Ucb Latest

7/31/2019 Ucb Latest

1/38

1

Chapter-1 ABSTRACT

The Benetton group, controlled by the Benetton family via Edizione Holding, is

one of the worlds leading apparel designers, manufacturers and marketers. The

main UCB brand is one of the largest high profile brands. After the boom it

experienced in the late 80s and early 90s, Benetton went through a period of

sluggish sales and it is now in urgent need of being reinvigorated. In this study,

we will analyse the status of this brand in the minds of customers as of now, the

factors that are highlighting this brand and the causes that fuelled its decline.

After that we will suggest the possibilities that may revitalize the brand.


2/38

2

CHAPTER-2 RESEARCH OBJECTIVES

To measure the popularity and customer loyalty of this brand among themasses.

To know the positioning of UCB brand in the mind of customers. To measure the brand association of customers with UCB brand. To identify the customer preferences and expectations from this brand. To sort out the factors that is influencing the potential customers to buy

UCB products.

To identify the features that attracts consumers towards this brand.

CHAPTER-3 RESEARCH METHODOLOGY

Research Design: Conclusive- Descriptive Method Of Data Collection: Primary And Secondary Source Of Data

Collection.

Instrument Of Data Collection: Questionnaire. Sampling Technique: Simple Random Sampling Sample Size: 82 Respondents.

CHAPTER-4 EXPECTED RESULT

Will be able to identify those factors and qualities that attract thecustomers towards UCB brand.

Will be able to know the reasons for the customer preferring this brandover others.

Will come out with the positioning of this brand in the minds ofcustomer.

Will be able to measure the extent of association of the customers withthis brand.

Will get to know the further expectations of customers from this brand. Will be able to see the perceived image of this brand in the minds of

consumer.


3/38

3

CHAPTER-5 LITERATURE REVIEW

A report by Competency group suggests that UCB is one of the trusted brands.

The operations they do and the relationship the brand keeps with their

customers is incomparable. But the most proven thing is that customers get the

true value for the money they spend in buying UCB products.

According to this report dated as- 28 June 2010, In a world full of changes,

which also changes consumer buying behaviour, its very important that the

company is equipped with a flexibility that allows it to adjust and adapt tochanges very quickly, but even more if able to anticipate and predict them. For

this reason, companies in the fast fashion, like Benetton, operate in the pull

system, which tend to produce only as requested by customers, and this is made

thanks to a good relationship between producer and retailer. It is precisely this

relationship that companies seek to improve efficiency and customer

satisfaction. An important role in this regard is provided by information

technologies that allow the exchange of information from the downstream area

of chain to the upstream area. In this way we found many advantages in termsof cost and time.

A study conducted by Solvay Business School inferred that advertising factor

should be worked upon in UCB. All of us are aware that UCB brand doesnt

involves itself in advertising and promotions. That is why; a large section of

potential customers is still unaware of the goodness of this brand. But the gap

in this study is that it did not talk about another negative point of this brand that

is the high pricing. That is why, many of its customers are although attracted

towards its products but still could not buy them.

The result of an experimental study conducted by A. Azevado and M.

Farhangmehar is that it is an established and customer preferred brand.

People actually look upon this brand as the most vibrant and colourful brand.


4/38

4

CHAPTER-6 ORIGIN OF BENETTON

In 1955, Luciano Benetton, a 30-year-old salesman in Treviso saw a market for

colourful clothes, and sold his younger brother's bicycle in order to buy his first

second-hand knitting machine. His initial small collection of sweaters received

a positive response in local stores in the Veneto region.

Benetton was founded as a single shop in Italy in 1965. Three years later the

company expanded into France. Eventually, Benetton spread throughout Europe

and by 1979 it was established in the United States. Benetton Group S.p.A is aunique global group that is a part of a larger organization known as the Edizione

Holding Group. This is the holding company through which the Benetton

family has ownership in many different businesses including hotels, publishing,

and real estate. The Edizione Holding Group as well as the Benetton Group

was founded by the Benetton family, which is made up of four siblings:

Luciano, Chairman; Gilberto, Deputy Chairman and Joint Managing Director;

Carlo, Director; and Giuliana, Director, who own and run the company.


