Situation Analysis: Dynamic Clothing
Company (Product/Service) Description
Dynamic Clothing is a boutique style store offers contemporary and trendy clothing for young adults. Dynamic is a luxury retail chain that caters to young adults with discerning taste and expectations. Dynamic Clothing prides itself in being able to offer high end, high quality, luxurious brands, with unique selections and superb customer service. Dynamic Clothing is considering whether or not it should offer a military discount. Providing this discount may bring in new customers and also show appreciation to those who serve and protect our ...view middle of the document...
The target market of Dynamic Clothing is of young adults 18-26 and also parents of preteens and teens. The target population for the purposes of this project will be current and previous military personnel and their families. According to a popular identity verification company by the name of Sheer id, the military consumer market consists of about 8 million people (Why Should I Offer a Military Discount?).We know simply from the qualifications to enter the military that most of their population is about 18-36 male and female combined. The demographic profile of the military fits almost perfectly into the present and ideal target market of Dynamic Clothing. Dynamic Clothing is seeking to find out how much of that population we currently serve and seek ways to increase those numbers.
Consumers of luxury brands have different perceptions and values attached to the items they buy. Much like economical consumers purchases are based on a value system. Some customers buy items simply to show their wealth and status. This group is very focused on their social status and it is very important to impress others. There is also a segment for consumers who see more value and quality in the luxury brands. Luxury brands are not only for excess and decadence. Luxury brands should offer a standard of quality and durability not comparable to anything else. Many people buy higher priced items because they feel they are getting the best in quality thus justifying the high price tag.
They are also a portion who are simply materialistic and buy items simply because they can afford to with care to its cost It is personally satisfying to them to purchase the best of the best and feel entitled or justified in doing so. They are not seeking social status or higher quality, only validation and self worth. It is important to focus on the different aspects of these customers and their perceived values (Bahar Teimourpour, 2011).
The characteristics of the luxury market are not one of fierce competitiveness. The brands simply market themselves as offering their own unique brand and experience without negativity towards their competitor. They are often located in the same areas or shopping venues. Luxury brands feel that their brand is so special there is truly no real competition only a similar option. Luxury brands all strive to present an impeccable unique experience that is not available in the lower consumer market (Ashish Mansharamani, N.D.).
Once the target market is realized it is then important to create a strategy to market to those consumers. This strategy is called the marketing mix. The elements consist of the 4 P’s, Product, Price, Promotion and Place. These elements should be designed to meet customer needs and demand (Arens, 2011). In terms of the retail marketing mix the elements are applied so that a consumer has a distinct image and perception of their store. The Product...