The Marketing Strategy of Ted Baker

The Marketing Strategy of Ted Baker 0
Title: The Marketing Strategy of Ted Baker
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The Marketing Strategy of Ted Baker 1
Executive Summary
This report summarizes the introduction to Ted Baker Retail Company. A complete background
on the Ted Baker retail stores operating in the United Kingdom has been given. The different
promotional strategies which are operating in the store-including Porters five forces model,
segmenting, targeting and positioning strategy has been given followed by away from the store
and Digital Strategy. In task2, the AIDA model, above the line and below the line advertising
strategies and communication process with relevance for Ted Baker Retail Company has been
given. This is followed by a conclusion.

The Marketing Strategy of Ted Baker 2
Contents
Task 1...............................................................................................................................................3
Introduction......................................................................................................................................3
Background......................................................................................................................................4
Promotional Mix Techniques..........................................................................................................5
Inside Store..............................................................................................................................................5
Away From Store.....................................................................................................................................7
Digital Techniques...................................................................................................................................9
Task 2.............................................................................................................................................11
AIDA.......................................................................................................................................................11
Above / Below the Line..........................................................................................................................12
The Communication Process.................................................................................................................12
Conclusion.....................................................................................................................................13
References......................................................................................................................................14

The Marketing Strategy of Ted Baker 3
Task 1
Introduction
Oxford Street is a retail destination which generates weekly footfall of approximately
600,000 customers. Moreover, Eastern Oxford Street has been blighted for many things. Huge
investments have been made into this area. There are number of retailers which are opening
stores and footfall is continuously going up. The oxford street is continuously under regeneration
and benefits from high quality residential spaces, offices and retail shops. Oxford Street is the
key focus of west retail market with flagship stores and departmental stores are the chief concern
of footfall. Bond Street is best luxury pitch in whole London with new jewelry section. This is
one of the expensive streets in whole Europe and top rents are reaching more than €11,200 per
square m. The limited supply of inventories on Bond Street has driven growth throughout the
past 2 years and a premium for the quality space is being paid. The shortage of well-configured
units is a factor on both oxford and Regent Street. The London comprises of two tier market
which has prime streets which experience rental level increase and it is a more of challenging
market. Ted Baker London is performing well. It comprises of luxury retailers and fashions in
village sets besides other shopping malls in London. This center has its headquarters in London,
United Kingdom. Ted Baker has opened in month of March 1988 and it is largest urban shopping
centers of Europe. The center has revenue of 591.6 million pounds and has operating income 70
million pounds and comprises of products such as men’s clothing, women’s clothing and
children clothing.

The Marketing Strategy of Ted Baker 4
Background
Ted Baker London is a leisure center and iconic shopping mall in London, generating the
footfall of 25 million people in whole year and has created twenty thousand jobs by year 2017.
The company has been able to transform the UK retail landscape and has rejuvenated the
complete area through expansion and improvement. This is an expansion of transport hub and
has changed the way customers do the shopping through the adaptation of new technology
system. Customers who are visiting the Ted Baker London have been greeted through varied and
exciting retail experience that entertains hundreds of customers every day (Slater, Hult and
Olson, 2010).
The stores in Ted Baker London houses 490 luxury and high street retailers from 15
different countries. The Ted Baker London has a pride on delivering the exciting and new
experiences for the customers and has brought various leading brands in UK that includes
Romford Market, Cheshire Oaks and Bicester Village Retail outlet. The center supports
upcoming and new retail shops hosting the different pop-up retail stores throughout the complete
year. Ted Baker London has been regarded as luxury mall which has been designed specifically
for catering to luxury demands of the consumer (Asad, 2012).
The retail store houses high end retail luxury brands within a boutique and beautiful style
environment and houses the globe renowned retailers like Versace, Prada, Gucci and Vuitton.
Customers who visit Ted Baker London also experience the luxury offers through style advice,
personal shopping and valet services of parking. Entertainment at the Ted Baker Shopping stores
provides world class shopping experience. This can be regarded as the leisure destination for
tourists and London people (Onoren, Arar and Yurdakul, 2017). The cinema regularly becomes
the host to world’s primary film releases and center events like Santa’s grotto and ice rink

