Tuesday, 30 April 2013

Analyses and Result of the impact of using outsourcing of luxury fashion brand



The objectives of this study are as follows:
·  To investigate how consumers see the brands when the luxury fashion brands using outsourcing.
·      To examine the negative effects of using outsourcing on brand credibility.
· To assess the relationship between brands values and consumer expectation.

According to the objective, I divided the analysis into 3 parts.

1. Brand credibility which answer the questions 1-5 which can see from the illustration. 




Brand credibility analysis



From figure 5, the group member demonstrated that Burberry brand is reliability luxury fashion brand and they perceive that Burberry provides good quality products to customers. All of group members satisfy with Burberry Brand and products.  However, they are happy as long as they did not recognize the label, which have shown the products were produced out of country of origin. This result means there are some negative effects on the brand credibility in terms of products were not produced in country of origin even though the group member still trust in brand and perceive that Burberry brand provides good quality products.

2. Brand Image

This part answer the question number 6 and 7.





The customers experience with Burberry brand and have good attitude toward Burberry brand including the brand image that are sent to customers is consistent. As the result, the customers have good imagery toward the brand even some products were not produced in country of origin. Therefore, the consistent of brand image and good brand image might be as factors at first experience antecedence stage which influence customers to have good attitude toward the brand that the customers anticipated the satisfaction with the brand and products. 




3. The relationship between Burberry brand and customer.


Having good brand credibility and consistent brand image make good relationship between brand and customers. The customers trust in brand due to the fact that the customers satisfy with brand and products. From question number 8 explored the relationship between brand and customers. Three group members informed that they still buy Burberry products, however if they does not see the label which the products made in other countries. 


There is good relationship between Burberry brand and customers, however the one of group member is not brand loyalty or never buy product, the member is willing to recommend brand to others. As a result, the major factor that creates the good relationship between brand and customers are quality and design. Anyway, the customers will switch to other luxury fashion brand if they experience the problems in the same time they do not trust in brand when the products were produced in other countries and the label said made in some countries where is bad quality of production.







Fair Trade Art Work


Fair Trade Art Work which we presented on 17th of April 

Advertising has product pack shot 





Advertising as Story Teller

We also arrange window display but we can't bring any products to show due to limited budget, so we prefer to arrange at the shop and took pictures to show in stead. 




Methodology- Group discussion (questions)


As I mentioned in the previous post, I will bring Burberry to be as case study in group discussion. This post I come up with questions to ask all group members.

Group discussion


The method which use in this research is group discussion, which the conductor will note all of information. Sampling will collect the data from 4 international students officers both male and female aged 22-30. In the questions will raise Burberry brand as an example of Luxury Fashion Brand in order to give the members more comprehension. The questions are as followed. 







Introduction Questions
Do you know Burberry brand? If No (Describing Burberry Story)
Could you please describe the brand? How is Burberry brand?


Questions for Group Discussion
Do you own any Burberry Products? Why?
1.     Reliability: Every time I buy Burberry shirt, the shirt has the same fabric.
2.     Behaviour: Compare to other luxury fashion brands, Burberry is English Heritage Fashion Brand, which I buy more than others.
3.     Attitude: When I wear Burberry products, it is because Burberry is the brand I like, Make me feel good or the brand I trust.
4.     Perceive Quality: compare to others luxury fashion brands, Burberry is made with high-quality material is still best quality trench coat.
5.     Perceive Performance: I am happy with the brand/ not see any differences even the products were produced out of country of origin.
6.     Perceive Performance:  compare to other brands, Burberry has appeal design and give you a visually attractive.
7.     The image of Burberry: is consistent even some products were produced in others countries. You still see Burberry as Heritage English Fashion Brand, which provide good quality products and appeal design.
8.     Brand Royalty:

·      I still buy Burberry
·      I will recommend this brand to someone who seeks my advice.
·      I will stay in this brand.
·      I will switch to other brands if I experience a problem with this brand  (or I know that they were produced in other countries)
·      I will not switch to other brands even wherever products are produced.

