage sandals£455
Leather thigh boots£845
roberto cavalli
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CELEBRITY FOLLOWERS
Halle Berry
Taylor Swift
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Online Presence
~ E-commerce
~ Black red and gold layout
~ Not easily navigated around
~ No website map
~ Red carpet glamour pictures
~ Links to other ventures, including clubs
and alcoholic drinks
~ Promotes a glamorous lifestyle
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Bottega Veneta proves a prominent competitor, focused
on craftsmanship and luxury products and their loyal
customer base. ‘Renowned for its signature intricate
woven leather, Italian fashion house Bottega Veneta’s
timeless style has earned it a loyal and discerning following
since its launch in 1966.’ (www.net-a-porter.com)
The products feel how they look – comfortable, easy
to wear, soft to the touch. CMA will follow these same
qualities but offer a more trend and fashion forward range
of footwear.
Primary Consumer
Age: 30-45
Nationality: Arab/Asian
What they buy: High heels
Overview: Attracted to the comfort and craftsmanship of
the products. The consumer wishes to be comfortable and
feel free to move around.
Secondary Consumer
Age: 16-30
Nationality: Italian/European
What they buy: Flat and mid-heels.
Overview: A successful woman, living a luxurious lifestyle
who needs something which can carry her from work life
to home life.
Expresso Calf Suede Shoe£445
Antique Velvet Wedge Sandal£490
Nero Lace Vernice Ankle Boot£580
Chene Python Sandal£670
Silk Bejewelled Ballerina£425
BOTTEGA VENETA
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Celebrity Followers
Gemma Arterton
GWYNETH PALTROW
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Online Presence
~ E-commerce
~ Extensive range of products available to pur
chase online
~ Easy navigation
~ Neutral colours
~ Sombre appearance
~ Lacks excitement and personality
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Nina Divito was a successful Irish footwear
designer, but due to illness is no longer trading.
Although not seen as a competitor, her work
and business still remain an inspiration
and much guidance can be taken from the
company’s successful history. The brand was
positioned in the luxury market appealing
to middle aged and younger women, similar
to that of CMA. Divito’s 2010 collection is
still sold in Brown Thomas in Ireland and
sits among competitors such as Lanvin and
Nicholas Kirkwood. She used her artistic
impressions of shoes to illustrate and promote
her designs, gaining much press, her work was
well recognized. Having strong links with
Ireland will help promote and foster the CMA
brand and in the future aims to be as successful
as Nina Divito.
It is apparent that CMA is entering an extremely crowded market place, but the brand holds a rare
unique selling point, which will set it apart from the competition. There are no other Irish footwear
design companies in the luxury market. Consumers are aware that Irish craftsmanship is of an impeccable
standard and offering a footwear range, which combines this with quality, style and comfort will fulfil a
gap in the market.
Many of the brand’s competitors are companies that started as clothing brands and footwear was
introduced to complement this. CMA can offer the consumer an intimate selection of shoes designed to
be versatile and stylish. The brand will not follow trends religiously but adapt and develop them to create
new trends which suit the consumer needs.
DivitoNina
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Age -60
Hig
h P
ric
e
Lo
w P
ric
e
Consevative Fashion Design Lead
Heritage/Craftsmanship brands: Price and Style
Luxury Brands: Price and consumer age
MarketPositioning
Hig
h P
ric
e
lo
w P
ric
e
Age 20+
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Marco
Enviroment
It is extremely important for a new business
to look at the wider ecosystem and examine
the Macro environment through the use of
Pestle Analysis. The findings can help the
company not only identify opportunities but
create contingency plans and in turn aid the
strategic business plan.
Political
In a climate of economic instability, it will be
extremely difficult for any company to get a
loan passed, but there is hope for Catherine
McAleer. The Irish Government is committed
to the further development of Ireland as
a global innovation hub. ‘Innovation Fund
Ireland has been created to increase the
availability of risk capital for early-stage
and high-growth companies. The provision
of ‘smart capital’ to support companies, is
crucial to the growth of Ireland’s economy.’
