Burberry : An analysis of its US operations and the marketing mix
"Burberry has been going great guns in the United States market. They have shown a great amount of growth when compared to the other luxury brands owing to the strong sales that it has experienced in the last quarter. The company has around sixty two outlets in the US (United States) that is mainly concentrated on the east coast. The company exhibited tremendous influx of new sales with the introduction of a new and improved product line. This has culminated in the increase of the total sales figures for the entire country. The sales have been buoyed by the profits that have been seen in the ready to wear category of the clothes. Te sales have jumped from 82.2 million in the last year to a figure of 206.3 million in the last few years.
The company has also decided to do away with the original philosophy of conducting the sales through the use of the third party sales mechanism. The company has gone o the process of opening flagship store in places like Singapore, Hongkong and Los Angeles. The organization has the philosophy of adapting the premium pricing policy. This is done to ensure that the brand retains the innate exclusivity. This also comes from the belief that the company that the brand is more than just an accessory, it espouses the fundamental concept of style. The other factor that has to be taken into account is the market positioning of Burberry. Burberry introduces itself as a brand that follows the principle of ?functional luxury?. The product line is divided in to two types; luxury and continuity. The luxury brand is associated with the preliminary epithet of the fashion fads, whilst the continuity is dedicated towards the whole idea of conducting business. Thereby, the organization positions itself to both the conventional as well as the ultra modern class. This also translates into the fact that the product lines have got a huge functional reach in terms of the demographics.
The products that come out of the Burberry stable are attractive to teens as well as old aged people. Burberry has been looking into larger number of products that could help in the reinvention of the market and the underlying dynamics. The company is in line to reintroduce the Brit lie of perfumes. It would be an attempt to take on the existing players in that category for the purpose of sales. Thus, the company is set for bigger things in the future. "