This tote is perfect for mothers with teenage children who are constantly on the go but want to look stylish while doing errands and during family activities. It is high-end yet durable and keeps the owner’s personal belongings organized in a portable and secure way, making it easier to get outside in the shortest time.
Product Selection
According to the survey data, in the target audience, the most popular brands are Channel, Pucci, and Kate Shade. Therefore, the audience is torn between products in which the quality matches the price and luxury products with unreasonable prices. In order to justify the high-end price, it might be helpful to use a high-quality leather material and equip the bag with extra pockets for organized storage, as most luxury bags miss that feature. As survey results suggest that the target audience mostly prefers shoulder bags or tote bags, providing an additional shoulder strap will offer a more substantial basis for the price. Most survey participants have three to five bags, meaning that they prefer to have one bag that will suit all occasions, including everyday use, rather than a wide variety of different bags in different styles. Combining the collected conclusions leads to the black bag option in size 9×11 made from leather with 36$ production cost.
Pricing
The survey results suggest that most of the target audience can afford the price from 300$ to 700$, and most prefer to shop online for handbags. Considering the target audience’s income, it is more likely that a bag with a high mid-range price will be more popular as its price can be justified, unlike luxury bag prices. The closest alternative in mid-range price from All Tote Bags On Shelves research is Ralph Lauren Carlyle Mini Leather Zip Tote Bag with a 195$ pricing. Therefore, setting the future product’s price around 250$ will result in a fair price for the customers for the products’ quality. The price will also provide additional revenue for Buhi that the company can spend on additional accessories and product packaging to create a more luxurious feel.