(Enterprizeireland.com) The Report of the
Innovation Taskforce outlines a vision for
‘sustainable economic renewal, by building
on the strengths of the enterprise economy
and utilizing the innovation or “ideas”
component of this economy present in the
knowledge, skills and creativity of people. It
outlines the need to support enterprises and
to encourage an education system, which
fosters independent thinking, creativity and
innovation.’ The government clearly sees
the potential in this sector and in 2010, €125
million was provided to Enterprise Ireland by
the government, giving CMA an important
opportunity to obtain investors in the
company.
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Economical
The present economic climate will affect
CMA in a number of ways. The Euro is in
turmoil and there is much uncertainty in the
current market. CMA’s target consumers
have a high income bracket and are generally
unaffected by the situation. A report focusing
on Footwear Retailing (Mintel, (2010) points
out the ‘lingering economic hangover’, which
has wavered customers spending patterns in
the UK but an opposing report identifies the
changing customer attitudes to luxury goods.
‘While the economy has had an impact on
luxury sales, it is also apparent that many
consumers still have an affinity for luxury
goods and thus are seeking them out in large
numbers.’ (Mintel, Customer Attitudes to
Luxury Goods, 2011)
Consumer Attitudes Toward Luxury Goods - March 2011 - Recent Luxury Purchases
Recent luxury purchases, by gender, November-December 2010
All Male Female
Electronics 36 49 25
Jewelry and watches 31 31 31
Clothing (other than outerwear) 31 29 33
Footwear 25 23 26
Beauty products (i.e., skin care/cosmetics/fragrances, etc.) 25 11 37
Handbags/purses 24 9 35
Home appliances 11 11 11
Outerwear 9 9 9
Furniture 7 8 7
Art 6 9 4
Tools 4 8 1
High-end home gym equipment 2 4 1
Other 4 5 4
Source: Mintel
Research undertaken and published on Mintel
shows the purchase percentage of high-end
luxury footwear products which are still very
much in demand. The details in figure 6 show
that customers are still buying, and spending
money on luxury footwear and that there is a
potential market for CMA.
CMA aims to approach a number of
organizations, such as Enterprise Ireland
and Craft Council of Ireland, each existing
specifically to aid economic growth. The
Craft Council of Ireland released a strategic
plan in 2011 states ‘it is ultimately about
driving overall economic growth, creating
employment and contributing to the ongoing
development of our county at a national and
international level.’
Fig. 6
Recent Luxury purchases, by gender
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Social and Cultural
Consumers are becoming more aware of
where their products are coming from and
how they have been manufactured. The
‘heritage’ trend, has evolved not only in
fashion design but also in other industries.
CMA holds a strong brand ethos of
maintaining Ireland’s traditional crafts. The
estimated 1377 students studying craft
related courses is Ireland (illustrated in figure
2, page 8) will be competing for a limited
amount of jobs. This will supply a suitably
qualified workforce to recruit from. Although
CMA will be a small Sole Trader, one of the
company’s long-term aims is to create jobs
and promote Irish craft.
Tecnological
The technological advances of the last
decade have had a huge impact on footwear
production, from initial research through to
product delivery.
~ Use of online research resources gives
the designer access to invaluable market
information. Many small companies such
as CMA do not have time and financial
resources to spend on extensive primary
research.
~ Use of CAD throughout the design
process, is time saving. Design templates can
be created and reproduced quickly.
~ 3D rapid prototyping technology
has become widely available. This will
enable CMA to push design and creativity
boundaries, and create products which cannot
be produced using traditional methods.
~ New transportable technology such as the
iPad, give consumers 24 hours a day online
accessibility.
~ Marketing methods have become
cheaper for businesses, as the use of Twitter,
Facebook and online blogs have become a
global phenomenon. A network of people
can be created which companies can reach
within seconds. ‘Apps’ are becoming more
and more recognizable to companies as an
important part of promotion.
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Legal
As a sole trader, Catherine McAleer has the
responsibility to ensure all business practices
are legal. One of the main laws which must
be abided by when selling footwear is the
‘Sale of Goods Act 1979.’ It outlines that all
goods must be as described, or of satisfactory
quality and fit for purpose. Quality assurance
checks will be made at random on CMA
shoes by management at the factory.
