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Aritzia: Location and Marketing Analysis - Statistics Project Example

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The project "Aritzia: Location and Marketing Analysis" focuses on the critical analysis of the location and marketing issues of Aritzia, a British clothing manufacturer. The United Kingdom constitutes a collection of islands that are located off the northwestern coast of Europe…
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Aritzia: Location and Marketing Analysis
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Assignment [Due Table of Contents Geography 3 Location and Climate 3 Entry Strategy 4 Marketing Mix 5 Product 5 Promotion 5 Place and distribution 5 Price 6 Works Cited 7 Geography Location and Climate The United Kingdom constitutes of a collection of islands which are located off the northwester coast Europe. Its total area is approximately 240,000+ kilometers and this is shared by 4 main territories. These are England, Wales, Scotland and Northern Ireland. The first three are commonly known as Great Britain and the capital of the United Kingdom is London and is in south eastern England (Global Link Learning Abroad, 2014). England’s weather can be sporadic and very unpredictable. However, there are distinct seasons where there is less rain and more sun in the summer months and some snow with long spells of clear days in the winter. Spring and autumn prove to a host the country’s best weather. However, the geography of England means that the weather can change in short distances (Woodlands, 2014). The surrounding sea gives England a varied climate but generally there are warm summers but they are cooler than those on the continent. The winters are also milder and do not go below 0 degree centigrade frequently. The summer temperature is around 32 degrees and is often damp and subject to frequent changes. The warmest month in England is July and around the coastal area, February is normally the coldest month (Woodlands, 2014). These conditions can greatly affect the product range which should be present at Aritzia. This means that the range of jackets and sweaters must not be too heavy duty. Really warm fur or fleece lined jackets and sweaters would not be suitable for the generally mild winters. Warm woolen ranges should suffice for the winters in the United Kingdom. Their category of blouses, dresses, jeans, t-shirts and jumpsuits etc. should be extensive and not made of cloth that is too warm. Seeing the damp and summery conditions, their clothing line should include clothes made of material that breathes and is suitable for the mild hot and damn summers. Entry Strategy To make full use of the brand equity of Aritzia and to successfully compete with the competition, it will be necessary to set up a local subsidiary in the United Kingdom. Aritzia is a Canadian women’s fashion boutique that was started in Vancouver in 1984. It has stores in North America including Seattle, San Francisco, Toronto, Chicago and New York (Aritzia, 2014). It is a brand endorsed by many celebrities including Megan Fox, Emma Stone and Eva Mendes (Fashion Base, 2014). Hence in order to make full use of this brand equity, it is necessary to have full brand presence in the country and not rely on joint ventures of sales agents which might dilute brand equity. Other methods of entry might distort the brand image and the communication plan might not be effectively implemented by the third party partners. Moreover, the competition in the region from retailers and stores like Topshop, Anna, Burton and Marks and Spencer is intense. The market is worth 26 billion pounds (PITHERS, 2014) and in order to fully compete with them, it is necessary to have actual and unique physical presence which can increase brand reliability and validity in the new market. The greatest advantage that Aritzia can achieve is the operational and strategic control that Aritzia can exercise over its subsidiary. The level of control will be tighter and it will be easier to establish common operating processes (Basu, 2013). There is less risk of losing intellectual property and Aritzia will be able to maintain its unique designs and range. Cost synergies will also be possible since the parent company will share the financial systems with the subsidiary and will give support in developing joint marketing programs and security protocols (Basu, 2013). Marketing Mix Product The product range should include a whole range of products for women, including jackets, sweaters, tops, lingerie and dresses. The product range should include those products which are available in Aritzia stores worldwide. However they should be adjusted to suit the local weather, customs and requirements. The winters and summers in the United Kingdom are mild and hence the material used to make these products should be light in the summers and not too thick in the winters. Promotion The promotional activities will make use of outdoor advertisements, print advertisements and TVCs. The print advertisements should be featured in the top fashion magazines in UK which include Glamour, Cosmopolitan, Vogue and Elle. Outdoor advertisements should be put up in the upper class areas to ensure that Aritzia is considered a premium fashion brand. Moreover a teaser campaign should be launched first so that there is a buzz generated about the opening. Promotion should also be done on the social media networks including Twitter and Facebook. A special discount offer on Facebook for the first 100 users can also be launched to ensure that there is hype about the opening of the store. Place and distribution The flagship store of the UK region should be located in or near Oxford Street. It is Europe’s busiest shopping street with more than 300 stores present. It will be a prime location for Aritzia to set up its flagship store since this location has made a reputation for itself as a busy retail district. The distribution network should consist of warehousing facilities and a network of stores. The products will be imported since initially it will not be feasible to open up a factory in the region. Moreover, an e-retailing option should be kept for Aritzia with direct delivery from the warehouse. Price Initially the store should follow a promotional pricing strategy. In this, the prices should be reduced to attract new customers and ensure that there is penetration in the competitive market. This strategy should be followed for initial ‘launch’ period and after this, psychological pricing as per the brand should be followed (MBASchool, 2013). The price should ensure that the brand equity, import duties and administrative factors are taken into consideration. Moreover psychological pricing leaves the impression that people are actually saving money and in the long run, this will help retain customers. This will create a win win situation for both parties. Works Cited Aritzia. (2014). Aritzia. Retrieved from About us: http://aritzia.com/on/demandware.store/Sites-Aritzia_CA-Site/default/Default-Start Basu, C. (2013). Chron . Retrieved from What Are the Advantages & Disadvantages of Establishing the Companys Own Subsidiary Overseas: http://smallbusiness.chron.com/advantages-disadvantages-establishing-companys-own-subsidiary-overseas-34167.html Encyclopedia of the Nations. (2014). Encyclopedia of the Nations. Retrieved from United Kingdom: http://www.nationsencyclopedia.com/economies/Europe/United-Kingdom.html Fashion Base. (2014). Fashion Base. Retrieved from Celebrities wearing Aritzia: http://www.fashionbase.com/brands/4f666842300449afa1aa3f7d/outfits Global Link Learning Abroad. (2014). Global Links Learning Abroad. Retrieved from Climate in England: http://www.globalinksabroad.org/destinations/study_in_england/climate_/ MBASchool. (2013). MBASchool. Retrieved from Promotional pricing: http://www.mbaskool.com/business-concepts/marketing-and-strategy-terms/3237-promotional-pricing.html PITHERS, E. (2014, Feb 14). The Daily Telegraph. Retrieved from Londons Fashion Industry worth 26 billion pounds to the economy : http://fashion.telegraph.co.uk/news-features/TMG10638284/London-Fashion-Week-Fashion-industry-worth-26-billion-to-UK-economy.html Woodlands. (2014). Woodlands Junior School. Retrieved from What is the climate like in the UK: http://resources.woodlands-junior.kent.sch.uk/customs/questions/weather/ Read More
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