investment in manufacturing in the uk marketing essay

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Investment In Manufacturing In The Uk Marketing Essay For assignment help please contact at [email protected] or [email protected] Burberry in 2012 was named the 4th fastest growing brand by both Interbred and WPP, after Apple, Google and Amazon. It was in Interbrands Top 100 Global Brands for the 3rd consecutive year, got the 'Inspiring Luxury Loyalty' award,. Brand momentum, marketing innovation and product excellence underpin this performance. Momentum of the brand Efforts to support this momentum is as follows. Digital Synchronization In the world of Burberry and Burberry.com, enable potioning more consistent brand across all customer World Burberry has supported retail sales as a platform for global inventory. Brand integration Discussion, fragrance and beauty partner of the company, the new management was continued potential for business to unlock the potential of the brand in these new categories. Saudi Arabia is the latest business to move from a franchise model with the intention of the new subsidiary with local partners. Marketing innovation To engage consumers in the world, connected to or use of the contents of its brand, Burberry, he continued to expand the reach and impact through innovative marketing.

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Page 1: Investment in Manufacturing in the Uk Marketing Essay

Investment In Manufacturing In The Uk Marketing Essay

For assignment help please contact

at [email protected] or [email protected] 

Burberry in 2012 was named the 4th fastest growing brand by both

Interbred and WPP, after Apple, Google and Amazon. It was in

Interbrands Top 100 Global Brands for the 3rd consecutive year, got the

'Inspiring Luxury Loyalty' award,.

Brand momentum, marketing innovation and product excellence

underpin this performance.

Momentum of the brand

Efforts to support this momentum is as follows.

Digital Synchronization

In the world of Burberry and Burberry.com, enable potioning more

consistent brand across all customer

World Burberry has supported retail sales as a platform for global

inventory.

Brand integration

Discussion, fragrance and beauty partner of the company, the new

management was continued potential for business to unlock the potential

of the brand in these new categories.

Saudi Arabia is the latest business to move from a franchise model with

the intention of the new subsidiary with local partners.

Marketing innovation

To engage consumers in the world, connected to or use of the contents of

its brand, Burberry, he continued to expand the reach and impact

through innovative marketing.

Page 2: Investment in Manufacturing in the Uk Marketing Essay

World Burberry

Millions of visitors gathered during the year, the world of Burberry, held

a suite immersive content increasingly rich experience.

In order to release the formula the most luxurious in the product

outerwear iconic brand will enable the customer design, share, digitally

delivered within 8 weeks, Burberry Bespoke, the trench coat that is

customized Please purchase.

Runway show experience of evolution, which connects the technology

360-degree feed motor reactivity to enhance the ability of customers to

explore online virtual community or collection of Burberry brand in the

world of society and live and Instagram Twitter.

To play in the success of its marketing activities to recognize the

increasingly central role, technical systems and efficiency of investment

in IT has continued integrity.

Social media

While tripling its followers in Twitter, Burberry continued to advance, its

leading position on the social media in more than double the luxury

division of play YouTube fans and Facebook. Visit to the art of the trench

social media sites has increased by more than 60%.

And on the other side of Youku, Douban social media platform Sina

Weibo, China, Kaixin001, branded content, had been further leverage via

the Twitter account of the 10 regions.

The Tweetwalk before falling on the runway, they were able to be

launched in collaboration with Twitter, believers see the picture of men's

and women's collection for the first time.

Event

Burberry leverage digital technology, you can increase the reach and

engagement around the events leading brands. New initiatives,

streaming the show womenswear AW12, major brand in Beijing, about 7

billion for the event to the iconic outdoor sites at Terminal 5 of Heathrow

Page 3: Investment in Manufacturing in the Uk Marketing Essay

Airport in London and Liverpool Street station. have included

collaboration with Sina Weibo bring impression.

(March 31 in the year) of total revenue growth

Measure the attractiveness of the brand to consumers, it will go through

the things of our stores or department stores and specialty retailer of

Burberry.

· IE is the growth rate of the original change year-on-year at constant

exchange rates. 2008, * 2009 and 2010 are included in the results of

discontinued operations in Spain. 2010 has been expressed to exclude

discontinued operations in Spain.

Increased by 23 percent year-on-year, the foundation - in 2011/12,

Burberry's revenue was £ 1857 meters.

Product excellence

It all begins with Burberry, combining a focus on continuous innovation

and core category, I end up with a superior product.

Outer core

To leverage the unique heritage of the brand, outstanding innovation and

design together, jacket, and continued as the main growth driver of the

company's dominant apparel category.

Supplementation program, supported by robust, outer, accounting for

more than half of the retail apparel sales mainline.

