On course project
Marketing management
ABM 126
Topic:
Branded apparels
Group: 7
Members:
A. Harini
C. Vennala
G. Uday Kiran
M. Vinay Kumar
P. Mahesh
Shrusti Danvijay
Topic selected: Branded apparels
Reasons:
To understand the competitive landscape and growth opportunities of
apparel industry in India.
Branded apparel can provide insights into consumer behaviour, trends,
and preferences.
Investigating how technology is shaping the design, production, and
marketing of branded apparel, including the use of e-commerce
platforms, augmented reality, and sustainable materials.
Analysing why consumers prefer certain brands, the impact of brand
image, and the psychology behind brand loyalty can be insightful for
marketing strategies.
Companies selected:
Zara
Zudio
Reasons for selecting these companies:
Both are fashion choices of many people
Famous and trendy designs
To compare local and global brands
To understand operational approaches of both brands
Research methodology:
Qualitative method
Observation and interpretation of objectives, exploratory research designs.
orientation is grounded theory, and technique/tool is observation.
Quantitative method
Data collection is done in this method from various sources.
Scope of business:
The scope of branded apparels in the Indian market is expected to grow
further in the future, as the consumers become more aware, aspirational, and
experimental with their fashion choices. The manufacturers and retailers of
branded apparels need to understand the consumer behaviour and
preferences in order to offer them value for money, quality, and satisfaction.
They also need to adopt innovative strategies such as product differentiation,
functional upgrading, brand building, and customer service to remain
competitive and profitable in the long term
Nature of business:
Fashion retail industry
Both Zara and Zudio are B2C
Demand estimation of branded apparels:
The Indian apparel market is experiencing significant growth, with an estimated
revenue of US$96.47 billion in 2023 and an expected annual growth rate of
3.34% (CAGR 2023-2027).
The largest segment, Women's Apparel, is projected to contribute US$43.65
billion to the market volume in 2023. This growth is driven by several factors.
India's expanding population and increasing disposable income have led to a
diverse consumer base with varying preferences.
The growing adoption of a luxury lifestyle among millennials has boosted the
demand for high-end apparel.
Issues of buyer behaviour that impact buying decisions:
The fashion branded apparel industry is influenced by various factors, and
several issues can impact purchasing decisions. Here are key issues related to
buyer behaviour in this industry:
1. Trends and Fashion Cycles: Rapid changes create pressure for on-trend
purchases.
2. Brand Image and Identity: Strong brand associations impact loyalty.
3. Social Influence and Peer Pressure: Friends, family, and social media
shape preferences.
4. Price Sensitivity: Affordability and perceived value influence choices.
5. Online Shopping and E-commerce: Concerns about fit, quality, and
returns affect decisions.
6. Sustainability and Ethical Concerns: Awareness influences choices
aligned with values.
7. Personalization and Customization: Demand for unique products
challenges brands.
8. Influencer Marketing: Social media endorsements sway consumer
perceptions.
9. Fit and Comfort: Accurate sizing and comfort impact purchasing.
10.Cultural and Lifestyle Influences: Preferences shaped by cultural and
lifestyle factors.
Nature of STP of both companies:
Zara:
Segmentation:
- Targets younger, fashion-conscious individuals.
Targeting:
- Focuses on those willing to pay more for trendsetting styles.
Positioning:
- Fast-fashion leader with a balance of affordability and luxury.
Zudio:
Segmentation:
- Targets a broad demographic seeking affordable fashion.
Targeting:
- Appeals to budget-conscious consumers.
Positioning:
- Emphasizes affordability and trendy clothing for the mass market.
Both focus on providing fashionable clothing, but Zara targets a slightly higher-
income demographic with a luxury touch, while Zudio emphasizes affordability
for a broader market.
Differences:
Zara tends to target a slightly higher-income demographic and positions itself as
a trendsetter with a sense of luxury.
Zudio focuses on affordability and caters to a broader demographic, including
families seeking budget-friendly fashion.