5/38

5

CHAPTER-7 ABOUT THE BENETTON COMPANY

The United Colors of Benetton is one of the major brands falling under the

brand portfolio of the Benetton Group.

The Benetton Group is present in 120 countries around the world. Its core

business is fashion apparel: a group with a strong Italian character whose style,

quality and passion are clearly seen in its brands, the casual, United Colors of

Benetton, the glamour oriented Sisley, and Play life American college style. The

Group produces over 150million garments every year. Its network of over 6,200contemporary stores around the world offers high quality customer services and

generates a total turnover of over 2billion euro. The development of Benetton's

commercial network characterised by prestigious locations in historic and

commercial centres and by the high level of customer services offered, has been

supported by a major programme of investment worldwide. The Benetton stores

carry complete collections, as well as a wide selection of accessories, offering a

full range of Benetton style and quality. As in the case of the commercial

network, special attention is given to innovation in production, where allsystems and equipment are totally renewed every five years.

A global brand, and one of the most well known in the world, United Colors of

Benetton has an international style that combines color, quality and fashion.

Each season the women's wear, menswear, children wear and underwear

collections offer a total look for every day, for work and for leisure, in the city

and outdoors. The Benetton Baby label is a new product line dedicated to the

prenatal and the under-fives world.

The brand is present in many other sectors, from the elegant accessories to the

eyewear lines and perfumes, from the home collection to baby products. The

above products are available in selected specialized shops worldwide

Benetton's philosophy of quality, knowledge and teamwork are the key

values of its long tradition and history and milestones for the next future.


6/38

6

CHART-1 BRAND STRUCTURE

GROWTH:

1960s- The idea of color. 1965s- The Benetton Group is established. 1970s- A business model making the difference: unique, flexible and

innovative.

1980s- Benetton communication campaigns: known all over the world. 1990s- A global company present in 120 countries. 2000s- Benetton grows with the market: over 150 million garments

produced every year and distributed in around 6,000 contemporary stores.

Benetton

(Parent company)

United Colors

Of Benetton

Play life Sisley Under Colors

of Benetton

Killer loop


7/38

7

PRODUCT LINES OF BENETTON

The brand is present in 5 sections, from the elegant accessories to eyewear lines

and perfumes, from the home collection to baby products. All of products are

available in selected at the shop worldwide

1. Benetton Adult Women swear Menswear

2. Benetton Kid : The United Colors of Benetton collections for children arereminiscent of a multi-coloured flower.

New born(0-1 year) Toddler(1-5 years) Kid &young(6-12 years)

3. Undercolors: undercolors and underwear in its many forms. Underwear Basic

4. Benetton Accessories: Benettons Accessories collection for bags, smallleather items, belts, footwear and anything else you can imagine.

5. Benetton Lifestyle: Lifestyle is a collection of surprises created byBenetton to satisfy everyone's tastes and needs.

Perfumes Eyewear Travel bags Home collection Stationery


8/38

8

STRATEGIC STATEMENTS

Core purpose: Color the World

Mission: To allow families and individuals an easy access to relevant world

class fashion products for every occasion of their life in an inspiring retail

environment

Vision: Benetton in Every Wardrobe

Core Values:

Passion

Execution

Entrepreneurial Spirit

Value for people

Collaboration

Benettons core business is fashion apparel: a group with a strong Italian

character whose style, quality and passion are clearly seen in its brands, the

casual United Colors of Benetton, the glamour oriented Sisley, the leisurewear

brand Play life.


9/38

9

TARGET CUSTOMERS OF BENETTON

Benetton targets high class people from different races. It caters to those people

who like experimenting with colors. It also caters to those people who want to

be very stylish yet very simple.

UCB Women collection is both for women who work and demand an easy

and elegant wardrobe and those who want to create alternative looks with a mix

& match style.

UCB Men collection is a blend of elegance and originality, completely in tunewith the mood of the brand.

Under colors primarily features underwear, beachwear, and sleepwear

collections, and present two main lines: the fashion theme, very feminine and

sexy and the light-hearted theme for the whole family, free and fun.

