...Brand Name Products vs. Store Name Products Consumers in the market pay higher prices for brand name products than they do for store name products that don’t carry an established brand name. Because individuals are willing to pay extra for what some consider an identical product that’s been advertised and promoted, brand name products may appear to be economically wasteful. However, brand name products serve a pivotal role within the economy. Not only do brand name products emphasize the idea that incentives matter but they also provide consumer efficiency within the market. Without the existence of brand name products, consumers can neither punish companies that supply low quality products by ceasing their purchases nor reward companies that supply high quality products by increasing their purchases. Consequently, if all brand name products were eliminated, unidentified producers manufacturing indistinguishable products would have an incentive to supply low quality goods. Consumer reliance on brand name products gives companies the incentive to supply high quality products because they can take advantage of superior past performance to charge higher prices. The price premium paid for brand name products facilitates market exchange. A company that creates an established brand for which it can charge higher prices knows that if it supplies poor products and its future demand declines, it will eventually lose income and the market value of the company’s brand name would depreciate...
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...Do generic products really save you money? With the price of living getting higher and higher as very year passes, people are looking for alternative ways to save money. The main reason for buying generic products, saving money, is simple enough. But there's also the satisfaction of not giving in to the marketing hype and buying something just because a company promotes it everywhere. The generic labels may not be as fancy as the brand-name products, and the taste of generic items, such as soda, may not appeal to you depending on your taste buds, but it's worth trying generic brands to see if you like them. The savings can add up over a lifetime, as a savings calculator can quickly show you. And if the savings isn't enough, or the brand name is much better than the generic, you can always go back to the branded product. You can even buy popular brands from the past. But remember the power of brands. Since the same manufacturer of a brand-name product often makes the generic product with the same ingredients, what the company selling the branded item is selling is the perception of something better. Consumers don't buy generic products because they think it makes them look bad, said Jason Gurwin, CEO of Pushpins, a mobile coupon company. Over-the-counter medications.Since the Food and Drug Administration requires generic medications to have the same active ingredients as the patented medications they replace, over-the-counter medications are the best way to save money by...
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...Strengths: * Brand Value/ Customer Loyalty – Victoria’s (VS) Secret has been described in one Business Insider article as, “the most popular apparel brand in the world”(Lutz, 2013). This may not be the case, but there certainly seems to be buzz surrounding the brand. Victoria’s Secrect, La Senza (Canada), and Pink are the three leading brands in the global lingerie market (Limited Brands Inc., 2013). VS managed to retain its customers and turn out an increased gross profit in spite of higher costs of production they faced last year, specifically for cotton, which may be a testament to the value of their brand (Euromonitor International, 2013). * Marketing through Social Media– While VS spends a lot on marketing, they increase their return on investment (ROI) by using such platforms as Facebook, Twitter, and Pinterest, to redirect traffic to their main website – one strategy to encourage online consumer behavior (Euromonitor International, 2013; Jane, 2012). Currently, VS ranks as the second most popular retail brand on Facebook, having over 24 million fans to date (Facebook Inc., 2014). As well, customers with the VS credit card can gain “social points” by connecting their Angel Cards with their social media accounts and sharing Victoria’s Secret news (Victoria’s Secret Inc., 2014). * Sales - Last fiscal year, VS generated US $1.5 billion through its online channel of distribution alone, amassing US $4.0 billion total from all of its distribution channels (Euromonitor...
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...Secret I do like the PINK brand and the merchandise it offers, but as a mother of two young girls ( 9 and 11 years) I don't agree that young girls (tweens) should be exposed to the VS's PINK brand. Even though the brand is very appealing and advertised as cute and playful I believe that some of the merchandise are very explicit and too sexy for tweens. There are many items in the PINK brand that younger girls can wear but some are more appropriate for adult women. The company classifies the brand as "loungewear" that is young, hip and casual. There are quite a few items, especially panties that are definitely not casual. They are made of lace and barely have any material that covers the body. They look very controversial. Some panties also have wording that various customers may interpret differently, wording such as "tonight's the Night" on front of the panties, or "Have Fun" on the back of the panties. The PINK merchandise shown on the VS website and in the catalogs is advertised by younger models that are posing very sexy and revealing. Their looks are not for young girls to look at. The young customers will look up to the models and try to look like them and that's not right as the tween girls are too young to be exposed to such a provocative advertising (victoriassecret.com). These types of merchandise are definitely not for young girls. I do agree that the brand should be geared toward 18-30 year old women. At that age the woman understands the products she purchases and can...
