ASOS Case Study
Nikkei, Ideas, Calvin Klein etc. Except this SASS sells brands at competitive rates with other online sites. It has about 50,000 products available and is widening its range everyday Price- COOS believes in reasonable pricing strategy, but many of their products are expensive especially the high end brands. Most of the products sold are those worn by celebrities that are sold at cheaper rates than other brands.
The best thing about SASS is that they have sales now and then, and most of the products go on 50% sale. SASS doesn’t have free delivery service which could be one negative impact.
SASS only uses an online platform to sell their products, and operates totally via the internet. So customers don’t have to visit any stores, they Just need to log in to the Infinite- select the products- add them to basket- and pay. SASS has a warehouse “here they keep the stock and when ordered by customers, it delivers from there.
They have a huge warehouse of 32,500 square meters. They have a head office which is located at: Greater London House Hempstead Road London NNW OFF Promotion- SASS promotes itself by giving out discount codes. They are always active in emailing their registered customers about the updates fashion.
Once the customer has researched a product, they will start receiving the newsletter and booklets about the e s e As they are on internet they promote it by posting videos to catwalks fashion shows and more. They even promote themselves on social networking sites as Backbone, Twitter and Mainstream. People- People are the employees that work for the business, without them it’s impossible to handle such a huge business. These employees are highly trained and professional in their work. In SASS the customer service is bit different than what is provided in the retail stores. These people are highly skilled in the IT sector, so they are updated
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Some of the BODY who are in charge of SASS are Chairman-Lord Needed All, Chief Executive- Nick Robertson, and Non- Executive Director- Karen Ones. Process- Shopping experiences at SASS are totally different from any other high street store. Customers are not able to try the product but they can only see it through images. Ere product they want to buy, will then be passed on into the basket and then it can be purchased through Papal, credit card. The delivery will be expected in 4-5 Morning days.
Physical Evidence- As mentioned before SASS operates totally from an online platform, so it does not eave any physical evidence.
The physical evidence is the receipt or the printouts of the products they have purchased. The official website of SASS is http:// MN. W. Sass.
Com/. At SASS they regularly update their website with new products and promotions. 2. Summaries the integrated communications strategy used by SASS? SASS is now number two retailer in I-J. They are among the hugest retail online fashion store.
Their recent activity was to open an e-tailing shop inside Backbone, and it was launched on 27th January 2011. SASS is always working hard to change the market trend. Customers can now track their deliveries.
Customers can shortlist their products, choose color. SASS also included catwalk features for women wear.
So repeatedly SASS is trying its best to communicate with their customers on an integrated level SASS used various communications methods- a. They have increased the pages of their magazine to 116. The first three issues of magazine generated more than 1. 5 million pounds in sales and 9% was the average response rate. After that magazine on menswear was also launches in May 2008, Inch talked about style, trends, entertainment and good fashion sense.
B. SASS always is in contact with their 1. Million customers. The newsletter helped in sales by 137% in 2001 c. In 2006, there was almost 2236 fashion editorial content about Sass.
Com and I TTS products , which also helped the sales go up by 5 9% d SASS acts as best friend would to its customers. This means customers spread the word to other people. Most of its customers feel that they have a personal relationship with SASS. This type of word of mouth has helped the sales go up and helped building loyalty. It Nas seen that 15% of customers visited the site on recommendation of friends. E.
In the last survey by Sass. M 73% of customers stated that they spread the word to their friends. SASS has a team of 30 customer service advisors. This team responds to emails, newsletters and updates the social networking site and regularly communicates with its customers. To connect with customers SASS is always active on Backbone, Twitter, Mainstream, Google+ and they even have their own magazine app for phones. To get more engaged, they launched the F-store in 2011. Now they have more than 1. 7 million likes on Backbone, more than kick followers on twitter and more than kick followers on Google+. Source- http://www.
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What risks do you think managing as SASS expands overseas? SASS has to continuously change its market segment in such a changeable industry. People nowadays are unpredictable and their fashion sense changes regularly. Building brand loyalty in such changeable markets is very difficult, and building loyalty is the key to success for SASS. The main question here is how SASS will create a stronger connection with its customers in a difficult issues? Since SASS doesn’t have any hysterical evidence, for e.
