SEMESTER-VI
ELECTIVE II - A
APPAREL MARKETING
UNIT-I
Meaning and classification of Marketing ,fashion Marketing ,fashion Market – Size and structure, Marketing environment – Micro and macro marketing environment , Trends in marketing environment .
UNIT-II
Marketing Function – Assembling, standardization and Grading and packaging ,product planning and development ,importance of fashion products , Nature of fashion products. The fashion industry and new product development, product mix and range planning, Fashion and related cycles.
UNIT-III
Fashion Advertising and preparation of advertising for apparel market , Advertising media used in apparel market – Advantages and limitations, Advertising department – structure and functions , advertising agencies – structure and functions . Advertising Budget.
UNIT-IV
Fashion sales promotional programme for apparel marketing , communication in prop motion, Personal selling, point of purchase, sales promotion – Objectives and methods, Marketing Research – Definition, Scope and Process – Areas of research.
UNIT-V
Pricing policies and strategies for apparel products, importance of price policies , Functions and factors Influencing pricing- internal and external, pricing strategies for new products, methods of setting prices.
Apparel Marketing
Syllabus
Unit-1
Meaning & Classification of marketing, fashion marketing, fashion marketing – Size and structures, marketing environment-Micro and Macro environment, Trends in environment.
One Mark Questions
1. Market is a place for buying and selling for exchanging goods and
Services, usually for money.
2. Haute couture houses are the major fashion houses of the
world, run by recognized, internationally famous designers.
3. Mass market or street fashion is the market area in which most
people buy their clothes and the market is undergoing many changes.
4. The performance of business activities that direct the flow of goods
and services from producer to consumer or user in know as marketing.
5. Marketing is analyzing, organizing, planning and controlling of the firms
Customer-impinging resources, policies, activities, with a view to satisfying
the needs and wants of consumer groups.(Tue/false). True.
6. Factors which ideally are within companies’ control are to a greater or
lesser extent is known as micro environment.
7. Factors considered within the macro-environment affect not only the
company, but all the other members of its micro-environment, namely
its suppliers, consumers, etc.
8. The channels that help to get the goods from the manufacturer to the
consumer is known as marketing intermediaries.
9. Demographics is the study of changes in the size and make-up of the population.
10. Trends are relatively slow-moving changes in the marketplace that
can occur for a variety of reasons.
Short Answers
1. Size of the fashion Market:
All three levels of the market have shown some growth in domestic clothing
demand in recent years. Growth of the total UK market for clothing has grown by over 16% from 1994 to 2004 and retail sales for 2006 are predicted to be nearly 50 billion .UK imports now greatly exceed exports, having increased from £9.1 billion to £11.5 billion from 2001 to 2005 with the main traders being Hong Kong, China and Turkey. UK exports have remained steady at about £2.5 billion per annum over the same period with about 73% of this output going to other European countries.
As less UK manufactured clothes are sold in the home market the proportion of goods being exported is actually increasing. The figures become more complex as UK manufacturers are developing their own production facilities overseas to take advantage of lower wages and production costs .
UK trade in clothing (£ million), 2001–2005
Descripton
|
2001
|
2002
|
2003
|
2004
|
2005
|
Imports
|
9160
|
9806
|
10341
|
10884
|
11543
|
Exports
|
2592
|
2506
|
2713
|
2729
|
2679
|
Balance of Trade
|
-6568
|
-7300
|
-7628
|
-8155
|
-8864
|
% change year on year
|
|
11.1
|
4.5
|
6.9
|
8.9
|
Consumer spending on clothes
Consumer Expenditure at Current Prices in £ Million
Descripton
|
2000
|
2001
|
2002
|
2003
|
2004
|
2005
|
Clothig
|
31048
|
32103
|
33927
|
35689
|
37112
|
38067
|
Foot wear
|
4431
|
4719
|
5165
|
5466
|
5680
|
5661
|
Total
|
35479
|
36822
|
39092
|
41155
|
42792
|
43728
|
% change on year
|
-6.3
|
-3.8
|
-6.2
|
-5.3
|
-4.0
|
-2.2
|
2. The Development of the Fashion Market :
A market is a place for buying and selling, for exchanging goods and
Services, usually for money. The fashion market is unusual because
until early in the twentieth century it was almost solely the domain
of kings, queens, aristocrats and other important people. As will be
seen, great changes, mainly due to technology and increasing globalization,
mean that we now have a fashion marketplace open to everyone.
