I: How do we find the momentum? We will collect data on all aspects affecting consumers and their spending habits, so that we can understand what consumers need and want.
II: The competitors:
- Who are Butler Bags Competitors?
o What are their price points?
How does this compare to Butler Bag?
o What types of fabrics are they using?
o Do they produce their bags nationally or internationally?
Does this affect their price point?
o Do they have a marketing strategy i.e. Going green
o Past and Current Sales
o Past color lines
III: Butler bag:
- How are they alike/unalike their competitors?
o Price points?
o Fabric?
o Quality?
o Production?
- How does the company’s mission statement affect decisions made in design and production of Butler bags?
- From our research what elements did we identify as hidden currents?
o How can they be related to Butler bag?
- Past and Current sales
- Past color lines
IV: Color:
- Panton color forecasts?
- Past color forecasts
- Is there a “staple” color that says “Butler bag”
- What season will the bag be released?
V: The Context:
- Social (Alisyn Guest):
o Social movements within the US or Globally. How it effects consumer needs/wants and spending?
o Lifestyle trends, styles adopted, what is considered appropriate
o Global warming, lack of natural resources, growing concern for the environment.
o Issues important to the people.
- Cultural (Alisyn Guest):
o Traditions family or cultural, keeping in mind the US is a “Melting Pot”
o Media trends, how the media influences consumers
o Underground fashions, what influenced people, music, art, war, ect
o Architecture- houses, buildings
- Political (Megan Berry):
o Current political environment and the upcoming changes, how it will affect the consumer and the retail market.
o Current political leaders
o The UN- Global communication, relationships between other countries and the US
o Election year or not
o War effects the process of textile production and research
- Economics (Stacie DuBois):
o Strength of the stock market
o Current state of the overall economy, which direction is it going?
o How is the Economy going to affect our consumer? Our sales?
o Consumer confidence Interval, is it high or low
o Exchange rate of the dollar
o Trade restrictions
o Cost to make, transport, and ultimately sell a product
- Forecasted growth (Lizzie Dobrowski)
o How fast is this target market expected to grow
VI: The product:
- Color (Alisyn Guest):
o Pantone color forecast
o Color Association
o Popular color pallets for interior designs and architecture
o Availability of dyes, how the dyes are set, what chemicals have to be available?
o Popular car colors
o Color trendsblack, bright color, earth tones?
- Fabric/Fiber/Finish (Mallory Black):
o What’s available? Is it accessible because of trade restrictions? Cost? Ect
o Which fabrics and fibers are most popular?
o Researching Green fabrics, and recycled fabrics
o How a fabric performs? Durability? Color? Texture? Stiffness? Ect
o Advances in textile production due to technology: space travel, war, safer cars, more durable fibers, weather resistant, ect
- Design/Styles (Megan Berry):
o Cars: shape, color, overall feel, small or large
o Popular artists
o Architecture and interior design- color, shape, line movement, rhythm, shape repetition, ect.
o What social movements are popular, how do they affect design?
o What style of bag is popular? Large bags, structured, loose, clutches?
- Major designers/Competition (Lizzie Dobrowski):
o Which designer’s bags are popular? Why?
o How do they reach their target market? Who is their target market?
o What textiles and colors are they sourcing?
o Price points? Markdowns?
o How long have they been in business? Do they have an established customer base?
- Price Points (Alisyn Guest):
o How much discretionary income do consumers have? How does this affect sales of bags?
o Price points of similar items
o Which price points have the most sales?
- Related Accessories (Stacie DuBois):
o New technology- cell phones, computers, mp3 players
o Travel bags, carry-on size, and suitcases
VII: The End User: Relating to Bags
- Psychographics (Stacie DuBois):
o Values and beliefs
o Personality traits that affect buying
o How consumer’s lifestyles affect s the need/want for a product?
o Consumers feelings on : the environment, politics, war, world issues, ect
- Behavioral (Mallory Black):
o Hobbies: what they do in their time off: sports? Family? Vacation? ect
o What the consumer is passionate about: Sports, dance, fine foods, ect
o How much time do they spend working vs time off
o Religion
- Demographics (Megan Berry):
o How does the consumer’s education level or occupation affect their spending?
o What age group is spending the most money? On what?
o How does gender affect interest in bags?
o How much discretionary income do people have? What are they spending it on?