The questions which are stated above base on both the Journal of Marketing Theory and Practise in term of “Brand Equity and Its Significance/Consequence Relationships” (Broyles S. A., Schumann D. W. and Leingpibul T., 2009) and The Journal of Brand Management in term of “An International Perspective on Luxury Brand and country-of-origin effect (Aiello et al 2008) including Annals of Tourism Research in term of “Brand Equity, Brand Royalty and Consumer Satisfaction”  (Nam J., Ekinci Y. and Whyatt G., 2011)



Luxury Fashion Brand Management


The management of luxury fashion brand firms aims at developing brand equity and brand value, which are as intangible asset to show the competitive positioning of the brand (Macmillan 2009). All brand value and brand equity were developed through their products as known as signature product. A part from the brand equity and brand value, marketing communication and client relationship is also critical part of management of luxury fashion brand to have strong competitive positioning in the market as well (Macmillan 2009).

As Burberry is English Heritage Fashion Brand, I decided to pick up this brand to study in depth about brand management and outsourcing and supply chain management as well. 




Burberry Outsourcing and Supply chain management
The Burberry distribution channel model demonstrated that Burberry has three distribution channels; retail distribution, wholesale distribution and licensee distribution. Burberry give precedence to store because of it plays as important role to show exclusive positioning of the brand in order that Burberry consider to work closely both who are wholesale stockiest and licensee to ensure consistency of store presentation and visual merchandising to be in the same way (Moore and Birtwistle 2004).  













Fair Trade Project (Advertising and Visual Merchandise)


After Visiting Fair Trade shop in Holmfirth and talk to Mr. Steven (Chair Man of Fair Traders Cooperative). He also would like to have advertising to have at point of sale. Our inspiration from High Street Brand as Topshop. 

Our objective

  • Increase awareness
  • Change perception of some group customers (teenagers) that Fair trade products is not old fashion or for old people.

Then we come up with 2 kinds of Art Work.

1. Advertising poster (Pack shot)
2. Story teller (Tell where the product come from)



Topshop Banner 


Topshop Website advertising 

I do some research about Visual merchandise as well because at the shop visual merchandise is very important to get customers to check out product into the store. 








Visual merchandise is store advertising to bring customer get into the store and buy the products,  The shop need to have visual merchandise concept and theme. There need some signage to inform customers what  new arrivals are or what are the best sellers.




Fair Trader Shop in Holmfirth


Before doing Fair Trade Project, visiting the shop to gain how they run the business is very important.  I can see all products categories and prices.



Window Display



Fair Trade Consumer Products

Before I see the shop, I thought the shop does not have many product rang. I thought there are only coffee, or some chocolate but there are plenty of fashion product as well for example clothes, accessories and bags.

After exploring, I decided to take one window to show my creativity work. I think about increasing awareness and advertising because If they would like to increase sales. It is necessary to increase the awareness and tell the customers where the fair trade shop locate and what the fair trade sells.









Wednesday, 10 April 2013

Building Luxury Fashion Brand Part 3

This is the last post about 9 characteristic to build luxury fashion brands. This part consist of 3 characteristics which are as followed.

7. Heritage 
Each luxury brand firm has highlight the value of remaining faithful to historic positioning or the founding and current designer of the brand because this strategy has the ability to add and maintain authenticity.



Louis Vuitton Advertising Campaign

Prada Advertising Campaign


Burberry Advertising Campaign


8. Luxury Environment and Experience 

The store environment is represented by flagship store which is significant to the brands. One of Chief Executive of Company said " It is an important part of what the consumer paying for"  Therefore, the flagship store was considered to required the a lot of investment however it provided to supreme experience. The store is not only assisted their licensing and wholesale business but also provides an insight into personality and soul of company which help in the development of a working  relationship for business to business side.


Louis Vuitton Flagship Store

Dior Flagship Store


Prada Store

9.  Culture 
The culture of  brand refers to the expertise behind the brand. The firms consider the importance of the right person working the right job from management to the staff on the shop floor. In addition, within the organization need honesty, integrity, morality and teamwork as without these message created would be false.


To create successful luxury fashion brand seem the tough way to achieve, not only innovative or creative which the brand need to have but need to have all of those criteria which can not miss one or another. In my opinion, consistency in product quality is one part which can maintain the brand reputation and relationship between brands and customers.