Lazy Cat is a new store that will be opening up in Fresh Meadows, NY. The target market for our clothing store are people who want to get in, get out and get their shopping over with as quickly as possible, while attaining stylish, customized clothing at affordable prices. This target market presents a ripe opportunity as consumers will take an interest in a new store that utilizes technology more so than other retail fast-fashion stores, like Zara and H&M. Upon entering, customers will face digital displays from which they can search for products they are interested in as well as view all store deals and product prices. These devices will also show exactly where the product is located in the store. Besides, the digital displays will also allow for customers to choose an item of clothing, customize it by selecting various designs, colors, and styles, and have it shipped to them. The technology in the store allows for a fun and futuristic vibe that will attract individual customers, offering an enhanced shopping experience as compared with competing for clothing stores. Through online and social media marketing campaigns, consumer responses are sure to be generated, and a buzz' will be created that will bring in curious customers to check out the store.
The products offered will be clothing that is stylish yet affordable. The store caters to every gender of all shapes and sizes. The clothing line offers many classic and essential styles that are kept up with current trends. The prices will be significantly lower than the designer brands that the clothes will mimic. Distribution will be through different avenues including retail stores and online stores. Promotional programs will include social media strategies such as sponsored advertisements on Facebook, Instagram, Twitter, and Snapchat that pose as regular pictures or articles. Online ads will appear to those located in the area that the first retail store will open in. Aside from the Web, there will also be a big event for the opening of the first store that will involve coupons and prize giveaways.
Mission & Goals of Lazy Cat
Lazy's mission is to provide essential clothing that is stylish and affordable, for consumers who seek to get their shopping done quickly but still value their style and their savings. Also, Lazy's strives to use the latest technology to design innovative methods meant to enhance the shopping experience.
During the next five years, Lazy Cat seeks to achieve the following financial and non-financial goals:
Obtain financing to increase distribution, and introduce new product lines.
Increase revenues by at least 50 percent each year.
Introduce new product lines, including customized logo clothing.
Enter new geographic and urban markets, New York City in particular.
Develop a rewards program aimed at helping people save, and maintaining customer brand loyalty.
Marketing Plan of Lazy Cat
Marketing SWOT Analysis
The target will be towards clients who prefer to pay less for fast-fashion products that mimic designer styles. We are targeting individuals who are looking for smarter and more effective ways to shop for everyday apparel. The ideal target market would be men and women between the ages of 15 and 35 who shop at fast-fashion retail stores and seek out lower prices, yet trendy looking clothing. They are also technologically savvy and are likely to keep up with current fashion trends through their phones and social media.
The fashion industry is split into two different segments that are the sales and creative. To elaborate, one line will deal with designing and production while the other will bother with sales and distribution. The Lazy Cat will have its geographical representation divided into three regions that are Asia, the U.S., and Europe.
Lazy Cat will be operating on both an online store and a one-stop physical store with varieties of payment options, a broad assortment of fashion accessories and a wide range of clothes. The stores will be open 24 hours and seven days a week. The service that our clients will be honored is one of a kind since we shall have a special team of salespersons in the Lazy Cat stores. To achieve a competitive advantage, all our products will be affordable, and there will have something for everyone. That is a policy that will be applied in the business to ensure no discrimination or exploitation is experienced in other fashion stores. The Lazy Cat will have two distribution avenues, the ready-to-wear line, and couture line as well as an off-the-rack line that will cater to persons with a low income.
The only weakness that may be against us is the fact that we are a new clothing store in Fresh Meadows, NY. Also, we do not have much money to give the kind of publicity that we would be glad to have.
New York is a dynamic city with people from all walks of life. We are therefore exposed to unlimited opportunities to sell our products to the people. From a market study that we carried out in preparation for this business, we noticed that Fresh Meadows is incredibly strategic to reach all our potential clients. We are well situated to ensure we maximize any opportunity that comes our way.
One of the threats that we are likely to face is an economic downturn just like any other business. Both spending and purchasing power are affected by the onset of the economic recession. Another threat that may have an impact on us is the opening of any other clothing store along the same street.
Analysis of Current and Prospective Competitors of Lazy Cat
Every clothing retail store always has potential competitors. Even with the stores unique features, such as its use of electronic displays as a means to help customers shop and create customized clothing, it will still compete with other well-known fast-fashion brands.
Some of these clothing stores have already built a strong brand hence they stand at an indisputable position in the market. A brand like Giorgio Armani and others has a competitive advantage. In New York City, some of the clothing stores that we will have to reckon with include Saks Fifth Avenue, Bloomingdales, Jeffrey New York, Acne, Barneys New York, Bergdorf Goodman, Alexander Wang, and VeraMeat among others. Most of these stores offer the same type of clothing at relatively equal prices. They have dominated the market hence leaving less for any upcoming clothing store.
Description of the Market Opportunity
New York City presents a ready market for Lazy Cat despite the stiff competition that is in the city already. The clothing business does not go out of the market because it sells a necessity. From our market research, most individuals purchase clothing every month or twice a month. Most of the clothing stores in the city are offering very expensive clothes which are only afforded by those earning high. NYC has a good population that is young, free, and ready to rock the world without having to dress in debt. The Lazy Cat is targeting people from every class hence our target market is full. Since our clothes will be stylish and at the same time affordable, we will get a competitive advantage within no time. We will be needed to advertise more for potential customers to be aware of our location.
Marketing through social media such as Facebook, Instagram, snap chat, Twitter, Pinterest.
By selling name-brand, clothing at 30 to 70 percent off every day.
Releasing new promotions every night.
New fall, spring, summer, and winter fashion previews, which include sportswear all the way to winter apparel.
Focus on a value proposition to the customers. There are more customers out there who are price sensitive and want to get a great deal.
Giveaways and coupon deals with $100 purchase as well as free shipping if you order online.
Pricing Strategy of Lazy Cat
Budget Pricing Strategy
Many clients out there are looking for low prices when shopping for clothing. In the beginning, we are thinking about getting more customers hence profit per unit does not need to be much. Therefore, we shall price low but be careful enough not to sell at a loss after gross calculation. In this segment, clients are unlikely to be loyal to any specific brand. The customers at this level willingly sacrifice quality for affordability; therefore, we shall have to clothe for customers in this segment. We shall rely on the economies of scale to bring out small per-unit profits.
Value Pricing Strategy
In this strategy, we shall strike a balance between quality and cost. Value shoppers are looking for quality and willing to pay for it; therefore, we shall ensure that during pricing there will be clothing for such individuals. At the same time, these people are not prepared to pay more than the clothing is worth for a new brand logo. In this case, we have done pricing research on some of the popular stores in the city. We will source high-quality products to ensure we keep our promise to clients and price them favorably, striking a balance between them.
Luxury Pricing Strategy
In the luxury segment of business, the price is closely correlated with the image of a brand other than the quality of the product or even the market value. Attire products are closely related to the social status and self-expression in the consumers' minds. Such individuals do not care about the quality or durability of the material. In this segment, we will escalate prices but ensure they are in line with those of our competitors. If prices in this section are low, they might detract from the luxurious brand image.
|The size of the market|| |
The huge market as retail clothing stores in the US have a 183.01 billion dollar industry
Charge on a product to product basis
Each item retails at various prices
Major Credit Cards, Paypal
|Social Media Ad||$170,000|
We would spend an individual budget (roughly $100,000) in this case to assess and analyze our competitors. We will stress (investments) on certain areas that need to be more focused on for event/product sales, to efficiently compete with those competitors within the industry.
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