- Cultural profile (Alisyn Guest)
o Traditional family or cultural, keeping in mind the US is a “Melting Pot”.
o Media trends, how the media influences consumers.
o Underground fashions, what influenced people, music, art, war, ect.
o Architecture- houses, buildings.
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Sunday, October 26, 2008
Quantitative Strategic Plan
Tuesday, October 21, 2008
Monday, October 13, 2008
September 11th influence on fashion week in
- Increase of
- Use of any military references become off limits and not appropriate
- This particular fashion week had a feeling of not as much urgency, and low key.
- Some designers and others decided not to show at all
- Some faithful designers still showed their stuff at
Synthesis:
This article shows that the September 11th terrorist attack has held a large effect even on the fashion industry and people are being affected even by the way people dress. The industry held a huge concern on what was appropriate and to make sure not to awe anyone to an uncomfortable degree like they may have in previous years due to the sensitive state of our country. It seems that the already faithful designers still showed their loyalty to the show but this show was much more tame than usual.
Consumer Spending Reports indicate how much consumers are spending each year. There is a huge spike in 2002 from the stock market recovering and the economy beginning to go on the upraise with promise for the future. This means that consumers have confidence in the economy and there jobs so they are spending money. This is a great time for the fashion industry because consumers have discretionary income.
Click here to see an enlarged chart
In 2002 there was a break down of overall women in the work force, unmarred women in the work force, and married women in the work force. There was also a break down by civilian noninstitutional population, civilian population, and labor force participation rate. This tells us the percentage of each group of women work and which of the two areas they work in. Finally the numbers are also arranged according to if they have any children and if so their age range.
Married women have the highest percentage of participation in the work force at 61%. Single women have a 58.2% of participation rate in the work force. In both instances women, married or not, have a higher number of children 6-17 than ages under 6. However, single women have a higher percentage of children 6-17, at 82.3% and married women have smaller percent at 76.2%. This would have an effect on the spending habits of these women. Married women would have two incomes to buy things such as clothing for their children and statistically they have less children to buy for. While women who are single, with only one income statistically have more children to provide for. This would mean that targeting working parents as whole would be a better target because statistically there are more women working and they have two incomes to spend on their children.
Click here for statistics tables
Consumer Income & Expenditures Survey 2002
- All: 112,108,000
- Under 25: 8,737,000
- Age 25-34: 18,998,000
- Age 35-44: 24,394,000
- Age 45-54: 29,691,000
- Age 55-64: 15,314,000
- Age 65 and over: 21,983,000
- Age 65-74: 11,216,000
- Age 75 and over: 10,767,000
Consumer Unit Income Characteristics:
- All: Income before taxes- $49,430; after taxes- $46,934
- Under 25: Income before taxes- $20,773; after taxes- $20,206
- Age 25-34: Income before taxes- $49,133; after taxes- $46,875
- Age 35-44: Income before taxes- $61,532; after taxes- $58,457
- Age 45-54: Income before taxes- $64,974; after taxes- $60,923
- Age 55-64: Income before taxes- $53,162; after taxes- $50,306
- Age 65 and over: Income before taxes- $29,711; after taxes- $28,674
- Age 65-74: Income before taxes- $35,118; after taxes- $33,562
- Age 75 and over: Income before taxes- $23,890; after taxes- $23,411
Percent Gender Distribution:
- All: Male: 51%, Female 49%
- Under 25: Male: 46%, Female 54%
- Age 25-35: Male: 52%, Female 48%