G. A Store, a shopping bag etc. There are a number of risks that come hand in hand with the benefits of expansion 1.
Personalized content will increase to keep in mind the different locations, their cultures, climates and buying habits 2. Things as trial and returns are also more complicated when businesses expand worldwide 3.
Communicating with a personal effect to make each customer feel unique and appreciated takes a lot of effort and when a platform becomes Normalized there is a huge mix of customers that could become loyal, to deal with each one on its own level is also a challenge 4. Delivery channels also have to broaden, new ones also need to be created, new management for each part needs to be recruited etc. 6.
Quality control needs to be maintained when a company goes into mass production If we talk about popularity SASS is less well known outside Europe. GAP and EZRA are the main competitors of SASS as they also have online shopping platform, and they are well recognized all over the world in compare to SASS. So for SASS to be popular all around the world, it has to target new segments and build the loyalty around the world.
SASS is starting to gain popularity in Australia and USA as they opened their new offices there. With further expansion of SASS, they should start to consider making more warehouses around he world.
M of their stuff is made in China, Eastern Europe or many other low cost countries, and are then shipped to the I-J. They could be more active on social networking sites, post videos on You-Tube in different languages, so people can get engaged to them. Social networking can be a problem at the start. Except this, CRM can be a major problem as well.
SASS can enhance Customer Relationship Management (CRM) system for some promotional engines like interest graph. Customer’s interest can be measured through Business Intelligence Data collected online.
As mentioned before he main problem would be to create loyalty to the customers, so another way to enhance CRM is to give the customers loyalty program. As SASS target markets are same in I-J and some other countries, if SASS has to go worldwide, it has to change their target audience from youth to everyone, to attract all demographic segments. SASS would face many competitors around the globe, there would be many fashion Inebriates similar to SASS.
4. Identify the key elements of Sass’s strategic marketing plan? Situational Analysis- COOS targets customers who are young and know the sense of fashion, the latest rend.
And except this they enjoy shopping online more than going to the actual shop, standing in the queue. To shop online SASS is providing user friendly interface on their mobile devices also. SOOT Analysts- Strength: SASS has variety of products from shoe wear to accessories. People don’t need to go out and shop and waste their time, they can easily call for products online according to their choices.
Weakness: This can be weakness too, if some people wants to go out to shop and see the products, feel them or try them, they can’t as they don’t have any physical evidence.
SASS should work hard to make their product recognized, by putting adverts or small articles in magazine about SASS. Opportunity: To be more active on Backbone, as the people worldwide may not know SASS that much, but through social networking to be in contact with them. Updating their fashion on Backbone page or group. Answering their problems and dealing with their complaints.
Threat: SASS has many rivalries, such as GAP, EZRA and H and many more who are also dealing online fashion store. As mentioned before there are no physical evidence on refunds. SASS where people could go and try clothes, or exchange or Competitor-
SASS has many competitors who want to become like it, but they can’t. The top most competitor of SASS are GAP and EZRA, as they both also targets the same target markets and now they even started the online shopping platform. And they both are active on the social networking websites too.
The strategy of SASS covers a lot of area from designers, marketing to customer services. Customer loyalty is their main key element. They consider customer as their king. But this is not the end. By being active on social networking and internet will not help SASS that much. SASS always kept design in their mind as the priority.
So their designer kept this in the mind as SASS targets young people and youth, so they want updated fashion and new trends every time. In order to meet this need SASS became partners with London College of Fashion and promised to give internships to the 2nd year and 3rd year students. Even the corporate culture helped SASS in many ways, as trading director said “our approach is simple, we work hard and we do it”. Marketing and customer service are other point which as important as others. They believe in speedy, reliable and convenient deliveries.
There is no minimum order amount, so in this way customer an start building trust.
So customer can order and start building loyalty. SASS emails their customers so that they can track their delivery. Return and refund policy is also there. In 2012 SASS also started their international office in Sydney and New fork to give better customer services. They even give 10% discount to students to promote their brand between youth.
SASS have tailored their website with different languages. They have even introduced cat-walks and ramp shows on the website to get engaged with the consumers. 300 videos are been uploaded every day. Many IT people are working hard to make SASS #1 website.