MRKT20057 Marketing: Ugg's Expansion Strategy in UK Presentation

This presentation provides an analysis of Ugg Australia's potential expansion into the United Kingdom market. It examines the rationale behind the market choice, including political stability, proactive government regulations, low interest rates, a strong economy, and high disposable income. The presentation outlines competitive, pricing, promotion, and distribution strategies that Ugg can adopt to succeed in the UK, such as maintaining high-quality products, utilizing value-based pricing, leveraging mobile and social media for promotion, and establishing a reliable distribution network. The presentation concludes with recommendations for Ugg, including addressing cultural and social issues, analyzing negative market aspects, understanding customer preferences, and adopting a direct sales strategy. The aim is to provide insights into how Ugg can effectively penetrate the UK market and establish a strong brand presence, with the presentation aiming to enhance understanding of marketing strategies for global expansion, and Desklib offering additional resources for students.

Running head: GLOBAL BUSINESS MARKETING
Global Business Marketing
Name of the Student
Name of the University
Author note

1GLOBAL BUSINESS MARKETING
Introduction
The report throws light on analysis of the rationale of the choice along with selection
of market and entire strategy adopted for Ugg, Australia. The different strategies related to
pricing, competitive, promotion and distribution strategy has to be identified and analysed
effectively as to analyse the different recommendations.
The main aim and purpose of the report is to understand the strategies that are
required to be utilised in promoting the same brand in United Kingdom. United Kingdom has
been chosen as the economy is stable and the technological advancements has tried to
transform the country along with the different marketing strategies as well.
Analysis of Rationale
The main rationale of the choice of Ugg foot wear company to expand in United
Kingdom is that the entire nation is politically stable along with the proactive government
regulations. The low interest rate is the other factor that can help the company in receiving
fund for marketing activities.
The respective country has strong economy and the high disposable income can
facilitate the organization to attain the different interests of the individuals in brand of Ugg.
Furthermore, due to technological advancements, the economy has been transformed and this
provides the company to market their products effectively.
Market Selection and Strategy
The market in United Kingdom has been selected for the Ugg footwear brand as after
conducting the PEST analysis, it has been analysed that there are various top fashion brands
that are quite successful. Furthermore, it has been noticed that the nation is multi-cultural
place in which the individuals of various races flourish (Appiah-Adu & Amoako, 2016). The

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brand is very fashionable in nature and the main competitive advantage of Ugg Australia is
that they provide premium quality by enhancing their brand positioning in United Kingdom.
The main motive of Ugg, Australia is to expand their presence in various countries by
implementing marketing campaigns to understand the tastes and preferences of the customers
in the market. However, it has been noticed from PEST analysis, the expansion in UK can be
little disadvantageous for the company as the trends are changing and the respective brand
can not appeal the people in the nation appropriately as well (De Pelsmacker, van Tilburg &
Holthof, 2018).
Competitive strategy
The competitive strategy that has to be adopted by Ugg, Australia to expand in United
Kingdom is to maintain appropriate quality of the shoes that are sold to the customers. The
Ugg brand is popular in Australia, and in order to expand in United Kingdom, it is essential
to grab the attention of all the customers with high quality products along with minimal
pricing technique. Ugg footwear brand can step in the mobile strategy as this can play a key
role in increasing their brand awareness among individuals effectively (Ottman, 2017).
Pricing strategy
The pricing strategy of Ugg footwear company that can be used by them is value-
based strategy of pricing as this ensures growth in the profit and sales. This respective
element of the marketing element helps the company in identifying the prices of the company
that is applied by them to maximise the profit (Grönroos, 2016).
Ugg has to consider the perception of the customers about the value of the products.
The value-based pricing will assist Ugg footwear in succeeding in UK as they provide quality
products at a minimal rate. This can help Ugg in controlling costs and influence the pricing of
the product (Pappas, 2016). Ugg footwear company can include the different kinds of pricing

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strategies that can be competitive in nature in comparison to the other footwear brands that is
situated in United Kingdom.
Promotion strategy
Ugg can adopt the mobile and social media networks to reach out to the different
customers as this can enhance their brand image in the market. Ugg can sponsor different
events as this will help them in attracting the different customers in the market (Ganguly, Das
& Farr, 2017).
The quality products developed by Ugg can be recognizable in the UK market and
create a loyal customer base in the entire market. Ugg footwear has to appoint different brand
ambassadors as to enhance their brand image effectively and appropriately (Funk, Alexandris
& McDonald, 2016).
Distribution strategy
The marketing strategy pf Ugg is embraced by different organizations and Ugg
provides reliable distribution network of the products to improve the sales and gain more
profit. Ugg footwear company can distribute the items through different channels such as by
selling the products to the customers directly in the UK market or selling the products to the
wholesalers (Armstrong et al., 2015).
As Ugg footwear brand is expanding their presence in the United Kingdom market,
they can directly sell to the customers and offer the products to the wholesalers as this will
assist them in gaining competitive advantage.
Concluding recommendations
Therefore, it can be recommended that Ugg footwear brand has to analyse the entire
market of United Kingdom in an effective manner. It is suggested that the company has to

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analyse and address the different cultural or social issues that can be faced by them in UK
market as the preferences of the customers are different and this might not appeal the
customers effectively as well. The negative aspects of the UK market have to be analysed
efficiently in such a manner that this can help them in managing the issues related to
distribution and sponsorship or promotional strategies.
Furthermore, from the PEST analysis, it can be recommended that Ugg footwear
brand has to understand the preferences of the customers in the market in such a manner that
the influence of the government has to be reduced as this can affect the business negatively.
Ugg has to adopt the direct sale to the customers strategy appropriately as this helps them in
managing the risks and solve the issues.
The value-based pricing strategy can be difficult for the company in the beginning
while setting up the business in United Kingdom. Therefore, it is recommended that the
company has to analyse the market situation more appropriately as the company can compare
the prices with other competitors in the market and solve the issues effectually as well.

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References
Appiah-Adu, K., & Amoako, G. K. (2016). The execution of marketing strategies in a
developing economy: A case study of selected market leaders. African Journal of
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Armstrong, G., Kotler, P., Harker, M., & Brennan, R. (2015). Marketing: an introduction.
Pearson Education.
De Pelsmacker, P., van Tilburg, S., & Holthof, C. (2018). Digital marketing strategies, online
reviews and hotel performance. International Journal of Hospitality Management, 72,
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Funk, D., Alexandris, K., & McDonald, H. (2016). Sport consumer behaviour: Marketing
strategies. Routledge.
Ganguly, A., Das, N., & Farr, J. V. (2017). The Role of Marketing Strategies in Successful
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Grönroos, C. (2016). Internationalization strategies for services: a retrospective. Journal of
Services Marketing, 30(2), 129-132.
Ottman, J. (2017). The new rules of green marketing: Strategies, tools, and inspiration for
sustainable branding. Routledge.
Pappas, N. (2016). Marketing strategies, perceived risks, and consumer trust in online buying
behaviour. Journal of Retailing and Consumer Services, 29, 92-103.