Running head: CONSUMER BUYING BEHAVIOR REPORT 1
CONSUMER BUYING BEHAVIOR REPORT 9
This customer buying behavior study will provide an analysis of Polo Ralph Lauren, Tommy Hilfiger and Nautica (“the blue jeans companies”) buying behaviors in North America, Germany and the UK sectors. This analysis will provide studies where the demands for a specific brand of jeans and related products are the most marketable. Additionally, this examination will provide information on each company’s business activities and organization practices based on the three reportable sectors. To ensure appropriateness, the research process and various sources will be used to present credible findings.
The research materials are sourced from different contexts based on the target industries and their relevance to the companies and sectors previously mentioned. Also, consumer buying behavior plays a vital role in the fashion industry and determines the age that the respective blue jeans companies should target, the culture, and geographical location. Since the three blue jeans companies are globally competitive and yet similar, it is important to note the need of the companies’ unique brands and how they are presented for preferred purchasing. Findings shows that market surveys and subsequent research presents results of the commitments of consumer’s buying preferences in addition to their needs and desires. The market intelligence survey is also a reliable source of information for the designer jeans companies and can be used to help the company curb competition and remain strategically balanced.
The studies provided an overview of the techniques used to examine the consumer buying behavior patterns of the three competitive designer blue jean companies in three sectors. If the goal is to strive for improvement and consistency based on the consumer buying habits, the three competitors should continue demonstrating intelligence market surveys and make decisions based on the desires for the greater good of consumers and of the affected companies.
Consumer buying behaviors differ between certain timeframes, within the market industry, the level of competition, and geographical regions. Polo Ralph Lauren, Tommy Hilfiger, and Nautica (“the blue jeans companies”) with operations in North America, Germany, and the UK (“the three sectors”) are the blue jeans companies that are competitively similar industries with comparable consumer buying behaviors, based on the aforementioned factors. However, the fact that the companies differ from countries of operations and target markets, makes the buying behavior of their customers unique. Additionally, these blue jeans companies have distinguished brands implying that their customer’s preferences changes. This research explores the consumer buying behaviors for the three blue jeans companies, Polo Ralph Lauren; Tommy Hilfiger; and Nautica in North America, Germany, and the UK Sectors.
1. What needs are being met by the product purchase? What are the benefits to the consumers?
Quality, style, value and most importantly easy accessibility, are some of the needs that are being met by the three designer blue jeans companies, Polo Ralph Lauren; Tommy Hilfiger; and Nautica, not only in the United States, but globally. The three blue jeans designer companies offer consumers preferred buying behaviors with convenience and a variety of fashionable designs that are beneficial to their desired styles and affordability. While pricing concerns are not a factor, studies show that consumers find satisfactory in the versatility, comfort and sustainability of premium brand name jeans which are produced by the three designer companies mentioned above.
2. Who is involved in the purchase process? Who are the influencers? Who are the buyers? Who are the end users?
The purchase process involves a various group of people including the sales department, wholesalers, retailers and direct clients. Retailers and wholesalers consistently collaborate with the management of the companies to ensure goods are purchased in bulk to secure adequate inventory. (Schultz,et al,2019).
Polo Ralph Lauren uses a strategy of convincing current and potential customers to buy products with an advertising appeal that owning a pair of brand name Polo jeans benefits the consumer more than the company. Thus, the operation is based on customer preferences, and every product developed result from the market analysis. Tommy Hilfiger’s brand targets consumers based on age, gender and income, which includes women and men between the ages of 25-40. (Marketing 91, 2019). Additionally, the Hilfiger brand now has a focus on the upper-middle-class buyers. Nautica, on the other hand, concentrates on producing quality men, women, and children’s clothing, which serves the purposes intended by the potential customers in all of its geographical regions.
Panitapu (2013), confirms that over 13% of internet users are fashionable customers who will explore different available brands and pricing strategies. Additionally, those 13% internet users have previously purchased brands from the internet after a thorough evaluation of their availability, accessibility of the companies.
The current marketing strategies in all three companies, including the fashion industry, use innovative and technological practices as a method to influence potential customers to buy their products. Currently, the fashion consumers target, find, share, buy, and research their brands using completely new strategies to reach current and potential buyers. These methods involve developing a complete understanding of their communication operations, the process leading to the production of products, and the reasons they undertake these operations (Solomon & Rabolt, 2004).
Marketing campaigns in the fashion industry in North America, Germany, and the UK sectors are a vital role in determining consumer purchasing decisions. Those campaigns help the companies monitor fluctuating market activities within the competitive industries, which results in influencing the purchasing decisions made by consumers. The marketing campaigns made by the three blue jeans companies regularly affect consumer purchasing decisions to the extent that they develop their preferred brand loyalties over others and create anxious shopping behavior patterns. (Ghazie, & Dolah, 2018). The three companies use regular campaigns to develop huge market shares and maintain their respective customer base. For instance, those campaigns encourage customers to buy the more popular products that are immediately produced and are influenced by changes, options and pricing.
