This report analyzes the marketing mix, positioning analysis, and principles of sustainable marketing followed by Tengri, a top collective and luxurious fashion company. It explores the organization's marketing strategies and areas of improvement.
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1 Table of Contents Introduction.................................................................................................................................................2 Marketing Mix of the Organization.............................................................................................................2 Explanation of the Case and Synthesis with Theory....................................................................................3 Marketing Positioning Analysis....................................................................................................................4 Principles of Sustainable Marketing followed by the Organization.............................................................5 Areas of Improvement by the Organization................................................................................................5 Conclusion...................................................................................................................................................6 References...................................................................................................................................................7
2 Introduction Tengri is a top collective and luxurious fashion company established in London by Nancy Johnston. Its products includes knitted yak-fiber coats, scarfs and finely woven sweaters for both women and men. The company is different from other companies as it offers sustainable materials to the clients made from yaks of Khanghai. It is the leading textile company in UK and so the company has gained a large amount of revenue and held its position in the international market. The philosophy of Tengri shows an effort to build a sustainable business with fair shares. In order to achieve this target, the organization has apparently implemented various marketing strategies. The report will analyze marketing mix and positioning analysis as well as principles of sustainable marketing of Tengri. Marketing Mix of the Organization In the global perspective, marketing mix is no longer ignorant to organizations as it is considered as most efficient tools of marketing to reach the anticipated responses through the chosen market and Tengri is not exceptional than this. Utilizing this method, Tengri could increase the satisfaction of its customers and also take the objectives of the company to the highest level (Abril and Rodriguez-Cánovas, 2016). The marketing mix plays a crucial role in the marketing strategy of Tengri and has substantial influence on the demand of its products. Tengri need to completely understand the four elements of marketing mix, price, product place and promotion along with its market to utilize the marketing mix efficiently. The marketing mix of Tengri are as follows: Product -Huge variety of woolen clothes which are offered by Tengri for both women and men that are made by 100% original wool of yak. The products of Tengri are very soft and warm like the cashmere products (Agicet al.,2016). The products are breathable, thermal regulating, hypo-allergic and control water and odor. The huge variants of Tengri’s products are given below: Hand-knit sweaters Hand-knit throw Classic-ribbed scarfs
3 Weave and ribbed socks Tuck-stitched beanie Fringed blanket Price -The price of the products of Tengri are premium in comparison to other organizations. The price of tuck-stitched beanie of Tengri begins from £165-£175 and blanket and throw begins from £1150 -£1950 (Dangelico and Vocalelli, 2017). Shipping fees are not charged by Tengri from its clients. In contrast, the goods of Merino Clothing begins from £4-£594. So the price of the products of Tengri are higher in comparison to its competitors. Promotion -The products of Tengri are promoted by the official website of the company. The clients could receive any information about the products of Tengri from the official website of Tengri (Datta, Ailawadi and van Heerde, 2017). The products of Tengri are also promoted by online media and Tengri does not charge any shipping charge from its clients. Place -The fibers of Tengri are brought from Khanghai Mountains and Mongolia. Besides, the company collaborates and make partnerships with various organizations for their products distribution (Díaz, Rodríguez and Díaz, 2015). The company have collaborated with Savoir Beds to make the best handcrafted sleeping products. The company has collaborated and made partnership with Selfridges to produce lavish fibers. Explanation of the Case and Synthesis with Theory Product Strategy -Eco- friendly products are followed by Tengri as its product strategy. The company utilizes the green technology to preserve its sustainability (Festaet al.,2016). Pollution is reduced and environment is protected by the products of Tengri. Eco- friendly products provides opportunities to the organization for its growth in the market of UK. Pricing Strategy -Tengri implements the strategy of premium pricing to provide high-quality products to its clients. Higher prices is charged by Tengri in comparison to Merino Clothing (Jackson and Ahuja, 2016). The price range of the company falls within £165 to£1950and the price range of Merino Clothing falls within £4 to £594. So, it shows that strategy of premium pricing by Tengri in the market of the UK.
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4 Promotion Strategy- Both below the line and above the line strategies of promotional are followed by Tengri in order to promote its products. In the strategy of below the line, Tengri implements the online media for promoting its products (Jun and Park, 2017). In the strategy of above the line digital marketing media and official websites of the organization are followed by Tengri. Shipping fees are not charged by Tengri from its clients for online selling. Distribution Strategy -Both the strategies, Business to Consumer (B2C) and Business to Business (B2B) are implemented by Tengri to sell its products. In the strategy of B2C, Tengri sells its products to the highest-quality customers (Liuet al.,2017).In the strategy of B2B, Tengri makes partnerships and do business with Huntsman, Selfridges and Savoir beds. Marketing Positioning Analysis During the analysis of marketing positioning of Tengri, it is necessary to consider the present position of the firm. If the company avoid its current market position, it can lead to misinterpretation of its target customers. Tengri is needed to focus on the chosen customers as misinterpretation of its target customers can lead higher possibilities of failure (Parket al., 2017). In order to consider the present position of Tengri, it is significant to make comparison with its competitors and find out the differences from them. Merino Clothing and Premier Textiles are two main competitors on the market of UK. Merino Clothing is famous for its high-quality products in low prices. Premier Textiles is renowned for its low quality products in high prices. Compared to two these competitors, Tengri is famous for its high quality products in high prices. The company has unique positioning strategy as Tengri has put an excellent impression in the minds of the clients (Wang, 2015). The company has also provided additional services its clients that make the company different from its rival companies. The company regularly recognizes its market position so that it can compete with the rival companies. So, it can be said from the marketing positioning analysis that the company is on correct track and has excellent market values in comparison to Merino Clothing and Premier Textiles.