Men's focus

By leveraging the core strategy across categories of men's apparel and

non-apparel high potential, Burberry, he has made significant progress

towards the re-use of infrastructure menswear brand.

The department provides renewal of outerwear tailoring test, various

extensions and non-apparel, marketing activities and dedicated. Doubled

over the year from a low base tailoring for men and men in non-apparel,

retail sales increased by 50% in the mains.

Page 4: Investment in Manufacturing in the Uk Marketing Essay

Large Leather Goods

Check iconic brand, especially in the luxury leather and handbags

Prorsum, innovation of form design, materials and has led the continued

strength of leather products on a large scale.

12 minutes 2011 saw the continuation of efforts to compensate for the

reduced number of legacy issues that are consistent with the positioning

of global luxury brand Burberry. Substantial investment was in the years

that wholesale brand presence, with the addition of shop-in-shop,

upgrade the closure of the account, came out of the coat department. In

Japan, most of the business of the company Burberry continues to be

carried out while merchandising and marketing activities that focus on

the global collection, terminate the license of a variety of non-apparel

under license yet.

Strengthen the non-apparel

Enhanced through further investment in product development,

marketing, supply chain, focusing on the categories of non-apparel

penetration under the iconic branding and know-how of design and

merchandising of leverage Burberry.

In 2011 a 12-minute, accounting for 39% of record sales growth of

wholesale / retail, 22% in non-apparel, it was a product of the company's

largest division. In about half of the retail sales of non-apparel main line,

a large leather products, supported by a robust replenishment program,

it is still the backbone of this category.

Men's Accessories

Accounted for more than one-third of the growth Men's Accessories, it

was the largest non-apparel growth driver. Investment in marketing

activities focused on the product development has led to revenue

increased by more than 50%.

Soft accessories

Page 5: Investment in Manufacturing in the Uk Marketing Essay

Continued growth and innovation cashmere iconic fabrications and prints

is we drove strong double-digit growth in both women and men's scarf.

(March 31 in the year) of non-apparel sales growth

Burberry big success of efforts, including measures to expand small

leather goods, scarves, shoes, belts, jewelry, into this category.

Income is the only retail / wholesale. · IE is the growth rate of the

original change year-on-year at constant exchange rates. 2008, * 2009

and 2010 are included in the results of discontinued operations in Spain.

2010 has been expressed to exclude discontinued operations in Spain.

In 2011 a 12-minute, 22% increase in the underlying sales of non-

apparel, accounting for 39% of retail sales / wholesale. Men's Accessories

is located while donating a large portion of the growth in this category,

representing about half of the large leather product sales, of non-apparel,

the core of non-apparel.

Global license

Burberry has signed a global license agreement: three glasses (Luxottica)

(Interparfums), and watch (Fossil) beauty and fragrance. The company

continues to work closely with these partners product development,

marketing, and sales activities on, we have carried out periodic reviews

to ensure compliance with the terms of its license agreement.

By aligning these products more closely to the Burberry brand image, the

company has continued to unlock the potential of the 2011/12.

Beauty and fragrance

Fragrance for women Burberry new body, the global marketing

campaigns that are synchronized across the region and all platforms,

including outdoor advertising iconic established through a partnership

with Facebook, the activity sampling presentation of the store with the

impact, and television advertising supported by launched. If the body was

the most successful launch of the fragrance from the 19th, to allow

portfolio Burberry fragrance moving to ninth in the United States, the

brand so far.

Page 6: Investment in Manufacturing in the Uk Marketing Essay

Distribution of the Burberry Beauty launch, was extended in 2010 to less

than encouraging initial performance of 11 minutes. Currently available

in the door through burberry.com wholesale more than 70 of the world,

the range was introduced in the first Burberry store with the opening of

Taipei.

Eyewear

Became a strong platform for future growth and sales growth well over a

year increased focus on the development and distribution of eyewear.

Clock

In the reaction of consumers to provide products that strong progress

has been enhanced further, I made my way to align the activities and

distribution of luxury brand and product positioning.

To accelerate the growth of retail-led

Corporate culture and processes to shift from static to dynamic models

wholesale retail model. Rather than to own Burberry store operations,

retail-led growth, refer not only to fundamental changes in the business

structure of the Group.

Burberry, when it was named it "international retailer of the year 'in both

and Oracle World Retail Awards, and the National Retail Federation

American retailer of the year" in the Retail Week Oracle awards in the

UK I was honored to receive the prestigious award three retail. Burberry

also was recognized for the best customer experience in-store and online

by the Institute luxury industry.

12 minutes of highlights from 2011 include:

Drive productivity

Improve productivity in the mainstream stores substantially, Burberry,

continue to invest in all aspects of the retail experience in the course of

this year.

Including through the floorsets monthly, further integration of physical

and digital real estate, I drove a consistent brand message in all media.

