1.0. The purpose of this report is to identify how the fashion apparel in the United Kingdom works. This report will adequately show the various market segments that are available, and opportunities to be exploited in these markets. It is needed in order to be able to tell the difference between the various fashion market segments so as to enable them to take full advantage of these segments without exploiting the people. This report will also highlight the sensitization of fashion companies about how to attract customers by using efficient market segmentation to add to turnover (Clamp, 2004).
This report is for all fashion apparel companies that are willing to change some of their tactics in view of dynamic nature of the United Kingdom fashion market. It is market- and brand-driven, with an extensive variety of individual discernment and attitudes towards brands and styles. With this kind of information the companies will be able to divide their market “reachability” to sections to reach everyone. These companies already know that there are different kinds of people, hence there is and will always be market variability which is well-described by the term ‘market segmentation’ (Dawson, 2009).
The purpose of market segmentation is to influence scarce resources, i.e. to make certain that the essentials of the marketing blend, cost, circulation, goods and advertising are designed to meet fastidious needs of diverse customer groups. Due to the fact that companies have limited resources, it is not deemed worthwhile to manufacture all feasible products for all the public and all of the time. The ultimate goal to be pursued is to supply chosen offerings for select groups of the public most of the time. This procedure allows businesses to concentrate on definite customers’ requirements in the most proficient and effectual way.
1.0.Objectives of the study
To study the different segments of the United Kingdom fashion market, specification of the positioning and targeting of these markets.
The anticipated methodology for this report will consist of an amalgamation of quantitative and qualitative basis of understanding and sources of information. A number of published sources will be put into use. These include books, intellectual journals, fashion glossy magazines, and broadsheet articles. The Internet will also be a fundamental part of the research procedure to be carried out. Current statistical information as well as the latest information on industry trends is more readily available on the Internet. This makes the Internet a valuable resource when studying an industry that is characterized by rapid change (Jones, 2005).
There will be supplementary methodology in the structure of questionnaire administration, which is a vital part of this research report. In particular, a questionnaire would be premeditated in order to amass data on the subject of important points that are hypothesized upon in the investigation. The questionnaire will be put together to bring out a variety of attitudes based on a series of multiple-choice questions. Though the target audience will be restricted by time and supply limitations, contributors will be chosen randomly. In this way, the data composed will reflect community in general (Goworek, 2007).
Statistics have indicated there has been somewhat increased market for the modern man who has become more involved in the fashion scene. This growth is about 10% in the past two years. The number is quite significant and may change the face of the market segmentation methods in the United Kingdom.
The above graph evidently shows that women are the leading fashion customer segment as they are more concerned with their looks than anybody else.
This graph indicates tentatively that the buyers are increasingly obtaining fashion apparel via the internet. Hence, this somewhat creates a new fashion segment that should include, say, women who buy their apparel online.
This indicated graph is a testament to the fact that women apparel is way cheaper than that of men. This could be a contributing factor to the female segment being more marketable than the male sector. The cheaper price of female apparel allows, so to speak, the lady buyer to indulge herself more. Hence, making them a vital and viable market segment.
The gross profits that are seemingly increasing could be as a result of increased positive market segmentation which has borne.
Using the aforementioned research methods, various findings have been obtained which will be expounded upon further in the paper. It can, therefore, be stated that there are two types or kinds of market segments, such as the male market and the female market. These two segments exist because of the obvious difference in gender and type of apparel that the two wear. For example, women wear dresses whilst men do not. This is a segment (dresses) that is designed specifically for women and to fulfil their requirements (Barnes, 2006).
4.1 Male consumers:
The male consumer is an interesting group. Though there is a stereotype that they often do not care much about their looks, it has been proved otherwise in this research. It has been established that they are in fact quite preoccupied with how the world views them in fashion sense, thus becoming quite an easy prey for marketers. The modest nature makes it easier to convince them with mellow designs that describe who they are (Jones, 2005).
a) Youthful Aspiration:
This group of males comprises of about 2.30% of total adults and about 5% of all males. They mostly buy a high number of low-cost items, so that they have a varied wardrobe that does not cost them too much. They like shopping for clothes, especially when they see something that they like, instead of going out with a shopping list. They want to follow fashion, buy trendy clothing and be experimental. They consider themselves to be more interested in fashion than their peers. They find it difficult to get fashionable attire at a cost that they can afford.
Price is a vital factor when they are going to shop for clothes. They will try to visit many shops around in order to compare prices. It is unlikely for them to splash around money for something that is beyond their means. They particularly enjoy discounts and sales. Quality is not a vital ingredient for them; they are not likely to pay more to get better quality. They mostly use cash to buy.
b) Any shirt will do
This group of males comprises of about 2.23% of total adults and about 4.84% of all males. This type is not really interested in clothes. For them, buying clothes is a necessary task that has to be done as fast as possible. They do not try to express themselves through clothing and do not like shopping. They just replace worn out clothes. They tend to buy high quality items at cheap prices. They do not mind their wives buying for them. They are attracted to catalogues as this means less time wasted in shopping malls. Buys are mostly made with cash in places like Asda, Matalan or market stalls where items are best priced. This type comprises men aged between 46 and 55, who have grown kids and live in low-value houses.
c) Functional Fashion Seekers:
This group of males comprises of about 3.13% of total adults and about 6.77% of all males. These are typically young men who are quite fashion-conscious. It is essential for them to wear fashionable brands and have the right outlook. They, however, want the clothing that they buy to be functional and sensible. They do not have a lot of money to spend on clothes. Their total expenditure is below average, because they buy fewer items than the average man. They believe that in order to look fashionable, it is vital for one to have an occasional type of clothing that that look both expensive and superior. It is deduced that quality is not the driving factor. Aged between 18 and 25, they tend to engage in impulse buying; they are either living with their parents or in low-value houses (Barnes, 2006).