- Age 35-44: Male: 52%, Female 48%
- Age 45-54: Male: 54%, Female 46%
- Age 55-64: Male: 54%, Female 46%
- Age 65 and over: Male: 46%, Female 54%
- Age 65-74: Male: 51%, Female 49%
- Age 75 and over: Male: 42%, Female 58%
Highest Education Level Reached:
- All: Elementary: 6%, High School: 38%, College: 56%
- Under 25: Elementary: 2%, High School: 31%, College: 67%
- Age 35-44: Elementary: 3%, High School: 33%, College: 63%
- Age 45-54: Elementary: 4%, High School: 36%, College: 60%
- Age 55-64: Elementary: 4%, High School: 36%, College: 60%
- Age 65 and over: Elementary: 6%, High School: 39%, College: 55%
- Age 65-74: Elementary: 10%, High School: 47%, College: 42%
- Age 74 and over: Elementary: 18%, High School: 46%, College: 36%
Annual Average Expenditures:
- All: $40,677
- Under 25: $24,229
- Age 25-34: $40,318
- Age 35-44: $48,330
- Age 45-54: $48,748
- Age 55-64: $44,330
- Age 65 and over: $28,105
- Age 65-74: $32,243
- Age 75 and over: $23,759
Percentage of Expenditures Spent on Apparel & Services:
- All: 4.3% [men & boys 1%, women & girls 1.7%, children under two 0.2%, footwear 0.8%, other 0.6%]
- Under 25: 5.6% [men & boys 1.1%, women & girls 2.5%, children under two 0.4%, footwear 1%, other 0.6%]
- Age 25-34: 4.9% [men & boys 1.2%, women & girls 1.6%, children under two 0.5%, footwear 1%, other 0.7%]
- Age 35-44: 4.3% [men & boys 1.2%, women & girls 1.6%, children under two 0.2%, footwear 0.8%, other 0.6%]
- Age 45-54: 4.2% [men & boys 1%, women & girls 1.7%, children under two 0.1%, footwear 0.7%, other 0.6%]
- Age 55-64: 4% [men & boys 0.8%, women & girls 1.9%, children under two 0.1%, footwear 0.7%, other 0.6%]
- Age 65 and over: 3.5% [men & boys 0.7%, women & girls 1.6%, children under two 0.1%, footwear 0.6%, other 0.5%]
- Age 65-74: 3.9% [men & boys 0.9%, women & girls 1.7%, children under two 0.1%, footwear 0.6%, other 0.5%]
- Age 75 and over: 2.8% [men & boys 0.5%, women & girls 1.4%, children under two 0.1%, footwear 0.5%, other 0.4%]
Summary of Data: The largest consumer groups are the 35-44 age range and the 45-54 age range. These two groups also have the highest before and after tax incomes, the second (63% for the 35-44 age range) and third (60% for the 45-54 age range) highest percentage of college graduates, and the highest annual expenditures ($48,330 for the 35-44 age range, and $48,748 for the 45-54 age range). However, the consumer groups which have the highest percentage of expenditures on apparel and services are the under 25 age range (5.6%) and the 25-34 age range (4.9%).
Source: Bureau of Labor Statistics- Spending and Time Use
Demographics- U.S. Income in 2002
Real median income in the United States declined by 1.1% in 2002 to a level of $42,409; this is the second consecutive annual decline in household income.
In terms of residence, the decline in income was experienced mainly by those households in metropolitan areas (on average a 1.5% decline).
Both family and non-family households were subject to this decline in income (family households experienced an average of 0.8% decline in income and non-family households a 2.4% decline).
However, in contrast, both men and women who were full time year-round workers experienced increases in their median salaries.
Real median household money income declined for all race groups except for those with a White or Asian (and no other race) householder.
Based on comparisons of two-year-average median incomes (comparing 2000-2001 with 2001-2002) real median household income rose only for one state, Oklahoma, and declined for ten states and the District of Colombia. Four of these states were in the Midwest (Illinois, Missouri, Michigan, and Ohio), three were in the South (Florida, Mississippi, and North Carolina), and three in the West (Hawaii, Nevada, and Oregon).
Per capita income declined by 1.8% in the United States to $22,794. This was the first annual per capita decline in the U.S. since 1991.
Source: U.S. Department of Commerce- Economics and Statistics Administration, U.S. Department of Education (Educational Resources Information Center)