Recently, the Consumer Product Safety
Improvement Act of 2008 was brought in.
The legalization reduces the amount of lead
allowed in surface coatings. Although an
American law, it is important to be recognised
by CMA for future growth and expansion
into the US market.
Environmental
Concerns for the environment have been a
long-standing issue for design companies.
It is extremely difficult to be 100%
environmentally friendly but being aware
of the issue does help businesses become
more conscious of their carbon footprint. As
CMA is a small company, products will not
be mass produced and many elements of the
shoes will be hand made so therefore sales
projection must be well considered so there
is little waste of materials. This should help
lessen affects environmentally and financially.
All CMA products and components will
be sourced locally and so in turn will not
have the same carbon omission affect as
companies who import products from
countries further afield.
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Micro
Strengths Weaknesses
~ Strong brand identity
~ The collection accommodates for a variety of
customers offering a wide range of prices.
~ Versatile and wearable
~ Product quality and longevity
~ British fashion industry are open to new
designers.
~ A lot of help and support offered by the Craft
Council of Ireland
~ People are more inclined to spend on
foot wear which is long lasting, not trend lead
and classical pieces.
~ Owner has experience working for
luxury companies.
~ No other luxury Irish footwear design
companies.
~ Crowded luxury market space
~ Little room for small start up companies
~ Hard to get established
~ There are no leather tanneries in Ireland
so they must be sourced from elsewhere
~ Due to the recession, many people may
be put off spending money on material
items such as shoes.
~ Start up costs are high and an investor is
needed.
Opportunity Threats
~ Opportunity to promote Irish heritage,
showing the skills and craftsmanship of
companies in Ireland.
~ Opportunities to receive press from craft
promotion happening around Ireland which
will create hype around CMA
~ Cheap marketing tools available such as
Facebook, Twitter and blogs: good for start
up companies with limited budget.
~ To create a diffusion line with lower prices,
which will open up the brand to new markets.
~ The Irish government are planning to inject
money into Ireland’s Craft sector to help
promote economic growth.
~ The current economic climate does
not lend itself well to luxury spending
~ Exchange rates are fluxuating and the
euro is weak.
~ Not all materials will be Irish made
and may damage the companies concept.
~ A lot of strong competitors in the
markets with more money to spend
on marketing their brands.
~ There have been nine notable
closures of HE Craft courses in the
last few years – craft is quickly dying out.
~ Core craft skills are dying out quickly.
Environment
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RangePlan
The first collection launched by CMA will consist of a small, refined range of shoes and boots with a variety
of styles to encourage the consumer to buy more than one pair. The price range varies with the amount of
craftsmanship included, for example; goldwork is expensive and time consuming to produce and this will
reflect in the retail price.
Competitor and consumer research highlights the need for stylish comfortable boots. The factory which
will be producing the shoes, Tutty’s, specialize in othotics and a cushioned insock will be developed to be
built into each design. Also included in the range is a limited edition pair of ankle boots. These will show
of various craft forms such as goldwork embroidery and metal work. The last was chosen because of its
extreme, eye-catching height, this boot will be the ‘showpiece’ of the collection.
