1.0 Introduction

Burberry was founded in 1856 by Thomas Burberry，which is England's luxury brand. Burberry’s classic plaid (Figure 1) and the prorsum knight icon (Figure 2) are Burberry’s symbol. Burberry’s continuity product - trench coat (Figure 3) has a long Product Life Cycle and seasonal products are mainly reflecting the season's popular style trends (Moore & Birtwistle, 2004). Burberry products are divided into three categories, which are Burberry Prorsum, Burberry London, Thomas Burberry and Burberry blue and black label (Figure 4). Burberry gained customer loyalty and target profits through the use of different price range to meet its consumers’ needs.

2.0 Success of Burberry
Burberry can be said to be successful by their outstanding financial performance. Burberry’s annual review 2012-2013 (2013) states that Burberry has opened 25 new stores from 2012 to 2013, 19 stores out of 25 were in emerging markets such as Hong Kong. The revenue has decreased by 15%. However, the retail and wholesale gross profit margin and net profit margin has increased to 70.6% and 17.8% respectively, which shows persistent improvements over the past 5 years (Figure 5).

3.0 Marketing Strategy

Phan et al (2011) showed that Digital Marketing is Burberry’s core marketing strategy, which involves the interactive publicity, digital interactive fashion shows. Burberry used 60% of its marketing budgets on digital technology and started digital marketing since 2009. The photo-sharing site "Art of the Trench" created a credible customer reputation (Figure 6). Burberry launched its official website in 45 countries using six different languages. Burberry has over 15 million fans on Facebook and more than 1,970,000 Twitter followers. The excellent records in Burberry’s annual report, can also prove the success of applying digital marketing strategy.

4.0 Distribution

Burberry’s retail chains comprise four different formats: Flagship store, Retail stores, over the Counter in department stores and Factory store (Moore & Birtwistle, 2004). Burberry’s flagship in Beijing is the biggest Burberry digital flagship store in the world. Members of staff use Ipads as shopping guides, the flagship also has touch screens that allows customers to appreciate products, fashion shows and entertainment activities (Figure 7) (Phan et al, 2011). It shows that through social media, Burberry has maximized its brand awareness.

5.0 Middle-Class

As a result of the rising consumer demand and the influx of international luxury brands, the luxury brand industry is growing rapidly in China and Brazil.

Burberry sales in China contributed 30% of its global market; this is the fastest growing region in recent years.

With the growing consumer appetite for luxury as a product of the country’s rising middle class, this market has recently increased by 40 million people. (University of Hertfordshire, 2013) Burberry is constantly developing its middle class market, which is a positive way to improve their profitability.

6.0 Competition

LV and Gucci where the first to introduce luxury products to china. However, their brand value declined due to piracy as a result of this, they have been abandoned by high-end consumers. Compared to their competitors, Burberry focuses on maintaining the uniqueness of the brand by encouraging innovation of their core product: Trench coat; repositioning the target group, changing the sales model and use of social media.

7.0 Conclusion

Burberry’s success can be credited to its innovation team and its efficient digital marketing strategy. It intends to attract Asia’s middle-class in order to maximize profit.