Fashion can be a reflection of the time; fashion also can be a reflection
of individuals. Clothes are often chosen to reflect among other factors our age, gender, lifestyle and personality. It is necessary for fashion marketers to be aware of the factors surrounding the market and develop a broad understanding of the issues that can affect the garments that are seen in any high street store.
Until relatively recently, fashion had always been elitist and was used
by its adopters to show that they were above the common people.
Due to cultural changes and the explosion of the media during the twentieth century.
The end of World War I, in 1918, really marked the start of mass fashion.
Style began to be influenced by the fashion designers of Paris,
Milan, New York and London.
In the 1930s film personalities and later pop stars all played their part in
spreading or even starting fashiontrends..
Technology played its part in advancing mass production methods,
so that from the 1930s onwards ordinary people could buy copies
of designer fashions from high street stores within weeks of the big
fashion shows.
The media started to become an important infl uence in the late
1970s. People became more selective in what suited them, and magazines
and books advised them on creating their own style.
The influence of royalty on fashion made a comeback with the
Princess of Wales in the 1980s as many women copied the lace and
ruffles which she wore.
1990s Increase in branded anddesigner label goods
2000 onwards Growth of electronicshopping
2002 onwards Increasing influx of cheapforeign manufactured clothing
Changes towards a healthier lifestyle advocated by the medical
profession and the increase in leisure time have encouraged people
to take up more sport, particularly jogging and aerobics. Membership
of health clubs and gyms has increased in recent years. So the clothing
from this and other activities has moved into everyday wear
3. Structure of Fashion Market :
Apart from technology, another reason why fashion is now available
to the masses is that there are several levels at which fashion clothing
functions,
Trickle down
-
-
|
Street fashion or
mass markets
|
Trickle up
Levels of fashion
Haute couture houses are the major fashion houses of the
world, run by recognized, internationally famous designers.
They show their collections at least twice a year and sell individual
garments for thousands of pounds.
Designer wear. Ready- to-wear clothing by designers
meant that they could offer their stylish designs and high quality to a wider audience. The garments are still highly priced, they are to be found
in the designers’ shops, independent stores and some of the
more exclusive department stores. Designs are not unique,
but are still produced in limited numbers and, although some
garments are produced abroad, there is very strict quality
control.
Mass market or street fashion is the market area in which most
people buy their clothes. This is one area of the market that is undergoing many changes .
This three-tier view of the market is perhaps over simplistic as there
are many strata and price levels between the ones mentioned. Many
customers do not stick to any one level when buying their clothes.
The more affluent will buy several haute couture outfits but
turn to designer wear for every day. Women who mostly buy designer
ready-to-wear may occasionally splash out on a couture dress
for a very special occasion. Those who generally only buy mass market
clothing may still buy designer wear occasionally, if only from
the discounted rail. In the early twenty-first century celebrity fashion
icons have moved to mixing their outfits with some designer pieces
and some from high street stores. At times it is difficult to identify
the origin of our clothing and to decide who has the power in
the marketplace. Is it the fibre and fabric industry that, after all,
make the cloth for the garments? Is it the designers? Or perhaps
the retailers are the power base in the market? Ultimately it should
be the customer, but traditionally the fashion market has been one
where the customer was dictated to and so merely followed along
almost blindly.
4. Fashion marketing Concept :
Two views of fashion marketing
Design centered
Marketing centered
1. Design centered
According to this the designers are the real force, and the marketer merely help to sell ideas to the public.
This view tends to have all marketing activity carried out by either public relations or advertising departments or agencies.
