Marketing Mix and Positioning

(Assignment 2)

Paper:
Fashion Marketing

Faculty:
Mr. Sushil Raturi

Submitted by:
Akansha Choudhary | MFM, Sem 1, 03
Arnav Paitandy | MFM, Sem 1, 06
Gaurang Gupta | MFM, Sem 1, 11
Natasha Dhawan | MFM, Sem 1, 16
Prachi Mehta | MFM, Sem 1, 21
Sunil Kerketta | MFM, Sem 1, 31

National Institute of Fashion technology, Mumbai

November, 2008
Raymond ZAPP! MFM, Sem 1 | NIFT, Mumbai | 2008

INTRODUCTION

Grown-ups never understand anything, and it is tiresome for children to be forever

explaining things to them, writes Antoine de Saint-Exupery in The Little Prince. The
grown-ups might not have understood kids in Exupery’s social allegory, but apparel
brands have. Gone are the days when kids were being taken to zoos, museums and
fortresses. Today, even educational trips for children are being organised in malls.

The branded apparel market in India is worth US$ 750 million and is growing at a
steady pace of 18 to 20 percent—all despite competition from local, unorganized
markets with an estimated worth of US$ 3.5 billion. According to research firm KSA
Technopak, the overall kids’ apparel market size is over Rs 13,000 crore, of which
branded segment consists Rs 3,000 crore.

Fueling this growth is a rise in peer pressure and exposure to fashion trends on
television that has encouraged Indian kids to think independently and dictate what they
want to wear. Also, a growing population with double-income and single child families
has led to the increase in disposable income, compelling parents to spend more on their
kids, particularly in urban areas.

To exploit these above mentioned trends, companies like Raymond are launching
exclusive stores for kids’ apparels. ZAPP! is an attempt to grab a major share of this pie
with Raymond’s aiming to be among the top three players in the Indian market.

Raymond Group, jumped into the fray in 2006 with Zapp!, to capitalize on this lucrative
market. From charming blazers for boys to preppy skirts for girls.

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Raymond ZAPP! MFM, Sem 1 | NIFT, Mumbai | 2008

STORY BEHIND THE NAME OF THE BRAND

The name has been derived from the 5 mascots of the brand:

Zion
a 10 year old boy who is the eldest in the group and the most popular
guy in the school.

Ashley
A 7 year old girl who is completely carefree and adventurous and who
loves to participte in sports.

Posh
A fashion conscious 8 year old girl who spends most of her time
socializing.

Pixel
The youndest in the group, who loves to watch power rangers and
invent new things.

! Jambo
A pet dog who is always ready for adventure

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Raymond ZAPP! MFM, Sem 1 | NIFT, Mumbai | 2008

PRODUCT MIX AND PRICE POINTS

Zapp! offers an exciting range of garments and accessories targeted at fashion

conscious young adults between the age group of 4-12 years. It has a styling studio in
Bergamo, Italy. The company strongly feels that the brand needs to understand the
market better, in order to produce clothing designs that appeal to their target audience.

The brand offers everything from party wear to casual wear, kids can now choose a
different style for each different occasion. Designed in-house, the Zapp! clothing line
has been classified as following:
 Basics
 Denim
 Street wear

To go with their clothes, kids can also shop for accessories such as footwear, bags, bed
and bath linen.

Zapp! Has been introduced keeping in mind the parents who want the best for their kids.
The brand has been conceptualized to complete the Raymond portfolio.

Many homes now have double income and a single child, they want the best for their
kids. So Raymond is now targeting another important customer - the kid along with
offering products for the entire family

The pricing of the Zapp! brand does not limit it only to the metros. Instead it has been
planned for Tier II cities as well. The merchandise is offered in the price range of
Rs. 299 – Rs. 1399. This makes it a very affordable brand in all major cities of India.

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Raymond ZAPP! MFM, Sem 1 | NIFT, Mumbai | 2008

