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Sec B - GRP 15 - Burberry Case
Sec B - GRP 15 - Burberry Case
Sec B - GRP 15 - Burberry Case
Akriti - 12407 Maya - 12439 Nilotpal - 12234 Rahul - 12347 Uday - 12471 1
1856 - 2006
1. 1856 - Established by Thomas Burberry at the age of 21.
2. 1901 - The Burberry Equestrian Knight Logo was developed containing the Latin word "Prorsum", meaning forwards.
3. 1914 - Chosen as the official coat of the British Army at World War 2. 4. 1920- Introduced the famous check pattern . 5. 1955 - Great Universal Stores Plc. (GUS) brought Burberry.
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Brand dilution, loss of exclusivity. Far East Asia accounted for 75% of disproportionate sales. 37million pound decrease in sales.
Overly reliant on narrow base of core products outerwear and umbrellas Customer bases was heavily concentrated among older males and Asian tourists. Face strategic and structural issues and lacked both cohesive vision and discipline.
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Brand dilution, loss of exclusivity. Far East Asia accounted for 75% of disproportionate sales.
Overly reliant on narrow base of core products outerwear and umbrellas
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Customer bases was heavily concentrated among older males and Asian tourists.
Face strategic and structural issues and lacked both cohesive vision and discipline.
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The Team
Brand Repositioning
1. Reposition the brand to attract younger customers. 2. Retain older customers.
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Advertisement
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Advertisement
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Growth
Year Opr. Profit (mil ) Opr. Profit %
1. 2002 worldwide 3162 wholesale doors. 2. 34 departmental stores. 1. 132 specialty stores. 2. Gross margin were 56% in 2002 compared to 47% in 2000. 3. Expanded greatly on the US market. 4. Bravo era - sales doubled from 470 million to 1 billion USD. 5. According to Business Weekly, Burberry is the 98th most valuable brand in the world 6. Almost sales distribution across categories. 7. Biggest markets Japan and Spain
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2000 2001
2002 2003
18.5 65.1
85.4 110.3
9.2 15.2
17.1 18.6
Challenges ahead
1. How to create products to meet the lifestyles of diverse customers in terms of age, location etc. 2. Maintain the current success, not be a victim of its own success. 3. Bravo The brand has not yet reached its full potential. Take it to the next level. 4. Brand management in non-target customers such as the hip-hop community.
Learning
1. How a 150-year-old stereo typed brand has transformed itself into a fashion empire. 2. Brand can adapt to the changing market without sacrificing its core identity (product, value, brand elements, British culture and history). 3. Hire top in the industry people. 4. Celebrity endorsement. 5. Selective distribution. 6. Balance between accessibility and status. 7. New product development. 8. Investment in high potential market Japan, Spain, Portugal,
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Thank You
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