Marketing Techniques

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Marketing techniques used by Ben Sherman and Nivea
Here I will report on two organizations which are Ben Sherman and Nivea. I will take a look on the marketing strategies that both of these organizations use and compare. Finally, I will evaluate on how effective Nivea has used these techniques when marketing its products. P 1

Ben Sherman
Ben Sherman is a British clothing company which was founded in Brighton in 1963 selling quality shirts and has since expanded worldwide to North America, Australia and Europe. Ben Sherman designs, manufactures, and distributes apparels and shoes for men, women and kids. The company’s brand reflects British lifestyle and culture. Its target audience is the youth who like music, like fashion and are prepared to spend on top brands; therefore that makes Ben Sherman a niche market which has always been the company’s strategy from the onset. And quite a lot of celebrities too purchase Ben Sherman’s products which are produced under license by top specialists. Ben Sherman is closely linked to the British music and fashion. Its success has come about the company’s ability to balance its marketing mix of producing the right product, selling it at the price, at the right place and enticing its customers to buy using the most suitable form of promotion. Ben Sherman’s products are individually styled and quality to appeal to its target group. The company uses both market-led and product-led in its approach to market its products. Market-orientation is finding out what its customers want and satisfying their needs and product-orientation is producing the product first and then look for a market for it. The company produces a wide range of products aimed at target market segments such as formal and casual wear, belts, leatherwear, footwear, watches and fragrances. All these products are tied together by its strong bond image. Ben Sherman stays in competition by re-launching and refreshing some of its range products frequently because of the nature of the fashion industry which changes rapidly hence products have a short life cycle. Ben Sherman needs to set up prices aimed at certain target market segments for certain range products and therefore it can adopt from a number of price strategies; * Penetration pricing: where a low price is set to increase sales and market share. * Skimming pricing: where the price is initially high then gradually lowered to make the product available to a wider market. * Competition pricing: setting a price in comparison with competitors. * Psychological pricing: It is a customer-based pricing method, relying on consumer’s emotive responses, subjective views and feelings towards specific purchases. * Product line pricing: pricing different products within the same product range points. * Bundle pricing: the organization bundles a group of products at a reduced price. * Premium pricing: the price is high to reflect the exclusiveness of the product. Ben Sherman must also take into account its competitors’ costs and prices before setting its prices. The majority of Ben Sherman’s products are medium price because of its strong brand image and quality. Place in the marketing mix refers to where the product is purchased from and how is distributed. The company owns and operates apparel retail stores. Ben Sherman limits where its products are sold and tightly controls its distribution channels and as a result it distributes and sell its products in its own stores because it is a premium brand so does not want its products to lose value. The company also has shop-in shops (a Ben Sherman shop in a store).Ben Sherman also distributes limited amount of its stoke to independent stores. It distributes its products to department stores. Promotion consists of the various methods of communicating with a business’s target audience. There is the above the above the line approach and below the line. The former (above the line) is spending direct using the TV,...
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