Product Offering and Price Points

S Sub Brand Product Range Price Range Product Sizes

# (INR) Class Available
GIRLS
1 Girls tops 599 – 799 Basics XXS / S/ M/ L/
XL/ XXL
2 Girls Shirts 2390 Basics XXS / S/ M/ L/
Fairy Magic XL/ XXL
3 Girls Jackets 999 – 1399 Denims XXS / S/ M/ L/
XL/ XXL
4 Frocks 1045 Basics XXS / S/ M/ L/
XL/ XXL
5 Girls Denim Jeans 699 – 899 Denims S/ M/ L/ XL
6 Girls Cotton Trousers 799 – 899 Street Wear S/ M/ L/ XL
7 Girls Dungarees 799 Street Wear XXS / S/ M/ L/
XL
8 Skirts 699 – 799 Street Wear XXS / S/ M/ L/
XL
9 Girls Capris 699 Denims XXS / S/ M/ L/
XL/ XXL
10 Girls tops 599 – 799 Basics
BOYS
11 Boys Cotton Trousers 899-999 Street Wear S/ M/ L/ XL/
Flying XXL
12 Boys T-shirts 399 – 799 Basics XXS / S / M/
L/ XL/ XXL
13 Boys Sweatshirt 899 Basics XXS / S / M /
L / XXL
14 Boys Denim Jeans 899 – 1099 Denims XXS / S / M/
Oxford Blue L/ XL
15 Boys Shirts 599 – 899 Street Wear S / M/ L / XL/
/ Basics XXL
16 Boys Capris 799 Denims S / M/ L / XL
17 Boys Denim Jacket 999 Denims S / M / L / XL

Display of the garments:

1. The garments are hung on hangers and displayed on wall mounted displays and
four way browsers.
2. Every garment has a price tag and a Sub- brand label hanging from the garment
label.

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Raymond ZAPP! MFM, Sem 1 | NIFT, Mumbai | 2008

PROMOTION

Zapp! has come out with a variety of ideas to make the shopping experience more
engaging for kids. It believes in a 360 degree marketing approach including events and
promotions helping the brand generate visibility and stand out in the clutter.

The flagship stores are equipped with a large plasma screen that welcomes a Zapp!
club member by throwing up his picture and a greeting. This is a unique way that the
brand bonds with children who immediately feel important when they step into the store.
Some stores also have a play area and a bookshelf where kids can keep busy while
parents settle the bill. The most exciting part about the store experience is the "igloo
shaped" trial room.

The Zapp! brand has an agreement with Warner Brothers to feature Superman on its
clothing range, which has worked well for the brand.

Recently, in August 2008 Zapp! celebrated Onam in a different way in Kerala. It

provided kids with a flair for fashion designing an opportunity to explore their talent. Kids
and mothers could walk into the Zapp store and participate for free in a design-made-
easy contest, where materials and guidance were provided for kids to design their
dream garments with the help of a parent, using the traditional Kasavu fabric. The best
design sketches will be selected by the Raymond Europe studio in Italy and certificates
awarded with a special prize to encourage the talent.

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Raymond ZAPP! MFM, Sem 1 | NIFT, Mumbai | 2008

DISTRIBUTION OF ZAPP!

Launched in 2006, in a span of two years, the brand has grown from a single store in
Ahmedabad to a chain of 18 exclusive stores, four franchised stores, 56 national chain
shops and 100 multi-brand outlets throughout India.

The designs are made in-house at the design center in Italy. Majority of the ZAPP!
garments are outsourced from various manufacturer across India.

Presently Zapp! has a presence in the following cities of India:

 Ahmedabad
 Bangalore
 Calicut
 Chennai
 Cochin
 Delhi
 Gurgaon
 Hyderabad
 Kolkata
 Mumbai
 Navi Mumbai
 Nagpur
 Pune

The brand also has its retailed in the Middle East with presence in Abu Dhabi and
Bahrain.

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Raymond ZAPP! MFM, Sem 1 | NIFT, Mumbai | 2008

POSITIONING AND TARGET CUSTOMERS

ZAPP! is a brand that is synonymous with fun, attitude and adventure unlimited. A brand
that sketches a new way of life for kids.

Emergence of the child as an independent buyer has given a boost to the branded
kidswear market. With effective publicity mediums like Pogo or Cartoon Network, video
games, blockbuster of superheros and the influence of peers, kids are aware of the
latest fashion and trends in clothes, footwear and accessories.

Zapp! considers the retail stores as one of the most important consumer touch points,
and the company has done well in planning store environments that are lively and
engaging. The interiors have a colorful and modern appeal, and the color-coordinated
shelf displays allow customers to mix and match their children’s clothing and
accessories.

Raymond has also recently introduced the ColorPlus Junior line. This may lead to
cannibalization of the Zapp brand. But Raymond feel otherwise. It considers Zapp as
standalone kids wear line, and do not think that it will clash with Junior. They argue that,
while Zapp will remain an exclusively for kids shop, Junior is intended as a complete
family experience in the premium category.

Zapp! as a brand is positioned as a better product compared to the competition from the
majority of unorganized players in the kids wear market. It eyes its customers amongst
the kid of today who are aware and select their purchases themselves. Also the families
targeted are those who prefer to offer to their kids the best. So if the parents wear
Raymond brands to look perfect, they won’t let their kid be far behind.

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