session 9 apparel product design and...

Session 9

Apparel product design and development

1

Institute of Textiles and Clothing 2

What is a New Product?R&D people see a product as

A set of new physical properties.A new way of assembly.A set of objective performance standards.

Production people see it asA new process.A results of controlling cost and effort.

Marketing people see it asHow you convince people to use itHow much you can afford to gamble on it.What other products it will compete with.


Give Examples

A technical success but a marketing failure

E.g. ..Bioform braTechnical improvement overcomes a marketing inadequacy

E.g. ..M&S apparelAn advertising concept overcome a technical defect

E.g. ..Super-warm thermal underwear


Success FactorsAbility to serve customersAbility to produceAbility to sellAbility to earn profit

Right quality + time + cost


Balance Between Design and Market

Market

Aesthetics

functionprice

creativitytechnique

cost

Design


Product Development Process1. Trend analysis

Trend of life styleTheme of seasonal linesMarket surveyAnalysis of existing products and competitorsTrends of materials, colour & technology Material sourcing & development

2. DesignLines, forms, colour, materials, story board

3. SamplingBody measurements, pattern, garment sampleBill of materials, direct labour cost, overhead, mark upFitting test, wear trial, amendments & optimization


Product Development Process4. Buying & marketing

Image packaging, promotion, product line schedulingMaterial specification, production specification, sourcing for production

5. Productioncolourway, size assortment & quantity, size chart, approved pattern, material card & production cost

6. Shipping7. Selling & Distribution


Product Development Calendar 2005

Source: http://google.brand.edgar- online.com/EFX_dll/EDGARpro.dll?FetchFilingHTML 1?SessionID=NhOiCmmKL9RZ_MA&ID=5108226


Product Development Calendar 2008

Source: http://google.brand.edgar- online.com/EFX_dll/EDGARpro.dll?FetchFilingHTML 1?SessionID=NhOiCmmKL9RZ_MA&ID=5108226


Assignment 1 - Brainstorming

By what ways the product development processes can be reduced in time and cost?


Product Life Cycle (PLC)

1. Product introduction2. Product growth3. Market maturity4. Sales decline


1. Product Introduction Stage e.g. Dr. Kong shoes

Low sales volumeSlow sales growth High cost on product development and promotionNo or little competition New demand to be created Customers are prompted to try the product


Introduction Stage –

Marketing Strategies

Rapid skimming

Build product awareness by careful pricing and promotion.

SlowskimmingP

rom

otion lev

el

Price level

Rapid penetration

Slow penetration


2. Product Growth Stage e.g. One-piece bra

Growing market acceptance Substantial profitsCompetitors start entering the market and copy the best selling product.Much product varietyCosts reduced by economy of scale Sales rise significantly High profitability


Growth Stage - Marketing StrategiesSustain rapid market growth as long as possible, by

improving product qualityAdding new product featuresEntering new market segmentsRecognizing new distribution channelsAdvertising to bring product conviction and purchaseDeciding when to lower the prices to attract the next layer of price-sensitive buyers into the market


3. Market Maturity Stage

e.g. 5-pocket jeansSales reach the peak and slow down in growthMany competitorsPromotion becomes important to fight for market sharePromotion cost rises and profits declines Price war with competing products Products differ only slightly


Maturity Stage - Marketing StrategiesMarket modification

Look for new markets and segmentsStimulate increased usage by present customersReposition the brand

Product modificationBetter or new functional performance e.g. durability, reliability, speed and taste etc.New features e.g. versatility, safety or convenienceImproved style e.g. aesthetic appeal

Marketing mix modificationCut price to attract new users and competitor’s customersAggressive promotion – trade show, gifts etc.Move into higher volume channels e.g. superstoreOffer new and improved service


4. Sales Decline Stage e.g. Washable silk

Sales show a strong downward driftPrice diminishProfit erodeNew products replace the old Price competition from dying products may become more vigorous.


Decline Stage - Marketing StrategiesContinue

The same market segments, channels, pricing and promotion

ConcentrateOnly in the strongest markets and channels while phasing out its efforts elsewhere

HarvestSharply reduce its expenses to increase current profits

DropDrop the product completely, quickly or slowlySell or transfer the product to someone elseJust maintain parts inventory and services


Uses of PLCAs a planning tool

To realize the market situation of each stage and indicate the alternative marketing strategies over the product life cycle

As a control toolTo allow the managers to gauge how well a product is doing in relation to the successful and comparable products launched before

As a forecasting toolTo help the marketers to predict the product life cycle and project the sales pattern based on historical data, so as to adjust the marketing plan accordingly.

e.g. Apparel industry has developed quick response system to adopt the short fashion cycle.


Limitations of PLCDifficult to judge with accuracy the exact location of a product in its PLC.Difficult to predict when the next stage will appear, how long it will last and to what levels the sales will reach.The 4 stages do not divide themselves into clean-cut compartments.Various products have different PLC.Some products may have several growth and maturity stages in the whole PLC.PLC is a product-based picture rather than a overall market-oriented picture.


Assignment 2 –

Group DiscussionEvery product has a life cycle. After it is launched, it grows, becomes mature and at some point may die.

Is the statement always true? Provide examples of apparel products to support your argument.


Life Style & Consumer NeedsUSA

Digital lifeFast foodDisposable productTravel on airSuper storeBlack is fashionSimple designSmart casualBrand identity

FranceRomantic lifeTable mannerStylish productTravel on roadBoutiqueMany coloursElegant designBlack tieSelf-image


Assignment 3 –

Set QuestionsSet a questionnaire for a consumer survey onShanghai ladies’ shopping behavior of executivewear.

How often?Where?With whom?Price?Quantity?Criteria?Lifestyle?


Product Innovation TrendsTextile Technology

Fiber - thermal & moisture comfortYarn - stretch, fancyFabric – light weight, soft but strongDyeing & finishing – environmental friendly, nano scale

Production TechnologySeamless – ultrasound / hot seamingGarment finish


Product Technical AnalysisFabricAccessoriesWorkmanshipSize and fit Functional performance


Reading List1. Johnson M. J. and Moore E. C., Apparel Product

Development, 2nd Edition, Upper Saddle River, N.J., Prentice Hall, 2001.

2. Keiser S. J. and Garner M.B., Beyond Design: The Synergy of Apparel Product Development, New York : Fairchild Publications, 2008.

3. Johnson M. J., So you want to work in the fashion business? : a practical look at apparel product development and global manufacturing Upper Saddle River, N.J., Prentice Hall, 1998.

4. Regan C. L., Apparel product design and merchandising strategies, Upper Saddle River, N.J., Pearson/Prentice Hall, 2008.

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