MARKETING PRINCIPLES

Marketing Principles: River Island Fashion Clothes Stores



Marketing Principles: River Island Fashion Clothes Stores

Introduction

Bernard Lewis introduced River Island in 1948. River Island was initially started as a family business and was a small shop in London, UK. River Island is one of the most successful and biggest privately owned businesses in UK. Presently, there has nearly 300 stores across domestically (UK) and internationally across Europe, Middle East and Asia. River Island offers the unique touches, affordable and stylish fashion to its customers that offer them a competitive edge over other High Street. River Island has a strong position in the retail industry despite operating in highly competitive industry because of its dynamic store environments. For better and comprehensive understanding, this report examines macro and micro environment for River Island Fashion Clothes Store and demonstrates how marketing principles are applied in formulating effective marketing strategies of segmentation, targeting and positioning to gain competitive advantage and customer satisfaction.



Discussion

Macro and Micro Environmental Factors

External factors have a significant impact on marketing decisions. Economic factors are impacted by governmental and political policy, being a key influence. River Island Fashion Clothes Stores following free trade agreement and the European integration should pursue the EU completion and planning policy guidance, along with the retail market is moderately down and very responsive to change in rates of interest (Kotler and Armstrong, 2011, pp.22-610). River Island must study health and safety legislation of the state in which the company intend to launch a new product, either in terms of consumer rights or natural renewable resource production to make clothes, and has a significant influence in taking marketing decisions. Socio-cultural factors refer to tastes and demand that changes with disposable income and fashion. The increasing concern of consumers regarding the environment across the world pushed River Island to take ethical initiatives such as to collaborate with suppliers to ensure ethical practices, which depicts that this external factor has a vital influence on River Island's marketing decisions.

River Island must look at the internal strengths, weakness to examine the opportunities and threat to take effective marketing decisions for profit maximization. The key strengths of River Island include store layout, merchandiser and supplier control, which allows them to take benefit of modern efficient production technology used by the supplier so that they can offer consistent and highest quality standards. These strengths allow River Island to expand their brand across the globe and collaborate with suppliers across the globe to gain a cost advantage. On the contrary, River Island also has weakness, such as niche focus on the consumer market. The company only focus on young consumers and offers them a wide range of clothing while rival firms such as Marks and Spencer, Next and Oasis. This weakness undermines River Island capability to offer product differentiation.

Segmentation Criteria

River Island Fashion Clothes Stores will employ the segmentation for brand promotion among customers. The main target market of River Island will be fashion conscious customers aged between 18-35 ...