Recommendation for Coach
The fashion retail industry is highly prone to constant changing market trends and consumer preferences. Creativity and having a strong differentiation strategy is the key to being a market leader in the fashion industry. Coach uses product differentiation as their business level strategy positioning itself as an “accessible luxury brand” but somewhere lacks in adding value to the brand. Looking at competing brands Kate Spade apparel reflects Lloyd’s quirky tastes. Ralph Lauren has built his brand around the upper – crust English country life and the American West. Michael Kors sells itself as fashion jet setters. Tory Bruch’s brand revolves around her life as a successful fashion figure and single mom. What does Coach stand for? Coach as a brand lacks having a personality. Since a Brand’s soul is the design of its products we would like to recommend that coach should sign in a new well known designer who will bring in fresh designs and trends to the company. This will help coach to make its brand positioning and promotion stronger and attractive. Also being associated with a famous designer will be an added support for the company to renovate its brand image. People fancy buying brands associated with famous designers therefore it will increase coach’s customer base and escalate sales. As per our research we also found that coach’s classic American designs only appeal to the older generation due to which young fashion loving people do not prefer buying coach. Therefore we suggest coach to start a new segment of fashion accessories designed by the new famous designer which will be specifically for the younger generation. By introducing this new segment that caters to the young generation coach will be able to gain a competitive advantage over its competitors. After doing this coach will have two different segments for two different generations which will help …show more content…
In order to be buzzing between cut throat competition in the luxury goods industry Coach will have to aggressively market its products and make a distinct image in consumer minds. The company should bring in a celebrity for their TV commercials and print ads. This new advertising strategy would translate the brand architecture of coach beautifully, with ad campaigns featuring famous celebrities promoting coach. This new ad campaign will automatically make a distinct image of Coach in consumer’s mind. Coach’s association with a famous personality like Jennifer Lopez or Julia Roberts will enhance the brand’s perceived value …show more content…
They have used cooperative strategies such as joint ventures or equity partnerships extensively to enter new markets. They also outsource their manufacturing to independent manufacturers to capitalize on the manufacturers’ core competency. Therefore, Coach`s current strategy is consistent with the SWOT matrix with the exception of becoming more vertically integrated by entering the manufacturing part of the value chain.
SWOT Analysis
Strength 1.They have artistic craftsmanship of leather goods
2. Advertising on internet and shopping centers
3. 70+ years of design experience which have attracted customers since then.
4.Attracts wealthy as well as lower income customers because of the lower priced items compared to competitors
5. Large range of product variety available in different price range
6.Multiple Channel and geographical coverage
7.They are located in 730 cities and have about 12000 employees
8. Product Innovation, Relevance and Excellent value
Weakness 1.Too many different segments into which they have spread leading to low inventory
The fashion retail industry is highly prone to constant changing market trends and consumer preferences. Creativity and having a strong differentiation strategy is the key to being a market leader in the fashion industry. Coach uses product differentiation as their business level strategy positioning itself as an “accessible luxury brand” but somewhere lacks in adding value to the brand. Looking at competing brands Kate Spade apparel reflects Lloyd’s quirky tastes. Ralph Lauren has built his brand around the upper – crust English country life and the American West. Michael Kors sells itself as fashion jet setters. Tory Bruch’s brand revolves around her life as a successful fashion figure and single mom. What does Coach stand for? Coach as a brand lacks having a personality. Since a Brand’s soul is the design of its products we would like to recommend that coach should sign in a new well known designer who will bring in fresh designs and trends to the company. This will help coach to make its brand positioning and promotion stronger and attractive. Also being associated with a famous designer will be an added support for the company to renovate its brand image. People fancy buying brands associated with famous designers therefore it will increase coach’s customer base and escalate sales. As per our research we also found that coach’s classic American designs only appeal to the older generation due to which young fashion loving people do not prefer buying coach. Therefore we suggest coach to start a new segment of fashion accessories designed by the new famous designer which will be specifically for the younger generation. By introducing this new segment that caters to the young generation coach will be able to gain a competitive advantage over its competitors. After doing this coach will have two different segments for two different generations which will help …show more content…
In order to be buzzing between cut throat competition in the luxury goods industry Coach will have to aggressively market its products and make a distinct image in consumer minds. The company should bring in a celebrity for their TV commercials and print ads. This new advertising strategy would translate the brand architecture of coach beautifully, with ad campaigns featuring famous celebrities promoting coach. This new ad campaign will automatically make a distinct image of Coach in consumer’s mind. Coach’s association with a famous personality like Jennifer Lopez or Julia Roberts will enhance the brand’s perceived value …show more content…
They have used cooperative strategies such as joint ventures or equity partnerships extensively to enter new markets. They also outsource their manufacturing to independent manufacturers to capitalize on the manufacturers’ core competency. Therefore, Coach`s current strategy is consistent with the SWOT matrix with the exception of becoming more vertically integrated by entering the manufacturing part of the value chain.
SWOT Analysis
Strength 1.They have artistic craftsmanship of leather goods
2. Advertising on internet and shopping centers
3. 70+ years of design experience which have attracted customers since then.
4.Attracts wealthy as well as lower income customers because of the lower priced items compared to competitors
5. Large range of product variety available in different price range
6.Multiple Channel and geographical coverage
7.They are located in 730 cities and have about 12000 employees
8. Product Innovation, Relevance and Excellent value
Weakness 1.Too many different segments into which they have spread leading to low inventory