The Marketing Strategy of Ted Baker 5
skating and these are some of the biggest attractions of London. Ted Baker London group
provides the vast range of dining options ranging from on the go to sit down dining options. It
also acts as the host to some of the latest musical artists. The Ted Baker will present the best
platform that provides technical and spaces support for different artists to perform in center. Ted
Baker London has been continually investing in local area and providing training and jobs,
tourism, urban development and footfall. A Ted Baker has stores in United States, South Africa,
Australia and Middle East and provides the new dining and retail experience to the customers
and there will be transformative impact on local areas (Fung, 2014).
The center was opened in March 1988 and after the expansion plans, it has become the
largest shopping center. This is an apparel store industry and other large scale projects of real
estate development are in the planning stage. The Ted Baker London has been noted for its size
and has a retail floor of 1.615 million feet square. After the time, it got opened this was reported
as the second largest commercial center in UK. Ted Baker has been noted for its operational
income of 52.6 million pounds and has become the largest in Europe and UK (Aydin, 2017).
Promotional Mix Techniques
Inside Store
The demonstration program and loves shows and festival experiences are simply
regarded as ad on events for the Ted Baker group and becoming the center piece of strategy and
bring campaigns to life. According to the Analysis, continental research done in 2009 the brand
has been increased by 70 percent and has been exposed to experiential activity. The Marketing
strategy of Ted Bake has positioned itself as the destination for entertainment and events and
shopping (Krishnamurthy, 2010).

The Marketing Strategy of Ted Baker 6
Porter’s Five Forces Model
This is a strategic management assessment tool which analyzes industry and comprehends
the profitability levers. Ted Baker Group Managers are using porter five forces model for
understanding how the profitability influences and strategy development can provide the
competitive edge and long term profitability in this industry (Grebenshchikova and Yakushev,
2017). These can be explained as below-
1. Threat of new entrants- This brings innovation and new strategies of doing things and
Ted Baker needs to lower its pricing strategy and providing the value propositions to
customers. All the challenges act as the effective barriers for safeguarding the
competitive edge. The Ted Baker needs to innovate new products and services. This will
bring new customers and provide a reason to old customers to purchase Ted Baker
products.
2. Bargaining power of suppliers-The Ted Baker must build effective supply chain with
numerous suppliers. The company can experiment with product designs and different
materials can be used if prices are going high by raw materials and reduce the
dependency on others (Fung, 2014).
3. Bargaining power of buyers-Buyers is very demanding. Best offerings are made
available by the minimum prices possible. This will put a lot of pressure on Ted Baker on
long run. Ted Baker Group needs to understand higher the bargaining power of customers
and can seek offers and discounts. Bargaining power of buyers can be constructed
through the large base of customers. This is helpful in many ways. This will reduce the
bargaining power of buyers and provide the opportunity to streamline the production and
sales process (Alrawashdeh, 2012).

The Marketing Strategy of Ted Baker 7
4. Threat of substitute services or products- When a new service or product will meet the
similar customer demands in different ways, the profitability of industry will suffer. By
becoming service oriented rather than product oriented. The core needs of customer must
be understood rather than what customer is buying (Barutcu, 2008).
5. Rivalry among existing competitors-If the rivalry is intense then it can drive down
prices and decrease the profitability of industry. By building the sustainable
differentiation and collaborating with competitors and increasing the market size rather
than competing for smaller markets (Karagiannopoulos, Georgopoulos and Nikolopoulos,
2005).
Image Source- (www.slideshare.net)

The Marketing Strategy of Ted Baker 8
By analyzing the segmenting, targeting and positioning, Ted Baker Group can get the
complete picture of what will impact the organizations profitability. This can identify the game
changing trends and swiftly exploit emerging opportunities. Ted Baker Group is not retaining the
CRM agency and continuously boosting the marketing skills by building the stronger
relationship with regular visitors. Ted Baker is presently reviewing the advertising business and
with the launch of pop store development is largest shopping center in East London and
providing the 1.9 million square feet of leisure and retail space (Jahan, 2012).
Away From Store
The Ted Baker Group has a strong office market across the town centers which are driven
by costs in the central London. The success and attractiveness can act as a place for doing the
business and this puts pressure on growing the new businesses. Time has come to capture and
support the growth and ensuring flexible and affordable workspaces. This is how the Ted Baker
Group responds to existing need through scale-ups and startups. The new development policy of
Ted Baker Group can deliver flexible marketing campaigns which stem from creative and digital
industries (Ghandat, 2015). The company needs to provide for the informal marketing campaigns
which can create new spaces for the start-ups in various developments. The emerging marketing
plan is targeted at increasing the suitable workspace through the creation of co-working startups.
Investment in marketing campaigns will be encouraged through local plans and creation of the
co-working hubs.