Page 7: Investment in Manufacturing in the Uk Marketing Essay

Including the execution of replenishment and inventory management,

retail has been improved.

Customer focus

By connecting with customers better, to grow the relationship that has

been personalized to drive productivity and consistency, Burberry, he

focused on customer service.

To complement the existing centers in New York and London, opened a

new center in Hong Kong, customer service team, increased significantly.

These specialized facilities to support our 24/7 to your needs and

luxurious live chat on the phone language, e-mail, and 14 together.

In parallel with the training in order to provide excellent service to

customers in China and internationally, professional sales and service

extension program, I was completed in China.

Programmers and customized sales, dedicated client service has grown

to 50 teams in all regions globally in Burberry's most loyal customers.

Increase in the area through the provision of private services that are

tailored to the needs of their elevated, for these customers, there is a

further investment in elevating the in-store experience.

Real Estate Investment

Investment in the heart of the growing cluster core, Burberry retail

footprint has been expanded further. Flagship city is characterized by a

wealthy local residents above average GDP and strong flow of tourism.

Together, these features provide a degree of thermal insulation with

respect to the global macroeconomic instability.

19% increase in average selling space, Canton Road in Hong Kong,

included the opening of a new large-format Rue Faubourg Saint-Honoré

in Paris, of George Street, Sydney. 23 mainline stores open, ongoing

efforts on upgrading the Burberry retail presence was observed in key

locations, including an extensive renovation 13.

Page 8: Investment in Manufacturing in the Uk Marketing Essay

(March 31 in the year) growth in retail sales

In addition to the (measuring productivity growth of existing stores) sales

growth at existing stores are included in the income from the new space.

· IE is the growth rate of the original change year-on-year at constant

exchange rates. Sales growth at existing stores, tailored to the closure

and renovations, are defined as the annual growth rate in sales from

stores that have been open more than 12 months.

Of total retail sales increased by 31 percent year-on-year basis. 14%

sales growth at existing stores (:;: 12%, H2 H1 16%) has increased.

Average selling prices increased again in stores mains driven by

increased penetration of London dressed in women and men. Acquisition

of stores in China, contributed 31 percent from September 2010, a 6%

growth in the underlying maximum acquisition memorial. Balance of 11%

growth came from new space.

Number of stores (as of March 31)

I measured out of the reach of retail stores around the world Burberry.

2008, * 2009 and 2010 are included abolition store operations in Spain.

2010 has been expressed to exclude discontinued operations in Spain.

The number of directly operated stores Burberry was increased in 27 of

the 2011/12. These are the five stores in Saudi Arabia that has been

converted from franchise to retail rest closed 10 stores and the main new

line of 28, 6, of the world with a new store 2 net in the Americas, Europe,

the region Pacific Ocean Asia through ( subsidiary with local partners in

June 2011 that contained 9 inclusive).

Under-investment in the market penetration

Under-investment in the market penetration and I focus on. Case of

Burberry, which are composed of both developed markets such as the

U.S. and emerging markets China, India, and the Middle East. Is used to

optimize these opportunities of various distribution channels and

business models all.

Page 9: Investment in Manufacturing in the Uk Marketing Essay

12 minutes of highlights from 2011 include:

Involvement in China

Integration of the company's China operation has been established,

strengthening efforts merchandising, marketing, store services were

utilized in order to increase sales at existing stores 20 percent well.

I focus on the relevance of distance and intensifying marketing extension.

Burberry brand is chosen to achieve a leading position on the social

media platform luxury in China, launched a simplified Chinese version of

burberry.com, with the think tank of the "Digital IQ" the second highest

in China, leading only L2 underneath.

The team's ability to develop further expertise and full-featured

community, has been developed. While benefiting from the services of

the investment proposition is intensifying, in stores, assortment has been

refined to rise further, to meet the needs of the country's emerging

luxury consumer.

India, Middle East Development

The formation of a new subsidiary in Saudi Arabia with a local partner

and two new stores, this sub-region has been further developed during

the year in India.

Central and South America building

Would continue to build our presence in this high potential area,

Burberry, two new stores were opened in Central and Latin America. Key

luxury in the hub of Sao Paulo and Guadalajara, store, brought to eight

the total number in the region.

Entry into new markets

Recognizing the condition of the more volatile, potentially in emerging

markets, Burberry will benefit from local expertise, we have continued to

work with partners and franchisees in the country that has the

experience it has been more limited.

Page 10: Investment in Manufacturing in the Uk Marketing Essay

Including taking the brand to the luxury market emerging Baltic states,

Burberry has signed a new franchise agreement.

Lifting the existence of wholesale

In the intense focus in order to improve the assortment and upgrade real

estate, through the wholesale channel, Burberry made a significant

investment in the presence of luxury brands.

