Strategic Marketing Plan for Burberry: MBA Marketing Management Report

This MBA marketing management report provides a comprehensive strategic marketing plan analysis for Burberry, a prominent luxury fashion house. The report begins with an overview of strategic marketing and its importance in the current business environment, followed by a detailed SWOT analysis, identifying the company's strengths, weaknesses, opportunities, and threats. It then delves into stakeholder analysis, classifying and prioritizing stakeholders, and understanding their needs. Recommendations for target positioning and brand strategy are offered, focusing on market segmentation, targeting, and brand strategy. The report evaluates Burberry's marketing mix, suggesting improvements and addressing potential challenges and ethical considerations. Furthermore, it explores the Profit Impact Marketing Methodology (PIMM), external and internal risks, and ways to mitigate them. Finally, it reflects on the impact of the organization's strategic vision on the market planning process and the process of securing marketing plan approval.

Running head: MBA MARKETING MANAGEMENT
MBA Marketing Management
Name of the Student
Name of the University
Author’s Note

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Table of Contents
4.1 Strategic marketing plan for an organization:...........................................................................2
4.1.1 SWOT analysis:......................................................................................................................2
4.1.2 Stakeholder analysis:..............................................................................................................4
4.1.3 Recommendation for target positioning and brand strategy:..................................................6
4.1. 4 Critical evaluation and recommendation for marketing mix:................................................8
4.1.5 Challenges after the implementation of plan:.......................................................................10
4.1.6 Expected ethical issues that may arise..................................................................................10
4.2 Profit Impact Marketing Methodology:...................................................................................11
4.3 External and Internal areas of risk...........................................................................................15
4.3.1 Ways of minimizing the risk factors:....................................................................................17
4.4 Critical evaluation on how the strategic vision and direction of your organization impacts on
the market planning process..........................................................................................................18
4.4.1 Explanation on how each of the component parts of marketing plan helps in reaching
strategic goal..................................................................................................................................19
4.4.2 The process required for securing approval for marketing plans within your organization.19
4.5 Critical reflection of own learning:..........................................................................................21
Reference List:...............................................................................................................................23

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4.1 Strategic marketing plan for an organization:
Strategic marketing is a long-term goal for planning, implementing and evaluating
effective plans to achieve sustainable competitive advantage. With the dynamic progress of
business industries, competitors’ market threat is increasing gradually (Armstrong, Kotler,
Harker & Brennan, 2015). Business organizations in order to know the needs and demands of
customers with current market trend have to make effective STP analysis, SWOT analysis,
marketing mix analysis. As a result, the current needs and desires of the customers can be
fulfilled.
Burberry is one of the most remarkable British luxury fashion houses occupying a
recognizable place in the global market. Headquartered in London this very specific organization
is famous for unique fashion accessories, trench coats, delicious perfumes, fashionable
clothing and cosmetics (burberry.com, 2018). Due to the superior quality of their products,
Burberry is very much restricted in introducing their brand for premium cost customers. In
addition, the business experts in quest of expanding their business in different developing
countries have to face immense challenges due to high cost price of the products (Gilligan &
Wilson, 2012). This very specific study has focused to make effective marketing plan and
policies so that the organization can easily enter in the global market by increasing number of
target customers.
4.1.1 SWOT analysis:
Strengths Weaknesses
 Superior quality of products  Limited target group

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 High management skilled employees  Lack of product variety
Opportunities Threats
 Expanding the business process on
global market
 Competitors’ marketing strategies and
policies
Table 1: SWOT Analysis of Burberry
(Source: Lidstone & MacLennan, 2017)
Analysis:
While analyzing the strengths of Burberry, the qualities of products as well as services
come first. As already stated, this particular organization is very much advanced in maintaining
the quality of their products. As per total revenue growth up to 2016, this particular organization
has earned around £2,514.7 million throughout the year. The service quality of the employees is
superior based on which customers have showed their interest in purchasing the products of
Burberry. In addition, the behavioral approach and outward gesture of the employees associated
with the organization is very professional and well mannered (Mullins, Walker & Boyd, 2012).
As a result, customers from diverse cultural backgrounds and attitudes show their positive
outlook in using the services of this organization. It is undeniable on the other hand that the
organization is constituted with major weaknesses.
Due to high cost of products, business organization could not draw the attention of large
number of customers (Morgan, Katsikeas & Vorhies, 2012). In the global market, Burberry has
expanded their business in 498 locations all over the World up to 2016. As per their brand
quality and uniqueness of services, the organization could have expanded their business in more
locations. However, price level is a major barrier due to which the business experts fail to target