The customers are seen as people to be led or inspired by creative styling that is favourably promoted.
Creative styling can be accepted only by those, who are the more wealthy sections of society.
Research made upon that, who are thought to be at forefront of creative change. i.e. film directors, musicians, artists etc.
It depends upon ultimately on the skill and institution of the designer in consistently meeting the customer needs and consequently earning the profit.
Marketing centered :
In this view marketing is dominant and regards the designer as someone who must respond to the specifications of customer requirements as established by meeting research.
Detailed cost construction may be imposed and sample garments pretested by, for ex. retail sectors who may subsequently demand changes to meet their precise needs.
Research made upon the customer response, behaviour, market stability etc.
It depends upon ultimately on the skill and institution of the marketing manager in consistently meeting the customer needs and consequently earning the profit.
The Fashion marketing concept attempts to embrace the positive aspects of high concern for design, customers and profit by recognizing the interdependence of marketing and design. Marketing as applied to the fashion industry must appreciate the role of design. The vast output and profits from the fashion industry comes not only from the designer collections seen on the catwalk but also from the items sold in high street stores. The main concern for fashion marketers is, the design and sale of garments to the majority of the people or publics.
5. The Influence of Consumers on Fashion marketing:
Consumers
Once fashion was dictated to consumers and there was little choice
but to accept what was on offer. The tables are beginning to turn and the consumer has more power to accept or reject fashions. Recognizing this, clothing producers are researching the market more to see what will be acceptable before filling the stores with goods that just end up being discounted at sale time. Consumers of all descriptions are more fashion educated and consequently more fashion conscious. They are demanding products that are designed to perform in special ways. Most want to express their personalities through their appearance and therefore their choice of clothing. The increasing numbers of working women want garments designed for their particular needs. They understand fashion cycles and they know when a style has become tired. Manufacturers must constantly research and develop new fibres, fabrics and uses for these to keep up with the consumer’s higher level of ability to select from the vast choices on offer. However, there are other changes in the marketplace affecting consumers’ attitudes, values and priorities. They are suffering some degree of fashion fatigue. For some the desire to acquire is more muted and rather than spending their income on fashion clothing they prefer to choose from a much wider range of products, services and leisure pursuits. In the past, fashion styles, types of garments and advertising were all deeply influenced and directed by the interests and needs of the young consumer. Now that the increasing numbers of older consumers are becoming a market to be reckoned with, things must change or opportunities will be lost. The trend is towards people dressing more to please themselves. They won’t be dictated to. People are more self-reliant and cautious and careful for their individuality. They are putting more emphasis on self. So marketer should analyze the consumer behaviour to enhace their market position as well as their relationship with the consumer to maximize their profit.
6.Trends in Marketing Environment:
Trends are relatively slow-moving changes in the marketplace that can occur for a variety of reasons, and businesses ignore them at their peril. Sometimes trends are business led and sometimes consumers lead the way. General fashions can change very quickly and go from one extreme to another whereas trends in clothing fashion tend to be slower and build upon themselves rather than ignore what went before.
Styles and consumer preferences
Consumers still demand fashion, but they are requiring more understated styles that combine realism, comfort and practicality.Changing work and lifestyles, with more time for leisure pursuits, are speeding the change from formal wear to a more casual look and sportswear. There is an increasing blur of divisions between active wear and fashion. Sometimes the sports store and boutique seem to be carrying almost the same merchandise. The explosion in sportswear sales has been accompanied by a
sharp rise in demand for other casual garments. Demand for womenswear is as crucial as ever to the health of the
domestic clothing market. These changes and the long-term weather pattern are encouraging lighter weight clothing and trans-seasonal clothes, where many people
no longer have a winter and summer wardrobe, but use the same clothes year-round. There are two distinct shifts in clothes labelling. Many manufacturers are continuing to manufacture or source under their own brand, such as Dorothy Perkins, Next or Karen Millen. Other stores are using and promoting the clothing designers themselves or bringing in strong brand names, particularly in the area of sports clothing. Some of these issues concerning taste preferences and seasonal aspects are developed further in Chapter Six in the context of product development.
