Repositioning Marketing Strategies: A Case Study of Burberry

Running Head: Repositioning Marketing Strategies
1
Marketing Strategies
and Process
Student Name
2/25/2020

Running Head: Repositioning Marketing Strategies
2
Task 1
The brand Burberry showed strong result in the year 2016 and half of 2017 but after that there
was a decline in the revenue due to slowdown in tourism spending. This has affected many
luxury brands at global level and revenue reduce by 10%. In other countries the turnover was
increasing due to high tourism expenditures. Therefore, brands thought to explore and expand
their business in other countries such as, China and Japan where customers spend more on luxury
products. The growth of Burberry in the half of 2017 was due to its handbags and small leather
goods. After this, Burberry decided to introduce new strategies and reposition itself in the luxury
sector by raising its price structural design and supporting back sales to lower-end retailers and
wholesalers (Bruce, and Kratz, 2009).
The positioning and repositioning is important step to make a position in the market. They both
aid a lot to marketers in order to determine the way of communication with the customers,
knowing the target customers, identify customer’s needs, competitive pressure and monitoring
the product position, its services. Furthermore, the importance of positioning and reposition are
as follows:
 Burberry will have stronger competitive position;
 The revenue will be increased;
 It aids in identifying the target customers;
 More focus towards the current market requirements;
 Also, high media attention
 It aids customers to choose right product (Dou et al., 2010).
The move of Burberry stands successful. There come implications for the performance of
business but the performance got up. The launch of new go-to-market becomes successful. They
experienced customer perception shifts and a high response to their new product that was the
luxury good and accessories. It can be stated that the response was positive. There was good
growth seen in the revenue of Burberry as compared to past’s year revenues. Moreover, Burberry
focused on its digital reach for their customer’s comfort and satisfaction. There was also stable
year-on-year for EMEIA region. After the repositioning the reaction from media, clients,
influencers, press, and buyers to the Burberry’s new vision and products was great and
exceptional. The step of repositioning itself is not easy there comes many challenges and
obstacles but if the step is successful then the brand have its own position and image in the
market sector. Therefore, the decision of Burberry to reposition itself is not wrong. They succeed
and planned to go with this spirit and strategies in upcoming future (FERNIE, and PERRY,
2018).