Burberry Case Analysis

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Burberry is over a century old and has successfully transformed throughout time while keeping its classic image. In the reading it was stated that Burberry wanted to be “accessible luxury”, placing itself along side Ralph Lauren for apparel and Gucci for accessories. This ties in well with the target market being the new 25-year-old business man making a point as well as their loyal market of the 60-year-old established business man with a high disposable income. This plan seemed in line with a profitable long term plan, giving Burberry the ability to extend their brands in new directions while holding an image of high quality. Each brand, collection, and distribution channel holds an important role in Burberry’s business strategy. First, the various Burberry brands play key roles across the board in the brand image. Some sub-brands are exclusive to certain areas of the world. The brands that do not satisfy the perceived needs of an area are not distributed there. This plays an important role of not tainting the image Burberry has in its loyal customer base’s minds as well as allowing outreach to new markets. For example, the Burberry Blue and Black labels, aimed for young women and men, were available only in Japan. Aside from market specific brands, Burberry Prorsum succeeds in demonstrating the high-end luxury image of Burberry overall. Secondly, the range of collections allows Burberry to demonstrate its core attributes, functionality and quality, in multiple areas. The collections range from womenswear, menswear, to accessories. Accessories showed to be a very profitable collection by giving the entry level customer an accessible point to try out Burberry as a brand. Last but certainly not least, the distribution channels chosen play an important role in the maintenance of Burberry’s brand image. Licensing while showing to be only around a 10% sales role

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