UK Footwear Market - Case Study Example

? Segmentation, Targeting and Positioning UK Footwear Market Background Since the falling recession of 2008, UK has been facing challenges in both retail and apparel market. Footwear is on the major side of influence where market received short coming of brands and lack of customer response in the 2008 fiscal (Key Note 2012). At the time of recession some companies got recovered including Retailer Faith which administrated its place in the period 2010 April. At the same time some brands like “Stylo PLC” were badly affected as were posed to deepest threats of the recession 2008. Changes in fashion and consumer behavior have also been influential (Key Note 2012). Such factors have influenced market trends and consumer behavior spectrum. These challenges are still prevailing in the market where brands are preparing to meet them in the coming years of time (Key Note 2012). In sports footwear, the market has remained stagnant as experts and trainers have preferred the same old trend of quality and functioning despite new fashion trend and labeled marketing. This has maintained the position of UK’s sports brands as they have been emphasizing on the old market trends and have remained stable on reliability and sustenance attributes. One of the reasons for holding strong market position in sportswear is that brands “Nike”, “Reebok”, and “Adidas” have been firm on understanding consumer satisfaction (Key Note 2012). They have understood what customers want and what their preferences are on premium shoe wear collections. Meanwhile, the market is showing decent customer response in the recent time which means that it holds a great place for upcoming brands in the UK footwear segment (Key Note 2012). This report is going to analyze the position of UK footwear market, where the aim is to evaluate UK brands in terms of their marketing strategies. The first part (overview) will access UK footwear companies in terms of marketing tactics (segmentation and positioning), and second part (conclusion) will comprise a relationship between findings and evaluation (Vieceli and Valos 1998). Marketing Concepts Market Segmentation “Segmentation is a process of market dissection, which means dividing the market into segments and in positions where market holds the greatest opportunity for a respective brand, its products and services” (Vieceli and Valos 1998). The concept relates to division of market in respect of customer behaviors, perceptions and opinions. This is one promotional process that finds a starting way for a brand to generate its demand in terms of the values from the consumers (Vieceli and Valos, 1998, pp.137). Market Targeting and Positioning Targeting and positioning are further parts of market segmentation process. They are close to promotion of a brand and are leading processes to stabilize the position of the brand in a new market place. Targeting is the secondary process which is headed on once segmentation gets completed. The targeting process identifies the place of a brand within the pre-identified market segments and positioning is what grapples the place of a brand’s products within the preset target market. By completing segmentation and positioning, the company adjusts its place in a new target market and this is for the long term basis (Cant, Strydom and Jooste 2009). Overview of UK Footwear Market Here is the overview of UK footwear market, which is to analyze the position of the footwear industry in the UK market segment. The analyses will evaluate the brands in terms of their marketing strategies (segmentation, targeting, positioning) in order to see how the brands place their products in terms of UK footwear customer (Vieceli and Valos 1998). UK is the place of diversity, a place where consumers are on changing market trends. Whether it is cloth wear or shoe wear, all segments are varying and with modifying market trends. In footwear, the loyalty stands for diversified shoe brands. The brands which are unique in designs and are peculiar in features are in a good place and standing in the market. For such reason companies in the footwear section hold diversity as a key to progress (Goodman 2011). It is one method/trait that settles UK shoe brands to a parallel customer response and relationship. It has been seen in the modern trend that all UK brands are different from each other. Some hold value in luxury and some are unique and prominent in sportswear and children style of shoes. This classifies UK’s footwear market into different market segments, where every brand holds a separate strength and weakness with respect to the other brand in the same market (Goodman 2011). In recent times, Clarks International is holding a great place in UK footwear industry. The brand offers fabulous styles in both men and women footwear where peculiarity of design is part of their high valued asset. Clarks includes all types of footwear including stylish, casual wear and sportswear. It diversifies Clark’s market range, as they are capable to serve all market segments including adult, children, young and old respectively (Marketing Week 2012). Clarks being a pioneer in shoe selling has remained dominant in UK footwear market. It has enjoyed its 10% market share in all the luxury footwear section. The brand’s name sells its labels as it stands out good in response from the loyal patrons. Meanwhile, Clarks introducing a new place in sportswear has attracted new buyers (segments and positions) in the region. This have expanded the target market of Clarks as by introducing sports footwear the company has been able to address the need of athletic young and teenagers. This has embarked Clarks to UK’s fourth largest sports selling brand and have added it to the competition of giant UK sports sellers “Nike”, “Reebok” and “Adidas” (Marketing Week 2012). According to David Needle, Fashion has been part of UK’s shoe market trend. It is something that relates to modern customer perception in the region (Needle, 2010, pp.436). The more the customers are fashion made the more they are on luxury and brand made stuff. Hence in UK, the brands keep fashion on the highest consideration (Needle 2010). They apply fashion in their premium shoe collections in order to bring attraction for new product portfolios and offers. Similarly, this is to breach modern customer perception and to engage with the fashion oriented buyers of the region. Converse is one of the UK fashion made brands (Needle 2010). They position themselves by upgrading stylish portfolios, which are on the highest customer demand. It first got started off with the trend of