Burberry UK: Brand Positioning, Repositioning, and Extension Case

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Case Study
AI Summary
This case study delves into Burberry's brand positioning and repositioning strategies in the context of the UK luxury market. It addresses the importance of brand positioning in a competitive market and how companies like Burberry adapt to changing consumer needs through repositioning. The analysis includes a positioning map comparing Burberry to brands like Gucci and Primark based on quality and price, illustrating potential shifts in positioning after repositioning efforts. Furthermore, the study explores two methods Burberry can employ for repositioning: changing tangible attributes while communicating a new proposition and changing both the proposition and target market. It highlights key considerations for successful repositioning, such as demographic analysis and competitive assessment, emphasizing the need for unique product offerings and effective communication to attract and retain customers. Desklib provides students access to similar case studies and solved assignments.
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Running Head: BURBERRY 0
BURBERRY
Burberry
Positioning and Repositioning
System04122
3/18/2019
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BURBERRY 1
Contents
ANSWER 1:..................................................................................................................................................2
Brand positioning....................................................................................................................................2
Brand repositioning.................................................................................................................................2
ANSWER 2:..................................................................................................................................................3
Positioning Map.......................................................................................................................................3
ANSWER 3:..................................................................................................................................................4
Brand extension:......................................................................................................................................4
Brand proliferation:.................................................................................................................................5
References...................................................................................................................................................6
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BURBERRY 2
ANSWER 1:
Brand positioning
It implies making a reasonable spot in the brain of target customers. On the off chance that a
brand has solid brand nearness in the market, it implies individuals are prepared to purchase from
the brand and are happy to pay a premium for their items or administrations. The most vital thing
is this additionally encourages the brand to procure loyalty. In the present jumbled market, where
every one of the brands is battling to discover a dependable balance in the market, brand
situating has an extraordinary significance. Entrepreneurs really need to choose what precisely
they need their image to reflect. Thus, a great deal of research is required before choosing the
situating strategy. Brand situating likewise helps in Better decision making, A Positioning is a
crucial structure for helping a brand pick what to do and what not to do. It likewise helps in
knowing the market and setting aggressive techniques, this causes the brand to be better in
contrast with different brands in the market (Wilkinson, 2013).
Brand repositioning
It means when a company changes its status in the market. It basically includes changing the
marketing mix like promotion, product, place and promotion. It is basically done to adapt the
changes in customer wants and needs. It is important in order to have a strong competitive
position, improve sales, adapting the current marketing needs and it also helps in potential media
attention and attracting new customers (Witcher and Vinh, 2010). Repositioning an
organization's logo, motto and subject will give the brand a new and an advanced look.
Numerous brands are shying far from 3D logos, and moving to a cleaner/compliment/more
straight forward structure. A new look will blow some customers minds toward the brand and
recover the consideration of brand gathering of people. Repositioning a brand likewise helps in:
setting the stage at within measurement similarly as the outside measurement. Renaming the
brand identity can help realign the brand with the corporate characteristics or develop new ones.
In either case, the rebranding stage is an opportunity to obviously portray what those
characteristics are and get all specialists locally accessible. They will feel connected with to add
to the associations destinations and objectives and it additionally help accomplishing new
markets. Making a new logo will empower the brand to address progressively energetic social
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BURBERRY 3
affairs of individuals, while reviving certain brand parts will help improve the image as of now
unassociated (or have a flimsier relationship) with the brands picture. For example, sports brand
Adidas is furnishing also exhibiting towards women to augment falling bit of the general
industry (Eric, 2012).
ANSWER 2:
High quality
BURBERRY (CURRENTLY) GUCCI
BURBEERY (after repositioning)
Low price High price
PRIMARK
Low quality
Positioning Map
A market positioning map is imperative to decide the advertising procedure for a firm. This
procedure is commonly a force intended to impact shoppers' view of a specific item or brand in
respect to impression of contending items or brands. The goal is to viably involve a remarkable,
beneficial and clear position in the psyche of customers. The positioning map compares brands
on the following basis, quality and price. In the above positioning map 3 brands are shown
Burberry, Gucci and Primark. Currently Burberry has good quality but low prices in comparison
to Gucci. However according to the given case study Burberry will increase its pricing after the
repositioning of the brand and this can change its positioning under high quality and high
pricing, thus it would be positioned with Gucci in the positioning map (Scholz, 2014). Primark in
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BURBERRY 4
comparison to both Gucci and Burberry has low price and low quality products. Gucci among
both the brands is the most luxurious brand with high quality and high pricing of products.
ANSWER 3:
2 methods for in which Burberry can reposition are:
1. CHANGE THE TANGIBLE ATTRIBUTES AND THEN COMMUNICATE THE NEW
PROPOSITION TO THE SAME MARKET
Sometimes the product provided by a brand can be good but the reason of its fail can be
its lack of image and communication with the target market (Koand Phau, 2016). In such
cases while repositioning the advertising of the product should be changed also the
structure of the communication between the brand and the customers are changed and a
new image is formed although this kind of repositioning is not an easy one as the product
does not change only the message for the product changes and it is difficult to make the
customers understand the difference (Crossan, 2012). A company should attract
customers and build up communication so that the customers feel different, which help in
building a new image.
2. CHANGE BOTH THE PROPOSITION (ATTRIBUTES) AND THE TARGET
MARKET.
Another repositioning strategy is that Burberry can change its product and target market
both in order to change the product some of the thing should be taken care of firstly it is
important to have a unique product so that it can attract t customers and also give a
competitive advantage to a brand, before launching the product it is important to see
product’s lifespan, The raw materials required, result of the finished product and most
importantly the target audience for whom the product is to be launched (Baker, 2014).
In order to focus on the new target customers for the brand following things should be
kept ikn mind in order to have a successful repositioning.
Demographics
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BURBERRY 5
It is important to study the demographic details as it helps in understanding a specific
group of consumers who are interested in buying the new product. This market study
includes focusing on the following things
Consumer gender
The age group of the consumer
The educational background and the income category of the consumers
Competitive Analysis
Most important factor in order to have a successful repositioning
Comparison with other products which are similar
competing products Market share and brand value
other benefits and Pricing to the customers
Positive features and negative features of competing products
Getting the idea about the target market of the product (Ormaechea and Javier
2013)
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BURBERRY 6
References
Baker, M. (2014) Marketing strategy and management. London: Palgrave
Crossan, F. (2012) Staregic management. Journal of management, 20(7)
Eric, S. (2012) Marketing strategy. Journal of Historical Research in Marketing, 4(1).
Ko, E., and Phau, I. (2016) Luxury brand strategies and customer experiences: Contributions to
theory and practice. Journal of Business Research, 69(12)
Ormaechea, S. and Javier, S. (2013) The defining attributes of a luxury brand for consumers.
Directory of Open Access Journals, 9(3)
Scholz, L. (2014) Brand management and marketing of luxury items. Germany: Anchor
academic learning
Wilkinson, T. (2013) Strategic management. California: Pareger
Witcher, B and Vinh, C. (2010) Strategic management Principles and practice. UK: Cengage
learning
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