Macy’s Clothes Fashion Chain Dwindling Market Share and Revival Market Strategy

Macy’s Clothes Fashion Chain Dwindling Market Share and Revival Market Strategy

Certain brand products are iconic in the American cultural landscape despite most of them struggling to remain in the stiffly competitive free market. When tastes and preferences change, the products have evolved to remain relevant in the market or risk obsolescence. This essay will discuss Macy’s Stores Brand with respect to its current market survival and the marketing strategy that can be adopted to improve the brand market share. The chain store operates over 700 outlets in 44 states dealing in clothing fashion and accessories. The store has experienced plummeting revenues and, consequently, shrinking income following poor performance. The store is planning to close some of its outlets as it retreats to reconsider revival strategies. Part of these is the marketing strategy that should be adopted to ensure survival and growth.

The Marketing Strategy

(a)Market Research

Conducting thorough and comprehensive market research will enable the store to understand the reason for brand failure in the market. Once the problem is diagnosed, a clear way forward can be charted with regard to marketing (Ratcliffe, A., 2018). The research will help come up with a cheap and effective way of marketing since it is an expensive undertaking. The study will uncover important information to determine factors that enhance repeat purchases, customer loyalty, and customer service. Price, Quality, and Quantitative are objective research surveys that will form the research stage of marketing strategy.

1. Price Survey

Customers will be exposed to a variety of products with unique features and prices. This will help identify the most valuable features to the customers so that the store can concentrate value addition to these features (Hagman, O., et al. 2017). A comparison will be made on rival product features to obtain insights to develop pricing with a competitive edge.

1. Quality Survey

It will explore customer perception of the quality of the chain’s brand. The feedback from this survey will be valuable in enhancing the current brand or initiating the development of a new and better variety of fashion clothes.

• Quantitative Research.

This will seek to answer the question of the average number of clothing purchases done by a customer annually. It will help ass the average demand for fashion clothes so that production planning can be based on the demand.

(b) Market Segmentation

Examination of the fashion industry will be done in four ways which to understand the competitors and the most profitable market niche that the chain store can adopt.

1. Macro Segmentation

End consumers, group clients, and the price will be analyzed under macro base segmentation. A fashion of clothing line created can be split into further products in the same line (Foroudi, P., et al. 2018). For example, a beachwear can be divided into swimwear and sportswear. The product line that has more market value will mark the direction in which the store can concentrate more on

1. Group of Clients

Clients will be divided into end customers, intermediate and major clients. The criteria used here is whether the chain store is reaching the end user directly or via intermediary. Segmentation on this level will enable the company understand whether use of incentive marketing via intermediaries will be effective or not. Where the chain store has greater contact with the end user than an intermediary, it will further divide the end user based on gender, age, geographical location, and income level so that it can develop and enhance product line that is relevant to targeted customer segment ( Ozuem, W., et al. 2019). For example, low-income and the rural segment will not be very keen on fashion and quality compared to the urban and high-income segments, which are up to date and therefore demand current fashion and quality clothes. The latter also has more variety of brands of products to choose from other chain stores and are more informed.

• Price segmentation

It is a segmentation category that will allow Macy’s to differentiate her prices from that of its competitors. The chain store will develop cloths of different quality, translating to different prices based on the group of client segmentation.

(c)Brand Equity and Loyalty

Market segmentation will ensure that the chain store has fashionable cloth wear for everyone so that customers can do all their clothes shopping under one roof. The availability of quality products and cutting edge customer will result in customer satisfaction. Satisfied customers are more likely to come back for repeat purchases and influence new customers to come (Sari, R. P., et al. 2019). The development of a more equitable brand implies supplying product line that is quality, relevant, and affordable to the end-user. Such is more likely to result in brand loyalty and revenue growth.

Conclusion

The fashion store has to be aggressive in conducting intensive and extensive market research, which will form the basis for its revival marketing revival. The chain store will need to implement its marketing strategy prudently with continuous monitoring and review to achieve the desired targeting and market positioning.