Barriers many competitor companies, so the competition rivalry

Barriers
to new entry; Barriers to new entries
means threat of new entry competition. However Boden itself a well-established
company so the threats for new entry is very low. Even though there is very
less possibilities for new entry to replace the brand, still awareness should
be taken because of growing competition.

Buyer
power; according to Porter (1979) the most
well-known factors of buyers power in industry is the force down prices and
demand higher quality. Nowadays growing competition in online shopping market
buyers have many option product as per their demand. However Boden being itself
a brand it will be hard to lose loyal customers.

Supplier
power; the stronger power of supplier can
affect the company in negative ways as suppliers can limit the condition on
which business is conducted. As mentioned by Porter (1997) increasing prices
and reducing the quality of its products are potential means used by suppliers.
Some companies like Boden exports their supply chain in developing countries
where labor cost and the cost of raw materials are very low so, the company stills
operate in profit even with the offers and discounts.

Threats
to substitute; threats to substitute
occurs when buyers have option to switch to another product that offer the same
types of product. Most of product are replaced due to offered price
differences. However it would be difficult to substitute the product with high
quality like Boden, but still there are many branded companies like Zara and
Desigual which can create tough competition for Boden in terms of substitution.

Competition
rivalry; Boden has many competitor
companies, so the competition rivalry is very high. According to Porter (1997)
competition rivalry refers to this force as the “jockeying for position” as
this force is mainly about using tactics such as price competition, advertising
slugfests and product innovation in order to assume a fixed position in the
industry. The stronger the proceeding forces interact the stronger the rivalry
competition will be.

Market Segmentation

The
main objectives of marketing segmentation is to set specific customers for the
product. It helps to set effective target for a product. It specify the
customers according to their character. This marketing segmentation are divided
in four segments, demographics, geographic, psychographic and behavior segmentation.
In terms for fashion industry market segmentation is a major factor which
consists of customer’s behaviors and their interest. Where establishing new
product this analysis method should be evaluate. As Boden is aiming to expand
their business internationally like USA, where people with different behavior and
religion are stable, this segmentation will help to achieve the targeted goals.

Demographics
segmentation; the segmentation
divides the customer according to their age, gender, religion, income and
family. As for the Boden, the company offers a mass product for men, women,
teenagers and babies. The company segments it customers according to age and
gender.

Geographic
segmentation; the segmentation separate
their customers according to their cities, religion and where they live. This
segmentation divide the customers so that the company could know the different
customers behavior for purchasing the product. If the company is operating in
new countries it is important to recognize this segmentation to know what type
of product will benefits the company.

Psychographic
segmentation; this segmentation helps
company to divide their customers according to their behavior, attitude, values
and field of interest. All customers are not, different customers have different
choice of product or fashion trend. So this segmentation helps to produce a
product as per customers need and satisfaction.

Behavior
segmentation; having a loyal
customers for a company is major means of success. This segmentation divides
their customers according to their brand loyalty, benefits, and attitude toward
product. For the brand Company like Boden, it will be beneficial to understand
this segmentation for profitable future.

Target market

For
the new product the marketing target will be set as:

Men’s
who are athletics, people who do workout in daily basis. The product will focus
especially for the men aged between 23-35 who like being physically fit.

 

 

 

Marketing objectives

After
analyzing market analysis we can now redefine the objectives of marketing and
how it fits to the business. Marketing objectives are the strategy which are
used for achieving the organizational goals. To have an effective business the
objectives should be SMART oriented (specific, measurable, achievable,
realistic and time bound). 

The
marketing objective for the Boden are as follows:

*     
To Increase sales

*     
Build brand awareness

*     
Enter new market
internationally

*     
Target customers

*     
Increase profit