Forever 21 — STP

{Stylish, Affordable and always up to date with fashion}. Being a CBD resident that’s what I always look for.

 

Being one of the latest international retailers to enter the Australian market forever 21 lunch its first store in Sydney’s CBD and attracted a lot of fashion enthusiast from different ages. According to Business insider Australia Magazine, Forever 21 is growing like crazy, and the fast fashion retailer is becoming a major threat to the rest of the industry (BHASIN, 2015). Most retailers segment markets according to budget and age, but in this case forever 21 has used the Geographic segmentation, it mainly targets people living in city centers (CBD). Why? Let’s see how CBD residents live.

According to City of Melbourne council report ‘Trends and Melbourne city’, CBD resident’s are mostly young professionals and students, average age between 19 to 35 (City of Melbourne, 2015).  This forever21segment has many financial burdens. living in city center locations tend to be demanding and costly. Being able to make ends meet, and meeting the latest fashion requirements. This segment tends to go shopping more often as the attend more social gathering and celebrations.

 

Forever 21 appeals to this segment of the market but who doesn’t want to stay forever 21, who doesn’t want to get the latest fashion in an affordable price. This segmentation strategy has proved that it has reached out for more the targeted segments, shoppers from suburbs are frequent buyers as well and contribute to its online selling growth (KAT, 2016) since it become a trend in the CBD its demand has risen.

The main reason for this was the companies indirect marketing strategy where it puts its Wight on social media and internet marketing. This allow companies build loyal customer bases that follows its products and news and spreads through sharing and good feedbacks.

So this is geographic segmentation and Geographic Target Marketing, what is the benefit of targeting this particular segmentation?

 

niki

Urban lifestyle specially city centers tend to lead the fashion and trends in every city, if this segment is captured successfully it will influence residents for suburban areas and cities other than capital cities, that’s why you find most of big retails open their biggest branches in main city centers.

Many celebrities were seen wearing forever 21 products and giving feed back about it.

So where does forever 21 position itself?

 

There are many types of positioning strategies like positioning based on price, quality usage, competitors etc.

Forever 21 has chosen to position itself based on culture “always changing and always in style”. the company that keeps you up-to-date with style trends and keeps that young person inside you alive (Official website).

Even though many stars’ way much older than 21 were seen wearing and using forever 21 products because they still target that age group with their movies and songs so they still try to fit with their styles and trends.

 

Appealing to this age group and this geographical segment is demanding as they don’t trendingtend to fall for marketing campaigns that are trying to sell them but they look for feedbacks and what is trending. For example, one of the main attributes of generation X when they were in early twenties was that they tend to avoid products when they feel they are pushed to buy it and always look for unique and different. (marketingzen, 2015)

 

As a GENERATION X we still want to believe that we are young and still 21 and trending fashion would appeal to us if it still fit us, and what is trending now among retailers is affordable fashion stores.

Grand opening in Sydney

 

Bibliography

BHASIN, K. (2015). The Competition Should Be Terrified Of Forever 21. Retrieved from Business insider Australia: http://www.businessinsider.com.au/forever-21-dominating-teen-retail-market-2013-3?r=US&IR=T

City of Melbourne. (2015). Trends and Melbourne . melbounre : city of Melbourne council.

KAT, F. (2016, march). Forever 21 tops customer engagement growth among online retailers. Retrieved from internet retailer: https://www.internetretailer.com/2016/03/17/forever-21-tops-customer-engagement-growth-among-online-retailer

marketingzen. (2015, july). Stuck in the Middle: Marketing to Generation X. Retrieved from marketingzen: http://marketingzen.com/marketing-to-generation-x/

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2 thoughts on “Forever 21 — STP

  1. Really good blog! It is true that sometimes geographical positioning of certain brands can be beneficial. As a teenager I would buy forever 21 products online because it was not available where I lived.Nevertheless the brand has positioned itself well.

    Liked by 1 person

    • Kmbangera . thank you for commenting here .

      I want to ask you, when you want to follow new trends and update your self , would you go to city and see how is life style and fashion changing or would you check online for it ?

      Like

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