Professional Documents
Culture Documents
A)Intracompanyperceptionofaband.
B)Publicperceptionofabrand,resultofpositioningandmarketing
measures(Ritacoveredspecificationsofthistopicinherpart)
*Abrandisonlyqualifiedasaluxurybrandonlyifititsucceedsininducing
luxuryassociationsinthemindsofitstargetconsumers.
WhatmighthaveaccountedforShanghaiTangsunsatisfactoryresultsin
buildingagloballuxuryChinesebrand?
ItisveryhardandchallengingtopositionaChinesebornandmade
brandasLuxury,duetoChinesenothavingalotofknowledgeregarding
codesofluxuryandhowtocreateperceptionofluxuriousness.
TheperceptionandawarenessoftheChinesemarketinthisfield,isvery
shadowyamongstchineseandnonchineseconsumers.FrankieXie,an
alreadyexistingbrandwas/isagoodexampleofthedisadvantageous
perceptionthatChinesebrandshave,relativetothewesternones.Allin
all,Madeinchinaandluxurycanbecompatible,butthereisaneed
formarketeducation(inaluxurioussense).
ShangaiTangisnotveryconsistentinwhatrelatedtothestylesthat
wereincludedinthedesign(bothprerevolutionaryandcultural
revolutionstylesandpostmodernrepresentation)ofitsapparel.
Misleadingchinasheritageimageprovidesalackofeffective
storytellingandmakesChinesedesigners,whostrivetodeveloptheir
designsintoaluxurybrand,notabletomakemuchuseofthebrand
personalityconcept.
Noneffectiveusageofcelebritymarketing(bychoice).
Disastrousstrategyregardingthe1ststorethatwasopenedinNewYork.
Madisonavenueheldarentofabout2.7Million$dueannually,which
intheend,accountedformuchmoremoneythantheBrandcouldafford.
Theoutcomewasanenormousdebt.Inaddition,talkingabouthe
Americansociety,itwasclearthattherewasaknowledgegapregarding
ShangaiTangandthattheassemblingandmixtureofcolorsusedinthe
companysproductswasnonappealingtoathemajorityofAmerican
customers.Itismentionedthattheycouldbuysimilarlookingproducts
forcheaperpricesatotherstores.
Tosumup,bythattime,thebusinesswasnotexpandable.More
concretely,therewerealmostnonexistingrepeatedsales(twodressesfora
womanwereenough,asstatedinthecase).
Whatcouldtheyorshouldtheyhavedonedifferently?
Intro:
BMODELrequirements:
a)FULLCONTROLVALUECHAIN
b)CONTROLDISTRIBUTION/RETAIL
c)EXCELLENCE
d)PASSION(MATERIALS,DETAILS,PRODUCTS)
e)HANDMADEPARTIALLY,STRONGHUMANCONTENT
f)NOTABOUTVOLUMENONORDINARY,RARE,EXCLUSIVE
g)AVOIDLICENSES!
h)ONEONONERELATIONSHIPSW/CLIENTS
i)ROOTEDWITHHERITAGE
j)NEVERDELOCALIZED
k)SYSTEMATICALLYINCREASEPRICE
l)BUSINESSOFELEVATION:Timeless,SelfDistinction,Superlative(not
comparative),Priceless
Suggestions:
Addamorecontemporaryexpressionandgazetowhatwasproducedat
ShangaiTang.Withtheabovewrappedupstrategy,neithertheideaofhistory
wasmadeperceivednorconsistencywasattained.Brandpersonalityand
effectivestorytellingcouldsuccessfullybereachedbychangingtheinbuilt
designofclothesandbycarefullydecidingwhataspectsoftheChinese
heritagetobebroughtin.
Thoughcelebritymarketingisnotalwaysaviablechoice,itshouldnotbe
disregardedduetothehardnessofbuildingaluxurybrandwithrootsinchina.
Celebritiesperceivedwithrefinedfashiontastecouldbepowerfulallies,if
usedwithintheconveyedluxuryrelatedmarketingstrategies.