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...The importance of corporate brand personality traits to a successful 21st century business Received (in revised form): 22nd April, 2006 KEVIN LANE KELLER is the EB Osborn Professor of Marketing at Tuck School of Business, Dartmouth College. Keller has served as brand confidant to marketers for some of the world’s most successful brands, including Disney, Ford, Intel, Levi Strauss, Nike, Accenture and Starbucks. He wrote the textbook Strategic Brand Management: Building, Measuring and Managing Brand Equity and co-authored with Philip Kotler the textbook Marketing Management. KEITH RICHEY is an independent consultant working in New York. He holds a joint Master’s degree in Global Media and Communication from the University of Southern California and the London School of Economics. Keywords corporate branding; corporate image; corporate values; brand personality; brand personality traits; corporate brand personality Abstract Brand personality has been defined as the human characteristics or traits that can be attributed to a brand. Corporate brand personality is a form of brand personality specific to a corporate brand. Unlike a product brand personality that typically relates to consumers and user imagery for a specific product brand, a corporate brand personality can be defined in terms of the human characteristics or traits of the employees of the corporation as a whole. A corporate brand personality will reflect the values, words, and actions of all employees of the...
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...Group Assignment Cover Sheet UNIQLO, one of the oldest clothing brands in Japan, is a Japanese causal wear designer, manufacturer and retailer. It was founded in 1984 and has over 100 stores operating throughout Japan by April 1994. Moreover, there are 750 stores in Japan and other place in the world currently, such as Australia, China and the United States etc (Uniqlo: Our Story http://www.uniqlo.com/au/corp/ourstory.html). This easy will focus on how UNIQLO create value for consumers in terms of its core competences and value chain. The value propositions that , aligned to its value delivery system, are the sources of values are delivered to customer. The company creates brand value for consumers in the organization by both products and markets diversifications. The core competences of UNIQLO are low-cost and high quality, which secures a competitive advantage in global market. The benefit resulted from low-cost is generating reasonable prices of casual clothes for customers and the high quality transferred high customer utility immediately. ‘UNIQLO is aiming to added new value in clothes design and function, therefore, customers will purchase new clothes’, according to Naoki Otoma, senior Vice President and COO of UNIQLO (Petro, ‘The Future of Fashion Retailing: Part 1 – Uniqlo’, 2013). The Porter’s Value Chain assists the value creation in the organization through cost reduction or differentiation. UNIQLO’s large –format store strategy is adopted by changing shopping...
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... pg. 3 Pepsi vs. Coke pg. 4 Pepsi vs. Dr. Pepper pg. 6 Pepsi vs. Kraft pg. 9 Recommendation and Conclusion pg. 11 Appendix pg. 12 Executive Summary PepsiCo, Inc is the result of a merger between Pepsi-Cola and Frito-Lay. Pepsi-Cola was originated by a pharmacist, Caleb Bradham, in the late 1890's; Frito-Lay was established in 1961 by a merger between the Frito Company and the H.W Lay company. The major products of PepsiCo, Inc include, but are not limited to, Pepsi-Cola (est. 1898), Diet Pepsi (est. 1964) and Mountain Dew (est. 1948). PepsiCo boasts several global brands including, Pepsi, Quaker Oats, Gatorade, Lays, and Tropicana. A vast portfolio allows PepsiCo to provide more choices for customers, and drive lower costs, productivity enhancements and new capabilities. Their products are available globally and the portfolio includes 22 brands that generates more than $1 billion in estimated annual retail sales each. PepsiCo...