On top of the 30 new women in the United States, men's shop-in-shops,

accessories, children's department store was opened by the key. Upgrade

specialty store distribution in Europe continued.

Burberry continued to build retail and travel partners in Asia, its

presence in the travel retail channel, particularly high growth. New

Burberry store is located in the City of Dreams in Macau, at the airport in

Kaohsiung of Taiwan, it was held in the East and the West Terminal.

Number of stores in emerging markets (as of March 31)

I will measure the reach of the Burberry brand in the high potential of

these countries.

Other parts of China, the Middle East, Eastern Europe, Russia, Brazil,

India, Southeast Asia, Africa, and Latin America include: emerging

markets.

Among them, Burberry, 10 stores were added net 18 stores in emerging

markets, two each in Thailand, Middle East, India, China in Latin

America. Of the 154 stores, 63 of them directly, 97 are operated in China,

India and the Middle East 7 ares of 5,22 in Latin America. Balance is a

franchise.

Pursuit of operational excellence

In order to be recognized as much for operational excellence as for

excellence in product and marketing, Burberry is continuing to pursue its

goals.

Page 11: Investment in Manufacturing in the Uk Marketing Essay

With particular emphasis on merchandising, supply chain and

information technology, Burberry, he promoted the further operational

improvements in 2011/12.

Merchandising

Technology investment

Prioritize technology investments across the enterprise, Burberry

continued to take advantage of. In the enhanced visibility of marketing

metrics, such as margins and inventory, as a result, centralized business

intelligence team has been established with a global responsibility for

data management and reporting.

Replenishment and planning

Continued focus on the practical ability and replenishment,

replenishment saw penetration of style remains about half of the revenue

of the main line. Planning and execution has been further improved

assortment. Global purchase more consistent, provided a brand

statement aggregation efficiency and the flexibility of the local supply

chain while to accommodate local preferences, increased over the store

basis.

Supply chain

Investment in manufacturing in the UK

Apprenticeship, was founded in Castleford generate Woodrow knit fabric

gabardine trench coat with heritage of the brand, and to build them. In

the new training school, which is to develop a foundation for future skills

in both places at the Castle together.

Additional investment bespoke Burberry trench coat, was held at the

Castle to support the production of the vast majority of which were

conducted in the United Kingdom.

Advance logistics

I was further strengthened with the execution of the logistics function.

European logistics activity was reconstituted with a new regional

Page 12: Investment in Manufacturing in the Uk Marketing Essay

distribution hub designed Piacenza, Italy to provide a significant speed

advantage, cost and energy efficiency.

Information technology

Social work

Burberry has partnered with Salesforce.com to implement tools and

processes to enable connecting the constituencies all around better

brand, the development of social enterprises. Which included the launch

of a global digital platform that connects the Burberry chat friends and

partners, dynamically.

Complete the SAP

Global implementation of SAP has completed the installation of the

Middle East and China. This large multi-year project, which forms the

basis of the company's global IT infrastructure.

Group continues to monitor the relationship between all the major

supplier of the entire global business closely. Governance process is in

place for all major strategic initiatives, supplemented by periodic review

of the progress of the operation and performance by senior management.

These structures are reviewed to ensure that it is possible periodically to

support their growth global Burberry effectively.

(March 31 in the year) gross profit margin wholesale / retail

Measures, in particular, how efficiently their products Burberry sources.

2008, * 2009 and 2010 are included in the results of discontinued

operations in Spain. 2010 has been expressed to exclude discontinued

operations in Spain.

Procurement by retail / wholesale, to shift from wholesale to retail,

coupled with the geographical shift to Asia and the advantages of price,

gross profit margin is 68.1% in 2011 compared to a 12-minute margin of

64.9% last year Pacific Ocean rise 320 basis points.

(March 31 in) operating income margin retail / wholesale adjustment

Page 13: Investment in Manufacturing in the Uk Marketing Essay

Investment to improve business processes, including Burberry and

procurement initiatives, measures of how IT and logistics is affecting

their profit margins.

Adjusted operating margin has been described before exceptional items.

2008, * 2009 and 2010 are included in the results of discontinued

operations in Spain. 2010 has been expressed to exclude discontinued

operations in Spain.

The ratio of operating income to net sales retail / wholesale Burberry

adjustment, an increase from 15.6% in 2010 11 minutes 2011/12, to

16.4%. Modest operating margin expansion was achieved additional

space, after investing in new markets and central functions.

Burberry has 4 brands:

 BURBERRY PRORSUM

- The most expensive one. This is their luxurious, high end brand.

 BURBERRY LONDON

- The more formal brand, than Brit. Cuts are normally slim and the

quality is a bit more well worked.

