Fashion Marketing FAS 223

1. Fashion MarketingFAS 223 American Intercontinental University Professor Kerry Szymanski, MBA November 3, 2004

2. Agenda • Review Chapter 6 • SWOT • Four P’s of Marketing

3. Chapter 6 • What are color stories?

4. Chapter 6 • What is retro fashion? • What does Chinoiserie mean?

5. Chapter 6 • Define Market Niche

6. Chapter 6 • Who is involved in planning the line?

7. Chapter 6 • What factors does the design team look at when creating a new line? • Define Sell Through

8. Chapter 6 • What are colorways? • How are colorways decided?

9. Chapter 6 • What are some factors involved in costing? • Define Pricing Average • What is Target Costing (later this will be referred to a market based pricing)

10. Chapter 6 • What is a line-for-line copy? • How can a designer copy a garment from a higher price zone and sell it in a lower price zone?

11. Chapter 6 • What is a tech drawing? • What is CAD?

12. Chapter 6 • Discuss the pros/cons of draping v. drawing

13. Chapter 6 • Name some components of a Spec Sheet? • What components are contained in a style number?

14. SWOT • Strength • Weakness • Opportunity • Threat Class assignment:What are the strengths, weaknesses, opportunities & threats for The Gap?

15. Parts of the Marketing Plan • Business Concept • Target Market • Market Potential • Competition • Product • Pricing • Place (Distribution Channels) • Promotion

16. 4 P’s of Marketing Product Place Price Promotion

17. Product • Describe in detail the product or service that you’re selling. • Describe each of the products in your line. • If you’re promoting a service, explain the details about the service. • Talk about the evolution/seasonal changes for your product line • How does your product fit into your market niche?

18. Price • How do you want to set your pricing strategy?

19. Price • Market-driven pricing strategy • Cost-plus pricing

20. Place Choosing the right channel: • Wholesale • Internet • Retail • Other

21. Place - Wholesale • Opportunity to test your product in small quantities • Test products via consignment • Pros: Excellent opportunity to test and reap profits via large volume (economies of scale) • Cons: Large investment, Product line may not sell-through

22. Place - Retail • Opportunity to introduce your product directly to the customer • One of the best forms of advertising – storefront • Strong form of brand building • Pros: Great margins, customer feedback • Cons: Large investment, monthly expenses • Critical Factor: Location, Location, Location

23. Place - Internet • Excellent multi-channel opportunity • Pros: - Easy to set up site • - 24 hour sales representative • Cons: - Competition • - Large marketing budget required • Critical Factor: Large marketing investment required

24. Place - Other • Network Marketing • Direct Mail and Catalogs • Direct TV: QVC

25. Promotion • Advertising: • Newspapers, billboards, magazines, television commercials, direct mail, yellow pages, internet ads, key words, search engine placement, affiliate marketing, etc • Public Relations: • Press Releases, non-profit donations, spokes person, strategic affiliations

26. Promotion • What is your marketing budget? • How are you going to allocate your funds across the calendar year? Are you going to have any seasonal promotions? • What are your expected returns? How are you going to measure the success of your promotions?

27. Promotion • Acquisition v. Retention Strategies • How are you going to acquire new customers? What marketing vehicles are you going to use? • How are you going to retain your existing customers? Will you develop a loyalty program? Describe one acquisition and retention strategy used by a retailer or manufacturer

28. Homework • Read Chapter 7 • Begin work on the Product section for your marketing plans. • Turn–in SWOT analysis for your product