NO 2. 3. 4. 5. 6. 7. 8. 9.
10. CONTENTS Problem definition Executive summary Reasons for investing in India Value proposition Competitor Analysis Pg. No 3 4 Segmenting, targeting & positioning The marketing plan Product Place Promotion Price Findings and outcomes Future Prospects References 5 5-7 7-8 8-10 10 Problem definition: Adventure Apparel is an American youth centric clothing and retail company which specializes in adventure apparel and accessories. It wants to foray into the Indian market.The product portfolio includes high quality rugged apparel and footwear, atering to the adventure seeking youth in India. One of the key challenges the brand is facing is mapping the market competition. Hence, in this project we come up with a Executive summary: This report gives an entire market plan for the American youth centric clothing brand- Adventure Apparel with special focus on the promotional aspect..
It discusses in detail the present market scenario in India and why should India be looked as a prospective investment opportunity?It then covers the segmentation, targeting and positioning aspects of the brand in India. It then covers the various promotional ctivities that need to be implemented for the success of the brand in India and the costs related with each of these activities. Also, the results of an online survey conducted to know about the perceptions of the Indian customers are mentioned in this report. Reasons for investing in India: The Himalayas is undoubtedly the playground of the world. Hence, India is considered a “one stop adventure shop” with activities like trekking, camping, skiing, watersports and safaris in the offering.According to latest studies conducted by Outlook Travel magazine and Times of India, the interest in adventure sports is on he rise among Indians. Many adventure clubs have also come up in the metros like Bangalore and Hyderabad.
Also, more and more corporate houses are indulging into adventure sports as team building and stress relieving activities. With the business of adventure sports and tourism set to witness rapid growth, the demand for adventure and outdoor apparel and shoes will also increase. This sector of the clothing business remains largely unexplored with only one major player i. woodland India. Even then , most of the apparels are either imported from Europe or cheap and lower quality good s are smuggled from China, Nepal or Bhutan.
Thus there is a huge scope for consolidation in this segment of the clothing and footwear market. Value proposition: The main value proposition from the brand would be as follows: Exclusive Adventure Clothing and accessories Durable and long lasting High quality product Fashionable Multipurpose in nature Competitor analysis: As mentioned earlier, Woodland India is the only organised player in the adventure apparel and footwear market.Woodland India currently has a sales of Rs. 850 crores in the adventure footwear category. It has product offerings such as Tee shirts, denims, rugged trousers, Jackets, bags and caps. Also in the internet space there are a few more players like Adventure18 which provides adventure and outdoor clothing and accessories.
However, their market share is very low and also they score very less in awareness and visibility as they do not sell their products through third party online shopping portals.Segmenting, targeting and positioning: The market can be segmented based on the type of adventure sports like trekking, rafting, skiing, camping etc. each of these segments will have a requirement of a different type of clothing. From various tourism reports and an online survey , it has een found that trekking and camping are the two most popular adventure sports among the Indians. Another way of segmenting the market is by the age of the target sports and tourism are in the age bracket of 19-30 years. Hence, the brand’s strategies should be designed keeping the youth as the primary target.
Segmentation can also be done on the basis of income levels and based on the location. Since adventure apparel are made of special fabric which makes them weather resistant, durable and travel friendly, they cost on the higher side. Hence, customers with high disposable income are to be targeted. Finally, from the recent trends it has been found that the youth and young working class are concentrated in the metros . also most of the adventure clubs are situated either in the metros or near by the adventure sites i. hill stations like shimla , kulu , Manali etc. Thus to cater to the highest number of prospective customers, the retail stores should be located wither in the metros or in popular adventure tourist destinations.
When it comes to positioning, the brand has an advantage of being the first exclusive adventure gear brand in India with woodland ‘s positioning being more dilute. While woodland ositions its products as high quality and durable, Adventure Apparel has to position itself as an exclusive brand for all adventure lovers.The marketing plan: PRODUCT: Four features that are the main differentiators: Durability: Must include features like high strength fabrics, double needle stitching and indestructible buttons to endure adventure after adventure. Fabric: Use of forefront fabric technology to utilise most innovative fabric developments: Insect guard, dri-release, UPF sun protection etc.
Smart design: Convertible performance clothing, multitasking Jackets and climate control venting to address multiple problems. Traveller friendly: adventure clothes should be highly packable, easy care, and long wearing so you can pack lighter and do less laundry.PLACE: Retail showrooms to be located in metros and tourist destinations like Manali, Darjeeling, Shillong, Coimbatore etc as it has been found that the highest no of adventure tourists come from the metros. This is partly due to the reason of various corporate houses indulging in adventure sports as team building activities. A location near actual adventure sites presents an opportunity for better sales volumes.
Promotion: The four main channels identified for the promotion are as follows: Print media: .Newspaper advertisements: Since we shall be targeting the youth who are interested in adventure sports and tourism, we shall have the highest visibility of the youth if we post our advertisements in the supplements like Metroplus weekend (The Hindu) and The Delhi Times( The Times Of India, Delhi). The cost of publishing a half page ad on the front page of the supplements is as follows: The Times Of India: Location Circulation Size Page Estimated Cost Bangalore 510000 coptes 33125 Any Page RS 171 5/sq. cm RS. 1,414??75 Hyderabad 223142 coptes Rs 655/sq. cm RS.