The Marketing Strategy of Ted Baker 9
Image Source- (www.slideshare.net)
The Ted Baker Group is operating a social and economic procurement policy. These are
aimed at creation of new opportunities for providing the training and jobs for local residents
through the procurement of goods and services (Grundy, 2006). This involves reaching out to
local audience, simplification of other requirements, splitting of contracts into lots and settlement
of targets for people and reaching out to local audience. The business needs to apply different
approaches to make up for promotional agreements and must plan to expand and develop local
procurement and demand programs. The business needs to require the prime developers to pass
the favorable promotional terms and requires how the Ted Baker Group monitors it. The
business growth will foster through the entrepreneur networks. Planned mechanisms will be used

The Marketing Strategy of Ted Baker 10
for creating promotional campaigns. By 2020, Ted Baker Group needs to support the investment
in social and economic value approach for procurement of new opportunities and establishment
of a venture capital fund for creative and tech industry firms. The technology giant has
partnership with Ted Baker UK stores. It has been two decades; there has been a slight shift in
the Ted Baker’s Marketing Strategy. There has been a remarkable increase in the sales by 20
percent. The online sales has been at 16 .2 million pounds (Renko, Sustic and Butigan, 2011).
The association between Pop stores and Ted Baker is part of marketing strategy. This will
create the experiences within shopping centers. Light color Therapy techniques are the
pioneering ways for sharing experiences from outfit shots as well as experiential videos can
provide the delighted moments which are live through Ted Baker group. Shopping center activity
have been motivated through the needs for meeting with the customer demand and offering the
large diversity of retailers, the array of wider choice of leisure activities and other offerings.
Considering the leisure activities are enhancing the wellbeing. Ted Baker Group is operating one
hundred and ninety two retail stores in UK and continuously dedicating more space to events,
dining and entertainment and leisure.
Digital Techniques
Technology has transformed the way in which the people shop and Ted Baker London
shoppers can experience the latest innovation in the centers. Ted Baker London has become the
first shopping mall to launch the click and collect service. The shoppers are provided with unique
opportunity of picking the online purchases in a convenient way and has personalized app which
will allow customers to interact with retailers and brands that the customers like and receive
customized information and offers (Casey, Geradts and Nikkel, 2018). Ted Baker Group owns
more than 100 shopping malls in 4 countries and recognizes the retail future which is driven

The Marketing Strategy of Ted Baker 11
through technology enabled connectivity. The retail giant has a swerve digital marketing tactic
which will be intended to provide the timely and personalized information that can help the
customers shop the entire shopper journey. Digital marketing is considered essential to the Ted
Baker marketing. The company is entrusted with the development of best shopping experiences
in destinations and delivering the best shopping search and advisory experiences in creating the
inspiration for influencing the journey of a shopper and driving the online retail sales and its
centers.
Image Source- (tedbakerplc.com)
In year 2011, Ted Baker Group has launched one stop online shopping mall and this has
become the largest virtual lifestyle and fashion range. Ted Baker has signed the hundred retailers
with more than 300,000 products on the virtual site of Ted Baker. With time, Ted Baker will be
adding new retailers to site. The plan is providing the unbeatable availability and variety for
shoppers can satisfy all the retail desires and without having to click the competitor (Faisal,
2016). The company is providing the free shipping on all the fashion and accessories purchase

The Marketing Strategy of Ted Baker 12
and providing the free returns method. Ted Baker have made online shopping the viable and
alternatives for old fashioned method of going into the Ted Baker center. The virtual site is
getting popular with online shoppers and filling the clear gap in market where shoppers can
easily search and compare the products from variety of retailers and purchase everything in one
transaction. Like any other major retailer, Ted Baker has been operating the Facebook page and
YouTube channel. However, the company has introduced the twist in the typical social media
pages through enlistment of relatable and friendly ambassador of sorting. There are encouraged
conversations on smart buys, lifestyle and fashions and Ted Baker blog on its virtual website
(Kim, 2016).
Image Source- (www.tedbaker.com)
What outside agencies say about the Company’s performance?