TABLE-1 BENETTONS COMPETITORS

International National

Victorias secret Jockey, Hanes

Tommy Hilfiger Numero Uno

GAP Tommy HilfigerWrangler Wrangler


10/38

10

CHAPTER-8 INTRODUCTION

A brand is a name, symbol, logo which helps to identify and recognise aparticular product or a service. The brand can add a significant value when it

has positive associations in the mind of the customer. A brand doesnt get build

in a short period of time. It takes a lot of activities over a period of time for a

brand to establish itself in the minds of the customers.

Brand loyalty: The extent of the faithfulness of consumers to a particular

brand, expressed through their repeat purchases, irrespective of the marketing

pressure generated by the competing brands.

Three components can be used to define loyalty. These are:

1. Belief- the perception of the consumers about the brand based on certain

factors.

2. Behaviour- whether this perception culminates into purchase behaviour.

3. Trend- whether the customers are willing to persist with the brand.

Brand positioning: This term refers tothe placement of a brand in the mind oftarget customers which is different from competitors product. Brand

positioning is a medium through which an organization can portray its

customers what it wants to achieve for them and what it wants to mean to them.

Brand positioning forms customers views and opinions. Brand Positioning is

the key of marketing strategy. Positioning is the base for developing and

increasing the required knowledge and perceptions of the customers. It is the

single feature that sets your service apart from your competitors.

Brand association: Brand association is anything which is deep seated in

customers mind about the brand. Brand should be associated with something

positive so that the customers relate your brand to being positive. Brand

associations are the attributes of brand which come into consumers mind when

the brand is talked about. It is related with the implicit and explicit meanings

which a consumer relates/associates with a specific brand name. Brand

association can also be defined as the degree to which a specific product/service

is recognized within its product/service class/category.


11/38

11

CHAPTER-9 ANALYSIS AND DATA INTERPRETATION

CHART-2 Association of brand with casual shirts or T shirts

Source: primary data

Levis 26 32%

Spykar 4 5%

UCB 38 46%

NIKE 13 16%

Interpretation: As per the results, 46% of respondents could associate

UCB brand with casual shirts and t-shirts. From the above chart we can

infer that UCB has high brand recall in the T-shirts and casual Shirts as

compared to other brands.


12/38

12

CHART-3 Association of brand with jeans


Levis 59 72%

Wrangler 11 13%

Pepe 7 9%

UCB 4 5%

Interpretation: From the above chart, Levis is the clear leader in jeans

category with 72% of the respondents recalling it and associating this brand

with jeans. Only 5% people preferred UCB brand for jeans category.


13/38

13

CHART-4 Last purchase


Pepe 7 9%

UCB 15 18%

Levis 22 27%

Spykar 5 6%

Other 33 40%

Interpretation: The last purchase of maximum people was from other brands,

and 18% of respondents last purchase was from UCB brand. so it can be

inferred that there were very few regular UCB product users in the sample unit.


14/38


15/38

15

CHART-6 Loyalty towards UCB


Yes 16 20%

No 59 72%

Interpretation: Same can be inferred here too from this clear result that only

20% of the respondents are the loyal customers of UCB brand.


16/38

16

CHART-7 Mind paying more money for UCB products


Yes 20 24%

No 56 68%

Interpretation: The objective of asking this question is to know whether

people are crazy about this brand to an extent or not. Only 24% people said that

they would not mind paying extra amount for UCB products.


17/38

17

CHART-8 Satisfaction level with UCB products


Yes 55 67%

No 21 26%

Interpretation: Although, the respondents are not so loyal and regular inbuying UCB products but they content and satisfied when they invest money in

buying UCB products with 67% people supporting the same.


18/38

18

CHART-9 Recommendations and suggestions made to others


Yes 54 66%

No 21 26%

Interpretation: 66% of the respondents said that they are impressed by the

brand as much as they will definitely recommend it to other people, their friends

and relatives.


19/38

19

CHART-10 Buying UCB products when other brands are offering

discounts


Yes 19 23%

No 57 70%

Interpretation: The objective of this question was to know how a consumer

would react to the changes in prices, i.e. is he/she price sensitive. And we found

that 70% people refused to stick with UCB brand if other brands would be

offering discount.


