Relationsip Marketing & STP

In recent years there are more and more merchants appeared no matter with traditional style or high technological multi media of sale. With the growth of merchants the competitor is stronger. As a consequence, marketers develop closed relationships with consumers since marketers need to grasp condition of market so that they cloud get competitive advantages over competitors.

In terms of making relationship with buyers. According to Copulsky and Wolf (1990, p. 16) relationship marketing is changing the way of traditional media channels to establish brand loyalty and awareness. Mass media used to target more buyers since buyers have different lifestyle and preferences.

In the case of Victoria Secret (VS) which is American company and one of the most famous brand of lingerie in global. The key success of it is that it clearly clarify its segmentation of customers, effectively target the young ladies in market and also VS utilize multi methods to position their products. In Australia, almost every shopping mall or airport built sale point, people from the far distance from the store could see the attractive pink color and smell fragrance of perfume no matter people buy their products or not, people all know the brand of VS.

 

However, although the VS got the revenue of $1.1 billion in 2015, it still threaten by other new rising brands. The VS changes emphasis point not always focusing on lingerie. And had downsize 200 employees to balance changing. (Forbes & Columnist, 2016, p. 1)

Why the VS is such popular in modern society. The key reason is VS is different with other brands and stand out.

Designers depend on giving buyer feelings of attractive, beautiful, fashionable and a little bit romantic to design products. That clear targeting at women who want to get the feelings of above. And In Australia VS store only sale underwear and perfume. Other products of VS, people have to buy it from other nations such as America or Canada. It seems like the brand is very high standard and strict qualification of supplying. For the sustainable development of VS, every year it launch one new style of lingerie, which reaches the reposition effect. Smith (1956, p. 3) states that various products provided should refers needs of buyers such as price sensitivity, colour, material, and package size.

Copulsky and Wolf suggest that (1990, p. 17) there are three key elements of relationship marketing process are as the following:

  1. Establishing a database of current and potential consumers which aims at getting a wide range of demographic, life-style, and purchase information.
  2. Delivering differentiated messages to groups of consumers depends on their characteristics and preferences.
  3. Monitor the cost of getting customer and buyer’s lifetime value.

 

In the needs of customers aspect, VS did really well since products fit all shapes of body even the very big body still could enjoy shopping in VS and very beautiful on fat segmentation of consumers.   The annual fashion show of VS become more and more popular and every year the company pick up one angel for spokesperson. Stores keep playing fashion show video. That re positioning the image of product in women’s minds once wearing the lingerie they become beautiful and promote grace.

From the case of VS, it is obvious that VS utilized many marketing strategies especially segmentation, targeting and positioning. There are no unique and eternal strategies. Searching the market in time and previous, built closed relationships with consumers. Matching the market, satisfied buyers, creative all the time might be keep sustainable.

Published by: XIN FU

Student ID: 214382446

 

Copulsky, J.R. and Wolf, M.J., 1990. Relationship marketing: positioning for the future. Journal of Business Strategy, 11(4), pp.16-20.

Smith, W.R., 1956. Product differentiation and market segmentation as alternative marketing strategies. The Journal of Marketing, pp.3-8.

Forbes T & Columnist F 2016, ‘Victoria’s Secret Goes Public with Reorganization Plans’, Marketing Daily Top of the News, 8 April, p. 1, retrieved 10 April 2016, <http://www.mediapost.com/publications/article/273068/victorias-secret-goes-public-with-reorganization.html&gt;.

 

 

 

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