540,375 Kolkata 411175 coptesRs 91 5/sq. cm RS. 754875 Mumbai 841551 coptes RS 3325/sq.
cm RS. 2743,125 The Hindu: Rate 111005 coptes Rs 225/sq. cm RS.
185,625 Delhi 111091 coptes Rs 200/sq. cm RS. 165,000 184267 coptes Rs 385/sq.
cm RS. 317,625 Also, local newspapers which have a larger readership base in particular cities, the advertisement rates for a half page advertisements is as follows: Deccan Chronicle: 526382 coptes RS 1020/sq. cm RS. 841,500 As is evident from the above figures, it shall be profitable to advertise in the most popular newspaper in particular metros, for example, The Times of India in Delhi andMumbai, Deccan Chronicle in Hyderabad and Telegraph in Kolkata.
Apart from print magazines such as Discover India, National Geographic Traveller India and Outlook traveller. Also, since sports magazines have high readership among the youth, it shall be profitable to publish ads in various sport magazines to have the highest possible visibility. The theme of the advertisement is of high importance in order to catch the attention of the youth. In this regard, innovative, funky and eye catching themes and taglines are a must.At the same time, the ad must infer to the basic idea of the company that is adventure apparel. Few examples of such innovative print ads used previously by Adventure apparel and its competitor Woodland are as follows: Electronic media: No immediate promotion on television is viable as target segment is very niche and also the cost of airing advertisements on television is high. However it may be considered in the future. In case advertisements are aired on TV, then it must be concentrated on channels and programmes with high viewership of the youth such as sports channels and music channels like MTV and Channel V.
Online promotions: India has over 80 million internet users of which the youth form the majority. Hence nline promotions of the product cannot be overlooked under any circumstances. Online promotions can be done through different channels such as through social media sites, online shopping portals etc. A very large segment of the target customer is active on various social networking sites such as facebook, twitter etc. Hence, for promotions on facebook, a page has to be created with lots of activities to attract the youth. Some of these activities can be weekly quizzes, t-shirt designing etc.Nevertheless to say, the facebook page should have links for direct order of the products and have updates about all the new launches.
The facebook page can also be used for promotion of sponsored events. The second way of advertising online is through pop up ads on e- commerce websites. However the interface should be designed in such a way that it generates interest immediately and encourages the user to browse through it. Similar innovative ideas as in the print ads can be used here. Finally, the company’s official website has to be aligned to the product that it is selling.
In other words, it is in the best interest of the company to have an adventure themed and interactive website. The main advantage of using online promotions is hat it is low cost but at the same time with a large outreach. Partnerships and Associations: According to the online survey conducted, the results of which are shared in the findings and outcomes section, over one third of the potential customers depend on the tour operator/adventure guide to assist them for shopping of the necessary adventure specific apparel.
Hence, entering into associations with various adventure clubs as the official apparel sponsors shall help in increasing visibility of the product and having a direct reach to the customers. Also, sponsoring various adventure elated activities in line with Maruti suzuki’s “Raid De Himalaya” and Harley Davidson’s H. O. G Rally shall help in improving the brand recognition. PRICE: As the material cost for the products are higher, hence the selling price has to be on the higher side. The pricing has to be done keeping in mind the existing competition. ange for the various products keeping in mind the material cost and the competition are as follows: Trousers (INR 2000- INR 3500) -ree Shirts (INR 1500- INR 2500) pullovers (INR 2500- INR 6000) Shoes (INR 2000- INR 5000) Windproof and waterproof Jackets (INR 1500- INR 4000 Findings and outcomes: To know more about the perceptions and preferences of the Indian youth about adventure clothing, a survey was floated.
Based on the responses of the survey, inferences about the following parameters could be made: 1.Level of interest in adventure sports 2. The kind of adventure sports most popular among the Indian youth 3.
Whether they would prefer a guided or an unguided adventure trip. 4. The channel through which they would make purchases of adventure clothing 5. The various accessories and apparel they would like to buy for an adventure 6. Their brand loyalty towards a articular adventure apparel brand The respondents of the survey are from the age group of 19-30 years and came from the 6 different metros.Some of the important observations that were made are as follows: Respondents interested in adventure sports: Preference of adventure sports: Preference of guided/unguided tour: Preference of channels for shopping: Brand loyalty: Rugged Jackets and mountain shoes are the most sought after apparel.
Future prospects: With the Ministry of Tourism, Government of India, taking initiatives to popularise adventure sports, the outdoor clothing and accessories market is set for rapid growth n the near future.With India’s per capita income expected to rise by 6-7 % in the next decade, purchasing power of the people shall increase resulting in a wider spectrum of target audience for adventure apparel in specific and high price apparel in general. References: ADVENTURE TOURISM IN INDIA – AN OVERVIEW by Akshay Kumar Domestic Tourism- Evolution, trends and growth; a report by FICCI Adventure tourism market report by The adventure travel trade association and Xola Consultancy www. 4psbusinessandmarketing. com – Market interview by Amol Dhillon( VP strategy and planning, Woodland) www. adventure18. com