Retail Buying Behavior- CK Jeans vs Armani Exchange

Topics: Advertising, Shopping mall, Brand Pages: 17 (6045 words) Published: July 17, 2013
Retail Buying Behaviour
Group Written Report

Group Members:
Andrew Lee
Sherri Chan
Jesselyn Tsao
Kimberly Goh
Soh Si Min
Wilson Tay

Table of Contents

1. Executive Summary3
2. Introduction4
2.1 Objectives of Report5
2.3 Background5
2.2 Methods of Investigation6
3. 1 Analysis and Comparison of cK Jeans and A|X6
3.1.1 Overview of Product Ranges6
3.1.2 Description of Outlets7
3.1.3 Marketing Campaigns8
3.1.4 Staff Dressing and Service Standards9
3.2 Social and Environmental Analysis (External Influences)10
3.2.1 Social Stratification10
3.2.2 Culture11
3.2.3 Reference Groups and Family Influences12
3.3 Consumer Analysis14
3.3.1 Personality and Emotions14
3.3.2 Consumer Learning17
3.4 Consumer Perception19
3.5 Recommendations21
More Extensive Use of Social Media21
Improve on Customer Service22
Continue with Provocative Advertisements, but in Moderation22
Bibliography and Appendix23

1. Executive Summary
This report was commissioned to examine the consumer base of cK Jeans and its main competitor, A|X, comparing their different marketing strategies and consumer buying habits and reasoning. The report will focus on consumers aged 18—24 years old. It will also include recommendations to help cK Jeans achieve a higher level of sales. We have conducted mystery shopping trips to cK Jeans stores, as well as A|X stores. Personal surveys were also conducted with 30 respondents within the abovementioned age group to understand their purchase attitudes and behaviour. Attention is drawn to differences between the two retailers, the external influences of their consumers such as the social and environmental factors as well as the consumers’ internal influences—of which personality and emotions and learning was chosen. Investigations reveal cK Jeans to be a livelier and more energetic brand to A|X who has a more sophisticated image. Moreover, cK Jeans is known for launching their well-known models to stardom through their provocative campaigns whereas A|X uses more young and unknown models. Most of the respondents who are students though they have limited income were found to exhibit quality preference, possibly desiring to emulate certain aspects of the lifestyle of higher social strata, serving as motivation. These mostly ‘single’ respondents also are divided equally over shopping with the family and by themselves.

Operant conditioning and classical conditioning were identified as learning aspects shaping the consumer behaviour with the help of provocative advertisements and positive feelings of praise. Consumers were also evaluated to be likely to model themselves after the models featured in the advertisements. It was also shown that cK Jeans and A|X had different suited and projected personalities, being sincere & daring and sophisticated respectively.

Recommendations for cK Jeans to boost sales include (1) the use of more social media to be in sync with their young customers who are well versed in technology and get all information online, (2) improve on the customer service to give consumers an all round and much improved shopping retail experience and (3) to keep their advertising efforts provocative but also in moderation.

Based on our mystery shopping trips, we can conclude that cK jeans portrays itself as a livelier and more energetic retailer while A|X on the other hand, is more sophisticated due to its darker interior design. Next, comparing its marketing campaigns between the 2 retailers, cK jeans uses provocative advertisements using well-known models who eventually rose into stardom after starring in ck jeans’ campaigns. On the other hand, A|X hardly uses actresses of actors in their advertising campaigns, instead focusing on young and relatively unknown models such as Barbara Palvin and Francisco Lachowski.

Since our respondents consist of mostly students, most of our respondents are students and they have limited income...

Bibliography: Cool to wear. (2012) Armani Exchange Spring/Summer 2012 Ad Campaign. Retrieved from http://www.cooltowear.com/2012/02/armani-exchange-springsummer-2012-ad-campaign/
Armani Exchange
Brannon, A. Chirichella, B. Schaffer, C. Wittmer, J. (2010) Calvin Klein brand audit, final component Calvin Klein. Retrieved fromhttp://abbranno.weebly.com/uploads/6/2/5/2/6252494/calvin_klein_brand_audit.pdf
Klein, C (2012) Calvin Klein History
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