Superdry Pricing Strategy

This blog post discusses Superdry's pricing strategy, which targets 'Mr. Average' with attractive and affordable products. It explores the combination of price penetration and cost-plus pricing used by Superdry to maximize its global brand image. The post also highlights the benefits of this strategy in terms of increasing customer base and enhancing brand loyalty.

Superdry -PRICING Blog
post

TABLE OF CONTENTS
Task 1A......................................................................................................................................3
Task 1B......................................................................................................................................3
REFERENCES...........................................................................................................................5

Task 1A
Superdry has come up with the range of product with an attractive pricing. The
company has always tried to its prices low. The success of the organization is all because of
the fact that the brand has actually identified the gap in the market to fill in. The brand has
targeted those people who wants to be cool but not flashy and people who are not prepared to
pay premium price for having the brand name. Our product has targeted ‘Mr. Average’ to
find styled and keen priced products (Wang and Kim, 2017). The major reason for the
Superdry for promoting low price products is because of the availability of free advertisement
the brand gets which helps it in lower its price. This makes the Superdry products to be
attractive for the customers to have it. The Superdry provides wide range of products from
clothing to footwear and sportswear too. Superdry price its products as low as possible in
order to make a sensible profit. It is the combination of price penetration strategy with cost
plus pricing. The brand offers products at 10-15% cheaper in comparison to Abercrombie and
other competitors like Fitch and Jack Wills. The brand also provides promotional discounts to
its customers so that customers of competitors can switch to it and enhance the customer
experience and satisfaction level.
The Superdry brand price its products zonally all across the globe for maximizing its
brand image globally in each and every market (McCabe and Weaver, 2018). It provides
products with varied range from low to premium pricing products. The key strength of the
brand is the high or premium quality product with fashion ability and product style. The
brand used penetration pricing strategy with the objective of gaining the market share by
initially setting the price of the product at low price for increasing the customer base. It used
when introducing new product in the market. This pricing strategy is used to capture the
larger market share, create brand loyalty, attracting customers from the competitors, creating
demand of the product and utilizing the economies of scale. Also, the benefit of this is to
drive competitors out of the market. This strategy works better when the there is little product
differentiation, demand is price elastic and the product is suitable for mass market. The cost-
plus pricing refers to adding a mark-up to the cost of the product for arriving at the selling
price (Young, 2017). This method is very easy in order to arrive at the product price. It is
mainly used when there is a contract with the customers and is more valuable in that
situation. The mark up price is agreed by both buyer and the seller. This pricing method does
not consider demand of the product and competition prevailing in the market before setting
price of the product. Thus, principle of price elasticity is applied along with cost-plus pricing.
Thus, the price strategy of Superdry is very effective in increasing its customer base,
enhance brand loyalty which results into global positive brand image.
Task 1B
For preparing the blog posts, I have first list out the topics to be covered. Based on
this, a plan is formed in a structure way. First, I have identified the key customers of the
brand Superdry and how it has segmented that target group (Vinerean, 2017). So, a complete
market segmentation, targeting and positioning of the brand is carried out. After analysis it
properly, the price strategy of the Superdry is evaluated which is combination penetration
pricing with cost-plus pricing. This has been used to maintain the price of the products low
along with maintaining required profit margin. The blog provides the insight about the brands
pricing strategy to its customers and make them aware of the company’s core objective. This

blog may arise many questions in the mind of the audience which lead to increase in
communication and starting a conversation with the market and answering their question.
This blog posting marketing campaign will expand the reach of the brand virtually, increase
brand awareness among the customers and it will help in getting the customer review by
having an interacting session which will helps in gaining customers perception about the
brand and its product (Smith, 2019). This has helped me in sharpening my research skills and
in getting the immense knowledge about the brand and marketing strategies used by them in
respect to pricing. Also, the reason behind using these pricing strategies will help in
understanding the business point of view as well. Also, a detailed analysis of the key
competitors of the Superdry were evaluated in terms of pricing and got to know that the brand
is offering products at more cheaper price in comparison to them. Thus, in this way I have
carried out this blog post activity which is great way or platform to market the product.

REFERENCES
Books and Journals
McCabe, M. B. and Weaver, R., 2018. Social Media Marketing Strategies for Educational
Programs. Global Journal of Business Research. 12(2). pp.53-62.
Smith, T., 2019. Social Medias Impact on Marketing Strategies.
Vinerean, S., 2017. Importance of strategic social media marketing. Expert journal of
marketing. 5(1).
Wang, Z. and Kim, H. G., 2017. Can social media marketing improve customer relationship
capabilities and firm performance? Dynamic capability perspective. Journal of
Interactive Marketing. 39. pp.15-26.
Young, J. A., 2017. Facebook, Twitter, and blogs: The adoption and utilization of social
media in nonprofit human service organizations. Human Service Organizations:
Management, Leadership & Governance. 41(1). pp.44-57.