20/38

20

CHART-11 Purchase delay in case of merchandise non available


Yes 17 21%

No 60 73%

Interpretation: Same as above, people are not so loyal or associated with this

brand that they would delay their purchases if the merchandise is not available

with UCB brand. Only 21% people were so fond of this brand that they would

delay their purchases and would wait for the merchandise.


21/38

21

CHART-12 Buying UCB products from newly introduced category


Yes 63 77%

No 11 13%

Interpretation: This question was asked to find out whether people trust this

brand or not. We got a positive response with 77% people saying that they

would not mind buying products if a new category is introduced in UCB and

would not ignore it.


22/38

22

CHART-13 Preference factor for UCB products


Comfort 26 36%

Style 43 59%

Variety 13 18%

Excellent fit 21 29%

Price line 5 7%

People may select more than one checkbox, so percentages may add up to more

than 100%.

Interpretation: Maximum people said that they get attracted towards UCB

products due to the style factor. 59% people find the UCB products to be stylish

which was followed by comfort factor with 36% people supporting it.


23/38

23

CHART-14 Rating of UCB products - Style factor


1 Superior 12 15%

2 Very good 28 34%

3 Good 26 32%

4 Acceptable 6 7%

5 Not satisfied 3 4%

Interpretation: For style factor, UCB brand is rated as very good by the

maximum respondents.


24/38

24

CHART-15 Rating of UCB productsFit


1 Superior 11 13%

2 Very good 22 27%

3 Good 33 40%

4 Acceptable 8 10%


Interpretation: In terms of fitting of UCB products, maximum people rated it

as good.


25/38

25

CHART-16 Rating of UCB productsVariety


1 Superior 11 13%

2 Very good 18 22%

3 Good 29 35%

4 Acceptable 16 20%


Interpretation: Even in variety, this brand got good rating by maximum

respondents.


26/38

26

CHART-17 Rating of UCB productsComfort


1 Superior 14 17%

2 Very good 30 37%

3 Good 19 23%

4 Acceptable 11 13%


Interpretation: Again, the comfort factor of UCB products was rated as very

good by maximum respondents.


27/38

27

CHART-18 Rating of UCB productsPrice


1 Superior 3 4%

2 Very good 4 5%

3 Good 24 29%

4 Acceptable 31 38%


Interpretation: It seems like not many people are happy with the price range of

UCB products and that is why maximum people rated this brand as acceptable

in terms of pricing.


28/38

28

CHART-19 Changes or improvements expected


Comfort 11 14%

Style 14 18%

Variety 22 29%

Fit 9 12%

Price range 45 58%

Promotional activities (advertisements) 20 26%

People may select more than one checkbox, so percentages may add up to more

than 100%.

Interpretation: Even when asked about the changes and improvements needed

in this brand, maximum people chose the price factor.


29/38

29

CHART-20 Rating of UCB brand


1 - Poor 1 1%

2 6 7%

3 39 48%

4 27 33%

5Superior 3 4%

Interpretation: Overall this brand was rated as 3 on the above scale by 48%

respondents.


30/38

30

CHART-21 NUMBER OF DAILY RESPONSES



31/38

31

CHAPTER-10 FINDINGS

The study conducted shows that UCB is known and preferred for casualshirts and t-shirts as compared to jeans. People associate this brand with

colourful, vibrant and comfortable t-shirts. For jeans, they prefer other

brands.

The sample unit that has been taken included maximum people who werenot so loyal to this brand and they did not make their last purchases from

UCB. They were not even planning to make at least three of their next

four purchases from this brand.

In the next question asked, maximum respondents clearly said that theydo not find themselves to be loyal to this brand; obviously they prefer andappreciate the brand but are not a regular customer of it.

Although the satisfaction level of UCB products is high but still peopleare not ready to pay extra money for UCB products if required.

Although they would suggest UCB brand to others but they are not soattached to the brand so as to buy its products even when other brands are

offering discounts and in case of merchandise not available with UCB.

They trust this brand if it comes up with a new category and get attractedtowards it due to the style and comfort factor.

Maximum people are very much satisfied with the style, comfort, fit andvariety in thebrand with the rating between good and very good.

However, they are disappointed with the price line of this brand. May be,this is the reason why many people are impressed with UCB but still do

not attempt to buy the products.