 BURBERRY BRIT

- The known brand of them all. This is the brand on which Burberry is

built upon. Cuts vary

 BURBERRY SPORT

- A sport inspired brand, inclined more towards the youth customer

http://2.bp.blogspot.com/_T961o3r1ib8/S5VzUJ_6XUI/AAAAAAAAHZI/

TpPDQ6x_1B4/s400/Picture+2.png

Burberry has various competitors that include:

Gucci

Prada

Page 14: Investment in Manufacturing in the Uk Marketing Essay

Coach,

Polo,

Armani, and

Dolce and Gabbana

Burberry's competitive positioning is suitable over the long term. While

brand like Coach and Gucci focus more on accessories and Armani and

Polo focus more on the apparel market, Burberry has succeeded in

penetrating both the accessory and apparel market while remaining a

luxury good. Burberry has also succeeded is positing itself between

brands such as Polo Ralph Lauren and Armani in apparel, and between

Coach and Gucci in accessories. Burberry also has many different lines

within the Burberry brand. This allows for more high-end

goods and goods that would be feasible for purchase by the general

population. Burberry's

positioning of functional luxury is extremely competitive and

will sustain over the long-term period.

MARKETING MIX

PRODUCT

The products that define Burberry as a brand are:

Trench coat,

Perfumes

Brititsh

Body

Burberry Eau De Toilette Spray

Burberry Sheer Eau De Toilette

London

Page 15: Investment in Manufacturing in the Uk Marketing Essay

Burberry Holiday

The Beat

Sport

Burberry (Classic)

Burberry Touch

Burberry Weekend

Checks

Haymarket: check with Burberry Equestrian Knight

House: check without Burberry Equestrian Knight

Nova: The bigger check pattern. Nova check has a cream/tan background

having vertical and horizontal black and red stripes.

Supernova: larger than Nova . On a small leather good with Supernova

check, has only a diagonal stripe but does not have whole check.

Exploded: Exploded check which comes in metallic colors like silver.

Burberry keeps a product line with a lot of width and depth consisting of

many products. its products fall two main categories: fashion or

continuity. Fashion products are designed to be responsive to fashion

trends and are introduced on a collection-by-collection basis. Continuity

products have life cycle which are expected to last for a number of years.

PRICE

The Burberry brand uses price to depict high quality in an attempt to

position the product as the high quality leader.

A Burberry trench coat has the range from £2500 to £3500

A burberry Perfume has the range from £50 to £90

A handbag ranges from between £1100 to £1300

Page 16: Investment in Manufacturing in the Uk Marketing Essay

PLACE

The company has stores and franchises all over the world, and also sells

through third-party stores. Burberry has 475 stores in 48 countries.

Burberry sells products all over Europe, North of America and Asia with

its own operated stores and wholesale customers.

The licensing arrangements with Japan, which is very important luxury

market in the world. In North America, which is key area for future. In

Europe, the brand's repositioning in the Spanish market made effective

progress, led by the opening of a store in Barcelona, Burberry's was first

in this important market.

PROMOTION

In the 1970s, the brand got popular with the British casual cult, which

lead to it being associated with members of football companies by the

1990s . Burberry has attempted to brand itself with advertisements in

Vogue

Tatler

GQ

Esquire

and is known for using celebrities in its advertising, Kate Moss, , Jourdan

Dunn and Lily Donaldson, singer George Craig,actress Emma Watson,

and Rosie Huntington-Whiteley,

In 2011, Burberry built its position amongst luxury brands on Facebook,

ending the year with having five million fans, almost 200,000 followers

on Twitter and more than four million channel views on YouTube.

Distribution

Below is a chart which shows the distribution system of Burberry

http://htmlimg2.scribdassets.com/4515lrxqgwz7eut/images/7-

c3e429247f.jpg

Page 17: Investment in Manufacturing in the Uk Marketing Essay

The distribution of the Burberry brands is achieved through the process

of company-owned stores, and by company-controlled wholesale

agreements with third-party stockists, as well as through license

agreements with partner ï¬ �rms like Japan. Burberry markets have two

clothing collections each year for summer and winter. Primary orders

from wholesale customers are received for summer ranges in the

previous June to October, while orders for the winter season are received

by March at the latest

http://htmlimg3.scribdassets.com/4515lrxqgwz7eut/images/9-

425cd66c38.jpg

Marketing communications

Burberry marketing are managed from London. Any form of marketing

communication and activity are determined by the way provided by the

London team. There are three important strands to the Burberry

communications model:

(1) Advertising.

(2) Fashion shows.

