Lowering the price of a product to stimulate sales is a conventional strategy employed in every area of sales, but simply announcing the price drop may not be enough and can even have a negative effect if buyers perceive the price drop as a reflection of the product's true value. Appropriate discount pricing strategies dispel this idea and introduce the idea of a limited price drop for buyers who respond quickly. A related strategy is to pitch the product as something that will only be available for a short time. Discount Pricing for Product Introductions No single discount pricing strategy works best in every situation.
Business owners have less control of these external factors, and their impact in changing them is minimal. Instead, small companies must adapt to these macro environmental factors, which include consumer characteristics, technology, government influence and the economy.
The way small companies adapt to macro environmental factors determines both their ability to differentiate themselves from key competitors and overall success.
Union workers in clothing manufacturing plants may picket their employers, especially if their wages or medical benefits are less favourable than workers in comparable industries. Workers picketing their clothing employers impacts production.
This can cause delays for retailers in getting spring or fall fashions on time. Activists who are not employed by the companies may also picket retailers who purchase clothing from countries known for violating child labour laws.
During economic boom periods, people have more disposable income. Hence, they may buy more clothes, increasing sales for clothing manufacturers, wholesalers and retailers.
However, recessions have the opposite effect. Sales for these various clothing entities may be significantly lower. Consequently, retailers may be stuck with large amounts of inventory. And they may have to sell the clothing at substantially reduced prices.
Clothing manufacturers and retailers may also need to sell lower-priced clothing brands to compete with more generic brands. Consumers often shop for cheaper brands when they have less disposable income.
These factors affect the clothing industry in different ways. For example, a small clothing manufacturer needs to create styles that appeal to those of different cultures, especially if those cultural groups represent large enough segments of its market.
Contrarily, clothing manufacturers, wholesalers and retailers avoid creating too many clothing items that fall outside the norms of society, such as styles worn years ago.
An aging population may increase the demand for larger jeans and pants sizes, such as relaxed or looser-fitting styles. Generally, many people become more sedentary when they get into their 40s and 50s. For example, the scarcity of certain materials, such as leather, may force retail and wholesale clothing companies to sell more faux or substitute leather products.
Retailers may increase the prices of cotton clothing if they encounter shortages of this raw material, as they must pay their manufacturers more.
The introduction of new clothing styles by a competitor can shift demand away from older fashions. Hence, a small clothing manufacturer may need to discontinue certain clothing lines and produce new ones that meet the needs of consumers. Moreover, clothing companies may add more advanced equipment in their plants like robots, which may force companies to fire some workers.
Inthese two categories together constituted around 6. The Indian middle-class population and their growing disposable income levels will drive the future growth of organised retail in India6. Due to the increasing use of IT and telecom, Indian consumers have become aware of brands and shops for lifestyle and value brands according to the need and occasion.
Consumers will continue to drive the growth in the organised retail by expanding the market and compelling retailers to widen their offerings in terms of brands and in terms of variety.
The spending on essential commodities has been steadily falling over the years and the rising reach of media coverage is increasing consumer awareness about products, their prices and services, which is likely to further encourage growth in the organised retail segment.
Port Manteaux churns out silly new words when you feed it an idea or two. Enter a word (or two) above and you'll get back a bunch of portmanteaux created by jamming together words that are conceptually related to your inputs.. For example, enter "giraffe" and you'll get . Marketing Mix of Pantaloons analyses the brand/company which covers 4Ps (Product, Price, Place, Promotion) and explains the Pantaloons marketing strategy. The article elaborates the pricing, advertising & distribution strategies used by the company. Pantaloon Retail (India) Limited is one of the leading retailers in India. Mr. Kishore Biyani, is the founder and is famously known as India's "King of Retail". Pantaloon has revolutionized the retail fraternity. With it's headquarter in Mumbai, Pantaloons operates multiple retail formats in value and lifestyle segment.
The plus about this population is that they will be more dynamic than the previous generations because their consumption is driven by wants rather than needs. Thus, the organised apparel retailing, which thrives on lifestyle products, is expected to receive a boost because of the young population by Further, the increase in the number of working women has fuelled the growth in sales of discretionary items.
The rapid growth in urbanisation has facilitated organised retailing in India, and has caused the speedy migration of population into major tier I and tier II cities, which have a significant share in the retail sales of the country. A broader variety of online and offline shopping alternatives gives brand loyalty less importance and presents stocking and pricing concerns.
To be competitive, retailers must balance inventories to avoid out-of-stock scenarios that mean lost sales. Customer preferences change faster, which speeds up inventory turnover requirements.
Suppliers then must adjust to smaller orders placed by retailers and wholesalers, and improve turnaround times. This puts pressure on their raw material, transportation, quality control and labour costs. A strong supply-chain relationships are of extreme importance for inventory control.
The ability of other countries, such as Bangladesh, to handle the production being moved from higher-cost China can affect critical delivery schedules.
Local sourcing has entered the picture, especially with private-label clothing sold. The search for ways to incorporate more environmentally friendly methods throughout the apparel production cycle includes evaluating dyes, assembly, packaging and fibre production.Pantaloon Retail Limited, Marketing Analysis.
Print Reference this. Disclaimer: Pantaloon Retail (India) Limited is one of the leading retailers in India. Mr. Kishore Biyani, is the founder and is famously known as India’s “King of Retail”. Aggressive Pricing Strategy.
Pantaloons is well known in the market for its good value pricing as it provides its merchandise to a large target customer base at affordable prices, thus it falls in the category of low margin and high turnover.
Jul 29, · The Mumbai store in the Palladium mall is a few meters away from Kakkar's shop-in-shop outlet inside Pantaloon department store in High Street Phoenix. import-led premium pricing strategy. The Marketing mix of Pantaloons discusses the 7P's of Pantaloons or the service marketing mix of Pantaloons.
Pantaloons is a leading retail chain in ashio-midori.comoons India has brought a whole new revolution when it comes to pricing strategies, which is evident through the success of its Big Bazaar& Food Bazaar outlets.
Pantaloon strategy 1. Pantaloon’s competitive strength lies in better understandingof Indian market, ubiquitous presence and efficiency Started retail business in in Kolkata Early mover Developed a wide network of stores across India in advantage various formats Establish brand equity for the Company Cater to the consumer.
PANTALOON RETAIL (INDIA) LIMITED ANNUAL RESULTS across all price points Future Group Two Pronged Strategy. In under 12 years, has received global recognition like International Retailer for the Year, Emerging Market Retailer of .