Last Ref. Heel height Sizing Description Colour Ways Retail Price
Ref. 927 0” 36-41 ~ Ballet flat
~ Moccasin
3
3
£305
£295
Ref. 415 1.5” 36-41 ~ Brogue
~ Bootie
~ Tall boot
2
3
2
£425
£550
£695
Ref. 1215 4” 36-41 ~ Court shoe
~ Bootie
~ Knee high boot
2
2
2
£395
£705
£905
Ref. 1278 5” 36-41 ~ Ankle boot 2 £1050
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Production
Item Supplier
Last Springline Ltd. Pondwood Close Moulton Park Industrial Estate Northampton NN3 6RT
Leather A & A Crack & Sons 16 Pennard Close Brackmills Industrial Estate Northampton NN4 7BE
Metalwork J. L Ornamental87, Old Ballynahinch Rd, Lisburn, County Antrim BT27 6TH
Woodwork McCalls Woodworking Ltd. Rathvilly, Co. Carlow, Ireland
Embroidery Marie Woods53 Edendoit RoadPomeroy,Co. Tyrone,BT70 2RG
Rapid Prototyping Laser Prototypes Europe Ltd.Unit 2a Balmoral LinkBelfast,BT12 6QB
Packaging The Benson-Box Co. Ireland LimitedCardboard Box ManufacturerKillaloe Co. Clare
All other footwear making supplies. Tutty’s Hand-Made Shoes, Riverhouse Millbrook, Naas, Co. Kildare, Ireland
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Design brief Inspirational research
Material and hardware sourcing
via TradeShows
Trend Research
Merchandising plan of action
Initial designs
Designs sent to factory
Product Development
Prototypes produced and
critiques
Samples developed and
amended
Lookbooks and linesheets created
Final designs confirmed
Sales appointments and Trade Shows
Press release and PR samples
released
Stock sent straight to stockists
Orders processed and sent to factory
Sold to consumers
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The initial samples for Catherine McAleer will be made in London using suppliers in Ireland
were possible. Other materials will be sourced locally in London. Sample heels will be cast
using the lost wax casting process, whereas for production they will be manufactured using 3D
rapid prototyping.
All the components for production will be shipped to and manufactured at Tutty’s Hand-Made
Shoes. Tutty’s is located in Kildare, Ireland. The town itself is at the hub of the craft industry
in Ireland, fostering its growth and commercial strength. There are many skilled craftspeople in
the area and CMA can avail of their services so supplies are sourced locally.
Tutty’s, was unable to provide the cost of making CMA footwear, an estimated cost for
materials and production for a high heel ankle boot below is calculated at 1/3 of the total retail
price of each shoe. An estimated wholesale price was worked out by adding 20% to the cost
price.
SupplyChain
Embroidery
Metalwork
Leather
Factory
Stockists
Customer
Via
Co
mp
an
y W
eb
sit
e
Packaging
Cost of Materials
£85
Shipping £3
Factory Costs £100
Total + V.A.T £225.60
Retail Profit
£705£479.40
Wholesale Profit
£270.72£45.12
All approximate costings are suject to V.A.T.
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After examining the product placement of the main competitors, and consumer feedback on their
shopping habits, the ideal stockists for the CMA brand can be observed below. They have been
specifically chosen due to their exceptional standards and world-renowned status. The CMA brand
can gain recognition through carful product placement, many of the brands competitors are located
here and consumers already shop in these stores. Individual store analysis can be found in Appendix
5. The products will initially be stocked in Ireland and Britain and as the business develops these
will spread further afield to countries such as Paris, New York and Dubai. These would be obtained
by showing the collection at various trade shows such as Pure London, Micam and Premier Classe.
(details of which can be found in Appendix 6)
RetailPositioning
BROWN THOMAS
SELFRIDGES
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PresenceOnline
Catherine McAleer plans to have a strong online presence. As a start up company there are limited
financial means to have a physical shop, so therefore CMA products will be available to purchase via the
brand website. Sales via the website will be the most profitable (see page 60) and much emphasis will be
placed on creating an e-shop with easy navigation which is convenient for customers.
It is important for CMA to be sold on other websites such as net-a-porter.com. This will capture another
audience and increase consumer awareness, which could potentially direct them to the company website
will hold the full collection.
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Publicity andMarketing
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Florence Welch Diane Kruger
Rosin Murphy Dita Von Teese
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There will always be a place in the world for high quality luxury products. The creation of refined,
elegant products will require a degree of effort and ingenuity. A strong unique selling point
coupled with master craftsmanship, will pave the way for inventiveness and enterprise. Research
identifying a strong customer base will help to not only establish a market but also promote and
showcase the best of Irish craftsmanship and technological knowhow in this field and in turn foster
growth in the Irish economy. Skill and expertise alone will not drive the product forward; design
flair and on trend innovation are important to differentiate the brand from competitors and help
create products that are both unique and exceptional.
CONCLUSION