Introduction
Alexander Mcqueen is a designer apparels store. A young designer, Alexander Mcqueen, established the store. He was a Briton by birth and was born in London. He is remembered for his dramatic tailoring, groundbreaking collections and avant-garde shows, where he made designs that were special and unique to different occasions.
The success of the design has been attributed to creativity, innovation, and reputation that Alexander had. To remain successful and competitive, the brand name have been built through strategic marketing mechanisms, improving quality, combining of traditional with modern art and craft in the designs (Alexander McQueen Corporate website 2010). This paper takes an analysis on the reasons behind the success of Alexander Mcqueen brands of clothes.
SWOT Analysis of the Brand
Swot analysis is a management tool that a company uses to establish its strengths and weaknesses (internal analysis) and offers an analysis of its external opportunities and threats.
Strengths
Alexander Mcqueen is not among the oldest designers, however its short life have resulted in a strong brand name. The strength is ventured in its strong brand name that is internationally recognized. There is a wide recognition of these products in all parts of the world. These products include men clothes, women clothes, wallets, handbags, watches, coats, and shoes among others. The strength of the brand name is undoubtedly engineered by its internal creativity mechanisms.
In order to have a competitive edge in selling its product and services, it will be advisable for the company to take advantage of its ability to compete favourably with equal players in the market. Some of the products that are major competitors of Alexander Mcqueen include, Ck, Spenser, axcess boss, and Italian. The brand benefited from an entrepreneur who had vast experience in fashion and design. He could blend tradition, art, design, and craft and come up with a unique product (Mind tools 2010).
Weaknesses
On 11th February 2010, the brand was faced with the greatest tragedy. This is when the brand pioneer committed suicide in his house (he hanged himself) this meant that major driving force, the major innovator, and creator of designs had left the company. Weaknesses refer to obstacles that may deter the company from progressing towards a particular direction.
Another weakness of the brand is the sexuality of the founder, Alexander Mcqueen was a Gay, and Gays are not fully accepted in all countries of the world. This is likely to reduce the demand of the brand, as people who repel gays will not be willing to buy them.
Opportunities and Threats
The world is having increased living standards. Individuals are willing to buy products that are designer made. Loyalty for a certain design is constantly building.
Opportunities and threats are external forces that a company has minimal control over. These are outside factors, which may work to the benefit or danger of the brand. Opportunities for the brand are dependent on both the internal and external assessment criteria of the brand’s profile of operation. The growth of gays in the world and increased acceptance of the same will create demand for the products from the gay’s community. They will be more likely to accept the products as they feel it is a brand by their own.
Secondly, the increased use of media as a socializing tool will work to the good of the brand. This is because young people are likely to buy products that their role models are using. Alexander Mcqueen is used by Nicole Kidman and Rihanna among other celebrities (Alexander McQueen Corporate website 2010).
Threats are coming from the gays association to the brand, where there will be a population that will not be willing to use the products for this reason only. Secondly, other brands are capitalizing on such weak points of the brands and are offering increased competition to the product. Gucci, which acquired the Alexander Mcqueen brand on 2007 at a percentage of 51, will have a lot to prove that it made the right move especially now that the creator of the brands is no more.
P.E.S.T.L.E Analysis
P.E.S.T.L.E. analyses the external environment that a company or a brand is faced. It analyses some factors that a company has no control of but they affect the business. P.E.S.T.L.E. analysis is a management tool that assists in making informed decision about the influence that the company is going to get from the outside environments as the technology and other variables change.
Political
Alexander Mcqueen cab takes advantage of the political situation in the world; the world is in the process of employing a free trade policy whereby the market is the one that determines the price in the market as well the products to be supplied. The global financial crisis has compelled countries of the world to relax their trade barriers. This is good for the company since it can expand to other many countries. This will increase the market base. Access to market has been increased and thus the products can be sold in different countries.
Economical
Generally, designer apparels are relatively expensive than other products. Whether they will be bought depend with the economic strength of a person buying them and that of the country that he is in. In the past decade, the economy of the world has been on the low pace with other countries recording a negative rate. Even if the rate today is not so good, there is hope and thus a risk taker can as well diversify his business.
Social
Consumers’ choice of fashion and products they buy is influenced by the society that they are living in. What the society perceives as fashionable influences the decision. Adolescences are willing to wear something that boosts their esteem. If the society believes that a certain outfit is fashionable, the youth consumers are more likely to put on the outfit.
Alexander Mcqueen is known to be apparel for the rich, models, singers, and mostly won during certain occasions. It is regarded as apparel for the rich and thus wearing it for the right occasion offers a person great pleasure and esteem. The youth are willing to feel good of who they are. The high ranked personnel putting on the apparels are likely to boost it in the world market.
Technological
Technology can be used to design and market the product. If the right technology is used, then the brand is likely to gain more strength. Currently, there are a number of social networks, which the brand can be use as advertising tools. Such networks include Face-book and twitter.
The use of search engines has also increased. This is created from the angle of thinking that the customer knows what he want. In this marketing strategy, the user looks at what he thinks fits him. The work of the marketer or the advertisers is to ensure that when the customer is searching, he will see the products that he is selling. Some of these soft wares are Google and Yahoo search.
Legal
The important thing is to comply with the particular country it invests in laws and regulations.
Ecological
The world values its environment. The production method of the brand should be made environmentally friendly. On the positive note, since the world realize that no production can be made without emission of waste, it has embarked on waste recycling technologies as well as adopting environmental friendly technologies.
The company will not be let down by the regulation but will adopt the available remedies. It will also consider environmental conservation as its social corporate responsibility; using a green supply chain management will also assist the brand retain its environmental friendly state (Sternquist 1993).