Consumer behaviors are considered as factors that determine the decisions consumers take based on their preferences when buying certain products. These behaviors usually differ with geographical locations, marketing strategies that the targeting companies use, and competition in the industry. The fashion industry in North America, Germany, and the UK sectors, where the three companies operate, has various factors influencing customer behaviors. Hines & Bruce (2012); Jagpal (2008), argue that the study of consumer behavior provides an understanding of the past buying experiences and aids the businesses’ prediction of the futures in their given industries. These predictions are based on the locations of the businesses’ countries and the numerous regulations.
Fashion lovers who primarily purchase blue jean product using the internet, appear to be stronger. Hence, how consumers are treated by the companies and the convenience they encounter, determines whether or not the companies will attract others in the market. Therefore, the three companies have resorted to using the internet as a major marketing framework which target the consumer’s preferences. (Ali, 2018). Also, many of the fashionable consumers are more likely to capture the attention of other social media consumers if they are supporting the blue jeans products of the three competitors.
Fashionable brand name buying consumers are outspoken and adamant on expressing themselves and their perceptions about the products they support. Thus, word-of mouth is an effective communication tool that could be key in influencing potential buyers, particularly those who may be reluctant to purchase brand name jeans and denim related products. (Close, 2012). However, internet marketing and selling may not be the only appropriate means, considering the regions where the three companies operate may have consumers who are not frequent or active online buyers.
According to (Rajajopal, 2019), the personal view concerning fashionable style and the pleasure of buying is also a dominant factor. However, advertisements and other campaigns can exert great influence on consumers’ end purchases. Group influence also plays a key role in the fashion industry for Polo Ralph Lauren, Tommy Hilfiger, and Nautica markets. The critical group influencers consist of family members, college students, immediate relatives, celebrities, focus groups and the companies’ employees. The fashion industry is greatly controlled by group influences mainly because of the feedback, dynamics, and innovations.
Polo Ralph Lauren, Tommy Hilfiger, and Nautica in North America, Germany and the UK sectors encourages consumers to advocate for their respective brand based on their love for the jeans and how they feel about the designer name fashion experiences. Therefore, the three companies make their operations noticeable and easily influential by using creative colors and materials which are likely to attract fashionable people (Brooks, 2015).
3. Where are the products sold, and what are the distribution channels?
The three companies build personal relationships with their consumers based on their insider knowledge and awareness of those who have exclusive access to their products. The availability of this information allows the blue jeans companies to tailor their operations to suit committed brand advocates. Thus, the three companies distribute their products in various worldwide locations to reach their consumer base.
Polo Ralph Lauren uses quality materials and operates in a wide range of colors which allows options for every potential consumer. These materials are sold within the company franchise and includes factory, department, concession-based shop-within-shops stores, and digital commerce sites in North America, Europe and Asia. (History of Polo/Ralph Lauren, n.d.). Nautica, who is a well-known American brand designer blue jean company, distributes worldwide within 74 United States stores, 291 international stores and more than 1,400 branded shop-in shops locations. Nautica’s uses the model process approach that “understand consumers and consistently offer the convenience and comfort that defines the company’s trusted brand”. Thus, Nautica’s brand is easily accessible and features state-of-the-art designs with high-end fabric. (About Nautica, n.d.). Similar to the distribution competition with Polo Ralph Lauren and Nautica, Tommy Hilfiger designer jeans also sells to a younger group of individuals and network in more than 100 countries and 1800 retail stores including Europe, Asia Pacific and Latin America. (Marketing91, 2019).
4. How often are the products purchased? Is there seasonality to sales?
The economic and seasonal conditions also affect consumer buying behavior of the three blue jeans companies in North America, Germany, and the UK sectors. Consumer spending decisions are greatly affected by the economic conditions that may impact the market at certain times. (Panitapu, 2013). For instance, some styles may be unavailable for months, depending on the geographical locations and the climate conditions. Thus, the companies’ operations in North America, Germany, and the UK industries consumer buying behaviors highly depends on the seasonal moments which are determined by factors such as holidays, special events and activities, and the beginning of the school year and weather conditions. Accordingly, these are some of the factors that could increase the sales volume.
A productive economic environment is known to enhance confidence among the consumers and promote their willingness to indulge in purchasing products regardless of their personal financial situations. Rajagopal (2019), argues that personal preferences can highly effect customer behavior buying in fashion industries in North America, Germany, and the UK, where Polo Ralph Lauren, Tommy Hilfiger, and Nautica operates. Some consumers will buy on a day-to-day basis, depending on the need, desires and product’s that are currently new on the market. Additionally, consumers have different likes, dislikes, morals, values, and priorities, implying that their preferences, and depending on the time of the year and the occasion, may differ at any given moment.
Polo Ralph Lauren, Tommy Hilfiger, and Nautica in North America, Germany and the UK, operate in a similar industry, with equivalent buying behaviors of their consumers. However, these three blue jeans companies operate using different brands and strategies to attract huge market shares and maintain their consumer base. The consumer buying behavior plays a key role in determining the market positions and other tactical plans for these companies. The consumer decision process models that are commonly used, since they operate in the same marketplace and share a variety of factors. Consumer buying behaviors are influenced by factors such as marketing campaigns, economic and seasonal conditions, group influences and certain
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