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the developing countries. Moreover, the brand is constituted with limited number of products.
Unique fashion accessories, trench coats, delicious perfumes, fashionable clothing and
cosmetics are the core products with which the organization is constituted. As a result, customers
of various psychological backgrounds and attitudes do not show their interest towards purchasing
products and services (Dibrell, Craig & Neubaum, 2014). However, by maintaining an effective
strategic analysis Burberry can expand their products all over the World. In order to overcome
competitive threats the business experts would have to make proper stakeholder analysis.
PESTEL Analysis:
Political  Stable and proactive government
 Split into national and local administration
 Business organization does not have to face challenges in
maintaining tax and tariff due to stability of government
Economic  Stable economy in UK
 Customers belonging to UK do not have to face challenges in using
affording the products of Burberry
Socio-cultural  UK is constituted with the people of diverse cultural attitudes and
backgrounds
 Customers have to face challenges in getting variety of products in
Burberry
Technological  UK is technologically developed country. As a result, the
organization like Burberry tends to maintain their operation process
based on advanced technology.

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Environmental  Amidst biodiversity and climate change Burberry can run their
business by providing environmental friendly products
Legal  Some of the major regulations acts should be maintained for
running business process. The regulations include health and safety
act, anti-discrimination act, right to information act
Table 2: PESTEL Analysis
(Source: McDonald & Wilson, 2016)
Value Proposition:
Value proposition primarily implies a marketing statement with the help of which
company summarizes why customer should use this product by ignoring other competitors. With
the help of this particular marketing statement, the business experts make understand their target
customers about the benefits and facilities that customers are going to achieve by using these
products (Dibrell, Craig & Neubaum, 2014). At the same time, the business experts tend to make
a comparative analysis where their products create a difference from others.
While making an effective marketing promotion the marketing managers of Burberry
intend to create a value proposition map with the help of which customers can easily understand
about the areas of their profit. By making an effective comparative analysis, Burberry marketing
managers have identified the unique quality of their products to catch the attention of customers.

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Figure 1: Value Proposition
(Source: West, Ford & Ibrahim, 2015)
While creating value proposition map the marketing managers of Burberry has primarily
focused on the uniqueness of products and services. However, it can be recommended that the
marketing managers should focus on highlighting their new pricing strategies as well to grab the
attention of international customers.
4.1.2 Stakeholder analysis:
Stakeholder analysis is the process of gathering and analyzing sufficient data to fulfill
needs and desires of stakeholders. Stakeholders are constituted with two major types including
internal and external stakeholders (Tanner & Raymond, 2015). In order to run the entire process
of business organizational experts have to analyze stakeholder for fulfilling their needs and

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demands. However, before analyzing stakeholders the business experts of Burberry have
followed several steps, which are as follows:
 Identify the stakeholders:
The internal stakeholder based on which the success of business is highly dependent
includes employees, managers, shareholders and so on. On the other hand, customers, creditors,
suppliers are considered as external stakeholders.
 Prioritize stakeholders:
As per the priority, Burberry has decided to focus on employees and customers primarily
because sustainability is highly dependent on these two stakeholders. Based on the customers’
satisfaction level the profit of a business organization is highly dependent (West, Ford &
Ibrahim, 2015). Burberry has targeted those customers who are having effective income level of
status for affording the products. On the other hand, Burberry likes to hire the employees from
high skill academic background having effective professional as well as technological
competencies (McDonald & Wilson, 2016). This particular organization has become recognized
as prestigious brands in the realm of fashion industry. As a result, the organizational managers
have hired those employees who can show their multi talents and skills in the business
professional field.
 Understand the key needs and demands of the stakeholders:
In order to satisfy the stakeholders business experts have to fulfill their key needs. As per
the target market, the business experts of Burberry have selected the premium customers for
affording their products. Therefore, the organization has focused to maintain superior quality of

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products and services so that people from different geographical backgrounds and attitudes show
their interest in using this brands (Theodosiou, Kehagias & Katsikea, 2012). Employees
associated with the business organization are well trained possessed with professional
competency. As a result, the customers do not have to face any difficulties in receiving the
services from Burberry. In addition, this specific brand has launched their ecommerce services
in order to make their entire business method more popular.
On the other hand, the organizational experts are very much concerned in fulfilling the
demands of employees who are serving for the company throughout the year. The success of an
organization is entirely dependent on performance level of the employees. It is observed that
Burberry is paying high package of remuneration for maintaining enthusiastic attitude among the
employees (Liu, Kasturiratne & Moizer, 2012). People are from various geographical as well as
cultural backgrounds. Therefore, the business experts should maintain an agile work
environment at the workplace so that employees can show their courageous attitude while
providing services (Foxall, 2014). While maintaining effective stakeholder analysis it has been
observed that Burberry likes to follow autocratic work environment endowed with high
professionalism. As a result, employees face difficulties to share their thoughts and views with
each other.
4.1.3 Recommendation for target positioning and brand strategy:
Brand strategy is a systematic roadmap, which leads the company’s brand for reaching
specific goal. Burberry is one of the prestigious fashionable brands got immense familiarity in
the realm of fashion industry (Smith, 2013). At the same time, it is observed that the range of
target market of this specific brand is very limited. The people belonging to Asian pacific