Manufacturing
Retailers are increasingly under pressure to carry less stock in the interests of greater efficiency, and to offer the customer more choice, more often. This means that suppliers are required to deliver shorter runs of merchandise more frequently than in the past. Too many manufacturers have also been taking a back seat and
relying on retailers to keep them in touch with customers’ demands. In the future the most successful manufacturers will be those who invest in market research, design and technology.
Trends in fibres and fabrics
Performance and versatility are becoming increasingly important. Customers are beginning to seek out specially engineered high-tech, high-performance fibres and fabrics such as Lycra and the tactile fabrics and ask for them by name. They are looking for fabrics to fulfil not only a fashion or style function, but also a clearly defined performance need. Polyester and cotton are still the most widely used fibres, either on their own or as the dominant (50% or more) fibre in a blend; however,
natural fibres are still more popular, and it is expected that their use, often for reasons of cost and handling properties, will rise further. Polyester is gradually losing ground and more cotton-rich blends are being used. Wool is still popular but for cost reasons it is again bought more as a blend than a pure fabric. The main area of development in fabrics is still in blending stretch Elastane yarns. They are being applied to a much wider range of fabrics either for fashion effect in body-hugging styling or for comfort and recovery in outerwear and tailoring. Microfibres such as superfine polyesters and polyamides in new forms and applications, especially in blends with other fibres and knitwear, are likely to remain the main area of interest for some time to come. Changes in the pattern of shopping Despite current government policy to limit the increase in out-oftown developments, the trend is towards large drive to shopping malls and complexes. This shopping trend is supplemented by the growth in catalogues and may be joined by a move towards electronic shopping. moving the other way, demanding more quality and styling from retailers whilst still keeping prices low. . In terms of clothing people are growing older later and there will be opportunities for producers and retailers who can meet the demand from older and more discerning customers who are looking for the current fashion styling in their clothing but adapted more closely to their needs such as better quality, more comfortable styling and well-informed friendly service. . The market is not changing very much in overall size but there will be major emographic growth in certain areas. Age bands offering significant scope for sales are among the young adults (20–24) and 45–54 year olds. . There is an increasing interest in esigner labels resulting in more diffused lines and more mixing of labels and clothing at very different price points. . Garments manufactured overseas are dominating the UK High Street. To compete the UK has to offer a quick response, meaning low stock levels for the retailer, especially as the seasons become less distinct and retailers want to offer more frequent seasonal ranges. Customers are choosing to buy their clothes from wherever suits them best, be it high street stores, out of town shopping
malls, supermarkets, catalogues or via the Internet. . Fashion is moving into an era where marketing techniques will be more influential than ever before. Clothing producers need to be far more aware of consumer needs. To a large extent fashion still leads, but consumers are beginning to exert more leverage in the issue. No longer will they merely wear what is dictated to them. The customer is becoming king.
The Fashion Market and the Marketing Environment
Introduction
The development of the fashion market
Origins of the modern fashion market
Designers could no longer dictate the styles as they had up to the 1960s. ‘Street
fashion’ styles, developed by young people themselves in towns and cities, also affected designer clothes. London was at the forefront of the fashion scene in the 1960s and early 1970s. Mary Quant was in her heyday and her clothing was famous the world over. It was the time of Carnaby Street, and Biba made famous by Barbara Hulanicki. While not the first to introduce lifestyle segmentation to the market, George Davies, then chief executive of the Next chain, is undoubtedly the best known. His retailing phenomenon, targeting a particular age and lifestyle group, exploded onto the marketplace and had many other high street retailers following suit.
The future for the fashion industry is mapped out, perhaps more than
at any time in its history. Influences from the demographic structure, concern for the environment and further adoption of new technologies are all inevitable. These factors could stifle designers if they are not careful or could offer them greater challenges than any they have had to face so far.
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