Even, maximum people said that they want UCB to get improved in itspricing strategy as they are not satisfied with its high price, advertisingand promotions being the second thing for improvement.

This shows that UCB is considered to be an expensive brand but this highprice is justified by the quality, the designs they offer and the variety they

offer, it is the individual choice of people for not being its loyal customer.

The brand as a whole is a good brand according to the responses ofmaximum respondents in this study.


32/38

32

CHAPTER-11 CONCLUSION

It can be concluded from this study that UCB has a very few set of customers

that are loyal to this brand. But those who are loyal possess an extreme loyalty

to this brand. This is because, they are ready to pay extra money if required in

order to own UCB products, and they would even delay their purchase in case

of non-availability of merchandise in UCB and would not turn towards other

brands if they are offering discounts. But same is not true in case of those who

are just impressed by the brand and appreciate it without being its loyal and

regular customers.

Maximum people are not loyal to the brand because of the high price factor and

also because of not being aware of the brand. This is may be due to ineffective

advertising and promotions. The brand is getting a lot of appreciation and have

been able to create a position and good impression in the minds of customers

but still failed to convince them for buying their products.

So, the loyal customers of this brand are extremely associated with it. And

maximum people have positioned this brand as a high price but a good brand in

their minds.


33/38

33

CHAPTER-12 SUGGESTIONS

UCB brand needs to revise its pricing strategy as well as the marketing strategy.

Although, it is a respectable brand and has created a distinct place in the minds

of customers but still it is unable to compel people to buy UCB products and to

stick to this brand.

According to the study, many people are impressed and attracted towards UCB

products but may be they cannot afford them, that is why, the brand is losing

many of its potential customers. The founder of this brand says that thepurpose of their advertising is not to sell more but they have an aim of

communicating companys values and a strong image. But if they can consider

that by doing good advertising they can increase their customers then may be it

would be a great help. Instead of the shock advertising, they should create more

customer friendly advertisements. Advertisements on television are also a good

suggestion. So, if these things will be considered while deciding upon the price

line and advertising then may be it would change the scenario.


34/38

34

CHAPTER-13 REFERANCES

http://www.benetton.com/

http://en.wikipedia.org/wiki/Benetton_Group

http://www.businessdictionary.com/
http://www.benetton.com/http://www.benetton.com/http://en.wikipedia.org/wiki/Benetton_Grouphttp://en.wikipedia.org/wiki/Benetton_Grouphttp://www.businessdictionary.com/http://www.businessdictionary.com/http://www.businessdictionary.com/http://en.wikipedia.org/wiki/Benetton_Grouphttp://www.benetton.com/


35/38

35

CHAPTER-14 QUESTIONNAIRE

1. Which brand you associate the most with casual shirts or T shirts? Levis Spykar UCB Nike

2. Which brand you associate the most with jeans? Levis

Wrangler Pepe UCB

3. Your last purchase was from which brand? Pepe UCB Levis Spykar Others

4. Of your next four purchases, do you think at least three would be forUCB brand?

Yes No


36/38

36

5. Do you think you are a loyal customer of UCB? Yes No

6. Would you mind paying more money to UCB for same kind of productsthat are also offered by other brands?

Yes No

7. Do you feel satisfied when you invest in buying UCB products? Yes No

8. Would you suggest your friends and relatives or recommend this brand tobuy products?

Yes No

9. If other apparel brands are offering discount, would you still buy UCBproducts?

Yes

No

10.Would you delay your purchase in case the merchandise is not availableat UCB?

Yes No

11.Would you buy products from a newly introduced category in UCB?


37/38

37

Yes No

12.Why would you prefer UCB products? Comfort Style Variety Excellent Fit Price line

13.How would you rate UCB products in following categories? Style factor Fit Variety Comfort Price1- Superior 2- very good 3- good 4- acceptable 5- not satisfied.

14. What kind of changes or improvements do you expect from this brand?

Comfort Style Variety Fit Price range Promotional activities ( advertisements)

15.How would you rate UCB brand?


38/38

1 (poor)2345 (superior)

Ucb Latest

Documents

Transcript of Ucb Latest