(3) Editorial placement

http://htmlimg4.scribdassets.com/4515lrxqgwz7eut/images/10-

dc7d4e5f2a.jpg

LITERATURE REVIEW

Burberry of Britain

http://www.ukessays.com/essays/business/burberry-of-britain.php

Emma Watson is globally very popular for her Harry Porter movies for

years now. Her popularity as a leading style icon she has a huge fan

following, the brand uses to capture a new young set of customers.

Watson's catwalk at the London fashion week in 2011, helped the

company to raise its profile in UK .It can also be seen that the new ad

campaign helped the brand to attract more customers resulting in sales

Page 18: Investment in Manufacturing in the Uk Marketing Essay

Using Emma Watson as the face of Burberry has also helped the brand to

increase the demand for handbags and pull on scarves called snoods.

However, It seems a bit risky decision for Burberry as she is bound to get

a older.

Burberry joint venture targets India's brand-aware middle class

http://www.perthnow.com.au/business/business-old/burberry-joint-

venture-targets-indias-brand-aware-middle-class/story-e6frg2qu-

1225800045109

Buberry is to expand its grab in India, a market in which the rich are

thriving because of a soaring stock market. The company operates its

two Indian stores through a franchisee agreement with Media Star, an

Indian group. That arrangement will be dissolved when the new joint

venture is formed. 

STOCK CHART OF BURBERRY

One Month Chart for BURBERRY GRP

http://www.guardian.co.uk/business/burberrygroup

Burberry sticking to global expansion targets

http://www.bbc.co.uk/news/business-20234604

Burberry has told the BBC that it is sticking to its expansion plans,

regardless concerns about the impact of the downshift on luxury brands.

Burberry's profits rose, its pre-tax profits for the six-month period fell

Burberry has been diversifying its range of products and has opened

new stores in Milan, Rome and Hong Kong,

Burberry fashions strategy to target Indian high net worth individuals

Page 19: Investment in Manufacturing in the Uk Marketing Essay

http://articles.economictimes.indiatimes.com/2011-10-11/news/

30266680_1_india-and-china-angela-ahrendts-burberry

Burberry is trying to reach out to high net worth individuals (HNIs)

in India and China.

In India, Burberry has more half a million Facebook fans. Burberry has

changed its marketing strategy in reference with the demographic

changes in these growth markets.

Straddling two worlds

http://businesstoday.intoday.in/story/innovation-burberry/1/20187.html

Burberry exploited the opportunities offered by the e-commerce and

social media by making its online experience distinctive and 'branded'

just like in-store experience. By doing so, it widened its reach to global

audience.

Customers can view the show on their iPads, click on a product they like

and have it delivered in a few weeks via Burberry's 'Worldstore' portal.

With technology and the Internet, Burberry has evolved one of the most

recognizable and demanded fashion brands in world economies like

China - Burberry's revenue is expected to increase by 27%

RESEARCH METHODOLOGY

RESEARCH OBJECTIVES

To Study the brand Strength and recognition of Burberry

To study the loyalty of customers towards the brand

To study the various strategies and distribution system of Burberry

To do the competitive analysis of Burberry with various other brands

SAMPLE DESIGN

Since there are time and resource restraints, a specific population had to

be identified in order to generalize and create relevant segments. Thus,

Page 20: Investment in Manufacturing in the Uk Marketing Essay

the sample size decided contains 50 respondents and these 50 comprises

of male and female. The population for this research are professionals

residing in London out of which owns a Burberry Product. The city was

chosen on convenience basis. Convenience sampling involves using

samples that are the easiest to obtain and is continued until the sampling

size that is need is reached.

Type of Research: Descriptive Research

Sample Size: 50 people

Sampling Technique: Convenience

Quantitative approach will be used where substantial datasheets as well

as the inclusion of tables and statistics shall be made.

DATA COLLECTION

PRIMARY DATA: Primary data is fresh data collected and used first time

in research. The primary data is collected through personal

communication. Data was taken by questionnaire method which is

directly collected from relevant respondents in various markets of

London.

 

SECONDARY DATA: As name suggest, secondary data means data which

already exist somewhere. It might have been used somewhere and we

just have to collect it. The secondary data is collected through media

advertisement, company's catalogue & poster or through website or

internet, existing databases , published articles, biographical accounts .

DATA INTERPRETATION AND ANALYSIS

1. Which Burberry product(s) do you have?

Perfume

Scarf

Bag

Page 21: Investment in Manufacturing in the Uk Marketing Essay

Rain coat

Shirt

Others

product * age Crosstabulation

Count

age

Total

15-25

25-35

35-45

45-55

Product

perfume

1

3

4

2

10

scarf

2

2

1

Page 22: Investment in Manufacturing in the Uk Marketing Essay

1

6

bag

1

1

5

4

11

overcoat

1

2

4

5

12

shirt

3

2

1

0

6

others

2

Page 23: Investment in Manufacturing in the Uk Marketing Essay

2

1

0

5

Total

10

12

16

12

50

Above survey depicts that majority of the respondents have overcoat

bags and perfumes of Burberry. Respondents between the age of 35-55

prefer buying bags and overcoats. Others go for mostly perfumes shirts

and scarf

2. I purchase a Burberry product because of its high quality

Strongly Disagree

Disagree

Neither agree nor disagree

Agree

Strongly Agree

According to the survey majority of the respondents agree that they

purchase Burberry Products because of the high quality. Burberry

Products are known for its high quality and long life.