d) Sporty Basics
This group of males comprises of about 2.89% of total adults and about 6.26% of all males. They have the lowest expenditure of all the male types. They also buy the fewest number of items. They prefer casual and sporty clothes, because they are easy to wear. They just want to fit in. Fashion and clothing are not really important in their lives. They want to keep pace with the latest fashion trends and often buy something new. Price is a vital factor for this kind as they have low income and are not keen on wasting money on clothing. They are likely to compare prices. They pay for items in cash. They are aged between 26 and 35 and live in low-value houses.
e) Budget Image
This group of males comprises of about 3.14% of total adults and about 6.81% of all males. This group does not have much money to spend on clothes but are mindful of their looks. They try to purchase clothing that are fashionable and trendy but do not strain them financially. This effectively means that they are restricted to particular trends. They love to wear shorts and trainers. They are aged between 26 and 35.
4.2 Female Consumers:
Female consumers are considered the trendier of the two categories in the market. They are, therefore, the main focus of companies in terms of market segmentation.
Individual Urban Trend
This group of females consists of about 1.25% of total adults and 2.32% of females. These are women who are confident of their style. They like to express themselves through the attire they wear. They are aware of the latest trends but are guided by their own distinctive values rather than being dictated by the season. Their expenditure is above that of the average woman. They lean towards mid-ranged items, though they may occasionally spend a lot on expensive brands. They are not bargain shoppers, though. They like to shop at stores like Gap and H&M since they feel these reflect their individual style. They are attracted to less formal clothes, such as boots and jeans. They mostly use debit cards. This segment consists of ladies that are aged under 35 and live with friends in up-market metropolitan areas.
This group of females consists of about 1.13% of total adults and 2.10% of females. This type consists of women who really want to look attractive but need to have clothes that are functional. They are also not overkeen on spending a lot of money on clothing so they tend to wear attire till they get old and wear out. They buy items that are on sale and they pay for the items with cash. Their total expenditure on clothes is below average. Their spending per item is above average. Catalogues are quite important as they take time to choose clothing. They are aged between thirty and early fifties, bringing up children on their own on a relatively low income (Okonkwo, 2007).
High Fashion for Less
This group of females consists of about 4.18% of total adults and 7.76% of females. This is a type of group to whom fashion is very vital. This segment is referred to as a bevy of ladies who are quite keen on wearing the latest brands, styles and trends. The disadvantage that they face is that they are barred by their low income. These women are typically young and still living with their parents. They spend most of their income on clothing and fashion. This just illustrates their love of being trendy and fashionable. They do not buy a lot of items; instead they buy items that are right for them. They like to obtain a few items of expensive clothing that adequately describe their personality. They love to experiment with new looks and fashion statements. Practicability and usefulness are not vital for this type of ladies. These ladies are mostly under the age of 25 (Jones, 2006).
This group of females consists of about 3.83% of total adults and 7.11% of females. This is for fashion-conscious women who cannot afford to pay for the clothing that they want. They purchase very few items in order to save money to buy items that would enable them to dress according to their fashion sense. Purchasing attire that makes a statement fashionable is very important to them. Vital items to this group are a fashionable pair of boots, hair accessories and a pair tracks for situations when they are alone and nobody is looking. She is between the age of 18 and 25 and is probably living in urban flats. One of their favourite shops is Woolworths (Okonkwo, 2007).
Image as identity
This group of females consists of about 3.6% of total adults and 10.5% of females. Fashion is the most important to them in the females’ consumers section. They have a lot of time on their hands but still are short of money. They, therefore, spend a lot of time in clothes shops trying to search for the right look. Since they do not have enough money to feed their fashion hunger, they are quite restricted in their buying. They mostly spend a lot of their little income on attire (Hines, 2007).
Price and Practicability
This group of females consists of about 2.56% of total adults and 10.78% of females. This refers to a type of women for whom buying clothes is nothing more than a practical requirement. Things like image, brand and trend are not important to them when making purchases. For them, the purchases are inexpensive and mainly functional. These women usually shop in low-cost clothes shops. They are not really interested in shopping for clothes. They mostly buy clothing such as socks and pyjamas. They always pay in cash and mostly make use of catalogues since they offer better deals for her. She spends a lot of her money in stores like Marks and Spencer.
There will be very many limitations that the marketer will experience during the process of market segmentation. This includes trying to effectively reach all the components of each segment. This will be a problem because of the lack of resources to be able to provide good products for a particular segment. This will lead to a loss in profits and potential long-term customers. The resources that the company will need will include money for making these products. Setting up efficient advertising that will appeal to the customers will also prove a large stumbling block to the marketing section. The companies will also not be able to set up shops in every section of a social class. This will prove very expensive for some of the lower budget companies, since they will not be able to rapidly adapt to the changing market by providing different types of clothing. As shown above, the market changes quite rapidly and some companies will not be able to cope with this type of changing market.
We can see that the United Kingdom fashion has a variety of segments. These segments have to be completely exploited in order for a company to be able to make maximum profits by selling clothing. The various segments consist of genders and all age groups. From the findings, it is easy to see that most of the market for fashion in the United Kingdom is comprised of customers who have low income. The companies should, therefore, acknowledge this and try hard to produce low-cost goods to the public in order for them to make big gains in the current fashion market.
Most of the fashion market consists of women who are either not so keen on trendy clothing, or for who fashion sense is a vital part of their lives. With this in mind, companies should try really hard to exploit this segment, especially for the fashionable woman. They should try to produce more attire for these women. Another way that companies can improve penetration is to try as hard as possible to include the man in the fashion circus by reducing of prices in menswear and adequate advertisements and publications (Plunkett, 2008).