GUESS: Product and Service Development, Life Cycle Analysis Report

This report provides a detailed analysis of GUESS's product and service development, focusing on its product life cycle. The report begins with an overview of the company, including its headquarters, global presence, and iconic advertising campaigns. It then examines GUESS's product and service portfolio, which is broadly classified into clothes, perfumes, bags, and watches. The core of the report applies the product life cycle (PLC) concept to GUESS's offerings, analyzing each product category's stage (introduction, growth, maturity, or decline) and providing recommendations for each. For example, it suggests innovations for leather strap watches, which are in decline. A key proposal involves developing wood strap watches as an alternative to leather. The report also explores market opportunities, strengths, weaknesses, and threats, along with market strategies focusing on product, price, place, and promotion. It includes a synopsis of the competition, a financial overview, and concludes with recommendations for GUESS to enhance its market presence and customer base through innovation and effective marketing strategies. The report emphasizes the importance of adapting to changing consumer preferences and the need for sustainable product development.

PRODUCT AND SERVICE
DEVELOPMENT

Table of Content
 Introduction
 Overview of company
 Product and service portfolio of Guess
 Apply product life cycle
 Evaluation of PLC
 Proposal of new or improved product
 Recommendations
 Conclusion

Introduction
 This presentation is based on the commodities of
GUESS.
 Discussion is concerned with the introducing of
new commodity in competitive market.
 New products and services are the lifeblood and
primary thing for businesses for their overall
development and it is not optional as it is important
for the profitability and growth of business.

Overview of company
 Headquarter of company is in California, US.
 Lifestyle brand at global level, around 80
countries.
 Iconic, timeless advertisements campaigns with
the help of GUESS magazines.
 Recently, GUESS redesign itself by offering
various new aspects.

The product services of Guess is broadly classified under five
categories and each of them are provide separate product lines
under the its brand name.
By examining the dealings of company it is analyzed that company
deals in range of products as:
 Clothes
 Perfumes
 Bags
 Watches
Product and service portfolio of GUESS

Company needs to be good in both developing new products and also managing them to face the suitable changes in
technology and competition.
This life cycle has few stages which are discussed as under:
Product life cycle at GUESS

This stage is considered as the introductory in which products and services are
launched and introduced at initial level and company also take feedback and
recommendations of customers as well in order to make some sort of
improvements.
For this, Guess provide:
 Clothing
 Black case black stainless steel watches
Introduction Stage
Recommendations for Clothing:
 GUESS need to invest more on their advertisement and use online
marketing to attract customers.
 Because of innovation and design, demand of products gets increased.

 This product is more than an idea as it depicts the growth
and overall development of product.
 Currently the products which are at growth stage are:
 Perfumes
 Cassidy unisex touch watches
 The growth of Perfumes is determined as when the sales of
Perfumes has increases by 4%.
Growth Stage
Recommendations for Perfumes:
At this stage, company use adaption in order to
increase its demand in market.
Moreover, GUESS can also decreases their prices to
increase their sales.

Maturity Stage
 At this stage, product is broadly available and because of this, there
are many competitors within the marketplace.
 By determining the growth stage products of GUESS are:
 Bags
 Gold Tone case black silicone watches
 GUESS has around 404 style in terms of bags with different colors
and designs. Therefore, it depicts the position of GUESS in
maturity stage.
Recommendation for Bags:
 They need to enhance their
products in relation with design
and style to sustain more market
area.

This factor describes that product gets declined and also losing
its market share and because of this, products get obsolete.
In terms of Guess its declining products are:
 Guess Leather strap watches
There has been a downfall in the Leather Strap Watches of
GUESS around 58% because of the awareness regarding
animals.
Decline Stage
Recommendation for Watches:
 Company need to do major
innovation in Leather strap
watches to make them more
user friendly and environment
friendly.

By analyzing the current scenario, Leather strap watches of company gets
decline because of the lack of innovation and also analyzed that leather is
made up of the skin of animals.
Nowadays, people are getting more conscious about saving and preventing
animals as their quantity gets decline.
For this, company need to do suitable innovation in order to develop and
relaunch its product within the new market area as innovation is this
product helps in attracting more and more customers which leads to
increase sales and growth of company.
Product line decisions
BE UNIQUE

By analyzing the above discussion it is discussed that its
products which are at declining stage that is watches and in
regard of this, company can make suitable innovation for
achieving success and growth for both the products and
company.
For this, GUESS has many range and variety of products
with good technology.
Moreover, they make innovation in their Watches by making
them more environment and user friendly.
Proposal of new or improved product

Market opportunity
Strengths Weaknesses
A strong well recognised international brand with huge
and loyal customer base. Over-reliance on Europe market and low competition
in Asian countries.
Strong distribution channels with the help of its latest
designs and fashion. The prices of products are high as lower class cannot
afford it.
Opportunities Threat
Its international marketing helps in the expansion of
business. Frequent changing consumer preferences.
More accessible to emerging markets and also develop
e-retail. Fierce competition in market.

Market Strategy
 Product: This factor consider the changes in the use of
material for making straps of watches.
 Price: In order to offer their products to their respective
customers, GUESS uses “premium pricing strategy”.
 Place: Its products can be sold by its stores, authorised sellers
and online platforms.
 Promotion: GUESS use online advertisement to promote its
products, magazines and TV.

Synopsis of competition
 GUESS is currently competing with GUCCI in terms of
clothing, bags and perfumes and with Samsung and Apple
in relation with smart watches.
 As by developing smart watches by GUESS, rate of
electronic sells drop by approximately 2.5 per cent.

 By this term, company has
requirement of huge amount
that is initially at 2 million
which is suitable for the
development of product.
Financial overview
Particulars Year 1 Year 2 Year 3
Opening balance - 447000 4416000
Receipts
Revenues 6000000 6500000 3000000
Total A 6000000 6947000 7416000
Payments

By considering the overall discussion, various recommendations are provided to GUESS that are as under:
• GUESS can use various marketing strategies in order to take over the market again. Moreover, by considering it
declining stage product which is leather strap watch, for this, GUESS can opt innovation which is useful in
acquiring new and existing customer base.
• As discussed in the product line decisions, company can make wood strap watches that is quite unique and animal
friendly because leather is made from the skin of animals.
• In relation with the innovation is prominent technique which GUESS can use and additionally various marketing
strategies to promote its product such as direct selling, internet marketing, word of mouth, media and so on.
Recommendations

From this PowerPoint presentation, it is concluded that changes in products and services are
required in order to enhance the market area which helps in describing and acquiring the
new market area for company. Thus, it is determined that innovation is helpful in enhancing
the market area and making suitable reputation among customers.
Conclusion

Tukker, A. and Tischner, U. eds., 2017. New business for old Europe: product-service
development, competitiveness and sustainability. Routledge.
Charter, M. and Tischner, U. eds., 2017. Sustainable solutions: developing products and
services for the future. Routledge.
References

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