Marketing Strategy
To analyse the marketing strategy, the paper will use 4Ps marketing strategy, they are:
Price
Designer apparels target the well to do people in the society. It focuses on class. Alexander Mcqueen is not left behind. The funny thing is that the higher the price, the likelihood that the customers will find it fashionable and buys it. Price of a commodity is an element of total cost plus a profit margin. When a target market has been established, there is need to determine the price affordable to the customers. A marketer should be aware of consumers’ trends and their potential.
The social class that the product is targeted will influence the price of the products. From a broader point of view, the market can be divided into three sections: the high class, the middle class, and the lower class. The high class (which Alexander Mcqueen targets) is not interested on how expensive a product is, but their point of interest is the utility that the product is going to give.
When they are buying things, they are looking for something extra that can make them feel special and different. To target this group, the product should try to show how it is different from others, the price can be set high since the possibility is that this group will think that the higher the price the higher the utility.
Place
Where Alexander Mcqueen avails its products determine the success that it is going to get. The market segment that the marketer want to target will influence the distribution that he is going to use; where the customer is more likely to be found should be the place that the goods are provided. If the target customers are people who value recognition, most of them are in the high class, they are more likely to be found in the shopping malls and “designer” shops.
The products should be displayed on these stalls. The possibility that these kind of client will be in the back street shops is unlikely and thus the products should not be there. The common market is also a place that they are unlikely to go. If the products are targeting the lower class, they should be distributed in the supermarkets that are expected to be less expensive than the shopping malls. There are also some places regarded as high class.
Promotion
Promotions are done in the effort to either introduce a new product or increase the market segment. To engage in a promotion, the first thing to understand is the availability of the target customers. Where are they likely to be found? Are they free in the mornings, is it in the afternoon? After realizing their availability and when they can give you time, and know the age of the market the promotion for the youth should be designed to target the youth.
The behaviour of the youth is that they do not want something that feels so common, let the promotion give a different good-feel on the customer. The existence of groups in the society and their matching lifestyles can also be of great use. If the promotion is for an already existing product in the market, the approach should be from the angle that we are thanking our customers. If the customer feel appreciated and recognized he will develop loyalty and influence other to follow his way.
Product
The products made by Alexander McQueen are apparels. The higher the utility the customer gets, the higher the demand for the product. When products are developed, the team should always invest in offering something extra to the consumer. What does the target customers expect, what are they likely to be moved?
What is the age of the target customer? If the target customer are children- by extension the parents, the products should have attractive bright colours that are more likely to attract children. If the target markets are the youth, then the fashion should be of emphasis.
Packaging should give a sense of superiority to the product. The youth will always want to have a better product than their peers do. Effort should be made to ensure that the product is portrayed to give the impression of superiority.
Market Segmentation
Market segmentation is focusing a brand to a certain population in the market. There are different methods of segmentation. Alexander McQueen uses income, status and class mechanism. The brand of products are targeted to high class people in the society, upper medical class market, and those people who value recognition and being acknowledged.
These are peopling who like quality and uniqueness. They are not much interested with the cost of the products and actually they have a feeling that the higher the cost the better the quality. To be successful selling to this class of people, the company undertakes numerous campaigns and researches to observe the trend.
During festive seasons, sometimes the lower class people and the lower medium uses this product and thus the brand should be advertised to the general population during this time (Eaton 2001).
Brand Management
Brand management is ensuring that a certain brand remains marketable and competitive in the market. To do this Alexander McQueen items are improved regularly and better products made. The marketing teams are also robust to ensure that they aggressively sell these products.
A lot of research is undertaken to look for ways that the brand can be improved. Another way that the brand is maintained is direct/personal selling of Alexander McQueen products to modellers and people who have influence. These include footballers, modellers and high-ranking people like politicians. When they put on the products, they influence a large population and remind those people of the superiority of the brand.
Market Research
Alexander McQueen undertakes numerous researches to ensure that it understands what the customers want. Creativity can only be attained if the company have a clear understanding of what the people want. What is fashionable and for which population is known through research and development. To be able to blend culture/tradition, modern life, and class a lot of research is required. Research data is gotten right from the field, from internet and feedback from customers.
Marketing Efficiency
Alexander McQueen manufactures apparels ranging from clothes, shoes, and other equipments, they need to market their products effectively. Despite the market for the industry increasing, there are international companies in the industry, which adopt different marketing strategies for their success.
They use integrated marketing strategy to market their goods. This marketing strategy incorporates different marketing strategies to have one strategy that can effectively fight their competitors. It integrates advertising, public relation, direct marketing, and personal selling. When using the strategies, the companies use T.V set, Radio, and social networks as their tool of communication to the target customers (Anctil 2008).
Conclusion
Alexander McQueen is an internationally recognised apparel designer brand innovated by the late Alexander McQueen. To remain competitive, the brand uses scientific marketing strategy. The market segment of the brand is the high class, and the high middle class in the society. It uses its brand strength to set prices, improve products, and distribute them. To overcome threats and competition, the brand undertakes numerous researches to assist in product differentiation.
Reference List
Alexander McQueen Corporate website. 2010. Alexander McQueen. [Online] Available at: https://www.alexandermcqueen.com/ .
Anctil, E., 2008. Marketing and Advertising the Intangible. ASHE Higher Education Report, 34(2), 31-47.
Eaton, J., 2001. Management Communication: the Threat of Group Think. Corporate Communications International Journal, 183-192.
Mind tools. 2010. Marketing Mix and 4Ps. [online] Available at: https://www.mindtools.com/pages/article/newSTR_94.htm .
Sternquist, B., 1993. Gatekeepers of Consumer Choice: A Four Country Comparison of Retail Buyers. Paper Presented At Montreal International Symposium of Retailing.