mid 1920s, when early basketball players picked up the hype of Classic Converse shoes (Marketing Week 2012). The brand has brought inspiration for popular customer markets like people from media are attracted to Converse designer made shoes. Designing shoes for James Dean and Alvis Presley is part of Converse promotional strategy. It is one way to reach modern luxury customers and distinctive rich class of the market. This is how Converse has brought its place in the UK fashion shoe segment, where positioning is based on style, glamour and luxury in the overall context (Marketing Week 2012). When it comes to classic foot wear, then Barker is the name that counts in the most classic category of UK footwear. The brand triggers the features of classic leather where shoes design are compelling for both women and men style of collection. Barkers drive its place in UK due to its traditional handmade shoes (I-Gasp 2012). This positions Barker in most reliable and high quality shoes that are made by experts’ way of dying and polishing. Those buyers which are fond of classic always come to Barker stores (I-Gasp 2012). They know that if they want to trust a brand in the classics then it is Barker that holds the true place of their confidence. Barker being one of the oldest shoe sellers in UK embarks all types of customers in the market. They have styles to offer for old, young and teenage, where casual wear and classic are part of Barker’s specialties. They offer versatility in shoe wear for which the brand covers the diversified market segment in UK (I-Gasp 2012). There are brands in UK which keep style and luxury apart on the focus and center specialized customer category. Lelli Kelly shoe is one of the brands that work on special category of customers. The brand focus on children market segment and offers unique styles in children shoes of all age groups. Lelli Kelly is the children market raiser; it extends its market by offering glimpsing styles in teenage footwear (Goodman 2011). The major strength is in Lelli Kelly’s teenage paddlers where grace boots, Alice boots and Eleanor boots are on the top children priority (Goodman 2011). The kids love it because they get it of what they expect from Lelli Kelly’s shoes and footwear. This is how UK specialized customer brands uphold a great position in the overall footwear market, as they are with a blue ocean strategy and knows the tactics to entail specialized customer of the market (Goodman 2011). When it is about UK footwear, then there is no doubt to say that UK brands mostly come up by means of diversification and comprehensiveness in their services. Reebok is one of the brands that submerge diversity with clarity in their shoe segments. The main segment focused by Reebok is sportswear where it follows different categories of athletic, aerobics, casual wear and young classics. There are a couple of other brands like Nike and Adidas which are US competitors of Reebok “The British Sports Pioneer”. Meanwhile, the sports sellers focus on customer demand and perception. The companies do not lag market expectations and nor do they exceed market limits (McDonald and Milne, 1999, pp.88). This is how brands like Reebok, Nike and Adidas excel in the UK fringe, where they are specialists of sportswear and mostly target sports oriented customers (McDonald and Milne 1999). UK’s fitness market is also a core segment of UK sports selling brands. The fitness market allocates aerobics customers like buyers from the background of field aerobics are attracted to UK’s aerobic style of shoes. Reebok being the pioneer brand in UK designed female aerobic shoes to give push to the UK female market segment. This is one sports attitude that shows care of the brands for UK sports patrons. Presently UK sportswear is on the hype as the brands in the category accompanied the recession quite effectively and with aggressive attitude (McDonald and Milne 1999). These days’ sports brands are on the demand and hold a great value from the UK customer regime. This is how a strong position is there for all the UK sports selling brands (McDonald and Milne 1999). Conclusion When it is about UK footwear, then diversity is something that has brought success for UK footwear brands. Every brand is different and offers a unique style in shoes. The brand which targets classic shoe market is determined in the classic category and the brand which emphasize on kids wear is entirely focused on children side of shoes (Goodman 2011). This is how by setting a focused target market; the brands are quite apprehensive and successful in their marketing tactics. In UK where fashion is on the hype, customers in shoe wear are also fashion made. There are a couple of brands that serve the need of fashion oriented customers by keeping attitude of luxury and glamour in their modern style of shoes (Goodman 2011). On a conclusive node, it can be said that UK market is a versatile footwear market where every brand is unique and holds a separate worth among its customers. The brands in UK are set with pre-determined target markets (Cant, Strydom and Jooste 2009). They position themselves by giving a specialized room in footwear and they segment by understanding the changing customer need and requirement in the region. This shows that brands are strategically quite strong and holds a great position in the UK footwear market (Vieceli and Valos 1998). List of References Cant, M., Strydom, J. & Jooste, C., 2009. Marketing Management. Cape Town: Juta and Company Ltd. Goodman, A., 2011. Clothing and Footwear Trends. Research Report. Microsoft Advertising. I-Gasp, 2012. Styles and Seasons: Nigerian Anniversary Edition. [Online] Available at: http://www.i-gasp.com/apps/blog/tag/barker-shoes-in-lagos [Accessed 2 January 2012]. Key Note, 2012. Market Report. [Online] Available at: http://www.keynote.co.uk/market-intelligence/view/product/10546/footwear [Accessed 1 January 2012]. Marketing Week, 2012. Case Study: Converse. [Online] Available at: http://www.marketingweek.co.uk/trends/case-study-converse/4001715.article [Accessed 2 January 2012]. Marketing Week, 2012. Clarks eyes global growth with new hires. [Online] Centaur Media plc Available at: http://www.marketingweek.co.uk/news/clarks-eyes-global-growth-with-new-hires/4003342.article [Accessed 1 January 2012]. McDonald, M. & Milne, G., 1999. Cases in Sports Marketing. London: Jones & Bartlett Learning. Needle, D., 2010. Business in Context: An Introduction to Business and Its Environment. Southampton: Cengage Learning EMEA. Vieceli, J. & Valos, M., 1998. Marketing Management. New Delhi: Atlantic Publishers & Distri. Read More