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countries especially are not very much aware of this brand due to their economic constraints.
However, based on the effective brand strategies of Burberry the marketing managers have
decided to enter in the market of Asian countries for increasing the number of target groups
(Bagautdinova et al., 2012). In this very specific study, an effective recommendation has been
provided based on the target and positioning of the brands:
 Recommendation for segmentation:
As per the market segmentation strategy of Burberry, the marketing managers have
focused to target most of the developed countries all over the World. Consequently, the
organization has to face immense challenges in gaining image and reputation internationally
(Mulhern, 2013). Being extremely luxurious brand Burberry has become restricted to specific
group of people. However, as per geographic market segmentation it can be recommended that
the brand should be expanded all over the World widely including both developed as well as
developing countries for enhancing its profitability. This particular brand likes to arrange fashion
shows for promoting their product concepts. It is one of the most effective ways of direct
promotion (Mohammed & Rashid, 2012). However, it is observed that people having high level
of income status can only afford for visiting those kinds of fashion shows.
Burberry should increase the areas of demographic segmentation by rendering liberal
price level and product diversity. Diversity within products would help the brand immensely for
grabbing attention of people from different psychological backgrounds. As a result, the number
of target market would be increased automatically.
 Recommendation for targeting:

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As already stated, premium customers are the primary target group for this brand. As a
result, after being expanded all over the World, Burberry is very much restricted within specific
group of people. However, business experts would have to expand their target zones all over the
(World Chaffey & Smith, 2013). Only people from high level of income status may not be
effective for increasing the profitability of the organization. In order to increase the sales
volumes, the marketing managers would have to focus on drawing the attention of medium cost
customers (Agarwal, Grassl & Pahl, 2012). As a result, the number of target customers would be
automatically increased. In addition, Burberry is very much restricted to fashionable products.
Therefore, young generation from the age group of 20 to 40 is the primary target customers.
However, it can be recommended that the organization should focus on rendering products for
different age group of people. Automatically, the brand will be expanded widely in the global
market. At the same time, the rate of sales volume would be increased as well.
 Recommendation for positioning:
Brand positioning is one of the most effective factors based on which the image and
reputation of a particular product is highly dependent. As per the previous positioning strategy of
Burberry, the marketing managers concentrate to use the platform of social media or other new
media vehicles (Majaro, 2013). As per the current business scenario, young generation is very
much accustomed with the advancement of technology. As a result, the people belonging to
different age group are getting deprived of receiving proper overview about the brand features.
However, it can be recommended that brand-positioning strategy of Burberry would have to be
evaluated so that people of various age groups can be familiar with different products such as
unique fashion accessories, trench coats, delicious perfumes, fashionable clothing and
cosmetics.

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4.1. 4 Critical evaluation and recommendation for marketing mix:
Marketing mix is one of the most significant strategies of promoting the brads in various
geographic areas based on target market zone. Based on the 7PS primarily, this particular
promotional strategy intends to reach the brand and its concept towards the doorstep of target
customers (Ghezzi, Cortimiglia & Frank, 2015). However, in this very specific study, an
effective recommendation would be provided based on 7 Ps primarily for enhancing the brand
value of this organization.
 Product:
Unique fashion accessories, trench coats, delicious perfumes, fashionable clothing and
cosmetics are the core products of Burberry. It is undeniable that the existing products of
Burberry have high features and unique designs. At the same time, the business experts are not
dealing with product variety. As a result, customers tend to show their reluctant attitude in
purchasing similar designed products (Carrington, Neville & Whitwell, 2014). However, in order
to introduce their products in the international market widely, the product managers would have
to concentrate on increasing the variety of products.
 Promotion:
Product promotion is one of the most significant methods of introducing the brand in the
realm of international market. As already mentioned, Burberry is very much concerned in
introducing their brands and services by using digital media vehicles (Görener, Toker & Ulucay,
2012). Social media like Facebook, Instragram, Youtube are the primary platforms where the
marketing managers introduce their new agendas as well as new products. As a result, the