1. Executive Summary
In this article you will get to know about 3 top competitive luxury brands, Louis Vuitton, Chanel and Gucci.
Louis Vuitton positioned itself in the luxurious goods industry, and has successfully embedded consumer’s mind with a sense of prestige and elegance in their branding. Gucci claimed a unique positioning in innovation and craftsmanship, trendsetting and sophistication. Chanel brand positioning has been perceived as elegant, exclusivity, and timeless as known to consumer Chanel stands for vintage and classic.
By finding the 3 luxury brands target audience; we used tools such as Market Segmentation such as demographic, psychographics. Through demographics we are able to group them in age, gender, income level and ethnicity and in psychographics we are able to group them in personality, values, attitudes, interests, or lifestyles.
They are highly competitive as their target audience are intended for middle to high class ladies. Louis Vuitton target audience: Wealthy middle-age women and young fashionable female adults who could afford the prestige luxury brand. Gucci Target audience: Fashionistas, trends followers from middle and upper-middle class women as they might not have been able to afford the high-end brands. Chanel Target Audience: Status conscious woman who want to identify what Chanel represent which is: elegance, simplicity, modern and class.
We will be comparing each brand unique selling points.
Louis Vuitton Unique Selling Proposition:
Consumers are aware that LV products will never be on sale, and so being the market leader, it is seen as a prestigious brand. With the good quality that is assured in every product, the price that is being paid for is definitely worth it. Gucci Unique Selling Proposition:
Style and design are what attracts trend followers, with the latest fashion updates; Gucci is able to capture the attention of those fashion people. Chanel Unique Selling Proposition:
Every single detail that are on the handbags, are clearly visible with no flaws. Chanel’s famous for their tweed fabric, embroidery, chains and buttons.
2. Background of the Firm
2.1. Product Positioning
Positioning of products is an important aspect to all brands, as it also refers to consumer’s belief about the product value, features and benefits. It is also a comparison against the other available alternatives that are being offered by the competitors. These beliefs tend to be based on consumer’s experience, rather than awareness created by advertising and promotions.
Since the 19th century, products that are being manufactured by Louis Vuitton has not changed, which their luggages are still made by hand. Louis Vuitton manages their products through its stores that are located in the different regions, allowing it to control the quality made and pricing set, and also preventing counterfeit products from entering their distribution channel.
The renowned brand that is known all over the world, has positioned itself in the luxurious goods industry, and has successfully embedded consumer’s mind with a sense of prestige and elegance in their branding.
Till today, Louis Vuitton continuously maintains the standard of their craftsmanship and perfection that guarantees the lasting quality products are categorised as, prices ranging from a few hundred on those canvas wallets to thousands of dollars on leather handbags. They design in a way that it is as elegant as they are innovative and most exquisite products to create products whose unique value is being recognized worldwide.
Gucci is one of the world’s leading luxury brands. They have design, produced and distributed high-quality luxury goods including ready to wear, handbags, small leather goods, luggage, shoes, gifts, fragrances and eyewear. They also directly operate stores in major market throughout the world and wholesales products through franchise...
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