5 Principles of Sustainable Marketing followed by the Organization Sustainable marketing in Tengri is regarded as the wants and the needs of the stakeholders of the organization. It consist of the marketing investments that cannot impact the company’s natural resources and sustain the balance in the environment. As the principles of sustainable marketing are followed by Tengri so Tengri is recognized for its sustainability (Wu and Li, 2018). The principles of sustainable marketing of Tengri are as follows: Innovative and Sustainability Approach Pillars with Sustainability Sustainable Partnerships Sustainable Technology Fair Share and Social Business Model Interconnected Sustainability Community Areas of Improvement by the Organization The principles of sustainable marketing of Tengri is successful in some ways as Tengri gains £1, 20,000- £1, 50, 000 from its annual sales of its by-products. Innovative method is used by the company to reduce the extra wastage and the living of the suppliers is supported by this method. The company builds various partnership agreements and the value of confidence is created among them. Three sustainability pillars like Economic, Environmental and Social pillars are followed by Tengri. Job opportunities are offered] to the school students and Mongolian herders of by Tengri. Green technology is utilized by Tengri to maintain the success of sustainability in the organization. But beside these advantages, Tengri have to improve some of its areas. Some of the improvement areas of Tengri are as follows: Tengri have to reduce the use of fur from Angora sheep for the products. The fiber from Angora is artificial and flexible. The company have eliminate the usage of fur from Angora to improve the sustainability of its products The company have to build its brand awareness among the public by increasing the engagement levels of its customers. Tengri must find out the needs of the clients on regular
6 basis. A software of referral program can be established to become more active in digital marketing The animal testing for its products have to be avoided by Tengri. The rates of animal testing have to be reduced to zero. Tengri could create superior goodwill and gain higher brand image in the UK market, if the animal testing is eliminated by Tengri The above suggested improvements have to be implemented by Tengri to enhance its efficiency. It these improvements are implemented, it can increase its reputation in the UK market in comparison to its competitors. The Tengri could also preserve the sustainability of the products by implementing the suggested improvements. Conclusion The report evaluated the Tengri’s marketing mix which is renowned for its high quality products of wool and enables the customers to feel and do well. It covered the complete marketing plans of Tengri by considering the 4Ps, price, product, promotion and place. It recognized that Tengri focus to serve its customers although the prices of its products are put high but its main aim is to run its business effectively. While analyzing the 4ps of the company, it had observed that Tengri has give its efforts to serve its customers by providing efficient customer services and high-quality products. The marketing positioning analysis of the company had confirmed that Tengri has high value in the market for its products as the company give effort to put exceptionality in its products. Tengri also has strong market position in UK in comparison to its competitors because of its fine products and better customer services.
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7 References Abril, C. and Rodriguez-Cánovas, B., 2016. Marketing mix effects on private labels brand equity.European journal of management and business economics,25(3), pp.168-175. Agic, E., Cinjarevic, M., Kurtovic, E. and Cicic, M., 2016. Strategic marketing patterns and performance implications.European Journal of Marketing,50(12), pp.2216-2248. Dangelico, R.M. and Vocalelli, D., 2017. “Green Marketing”: an analysis of definitions, strategy steps,andtoolsthroughasystematicreviewoftheliterature.JournalofCleaner production,165, pp.1263-1279. Datta, H., Ailawadi, K.L. and van Heerde, H.J., 2017. How well does consumer-based brand equityalignwithsales-basedbrandequityandmarketing-mixresponse?Journalof Marketing,81(3), pp.1-20. Díaz, M.R., Rodríguez, T.F.E.S. and Díaz, R.R., 2015. A model of market positioning based on value creation and service quality in the lodging industry: An empirical application of online customer reviews.Tourism Economics,21(6), pp.1273-1294. Festa, G., Cuomo, M.T., Metallo, G. and Festa, A., 2016. The (r) evolution of wine marketing mix: From the 4Ps to the 4Es.Journal of Business Research,69(5), pp.1550-1555. Jackson, G. and Ahuja, V., 2016. Dawn of the digital age and the evolution of the marketing mix.Journal of Direct, Data and Digital Marketing Practice,17(3), pp.170-186. Jun, S.P. and Park, D.H., 2017. Visualization of brand positioning based on consumer web search information: using social network analysis.Internet Research,27(2), pp.381-407. Liu, Y., Li, K.J., Chen, H. and Balachander, S., 2017. The effects of products’ aesthetic design on demand and marketing-mix effectiveness: The role of segment prototypicality and brand consistency.Journal of Marketing,81(1), pp.83-102. Park, J., Rajagopal, P., Dillon, W., Chaiy, S. and DeSarbo, W., 2017. A new Bayesian spatial model for brand positioning.Journal of Modelling in Management,12(3), pp.404-431.
8 Wang, H.J., 2015. A new approach to network analysis for brand positioning.International Journal of Market Research,57(5), pp.727-742. Wu, Y.L. and Li, E.Y., 2018. Marketing mix, customer value, and customer loyalty in social commerce: A stimulus-organism-response perspective.Internet Research,28(1), pp.74-104.