The Marketing Strategy of Ted Baker 13
Shoppers trust recommendations from different shoppers. There are virtual researching
benefits and customers are more savvy about online shopping. The additional creations include
the online styling additional service which will allow customers to email the stylist and receive
recommendations on wardrobe dilemmas and mobile apps which will be used for locating the
shopping centers through GPS. Customers can contact retailers, receive the discounts and offers
and create the personalized lists of shopping and balanced gift cards.
There are digital initiatives which are introduced through Ted Baker and company has
been focused on the paradigm shift in the shopper behavior and adjustment of investment and
resources in past three years. Ted Baker is continuously innovating and enhancing the shopping
experience (Mogilko, 2016).
Task 2
AIDA
The AIDA approach stands for Attention, Interest, Desire and action. In order to attract
the customer, the best approach is disruption. The customer is literally paying the attention. It
can be achieved through the shock factor, personalization and location of Ted Baker Group. The
advertisement can be placed in unexpected situation and this is known as ambient media. As
soon as the customer’s attention has been grabbed and the product or service is inherently
fascinating. Maintaining the interest of consumer is a particular challenge. The information about
Ted Baker Group is projected with lively and attractive illustrations. It can be assumed the Ted
Baker Group has been able to grab the customer attention. The advertisement must be able to
create the desire. The story must be relevant for making the product irresistible. The Ted Baker
Group is coming up with infomercials; these are showing products in dozen situations. The

The Marketing Strategy of Ted Baker 14
infomercial will provide the facts about the product until viewers are amazed. Closing the sale
point comes with the Action. Marketing here implies bringing the customers out of the chairs.
The action can be making the call or visiting the website. This can also imply going to the
showroom or to a test drive (Henderson, 2005).
Above / Below the Line
Above the Line advertising activities are used for promotion of brands and reaching to
target customers. These will include the conventional media, radio and television advertising,
print and internet advertising. The Ted Baker corporation targets communication to a wider
audience and this is not specific to the individual customer. ATL advertising is targeted to reach
out to the masses.
Below the line advertising is targeted one to one and distributions of promotions, brochures,
stickers are placed at point of sale through placards and banners. This involves product demos by
Ted Baker and samplings in malls and different residential complexes and market places. For
few markets, rural markets, where the print and television is limited, BTL marketing activities
outreach programs and create brand awareness for generating more ROI (Miller and Martin,
2016).
The Communication Process
The communication process will get a hundred percent response and consumers who will not
take any action are left with positive and lasting impression. The best way of learning the
communication process is to look at some of the big decisions taken by customers. The
customer’s attention is grabbed through the communication process and feed with the desire to
buy the product. Creation of direct marketing campaigns tends to be the massive proponents of

The Marketing Strategy of Ted Baker 15
communication process. The direct mail communication process has certain challenges and
taking decision is the solution through a direct communication challenge. The subject line of
email marketing campaigns must be able to grab the attention, the content will be able to raise
the interest and inculcate desire. Final action is the simple click. Sales promotions done by
Ted Baker Group is handled directly through the company and outsourced to specifically
agencies and this must be related with advertising campaigns. The proper communication model
has been preferred on several occasions and gains the personal interaction with customers
(Winter, Steinebach and Yannikos, 2014).
Conclusion
At present, there is a remarkable increase in attention and interest from shopping centers
across the UK. The Ted Baker Group can include pop-up solutions as an integral part of the retail
strategy. The innovative prime concern of well-designed retail outlet must be able to tell the
story which can create memorable and unexpected experiences. The Ted Baker Group that
manages more than thirty retail outlets is one of the shopping centers that include pop ups in
retail strategy. The retail outlet must have the story to tell and everyday a new chapter must be
written. The biggest challenge for retail outlet is not becoming the boring collection. The
shopping centers must be the reflection of one-stop shopping lifestyle destination. There is a
wide variety of shopping centers that provides leisure activities as well as dining options. The
Ted Baker Group must be able to refresh the shopping mix and inject the innovativeness into
retail structure. Ted Baker Group has included the new stores in the heart of retail strategy. This
complements the retail mix and ensure every time the customer visits, new experience can be

The Marketing Strategy of Ted Baker 16
provided. The retail shopping centers have awareness that they should be relevant with switched
n customer. The customer must remain informed and interpret messages quickly.

The Marketing Strategy of Ted Baker 17
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Image References-
Kutty (2018). Ted Baker: Brand Profile + Line Development. [online] Slideshare.net. Available
at: https://www.slideshare.net/ShraddhaKutty1/ted-baker-brand-profile [Accessed 6 Nov. 2018].
Kutty (2018). Ted Baker: Brand Profile + Line Development. [online] Slideshare.net. Available
at: https://www.slideshare.net/ShraddhaKutty1/ted-baker-brand-profile [Accessed 6 Nov. 2018].
Tedbakerplc.com. (2018). Ted Baker. [online] Available at: http://www.tedbakerplc.com/
[Accessed 6 Nov. 2018].
Tedbakerplc.com. (2018). Ted Baker. [online] Available at: http://www.tedbakerplc.com/
[Accessed 6 Nov. 2018].