Page 24: Investment in Manufacturing in the Uk Marketing Essay

3. I would purchase Burberry products even if they get more expensive

than now

Strongly Disagree

Disagree

Neither agree nor disagree

Agree

Strongly Agree

We can see from above that more than half of the respondents will still

buy burberry products even if the prices go higher. This shows that

burberry has a very strong preference by consumers. Less than half

respondents would want to switch to some other brand.

4. If the price of the Burberry product gets increased, how much would

you be willing to pay for it?

0%

1-5%

6-10%

11-20%

more than 20%

Strong Brand loyalty can be seen in the above survey question. Burberry

has a good hold in the market , its customers are willing to still purchase

the products even if the prices go up by 20 %. More than 40 out of 50

respondents will still purchase the product when the prices increase.

5. I normally buy Burberry products which have just been launched in the

market

Yes

No

Page 25: Investment in Manufacturing in the Uk Marketing Essay

According to the above survey respondents/customers like to keep up to

date with the trend and new products launched by burberry and

purchase it when something is launched by the brand.

6. I normally buy traditional Burberry products (classic products of

burberry e.g bags shirts overcoat sweaters etc )

Yes

No

As we can see that majority of the consumers like to buy traditional

products of the brand like shirts , overcoats , bags , sweaters etc

(Burberry Brit) other than Burberry designer wear (Burberry Prorsum)

7. I purchase Burberry products because it is status symbol

Strongly Disagree

Disagree

Neither agree nor disagree

Agree

Strongly Agree

Survey says that majority of the respondents buy burberry products with

keeping in mind that it will be a status symbol. Burberry is a brand which

shows status of a consumer because not all classes can afford burberry

products. It is for elite classes of the society

8. I want others to recognize that I am wearing a Burberry product

Strongly Disagree

Disagree

Neither agree nor disagree

Agree

Page 26: Investment in Manufacturing in the Uk Marketing Essay

Strongly Agree

According to this survey majority of the respondents neither agree or

disagree to the idea that they want it to be recognized easily that they

are wearing or carrying a burberry product, where as around 20

respondents do want others to see that they are wearing the brand

Please rate the following in terms of:

9. Quality:

Very low low high very high

Burberry

Dolce & Gabbana

Gucci

Prada

Burberry * Gucci Crosstabulation

Count

Gucci

Total

very low

low

high

Burberry

high

2

21

Page 27: Investment in Manufacturing in the Uk Marketing Essay

12

35

very high

8

7

0

15

Total

10

28

12

50

Burberry * DnG Crosstabulation

Count

DnG

Total

Low

high

Burberry

high

29

6

Page 28: Investment in Manufacturing in the Uk Marketing Essay

35

very high

13

2

15

Total

42

8

50

Burberry * Prada Crosstabulation

Count

Prada

Total

very low

low

high

Burberry

high

13

11

11

35

Page 29: Investment in Manufacturing in the Uk Marketing Essay

very high

9

2

4

15

Total

22

13

15

50

The above survey depicts that in terms of quality Prada , Burberry , D &

G then Gucci are preferred respectively. Burberry is known for its quality

in the market, people go for burberry products because of its high quality

products. Gucci is considered less in quality when compared with

Burberry.

11. Price:

Very low low high very high

Burberry

Dolce & Gabbana

Gucci

Prada

Burberry * DnG Crosstabulation

Count

Page 30: Investment in Manufacturing in the Uk Marketing Essay

DnG

Total

very low

low

high

very high

Burberry

very low

0

2

1

0

3

Low

1

6

0

1

8

High

8

9

Page 31: Investment in Manufacturing in the Uk Marketing Essay

4

1

22

very high

4

5

7

1

17

Total

13

22

12

3

50

Burberry * Gucci Crosstabulation

Count

Gucci

Total

low

high

very high

Page 32: Investment in Manufacturing in the Uk Marketing Essay

Burberry

very low

0

2

1

3

Low

0

5

3

8

High

4

13

5

22

very high

1

12

4

17

Total

Page 33: Investment in Manufacturing in the Uk Marketing Essay

5

32

13

50

Burberry * Prada Crosstabulation

Count

Prada

Total

low

high

very high

Burberry

very low

1

0

2

3

low

2

0

6

8

Page 34: Investment in Manufacturing in the Uk Marketing Essay

high

2

13

7

22

very high

3

5

9

17

Total

8

18

24

50

In terms of price Burberry is considered pretty expensive. D & G and

Gucci are considered less expensive brands and Prada is given the most

expensive. Burberry Products are stated expensive by the respondents

and think the prices of the products are a little too high. Recently

Burberry as revised its prices and made the products even more

expensive.

