A4019141 Marketing Management MBA INTAKE 3 Group A

Introduction : 

Introduction Topshop is one of the leading high street fashion brand in UK It has been using its new innovative ideas to be competitive in the market Topshop has 300 stores in UK and over 100 stores international and it is part of Arcadia Group. Arcadia Group Ltd is the UK’s biggest clothing retailer with more than 2500 outlets around the UK and worldwide

Topshop Current Marketing Approach : 

Topshop Current Marketing Approach Topshop is the most profitable brand of Arcadia’s Group Portfolio Increase in operating profit and revenues even when Arcadia operating profits decreased by 6.1%. In 2009 Arcadia total sale increased by 3%, this was due to the reduction in the VAT by 2.5%

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Prices The prices vary as per the range and quality of the products. The most expensive range for the high end customers is Unique Collection which is maximum priced around £275.

Objectives : 

Objectives Successfully introduce Topshop organic cosmetic range and to create an awareness in order to achieve acceptance of the product in the market. Use strategic marketing tools to create market share and produce brand loyalty. To achieve economies of scale by using common branding and supply chain. To use innovative, eco friendly and natural materials to produce the cosmetics.

Situation analysis : 

Situation analysis Porter Five Forces Rivalry Among Competing Sellers -The rivalry amongst the other players in the retailing sector is very high, Zara, H&M, UCB, Next . Threat of Substitutes -The new cosmetics should be catering a new market as well as the retention of the old customers. to availability of many brands in the market, there is a considerable threat for substitutes

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Potential New Entrants – The cosmetic market is already very competitive. It is not very easy for new entrants to enter into this segment but is possible at a base level cosmetics products Power of Suppliers – Bargaining power of the suppliers is comparatively low as well. that the suppliers feel good to be associated with brands like Arcadia and due to sheer volumes of the purchase done by the Arcadia group Power of Buyers – The buying power of the customers is high as they already have many brands available in the market. Topshop should provide excellent customer service and high quality products in order to create an impact in customer’s mind.

SWOT Analysis : 

SWOT Analysis

Product Life Cycle : 

Product Life Cycle Topshop in the late maturity stage leading to a decrease in the sales with a saturated market. The company should re-invest in the business by introducing a new product line in order to increase sales revenue. Creating a whole new product life cycle in organic cosmetics range

Conclusion : 

Conclusion Topshop is a renowned brand and especially in UK it is amongst the leading high street brand. The company should focus on its brand image and the quality provided to its consumers. As the products are widely accepted by a large audience company should use this brand image as a basis for launching its new organic cosmetic products. Using the already existing supply chain and stores for selling will be advantageous to the organisation. Moreover deliberate effort should be given to educate the customers regarding the importance of the natural, organic cosmetic products.