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...sufficient value? Are there conflicts? Context Trends: Economy, Industry, Culture, Technology Government Role & Regulations Creating Value Market Segmentation Geographic (nations, regions, cities) Demographic (age, family size, occupation, education, gender, income) Psychographic (lifestyle, personality, values) Behavioral (product knowledge, usage, loyalty, attitude, benefits) Target Market Selection Customer Attractiveness of Segment to the Company Size, Growth, Profitability Accessible, Identifiable, Actionable Addressable, Credible Sustainable Attractiveness of Company to Segment Interested in what we have to offer Product/Service match their needs/wants/goals Company Operation: Can deliver product/service reliably Marketing: Can carry out marketing plan credibly Competitors Not serving the segment adequately or not in position to serve them Can not retain customers if company targets them Product Positioning Focus on Target Customer Define Most Important Claim Define Reason for superiority over Competition Capturing Value Product Adoption of new product/service (Roger's Five Factors or ABCD's of Adoption) Added Value (Degree to which it is better than alternative vs. Cost) Behavior Change (How much...
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...Technology Fluidity Exposure to international trends Challenges Human resource Technology logistics Market Information and Presence Investments Overview of Retailing in India The Indian Retail market is estimated to be worth around Rs. 14,100 billion. The organized retail market has increased its share from 3 % in 2004 to around 4 % in 2006 and is valued at Rs. 511 billion (source: India Retail Report 2007). Food and grocery is estimated to be the largest single block, but the contribution of the organized sector is at 0.8 %. The clothing, textile and fashion accessories constitute the second largest block where nearly 17.5 % is contributed by the organized sector. Footwear has the highest contribution from organized retail (36 %). VS Page 2 Organized Retail Formats of shoppers stop and Westside:...
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...highly sexualized nature they have been using for advertising Situation Analysis How American Apparel is going to take the brand from where they are at and move forward with it, either by changing their ways or staying the same. Internal Environment The resources American Apparel has available to them internally come from hiring young people for design and advertising to help them better reach their targeted market, and come up with the advertisements and style of clothing. The overall organizational goals are to offer a sustainable, high quality clothing product that appeals to young urbanite individuals who are likely to be loyal to their brand, and advertise it just by wearing it and making it popular. External environment Five Forces Influence the industry as a whole and determine the conduct of the firms within the industry and also determines profitability Competitive intensity-High Part of the reason American Apparel wants to change in order to build a lasting brand and to make a turnaround is due to the competitive intensity within the clothing industry. Competitive intensity reduces profitability because the more strongly firms are competing, the more likely they are to cut their prices. This intensity increases when there are numerous balanced competitors, slow growth, high fixed costs, lack of perceived difference between products offered by competitors, lack of switching costs. The clothing industry is highly competitive and what sets American Apparel apart...
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...Brands that Inspire, Empower and Indulge 2 Fortune: #258 Sales: $10.5 billion Mkt Cap: $15 billion 3 A Queen A Stanford MBA The Golden Bridge ? 4 Key Facts L Brands was founded in 1963 as a specialty retailer of and other apparel. It offers lingerie, fragrances, cosmetics, shower gels, lotions, soaps, sanitizers, accessories, and operates more than 2,600 retail stores Bath & Body Works outlets in North America was founded by a Stanford MBA, Ray Raymond, in 1977 because he felt embarrassed buying lingerie for his wife at department stores The name is based on Queen Victoria of England who had nine children and was believed to have worn sexy lingerie Raymond sold the company to L Brands in 1982 for $1 million and filed for bankruptcy after several failed start-ups. He jumped to his death from the Golden Gate Bridge in 1993 $2 billion in sales, thanks in large part to its catalogue, models and focus on women, making lingerie not only functional but desirable 5 Organization: A Culture of Pink HQ in Columbus, OH Employees: 90,000 Wexner CEO for 50 years O L Brands CEO: Mr. Leslie Wexner E S MAST Global Logistics LLS Logistics Bath & Body Works CEO: Ms. Sharon Jester CEO: Mr. Nicholas Coe VS Pink CEO:Ms. Denise Landmn La Senza CEO: n/a Henri Bendel CEO: n/a VS. Stores CEO: Ms. Lori Greeley Brands with high emotional content Corp values: care for the customer, passion and diversity In transition due to recent...