12. Fashion:

Very low low high very high

Burberry

Page 35: Investment in Manufacturing in the Uk Marketing Essay

Dolce & Gabbana

Gucci

Prada

Burberry * DnG Crosstabulation

Count

DnG

Total

very low

low

high

very high

Burberry

low

0

3

8

0

11

high

3

14

5

Page 36: Investment in Manufacturing in the Uk Marketing Essay

0

22

very high

0

7

8

2

17

Total

3

24

21

2

50

Burberry * Gucci Crosstabulation

Count

Gucci

Total

very low

low

high

very high

Page 37: Investment in Manufacturing in the Uk Marketing Essay

Burberry

low

4

1

6

0

11

high

5

15

2

0

22

very high

5

5

3

4

17

Total

14

21

Page 38: Investment in Manufacturing in the Uk Marketing Essay

11

4

50

Burberry * Prada Crosstabulation

Count

Prada

Total

very low

low

high

Burberry

low

6

3

2

11

high

7

12

3

22

very high

Page 39: Investment in Manufacturing in the Uk Marketing Essay

8

5

4

17

Total

21

20

9

50

In terms of fashion Burberry is a high fashionable brand as compared to

all three brands, followed by D and G. Gucci and Prada are considered

less fashionable, when asked why respondents stated that Gucci and

Prada are very based on more elegance and subtle. They are very plain

when it comes to fashion.

13. Exclusivity:

Very low low high very high

Burberry

Dolce & Gabbana

Gucci

Prada

Burberry * DnG Crosstabulation

Count

DnG

Page 40: Investment in Manufacturing in the Uk Marketing Essay

Total

very low

low

high

very high

Burberry

very low

1

0

0

0

1

low

3

5

3

0

11

high

2

6

5

Page 41: Investment in Manufacturing in the Uk Marketing Essay

2

15

very high

3

7

12

1

23

Total

9

18

20

3

50

Burberry * Gucci Crosstabulation

Count

Gucci

Total

very low

low

high

very high

Page 42: Investment in Manufacturing in the Uk Marketing Essay

Burberry

very low

0

0

1

0

1

low

3

3

5

0

11

high

3

10

0

2

15

very high

15

5

Page 43: Investment in Manufacturing in the Uk Marketing Essay

2

1

23

Total

21

18

8

3

50

Burberry * Prada Crosstabulation

Count

Prada

Total

very low

low

high

very high

Burberry

very low

0

0

0

Page 44: Investment in Manufacturing in the Uk Marketing Essay

1

1

low

2

8

0

1

11

high

1

8

6

0

15

very high

5

8

6

4

23

Total

8

Page 45: Investment in Manufacturing in the Uk Marketing Essay

24

12

6

50

In terms of exclusivity Burberry is considered an exclusive and trendy

brand. It keeps on launching new products time by time with new styles,

logo, pattern ,checks, fittings , colors, product line and range etc,

followed by Prada and then D & G. Gucci is considered less exclusive by

the respondents.

FINDINGS AND CONCLUSIONS

Burberry has a very strong brand loyalty. Customers would like to stick

to the product even if the prices increase

Burberry has an edge to its competitor brands in terms of quality, style,

status symbol, exclusivity

Customers think the price of Burberry products is high

Stock Prices of the Public limited company has risen up over time

Burberry is to expand its presence in India, a market in which the ultra-

rich are thriving because of a soaring stock market.

Burberry's revenue is expected to rise by around 27 per cent to $1.5

billion, with operating profit close to $300 million.

SUGGESTIONS

As having very close competition Burberry should decrease its prices so

as to increase sales and keep the grab on the existing markets

As Burberry has very strong brand loyalty it should diversify or introduce

a new product line ,example cosmetics, undergarments etc

Burberry should start selling expand its market, tap new markets.

Page 46: Investment in Manufacturing in the Uk Marketing Essay

it has already stores in 48 countries, it should focus on more intensive

distribution as the brand has acquired recognition and is acknowledged

globally. While Distribution It should license more arrangements like it

did with Japan.

As Emma Watson is a youth icon and the face of Burberry , it should

consider changing because It seems to a bit risky decision for Burberry

as she is bound to get a bit older.

Burberry should introduce a line which is cheaper(as Armani did by

introducing Armani exchange) so as to target all types of classes.