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Marketing Mix Analysis Table of Contents Distribution (Place) Strategy 4 Marketing Channel Format and Intermediaries 4 Wholesale Channel 4 Online 4 Factors Affecting the Distribution Channel 5 Competitors 5 Regulation 5 Technology 6 Consumer 6 Product Type 6 Economic 6 Company Strength and Culture 6 Social 7 Pricing Strategy 8 Pricing Constraints and Objectives 8 Demand and Revenue 9 Cost Volume and Profit Relationships 10 Approximate Price Level 11 Quoted Prices 11 Special Adjustments 12 12 References 13 Bibliography 15 Distribution (Place) Strategy Lululemon Athletica believes that their “vertical retail distribution” strategy distinguishes them from their competitors.
Marketing Channel Format and Intermediaries Wholesale Channel Lululemon’s products are sold at third-party resellers, which the company feels is parallel to their company. Such resellers may include premium yoga studious, fitness centers and health clubs. Speciality Store and Franchises are among of the company’s reseller. However, the wholesale channel of business does not generate overall revenue for the company. Thus, the strategy is generally opted to create brand awareness in new markets (SlideShare Inc, 2012). Online Lululemon’s products are based on target segmentation. Most the company’s products are based on young women. Thus, the company is present in social networking sites which have created a new attraction for the youth and also has enabled to spread product related awareness. Online selling options are available on the company’s websites. The company online sales had grown from 4% in 2009 to 8% in 2010 (SlideShare Inc, 2012). ...
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