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...secrets prominence in the fashion world, has been deemed as a womans dream brand, serving as the yardstick of what is palatable for most of the women nowadays. Victorias Secrets collections consist of barely-there pieces that push up our assets and enhance our beauty. From lacy, racy little numbers that will have the men drooling to cute, feminine combinations that are comfortable and flirty, Victoria's Secret has something for every type of person and personal preference. The Victoria's Secret label encourages women to show off their bodies. They do this by designing amazing pieces that show off what we like about our bodies and hide what we don't. What would we do without a label like this? This is my contribution to introduce a women's dream brand in India where individuals are increasingly considering good dressing, Victoria makes a difference. BRAND HERITAGE Ronald Raymond had an idea to make lingerie shopping a more “personalized” experience. He came up with this concept after having a bad lingerie shopping experience in a dept. store Raymond's store in Stanford Shopping Mall had wood-paneled walls, Victorian details and helpful sales staff. He stressed personalization above all else. The original “Victoria” was imagined to be a sophisticated, elegant, and well-traveled English woman who preferred luxurious items. VS still uses Raymond's concept of personalization and describes the brand as sophisticated and elegant. CORE VALUES The customer rules!: Fulfilling...
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...Report Outline 01. Introduction 03. An Overview of Nike 04. What is Perception? 05. Perceptual Mapping 06. Tabulated Survey Results 07. Findings 01. Introduction c/b 1.2 Origin of Report The report has been prepared for Mr. Junaid Khan, faculty at School of Business in North South University as a requirement of MKT344 course. This report is compulsory for students majoring in marketing. 1.3 Report Objectives We had the following objectives while writing the report (a). Investigate consumers perception on Nike shoes. (b). Identify underlying causes of perception. (c). Positioning of Nike in consumers mind. (d). Draw a perceptual mapping of Nike compared with other brands. (e). Analysis of respondents perception in terms of social class. 1.4 Limitations We had faced many obstacles in carrying out a successful survey. Some of the limitations faced were as (a). The survey sample was a negligible amount, that was 50 persons to obtain accurate answer. (b). The next problem was in assessing the true income level of respondents as people were not eager to disclose their true income. Surprisingly two respondents filled out the income level after making personal request. (c). The survey was carried out only in a porsche area of Dhaka city i.e. – in Banani not leaving a huge number of respondents outside the survey. 03. An overview of Nike 3.1 The Company “If you have a body, you are an athlete,” this was the saying of Bill Bowerman;...
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...getting your message out to the public. This is mainly done through Advertising in the form of radio, newspapers, magazines, billboards, television, on line promotions and moving media such as vehicles and agents. Among all these forms, the best and prevalent way of Advertising a product or a service is through the Television. It is said to be the most expensive yet most effective way of introducing the product in the market place to be known by the people. With Television, anyone who will be viewers of a TV channel can see and notice the product get endorsed. Moreover, certain high rating program affects product familiarity to viewers and customers because it is associated with appealing celebrities which can induce its desirability to the market place. It is said that: Advertising needs to stop consumers and hold their attention in likable ways: “Where the eyes stops, the sale begins.” In the study, it is associated with a high rating TV program of ABS – CBN, ASAP 18 which is watched every Sunday noon to afternoon by the teenagers to tell how the celebrities pass their popularity to the product which will give its recognition and positive image. Advertising in these kind of program is like selling the product at every home of the TV viewers...
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...objectives • Retailers need to be in touch with and anticipate what customers want to buy (sensitive to changes in the market trend) but are also able to analyze sales data continually and make appropriate adjustments in prices and the inventory level Develop an assortment plan Determine appropriate inventory level & product availability Buy merchandise Monitor & evaluate performance & make adjustment Forecast category sales Allocate merchandise for stores Develop a plan for managing inventory Have to balance the interests of both vendors, retailers, customers Merchandise Management • A merchandise category is an assortment of items that customers see as substitutes for one another (the depth of merchandise) – different favors, tastes & brand names of the same product (beverages) – vendors & retailers may define their own categories different in functions or product attributes and consumer behaviors – shampoos vs. conditioners (personal care products), paper towels (paper products) vs. detergents (cleaning aids) (manufacturers vs. retailers) – supermarkets tend to manage category by brands; a buyer for each brand (good for stocking, distribution & promotion but less efficiencies & may result a wastage due to overlook the interdependencies between SKUs) – department stores manage merchandise by categories; a buyer oversees all merchandising activities for one single category – category management...
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