IntroductionKeRa is an apparel brand launched in New Ark two years ago by Ms Elena Forbes. The first collection was created as a part of her graduation collection from the Centenary College in Hackettstown, NJ. KeRa’s main production line consists of the plus-size garments, such as blouses, dresses, coats, leggings, skirts, and pants. The brand exclusivity is enhanced by the top- quality fabrics from Italy and France that are used in the process of items manufacturing. KeRa produces four collections every year, all developed by its founder, Elena Forbes.
KeRa’s target market consists of the fashion-interested women, who wear at least size 14. The targeted client wants to enjoy fashion and is ready to purchase more expensive clothing items than the average consumer is. A typical KeRa’s customer is professional, classic, active, and looking for fashionable and high-quality clothing. She shops for style, not just for size, looking for items that flatter her, looking for the top-quality fabrics, accessories, and the latest silhouettes.
The marketing of competitors, holiday shopping and general economy trends can all influence the performance of KeRa. On a macro-economic level, the confidence of consumers, inflation and interest rates all affect the company. Political concerns, high unemployment rates in New Jersey and deflation also pose certain risks (Department of Labor and Workforce Development, 2016).
Catherine Gilbert is the first of possible competitor to be considered. It is a haute couture clothes boutique for women wearing plus sizes. Apart from the top quality hand-made dresses, Catherine Gilbert offers exclusive leather accessories (bags, wallets, belts) to complete a harmonious match with their primary products. Their prices are the highest in the region, up to $700 per dress and up to $1,500 for a leather bag. Their strategy seems to be oriented towards the wealthy individuals market, where a luxury look is what people want and can afford.
Boogary represents the second group of competitors in the region. This is an average-priced fashion brand for women who wear plus-sizes. The company’s strategy appears to occupy the middle-range of quality and price, where most of the market is likely to be. This brand has 5 stores and numerous fidelity clients in the region. However, the brand’s web site’s is poorly developed. The company’s social media profile seems to be completely abandoned.
Plus Line is the third competitor who offers plus-sized apparels in the region. This brand sells the cheapest items in the range. Originality, style and the quality is the price. This brand’s strategy is the appeal to the low-income women who wear plus sizes.
KeRa’s Target Markets
Women aged 36-45 and wearing plus sizes constitute the primary market for KeRa. Individuals from this age group are more likely to gain weight due to decreased metabolism, lower physical activity level and sedentary lifestyle (Downey, 2016). This group is expected to have larger purchasing power, in comparison with the younger women (Bernnan, 2015). The collection line calculated for this age group carry a combination of formal office dresses and fashionable stylish garments. At the moment, office dresses represent the most successful assortment of KeRa, since plus size formal apparels can be hardly found in the market.
The secondary target market for KeRa include plus-size women from 18 to 35 years old. These are both college students, mothers and young specialists who have entered into careers for a couple of years. The collections developed for these potential customers are oriented towards the latest trends of the fashion industry and official apparels.
The Five Cs Analysis
KeRa was founded by Elena Forbes in 2014. The current corporate office is located in Newark, NJ, with three retail stores located across the State. KeRa’s typical customer is a fashion-interested woman, who wears at least a size 14. Several competitors are present in the market for the plus-sized women, however, a few of them offer top quality office apparels. KeRa closely collaborates with the multiband retail boutiques across the state of New Jersey. According to CDC, about 63 percent of adult New Jersey population is overweight. This population category needs high quality clothes to address their specific needs, create a harmonious style and be fashionable.
The STP Analysis
Company’s target market is segmented in two main categories: plus-sized women professionals of 36-45 years old, and younger women (18 to 36 years of age), including college students and young professionals. KeRa’s position and mission is to serve the apparel needs of the plus-sized women with the very best fashion selection, service, value and fit.
The Four Ps Analysis
KeRa’s main products include plus size apparels, such as blouses, dresses, coats, leggings, skirts, and pants. These are in a wide price range, where plus-size dresses cost on average $100- $200, skirts $50 -$160, coats $300 – 400, jackets $200 – $300, blouses $60 – $100 and leggings $25 – $35. KeRa distributes its products through three retail stores across New Jersey State and plans to start online sales through the KeRa’s official website. KeRa offers discounts in the form of the in-store promotions ($10 off for $50 purchase) and plans to offer coupons for on-line purchases ($30 off for $150 purchase).
Short Term and Long-Term Goals
KeRa’s long-term goals will include the following. To double its revenue during the next 5 years. To keep receiving at least 95 % positive feedback from the customers regarding the quality of the product and service provided. This goal will be measured with the help of the monthly customer questionnaires. The next goal is to increase KeRa’s web-site traffic by at least 100 % by the end of the current fiscal year. This goal will be measured with the help of the average website visitors’ analysis.
KeRa’s short-term goals include the following. To launch the online sales through the company’s official web site, start and regularly update a blog and a Facebook business page. To redesign the company’s online customer service, and regular customer satisfaction questionnaires, making emphasis on the monthly discounts for customers who take the time to respond. Customer’s involvement will be the main outcome measurement strategy for this goal. The next short-term goal is to invest into the web traffic analysis software to better control the current traffic trends. To hire a web developer (possibly a freelancer) for one month, who will introduce the programming changes to make the company’s web-site look modern and appealing to a broader audience. The success of this goal will be measured though an increase in the web-site visitors.
Being aware of the need to leverage the strengths of KeRa in order to continue building a successful business, this marketing plan will analyze company’s Strength, Weakness and Opportunities, while describing potential threats that may be faced (Fine, 2009). The strengths of KeRa brand are not limited to the professionalism, experience and expertise of its founder and employees, but also the passion, unique concept, original ideas, excellent client communication, developed network and ability to convert new clients to loyal customers. The internal strengths of KeRa is the associate teams and strong management in each of its three stores, and the high-quality garments offered. The employees’ hard work, integrity and dedication continue to support KeRa’s promise of an honest and open communication in a respectful workplace. The fashionable design of the garments, top-quality of accessories, fabrics and finishing is what makes customers come back in these stores.
The current weaknesses include limited budget, the absence of the online store and almost complete absence on the internet (a basic web site, no social media page or a blog).
KeRa has favorable factors and opportunities that allow the company to expand and promote its business. Creation of an online store, blog, and a professional social media page, representing the brand in the best light can help the company reach existing and potential buyers on the internet.
KeRa faces several threats. There are several well-established and successful stores offering similar types of products in the region that easily attract new clients. Though, these are not numerous, they already have a wide and well-established client bases. In case the business experiences low profits for a prolonged period of time, financial challenges may arise. Some of the external threats that KeRa may face are economic issues. KeRa’s customer is very loyal, but due to higher fabrics, accessories and manufacturing costs of the garments, the prices for KeRa’s products are higher than the average in the market.
- Bernnan, B. (2015). Top 10 Things Everyone Should Know About Women Consumers. Forbes.com. Retrieved 25 April 2016, from http://www.forbes.com/sites/bridgetbrennan/2015/01/21/top-10-things-everyone-should-know-about-women-consumers/#2c766242897d
- Department of Labor and Workforce Development. (2016). Current Employment Press Release. New Jersey. Lwd.state.nj.us. Retrieved 25 April 2016, from http://lwd.state.nj.us/labor/lpa/pub/emppress/pressrelease_index.html
- Downey, M. (2016). Age-Related Metabolic Decline and Weight Gain – Life Extension. LifeExtension.com. Retrieved 25 April 2016, from http://www.lifeextension.com/magazine/2012/12/age-related-metabolic-decline-weight-gain/page-01
- Fine, L. (2009). The SWOT analysis. [Place of publication not identified]: Kick It.