The purpose of this research paper is to analyse the recent phenomenon of American luxury brands being accessible in Europe, for example Coach, Kate Spade, Michael Kors, and Tory Burch. As they are new accessible luxury brands in Europe, it is of interest to compare them to true luxury brands like Louis Vuitton or Hermès in order to precisely determine the concept of accessible luxury, as well as how this concept is perceived in the European market.
American accessible luxury in Europe is a very current topic as brands such as Coach, Kate Spade, Michael Kors, and Tory Burch appeared on the European market only ten years ago.
These brands apply some of the same marketing strategies as luxury brands but differ in their positioning, raising the dilemma of being more affordable than traditional true luxury brands while still wanting to convey a desirable, luxury feel.
Analysing the positioning of these brands will give some key information about the customers’ perception of these brands. The goal is to guide the management and marketing teams on how to create more brand value, in order to encourage the customer to buy these brands and remain loyal to them.
Table of Contents
1.0 Introduction
1.1 Background for choosing this topic
1.2 Problem discussion
1.3 Purpose
1.4 Research question
1.5 Delimitation
1.6 Disposition
2.0 Literature review
2.1 Luxury definition
2.2 Seven P’s
2.2.1 Product
2.2.2 Price
2.2.3 Place
2.2.4 Promotion
2.2.5 People
2.2.6 Process
2.2.7 Physical Evidence
2.3 Building a strong customer based brand equity
2.3.1 Brand equity
2.3.2 The Customer based brand equity model
2.3.3 ‘Lovemarks’ concept
2.4 Customer Profile and positioning
2.4.1 Luxury good consumption in Europe
2.4.2 Consumer behaviour
2.4.3 Luxury perception measurement tools
2.4.4 Focus on Chinese consumers
2.4.5 Brands segmentation and positioning
2.5 Strategic steps
2.5.1 Brand affirmation
2.5.2 Brand consolidation
2.5.3 Brand expansion
3.0 Methodology
3.1 Research Questions and Hypotheses
3.3 Research Approach
3.2 Research Philosophies
3.4 Research Purpose
3.5 Research Strategy
3.6 Methods
3.7 Timing
4.0 Data design
4.0.1 Focus group design
4.0.2 Online survey design
4.1 Validity and reliability
4.1.1 Focus group
4.1.2 Online survey
4.2 Data collection
4.2.1 Primary data
4.2.1.1 Focus group sampling
4.2.1.2 Online survey sampling
4.2.2 Secondary Data
5.0 Data analysis
5.1 Focus group
5.1.1 Descriptive statistics
5.1.2 Analysis of hypothesis 1
5.1.3 Discussion about the results
5.2 Online survey
5.2.1 Descriptive statistics
5.2.2 Analysis of hypothesis 2
5.2.3 Discussion about the results
5.2.4 Analysis of hypothesis 3
5.2.5 Discussion about the results
5.2.6 Analysis of hypothesis 4
5.2.7 Discussion about the results
5.2.8 Analysis of hypotheses 5a and b
5.2.9 Discussion about the results
5.2.10 Analysis of hypothesis 6
5.2.11 Discussion about the results
6.0 Generalisability of the results
6.1 Implications
6.2 Limits
6.3 Directions for future research
Research Objectives and Themes
This paper aims to investigate the positioning of four American accessible luxury brands (Coach, Kate Spade, Michael Kors, and Tory Burch) within the European market and to analyze how these brands are perceived by both potential and loyal customers to provide management guidelines.
- Analysis of the "accessible luxury" concept versus traditional luxury.
- Application of the marketing mix (Seven P's) to the selected American fashion brands.
- Investigation of consumer behavior and brand perception through focus groups and surveys.
- Evaluation of strategic growth steps including brand affirmation, consolidation, and expansion.
- Assessment of the impact of cultural differences, specifically regarding Chinese consumer behavior in Europe.
Excerpt from the Book
2.2.1 Product
To give an accurate overview about what the four selected brands offer in Europe, I checked the websites. The crosses indicate the presence of the following product categories: bags, beauty, eyewear, home, jewellery, kid’s wear, men’s wear, women prêt-à-porter, shoes, sportswear, and watches.
Table 1, consisting of the offers present on each company’s website in April 2016, shows that these brands use different strategies in terms of product portfolio, and have been doing so since their creation. On the one hand, Coach and Kate Spade began by launching bags, and then branched out into the other product categories. On the other hand, Michael Kors and Tory Burch directly launched prêt-à-porter collections, and then followed with other product categories. This table reflects the priority axes of each brand. Moreover, having this portfolio in mind can help the managers to shape the identity of the brand, and communicate it.
Here, handbags are the products taken as an example as, according to Thomas (2007), ‘handbags are the engine that drives luxury brands today’ (p. 168). To emphasize this statement, the figure below reveals the importance of the bags area in stores, which has evolved in the last decade, with leather good sales increasing by 7.5% each year.
Summary of Chapters
1.0 Introduction: Describes the background of American accessible luxury brands in Europe and highlights the problem of their positioning against traditional luxury.
2.0 Literature review: Defines the concept of luxury and accessible luxury while applying marketing frameworks like the Seven P’s and brand equity models.
3.0 Methodology: Explains the research design, including the use of a focus group and online surveys to test six formulated hypotheses.
4.0 Data design: Details the structure of the focus groups and the online survey used to collect primary data from 202 international respondents.
5.0 Data analysis: Presents the findings from the focus groups and the survey, including statistical analysis and discussion of the results regarding brand desirability and consumer behavior.
6.0 Generalisability of the results: Summarizes the validity of the research, provides managerial implications, addresses study limits, and suggests future research directions.
Keywords
America, accessible luxury brands, positioning, cultural differences, Europe, consumer behavior, brand equity, marketing mix, retail strategy, brand desirability, digital marketing, focus group, survey, Coach, Michael Kors.
Frequently Asked Questions
What is the primary focus of this research?
The research examines the positioning of American fashion brands (Coach, Kate Spade, Michael Kors, and Tory Burch) in the European market and how they are perceived by consumers compared to traditional luxury labels.
What central themes are explored in the thesis?
The work explores brand positioning, marketing strategies (Seven P’s), customer perception, consumer behavior across different cultures (especially Chinese consumers), and the impact of brand extensions.
What is the main research question?
The research question is: "Nowadays, how do potential customers and/or customers perceive these four American accessible luxury brands in the European market?"
Which scientific methods were utilized?
The study uses a cross-sectional design employing a mix of methods: focus groups with retail experts and a quantitative online survey conducted with 202 individuals.
What is covered in the main body of the paper?
The main body includes a literature review on luxury definitions, an analysis of marketing strategies, research methodology justification, and a detailed data analysis of survey and focus group results.
Which keywords characterize this work?
Key terms include accessible luxury, brand positioning, consumer perception, Europe, retail strategy, and specific American brands like Coach and Michael Kors.
Why are Chinese consumers specifically highlighted in the research?
Chinese consumers represent an essential source of income for the European luxury market, and their purchasing behavior differs significantly from Western customers, making them a primary target for these brands.
How do the researchers measure "Brand Equity"?
The study utilizes Keller's Customer-Based Brand Equity (CBBE) model, which looks at brand salience, performance, imagery, responses, and resonance to understand how customers build relationships with the brands.
- Citar trabajo
- Cécile Menant (Autor), 2016, American Accessible Luxury in the European Market. The Concept explained on the Basis of Four Case Studies, Múnich, GRIN Verlag, https://www.grin.com/document/995972
