Analysis of Burberry's Brand Repositioning in the UK Market (2018)

Desklib provides past papers and solved assignments for students. This report analyzes Burberry's brand repositioning.

INDIVIDUAL ASSIGNMENT
MINTEL FASHION ACCESSORIES REPORT UK – JANUARY – 2018
1

Table of Contents
INTRODUCTION...........................................................................................................................................3
TASK1..........................................................................................................................................................4
TASK2..........................................................................................................................................................7
TASK3........................................................................................................................................................13
CONCLUSION.............................................................................................................................................14
REFERENCES..............................................................................................................................................15
2

INTRODUCTION
Brand positioning is the very first step for establish brand in the market and brand repositioning
known as the reestablishment of brand in the market. Burberry needs to reposition itself in the
UK market because of major losses in the market condition (Straker and Wrigley, 2016).
Burberry is the global luxury brand founded in 1856 by Thomas Burberry. Burberry opened its
first store at 30 Haymarket in 1891. Equestrian Knight Logo of Burberry appears first time in
1901. Burberry product line is very vast which includes men’s wear, women’s wear, accessories,
shoes, beauty products, and children’s wear. Burberry started with one shop and now its
operating in four regions of the World, which are UK, Europe, US and Asia with 240 stores and
other small outlets worldwide and compete with major luxury brands such as Gucci and Primark
(Straker and Wrigley, 2016).
3

TASK1
RELEVANCE AND IMPORTANCE OF POSITIONING AND REPOSITIONING FOR MARKETERS
Brand positioning is the process of providing special identification to the brand in the market in
comparison to the other established brands (Peng and Chen, 2017). It is the strategy of
positioned a brand in its relative market segment. Brand positioning completed in such steps:
Figure1: Process of brand positioning
(Source: Peng and Chen, 2017)
Five factors affect the position of brand in the market which is features, expectations of
customers, price of products, competition by existing brand, and perception of customers.
Brand positioning is important for keep brand apart from the competition of other existing
brands, help to focus on a specific segmentation of customers, differentiate the brand from
other brands, justified pricing strategy, and distinct image of brand in the market (Peng and
Chen, 2017).
4
understanding the current position of brand in the
market
identify the position of existing competitors in the
market
identify the attraction point of the brand
developing the strategy for unique selling
propositions
develop the messaging statement for brand

Figure2: Factors of brand positioning
(Source: Blankson, 2016)
Brand repositioning is the process of changing the status of brand in the market. Change in
status refers to changes in marketing mix, design, used material, target segment of customers
etc. Three key elements for successful rebranding and brand repositioning are listening,
delivering and convincing (Blankson, 2016).
 Listening: what are the expectations of customers with the brand?
 Delivering: Delivering the product with required improvement
 Convincing: convince customers by advertisement, offers and product specification
Burberry brand needs the repositioning because of facing major problems in the popularity of
other products in the market. Burberry is facing competition in UK market with the more
established hard luxury brands in the market. Burberry needs reposition itself because of
retaining old customers and attracting young generation customers. Burberry reposition itself
by replacing old products with new designs and remarket brand through digital marketing and
social media platforms (Blankson, 2016).
5

Figure3: Elements of brand repositioning
(Source: Zhang et al., 2016)
Implications for performance of business of Burberry because of repositioning of Burberry
Burberry successfully repositioned its brand value in the UK market through digital media
marketing of products in the target market and some modification in all categories of products
(Zhang et al., 2016). Repositioning of Burberry helps to increase its sales turnover and revenue
by 5% in the UK market, and also helps to compete with other established brands such as Gucci,
repositioning helps to satisfy customers and differentiate brand from other established product
in the UK market (Blankson, 2016).
6

TASK2
Burberry utilizes a number of online and offline platforms to reposition itself. Offline platforms
such as Burberry redesign its stores with “plasma screen video walls with touch screen LEDs”.
It was very outstanding experience for customers because they can operate that screen and
find new and upcoming designs of products. Online platforms such as Facebook, Twitter,
Instagram and Burberry website used to reposition Burberry. Both online and offline platforms
are interrelated for example Burberry online products also available in Burberry stores (Zhang
et al., 2016).
Online and offline repositioning platforms of Burberry
Burberry Bespoke campaign enables customers to customize their trench coat. Customers can
easily choose their favorite style, color, material, design of the coat. It is very enjoyable
experience for customers because it is very easy to operate (Zhang et al., 2016).
Figure4: Burberry Bespoke campaign
(Source: De Mooij, 2018)
7

Burberry Kisses campaign usually started for promoting and launching new shades of lipsticks.
The online campaign was started to attract new generation customers. Anyone can send the
virtual kiss throughout the world through Burberry Kisses campaign (De Mooij, 2018).
Figure5: Burberry kisses campaign
(Source: De Mooij, 2018)
Burberry Kisses generated extraordinary results such as 253,000 search results and users from
13,000 cities customers send their kisses in first 10 days (De Mooij, 2018).
Burberry Snapchat campaign enables customers to deliver exclusive content through Snapchat.
Burberry’s summer collection debuted on Snapchat.
8

Figure6: Burberry Snapchat campaign
(Source: Tuten et al., 2017)
Burberry art of trench campaign was the biggest campaign of any fashion brand; it gave
customers 15 minutes fame. Instead of models Burberry uses its customers to show its
products (Tuten et al., 2017).
Figure7: Burberry art of the trench
(Source: Tuten et al., 2017)
Burberry Tweetwalk campaign, customer posts their images and videos with #Burberry
caption in Burberry clothes (Tuten et al., 2017).
9

Figure8: Burberry Tweetwalk campaign
(Source: Chen and Gesbert, 2017)
Burberry stores less with technology, Burberry open Burberry Regent Street in London for
amazing customer experience.
Figure9: Burberry stores
(Source: Chen and Gesbert, 2017)
10

All repositioning strategies such as online campaigns and redesigning of stores help Burberry to
again establish as the unique brand in the UK market (Chen and Gesbert, 2017).
Positioning map of Burberry with position of Gucci and Primark brand in UK market
Positioning map illustrate the position of brand in the different market segments on graph,
which is based on the price, quality and other product benefits. This is a visual diagram of
position of brand in the market, which helps marketer to adopt different positioning strategies
(Chen and Gesbert, 2017).
Figure10: Positioning map of Burberry brand
(Source: Chen and Gesbert, 2017)
11

Figure11: Positioning map of Gucci and Primark brand
(Source: Chen and Gesbert, 2017)
12